The difference between the SME Board and the GEM:
1. The SME board has higher entry barriers and stricter listing conditions, which is close to the existing main board market. The GEM has lower entry barriers and looser listing requirements.
2. The operation of the small and medium-sized enterprise sector adopts a non-independent subsidiary market model, also known as the two-board parallel system, that is, the small and medium-sized enterprise sector is affiliated with the Shenzhen Stock Exchange.
3. The GEM will operate in an independent mode, that is, the GEM and the main board market - the Shanghai Stock Exchange will operate independently, have independent organizational management systems and trading systems, and adopt different listing standards and regulatory standards.
4. Judging from the chronological order of establishment, the small and medium-sized enterprise sector precedes the GEM. In other words, the small and medium-sized enterprise sector is the dimension of the future GEM.
5. Small and medium-sized board stocks are stocks issued by the small and medium-sized enterprise sector. Entrepreneurial boards with a circulating amount of less than 100 million yuan can be called small and medium-sized boards. The small and medium-sized board is relative to the main board market. , because the conditions of some listed companies cannot meet the requirements of the main board market, these listed companies can only be listed in the small and medium-sized sectors.
The GEM stocks, also known as the second stock trading market, are also a securities market corresponding to the main board market. Those entrepreneurial companies and medium-sized enterprises that cannot be listed on the main board market Small companies or high-tech companies can list on the GEM if they need to raise funds.
Extended information:
Advantages of small and medium-sized boards
1. In the growth stage: Most of the small and medium-sized board companies are in the growth stage of the enterprise life cycle, unlike those in the mature stage. Compared with enterprises in the growth stage, enterprises in the growth stage have the characteristics of high growth and high profits.
2. Have regional advantages: Most small and medium-sized enterprises are located in economically developed areas such as the southeastern coast. Among the 50 enterprises, 31 are from Zhejiang, Guangdong and Jiangsu provinces, accounting for 62%. The economic development of coastal areas provides huge space for the development of small and medium-sized enterprises.
3. Strong independent innovation capabilities: Most of the small and medium-sized enterprises are small companies that are leaders in their respective industries. Nearly 90% of them have independent patented technologies. Some companies are listed in the National Torch Plan. It is a key high-tech enterprise and recognized as a national key high-tech enterprise by the Ministry of Science and Technology.
4. The small and medium-sized enterprise sector has higher entry barriers and stricter listing conditions, which is close to the existing main board market. The GEM has lower entry barriers and more relaxed listing conditions.
5. The operation of the small and medium-sized enterprise sector adopts a non-independent subsidiary market model, also known as the one-two-board parallel system, that is, the small and medium-sized enterprise sector is affiliated with the Shenzhen Stock Exchange. As a supplement to the Shenzhen Stock Exchange, the SME sector operates together with the Shenzhen Stock Exchange and has the same organizational management system and trading system.
Reference materials: Small and medium-sized board-Baidu Encyclopedia? GEM-Baidu Encyclopedia