Summary of the Core Content
This is essentially a "down-to-earth" fraud prevention education initiative from CICC Wealth, one of the leading securities firms in China. The goal is not to recommend stocks or promote trading on the New Third Board (NTB) but to break away from the traditional, dry-style investment education methods that simply recite rules. Instead, they used traditional Chinese performing arts forms such as shadow puppetry and the three-line half (a short form of storytelling) that are familiar to the general public since childhood to clearly explain the three most common types of scams targeting ordinary NTB investors. The entire effort is aimed at reminding people to avoid these pitfalls, with no intention of encouraging them to start trading.
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Detailed Analysis
Why Use Shadow Puppetry and the Three-Line Half for Fraud Prevention?
In the past, many financial institutions used complex jargon in their fraud prevention campaigns—terms like the "basic layer," "innovation layer," and "market-making transfer"—which quickly confused new investors and middle-aged and elderly people who rarely dealt with finance. By using traditional performing arts, the scam tactics are presented in a way that's like watching a short skit at a local temple fair: with the sound of drums and gongs, the tricks are easily remembered. This approach is particularly effective since the target audience for NTB scams often consists of middle-aged and elderly individuals with spare money who enjoy watching performances. It’s much more impactful than distributing hundreds of dry fraud prevention brochures.
The First Common Scam: "Promising Huge Returns from Listing on a Higher Board"
This is a frequently used scam tactic. Scammers claim to have original shares of NTB companies, offering them for 1 yuan each, with the promise that the stock price will increase by tenfold within two months when the company lists on the Science and Technology Innovation Board (STAR Market) or the Growth Enterprise Market (GEM). They say they have reserved a spot specifically for their acquaintances. In reality, this is all nonsense. There are only a few hundred A-share companies that successfully transfer from the NTB to the main boards each year, and the odds are even lower than winning the lottery. Most NTB companies have poor performance and lack core competitiveness, so the so-called "original shares" sold by scammers have no official regulatory backing. If you invest, your money is likely to end up in the scammers’ private accounts, and you’ll likely lose your principal, let alone see a tenfold return.
The Second Scam: "Using a One-Person Company to Open an NTB Account"
Many people don’t realize that opening a legitimate NTB trading account requires at least two years of trading experience and assets of at least 1 million yuan. This requirement is in place to protect retail investors from the higher risks associated with the NTB. Scammers take advantage of this by registering a shell company for a few hundred yuan, allowing them to open an account without you having to contribute any assets. However, this is completely illegal. Any stocks purchased through this account legally belong to the shell company, and if the company incurs debt, your NTB shares can be seized by the court to cover the debt. Moreover, strict regulations now target such illegal accounts, which may result in their closure, preventing you from getting your money back.
The Third Scam: "Proxy Ownership of Shares to Buy Original Shares"
Scammers suggest using a qualified person to hold shares on your behalf, claiming it’s convenient and eliminates the need for formal procedures. However, this type of proxy ownership offers no legal protection. The legally registered owner of the shares can sell them all and run away with the money, or even use them as collateral for loans. If the lender seeks to enforce the loan, you may not be able to prove ownership of the shares, and your investment will be lost.
Final Warning: Don’t Mistake Fraud Prevention for an Opportunity to Invest
Some people, after seeing such campaigns, think, "There’s a quick profit opportunity in the NTB; I should open an account immediately." The disclaimer at the end of the campaign clearly warns that if you don’t understand the NTB or lack several years of investment experience, you should avoid anything related to "original NTB shares or sudden wealth gains." Nine out of ten people who offer such high-return opportunities are scammers; it’s best to block them immediately.