CHENGDU, Jan.19 (NBD) -- The recent surge in initial public offerings (IPO) has worried investors because loopholes in the delisting system still remain. Insiders said more IPO activities will be good for the stock market in the long run, but IPO alone will not be enough. The delisting system has to be improved as well so as to facilitate companies to delist from the market.

Dong Dengxin, head of Finance and Securities Institute of Wuhan University of Science and Technology, told NBD that stock market moves in cycles. After A-shares exceed 3000, companies will pace up to get listed, in turn some companies will seek delisting from the market. Recently, more IPOs are approved by China Securities Regulation Commission, which will lay a foundation for delisting activities in the future.

Email: tanyuhan@nbd.com.cn