Recently, the Securities Regulatory Commission seriously investigated and dealt with serious financial fraud cases of Changjiang Pharmaceutical Holdings Co., Ltd. *ST Changyao is suspected of involving a major illegal forced delisting situation, and the Shenzhen Stock Exchange will initiate delisting procedures in accordance with the law. Since this year, a number of listed companies have been forcibly delisted, covering types such as financial delisting, transactional delisting, and forced delisting for major offenses. This shows that the supervisory authorities are stepping up delisting enforcement, unblocking diversified delisting channels, speeding up the removal of poor quality assets, and purifying the market ecology. But at the same time, China's capital market has opened its doors to a number of technology-based enterprises from strategic emerging industries such as next-generation information technology, new energy, and new materials. Taken together, with the comprehensive deepening of reforms in China's capital market, the accelerated exit of poor quality companies, the continuous “upgrading” of high-quality companies, and the formation of a virtuous cycle of market survival of the fittest is accelerating. What is behind “one advance and one retreat” is not only the overall improvement in the quality of listed companies, but also the optimization of market resource allocation.

Recently, the Securities Regulatory Commission seriously investigated and dealt with serious financial fraud cases of Changjiang Pharmaceutical Holdings Co., Ltd. *ST Changyao is suspected of involving a major illegal forced delisting situation, and the Shenzhen Stock Exchange will initiate delisting procedures in accordance with the law. Since this year, a number of listed companies have been forcibly delisted, covering types such as financial delisting, transactional delisting, and forced delisting for major offenses. This shows that the supervisory authorities are stepping up delisting enforcement, unblocking diversified delisting channels, speeding up the removal of poor quality assets, and purifying the market ecology. But at the same time, China's capital market has opened its doors to a number of technology-based enterprises from strategic emerging industries such as next-generation information technology, new energy, and new materials. Taken together, with the comprehensive deepening of reforms in China's capital market, the accelerated exit of poor quality companies, the continuous “upgrading” of high-quality companies, and the formation of a virtuous cycle of market survival of the fittest is accelerating. What is behind “one advance and one retreat” is not only the overall improvement in the quality of listed companies, but also the optimization of market resource allocation.