Zhitong Financial APP learned that Anxin Securities released a research report saying that recently, the China Securities Association issued the "measures for evaluating the quality of Investment Banking Business of Securities companies (for trial implementation)." It shows that the trend of strict supervision in the industry remains unchanged, and the requirements for risk control and business compliance of securities firms continue to rise. At the same time, the central government is firmly determined to help the real economy and promote the reform of the capital market, and it is expected that the full realization of the stock registration system will lead to the expansion of the capital market and create new opportunities for securities firms, investment banks, direct investment and other businesses. It is expected that investment banking business will be a more deterministic growth point for the performance of securities firms next year, and it is optimistic that securities firms with outstanding investment banking business advantages and excellent practice quality will usher in performance improvement.
Recommended concerns are as follows:CITIC (600030.SH), China International Capital Corporation (601995.SH), National Gold Securities (600109.SH).
The main points of Anxin Securities are as follows:
Risk management orientation, strengthen compliance management.
According to the evaluation index system of the measures, it mainly involves project withdrawal, punishment and punishment in terms of practice quality, internal control management and personnel allocation in internal control, implementation of project internal control in business management, electronic management of working papers, etc. On the whole, it more reflects the risk control and compliance supervision of the investment banking business practice process, and the pilot phase does not involve the evaluation of project underwriting and continuous supervision. The bank believes that on the one hand, the introduction of the "measures" urges securities firms' investment banking business to return to their responsibilities, enhance their professional capabilities, standardize business processes, and ensure a good entrance to the capital market; on the other hand, they encourage the improvement of the quality of listed projects and promote the continuous improvement of the industry format and market environment.
The trend of strict supervision remains unchanged, and securities firms with excellent practice quality will benefit more.
Among the points deduction items mentioned in the measures, if the IPO does not examine and approve the registration, withdraw the initial examination, and impose a relatively significant administrative supervision penalty on investment banking business, 100 points will be deducted, reflecting the strengthening of supervision over the quality of investment banking practice. Since the beginning of this year, in addition to the "measures", new investment banking regulations such as "guidelines for due diligence of sponsors" and "guidelines on the working papers of sponsors for Securities issuance and listing" have been issued one after another. From the industry level, the strict trend of preventing financial risks and strengthening financial risks remains unchanged. The bank believes that the full registration is expected to significantly boost the investment banking business of securities firms, while in the context of strict supervision, securities firms with excellent investment banking business quality, process compliance and risk control will benefit more.
Risk Tips:Macro environment changes / capital market fluctuations / policy landing is less than expected.