The Shanghai Stock Exchange (SSE) is intensifying efforts to encourage listed companies to increase shareholder returns through dividends and strategic market value management. At a June 5 symposium, the SSE convened discussions with companies on enhancing valuations through higher payouts, more frequent dividends, and tools like share buybacks and M&A. The exchange emphasized China’s improving capital market infrastructure as a foundation for sustainable growth, urging firms to bolster investor confidence in domestic assets.
The SSE highlighted that consistent dividends signal financial health and attract long-term investors. It plans to incentivize companies to raise payout ratios and adopt semi-annual or quarterly dividend schedules, moving beyond annual distributions. The exchange also promoted share repurchases and investor engagement as complementary measures to stabilize stock prices and improve capital efficiency.
With China’s market reforms gaining momentum, the SSE aims to align corporate strategies with national goals of high-quality development. By fostering a “dividend culture,” the exchange seeks to narrow the valuation gap between A-shares and global peers while reinforcing the appeal of China’s equity market amid economic transitions
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