Latest News:  
Beijing   Cloudy/Sunny    33 / 21 ℃  City Forecast

English>>China Business

Capital market needs clearing up

By Hong Liang  (China Daily)

08:13, August 28, 2012

The prolonged stock market slump is taking its toll on the mood and aspirations of many young professionals in an industry that once seemed gilded in gold.

For the first time in their relatively short careers, a host of young stock analysts and traders, mostly in their late 20s and early 30s, have had a taste of hard times, as some have been laid off by their firms and others have seen their salaries slashed.

Covering the plight of these former hotshots in the mainland's stockbrokerage community, a reporter at our Shanghai bureau told me that everyone she talked to was unbearably gloomy. The reporter also told me that her husband, who works at a Shanghai-based commercial bank, was so shocked by the cut in his salary that he voluntarily gave up eating fresh fish, his favorite dish, at every dinner. And at the insistence of the husband, the young couple has gone into austerity mode, skimping on everything except books and CDs.

This belt-tightening has spread to other parts of the financial industry as well. But it is important to note that the so-called bloodbath is not without benefits to the longer-term development of the mainland's capital market.

Something similar happened, albeit on a more extreme scale, in the Hong Kong Special Administrative Region after the outbreak of the Asian financial crisis in 1997, which swept through the capital market like a tropical typhoon. The pain brought about by the massive destruction of asset values helped clear the deck for the emergence of a better-regulated and less-cluttered stage on which stronger and more professional players could show off their talents unhindered by entrenched interests that were stale and corrupt.


【1】 【2】



News we recommend:
Amusement parks boost real estate market Survey shows SOE jobs are top choice CNOOC pushes ahead with Nexen acquisition
The Pain of a Pension Deficit Staying on Target More new grads opt for State firms
Treading Lightly for Fast Growth  Questions raised over stores' price war A fertile ground for overseas banks

Email|Print|Comments(Editor:李倩、厉振羽)

Leave your comment0 comments

  1. Name

  

Selections for you


  1. Female panda born in Sichuan

  2. Cool moments of this summer

  3. Apple losing smartphone battle to Samsung

  4. 2012 China Miss Tourism Int'l crowned

  5. Female stars in see-through dress

  6. The most expensive hotel in Dubai

Most Popular

Opinions

  1. Public needs to see where tax money goes
  2. Should China boycott Japanese goods?
  3. US launches financial attacks against its allies
  4. When will Chinese-style love tragedy move world?
  5. Stakes high for Romney in Republican convention
  6. The costs of luxury spending are booming
  7. Sleeper buses need best mechanic in country
  8. Commentary: Quality of governance essential
  9. Brand positioning through experience
  10. Visits highlight Cairo foreign policy change

What's happening in China

Man pricked by syringe with HIV

  1. Disgruntled ex-employee burns 3 dead
  2. China launches $372 bln pollution reduction drive
  3. 'Special-ability' class taught kids to cheat
  4. Island will boost Pearl River vision
  5. Acid rain hangs cloud over province

China Features

  1. China no longer simply 'world's factory'
  2. Sharp depreciation of yuan unlikely
  3. Special Coverage: Chinese Valentine's Day
  4. Rare tornadic waterspouts appear in Guangxi
  5. Tips for 'Stopping the Heat' [Special]

PD Online Data

  1. Spring Festival
  2. Chinese ethnic odyssey
  3. Yangge in Shaanxi
  4. Gaoqiao in Northern China
  5. The drum dance in Ansai