Recently, Evergrande frequently conducts buying low and selling high transactions on the A-Share market, which is considered as controversial. Such action is not only deemed to be controversial, it also reflects deeper problems faced by the economy of China and requires attention. Anbound research team believes the Evergrande incident reflects the serious problem of under actual economic slowdown and excess capital, many enterprises like Evergrande concentrates more on short-term asset transactions rather than their main industries, and this has accelerated economic and financial bubble. At the same time, this also indicates the importance of speeding up supply-side structural reforms and promoting market-oriented reforms.