Growth Enterprise Market (GEM) (Chinese: 創業板) is a board of the Stock Exchange of Hong Kong for growth companies that do not fulfill the requirements of profitability or track record for the main board of the exchange.
GEM operates on the philosophy of "buyers beware" and "let the market decide" based on a strong disclosure regime.
Its rules and requirements are designed to foster a culture of self compliance by listed issuers and sponsors in the discharge of their respective responsibilities.
The following major features are to support this philosophy: Greater, More Frequent and Timely Disclosure GEM requires a listing applicant to disclose in detail its past business history and its future business plans which are key components of the listing documents.
It will undertake strong enforcement and institute appropriate disciplinary actions if necessary where breaches of the GEM Listing Rules are identified.