Original title: the head brokerage makes a big move! Fund consignment sets off a "price war" Source: China Fund Daily

The consignment of funds set off a "price war"

There is a hidden mystery in the Internet play of the head brokerage.

Zhang Li, a reporter from China Fund News.

With the gradual expansion of the fund consignment marketBank, third-party Internet platforms, securities firms and other institutions wrestle with each other, and the competition is becoming increasingly fierce. Especially in the channel marketing stage, institutions reduce fees and discounts frequently, fund consignment "price war" is heating up day by day.

In the view of securities dealers, affected by the competitive pressure of third-party consignment agencies and Internet platforms, traditionalfinancial institutionIs facing challenges, reducing the rate of play can strive for long-tail customers to re-flow, enhance their own channel advantages. It is not difficult to predict that the fund consignment fee reduction strategy will be the same as the previous "commission reduction" situation, becoming a common choice in the industry.

A person in charge of the brokerage wealth management business department pointed out that the fund consignment rate is only a move for brokerage institutions and Internet platform rate standards to level. Under the new model of "buyer patronage", various institutions form a differential rate system through actions such as fee reduction and discounts, and the core goal is to prepare for the layout of fund investment.

The head securities firm issued a big move to reduce fees.

The price war of fund consignment is becoming more and more intense.

The "price war" of fund consignment is heating up rapidly.

A few days agoChina Merchants SecuritiesIt has been announced that it will once again take the initiative to change the sales of funds. The application rate for more than 3000 Class A share funds has been reduced to 90% discount, which is the same as that of the Internet platform. And this is also the succession.China Merchants Bank、Ping an BankRate of consignment to fundsAfter the discount, another head of the brokerage joined the war.

It is reported that this timeInvestmentSecuritiesFor most non-IPO and non-customized Category A shares, a 90% discount subscription fee model is introduced, covering more than 3000 funds; Category C 0 subscription fee funds cover more than 1200 funds, providing differentiated public offering fund rates for investors to choose from. After the adjustment, the rates of public offering funds sold by China Merchants Securities will be on a par with Internet platforms such as Alipay and Tiantian funds.证Coupon companyKeep the rate level low in the.

According to the reporter's understanding, in addition to China Merchants Securities, there are many head brokerages that have already implemented the strategy of discount and fee reduction, some agencies publicize to the outside world, and some only notify internal channels and customers, without large-scale publicity.

A person in charge of the brokerage business of a medium-sized securities firm in Shenzhen said that his securities firm began to reduce and discount the application fees for fund sales a long time ago, with more than 300 products based on Class A.The application rate for gold share has been adjusted to 90% discount, and accordingly, the sales incentive fee for front-line employees has also been reduced.

It is also understood that some funds sold on the shelves of a leading securities firm in Shanghai in its official client are sold at a 90% discount. "in fact, leading securities firms have already begun to implement the policy of adjusting the application rate of Class C funds to zero, and the strength of the discount is very large, which also brings a lot of pressure to peer channel marketing." There are brokerage industry insiders revealed.

实Internationally, compared with banking institutions, the reduction of fund sales rates in the brokerage industry has not yet started a prairie fire. "at present, we have not joined the ranks of the rate reduction, but in fact, for small brokerages like us, many products can only be sold only if they have an advantage in charging," a staff member of a securities firm in Shanghai told reporters.

The head of the wealth management department of a leading brokerage pointed out that it may be necessary for many brokerages to choose a discount.SynthesisWeigh the pros and cons carefullyIn order to make the corresponding discount strategy, as the amount of fund consignment held by the brokerage itself is not high, and the overall market scale is growing, the fund consignment income has becomeRetail salesBusiness important income contribution points, if easily discounted, is tantamount to self-revolution.

"however, this is also the same as the general decline in commissions, for most brokerages, reducing the rates of consignment funds is no longer a need, but a problem that institutions must face. DifferenceThe difference is that the organization needs to choose an appropriate time to follow the fee reduction, and once the organization is ready, it will take action. " The head of the wealth management department of the above-mentioned brokerage said.

The Internet has forced the ecological turn of the industry.

Or lay the groundwork for the distribution of funds.

In the view of a number of brokerages, the fee reduction discount is not an independent choice of the industry, but more from the result of the Internet platform. A person related to the asset management of a small and medium-sized securities firm in East China said that the Internet has been on the Internet forPreviously, we have chosen the strategy of reducing fees at a low price, and the rate of fund consignment has gradually declined, and many customers have quickly flowed to Internet platforms such as Tiantian funds and ants. The sales strategy of zero application for class C share funds has attracted a large number of customer flows.

"the Internet platform has made a demonstration, the head bank has accelerated the layout, and the front-end free Class C share fund is becoming an industry trend, and slowly customers will move more towards these headphones that have already implemented the price reduction strategy.Structure, the competitive advantage of the securities firm itself will be slowly weakened. " The above-mentioned brokerage asset management related person said.

The head of the wealth management department of a head brokerage believes that whether it is the head bank or the leading securities firm, the reason for choosing the fee reduction strategy in the near future is similar, that is, the Internet platform has forced the ecology of the industry to reverse. In his view, traditional institutions need to change the traditional fund sales model through self-revolution, activate fund stock clients, and start fromAnd will originally flow to the tripartite platform, the rate-sensitive long-tail customers to win back and reinvigorate.

The fund holding data published by the association twice in a row have had a great impact on traditional financial institutions. The market scale of the tripartite platform is growing rapidly, and it has obviously surpassed the head bank in some indicators, and the brokerage has become gradually on the edge. This trend has emerged, and traditional financial institutions must take new actions to reverse the situation. "

上The head of the wealth management department of the brokerage pointed out that many institutions are already evaluating whether to make a discount strategy; in the face of the trend that the market has formed, it is becoming more and more difficult to adhere to the original pricing standards. "discounting fund application rates is becoming a common sales model, and traditional financial institutions may not last long and will eventually choose to pull rates and Internet platforms to the same level."

It is worth noting that traditional financial institutionsRecently, we have played a lot of fee reduction cards, in addition to smoking.DrainageIn addition to volume and enhance competitive advantage, laying the groundwork for the transformation of wealth management model is also one of the important goals for it to adopt discount strategy.

The above-mentioned person related to the management of a small and medium-sized securities firm in East China pointed out that if the fee reduction can allow more customers to choose institutions, then more customers will be bound to the investment service staff of the institution, thus driving the industry to the collective thinking of buyers, the pattern of the whole industry.It may be recombed.

Some senior asset management personages have analyzed and pointed out that at present, many institutions are implementing fee reduction and discount strategies, in fact, they are preparing for intelligent investment services. This is because the fund portfolio of customers in smart investment accounts needs to be adjusted more frequently. If you have to pay high fees for purchase and redemption, the investment performance of the account will inevitably be affected, which is extremely disadvantageous to the promotion of intelligent investment services.

"both the Internet platform and the head organization have passed the health care system.The fee is discounted, attracting many users, especially young investors, to participate in the investment of the fund. Customers accumulated through fee reduction and discount will, to some extent, be more willing to accept online investment services, and the future revenue contribution generated through investment services is not only expected to make up for the revenue loss caused by fee reduction. at the same time, it can also bring more income with the help of the fast-growing fund investment market. FromLong-termFrom a point of view, the discount fee and the layout of fund investment are closely related to each other.The action. " The above-mentioned brokerage wealth management department said.

Yao Jun, general manager of the wealth management department of China Merchants Securities, also said that from the perspective of internal research, the rate is not the most critical issue in fund sales, and what the people are most concerned about is the appreciation of wealth and the experience of buying. the growth of the number of customers and customer assets is the best recognition of the platform, the adjustment of fund purchase rates and the realization of differentiated public offering fund rate system is the reconstruction of wealth management by China Merchants Securities.An important part of ecology.

The consignment of funds shows an obvious differentiation pattern.

Excellent service experience is the key for securities firms to break the situation.

Zhang Zilin, reporter of China Fund News

A silent fee reduction reform is taking place in the fund consignment market. In this change, banks and the Internet are the first sponsors, and securities firms, as followers, are increasingly joining the "war situation". However, on the whole, the 28-hour differentiation effect of the fund consignment market is already very obvious, such as China Merchants Bank, ants and so on.Institutions occupy a large market share, and securities firms do not have the right to dominate. However, some institutions have pointed out that fee reduction can win securities firms a certain advantage in the consignment market competition, but it is difficult to form the core competitiveness in the fund consignment market. In this fee reduction reform, if securities firms want to occupy more market share, they should also focus on improving customer experience, making use of their own advantages to enlarge the customer base, expand the management scale, and use matching services or brands.Potential to cooperate with the new price system to create core competitiveness.

The consignment of funds shows an obvious differentiation pattern.

The securities firm is not the dominant "player".

In the fund consignment market, the head effect is very obvious. On the evening of July 30, the China Fund Industry Association announced a list of the "top 100 public offering funds retained by fund consignment agencies" in the second quarter. Judging from the data, banks are still the main sales force of stock + mixed public funds. In the top 10, only antsFund, every day fund two for the Internet third-party consignment channel, the remaining 8 are banks. However, in terms of growth, third-party consignment channels are significantly faster than traditional banks. For example, the growth rate of the holding scale of ant fund stock + mixed public offering fund is significantly faster than that of China Merchants Bank, and the gap between the two is gradually narrowing.

As far as brokerage channels are concerned, according to the scale of ownership, the top five areCitic card券、Huatai Securities、Guangfa Securities、Citic Construction InvestmentSecurities和Oriental Securities. But on the whole, the volume of securities firms is obviously weaker than that of banks and third-party channels.

Insiders of a medium-sized securities firm in Beijing said that the current fund consignment market competition is very fierce, not only with the participation of traditional brokerages, banks and other institutions, the Internet platform, third-party institutions are also very competitive. On the whole, the 28-hour differentiation effect of the market is very obvious. Head institutions such as China Merchants Bank and ants occupy a large market share, and large securities firms are integrated.The business competitiveness of the body is also very strong, but not many of the small and medium-sized securities firms rank high in the field of fund consignment.

On the other hand, in recent years, the Internet consignment represented by Ant Fund and Tiantian Fund has gradually eroded the share of traditional banks. In order to keep the market, banks are also actively seeking change. Reducing the rate is a move to turn passivity into initiative. However, for securities firms that are not in a strong position in the fund consignment market,If you don't follow, it's all a problem.

"because as far as securities firms are concerned, in the fund consignment market, they are not the main players and do not have the leading right," said the head of the wealth management department of a head brokerage. Now many head banks and third-party Internet platforms are implementing price reduction strategies, so that the customers of the corresponding funds will also be diverted, whether it is to keep the original core customers or to expand new incremental markets.One thing to consider is whether we can compete with others on the basis of the original price in the face of these external competition.

In spite of this, more and more brokerages have joined the ranks of fee reduction. On the afternoon of July 30th, China Merchants Securities announced on its official website that it plans to make another proactive change in fund sales, reducing the application rate for more than 3000 Class A share funds to 90% discount, and achieving zero application for more than 1200 Class C share funds.Purchase fee. And before that,China International Capital Corporation, Huatai Securities and other securities firms have also followed up.

Reducing fees is not the goal.

Improving service experience is the key factor for securities firms to strive for market share.

However, for securities firms, fee reduction is definitely not the end, but more means to seize market share. After all, if securities firms want to win a certain advantage in the consignment market competition, they must temper their core competitiveness.

"continued fee reduction depends on the courage of the company's leaders", a securities firm in ShanghaiThe staff said that fee reduction is not the goal, and in the process of forming a trend of fee reduction, securities firms can only do their best to serve, enlarge their customer base and expand their management scale as soon as possible, and they will be more inclined to how to win customers and seize market share.

It said that when turning to buyers, they really do not pay so much attention to the benefits, institutions have a stronger say, and customers enhance their sense of achievement in better service, which is a virtuous way to follow.Ring. For example, wealth invests to customers, asset management agencies export specialties and products, and each organization does a good job within its own professional scope.

In its view, brokerage wealth institutions must also build their own advantages. At present, the existing customer size of securities firms, close to the capital market, private equity cooperation advantages are still very obvious, and even some securities firms are far more professional than banks in terms of investment. And if small and medium-sized securities firms do not have any characteristics and advantagesCan only keep this share, or the advantages of the group, or the old life for a period of time.

The head of the wealth management department of the above-mentioned brokerage also said that whether to adopt price reduction strategy and improve service to win customers is a matter of attack or defense for brokerage sales. Take China Merchants Bank as an example, it is against defense as an attack, making a decision before a large number of customers are lost.

"many brokerages have recently been adjusting their rates, which is tantamount to a self-revolution.What many brokerages have to consider is whether I should wait for the whole industry to follow up when the price is reduced, or take the lead in adjusting myself. And even if the price standard is the same as other head institutions or platforms, it does not mean that customers will return to their own platform, the key is professional services and other factors to attract customers. Organizations need to think clearly about where the core advantage of attracting customers lies, which is more critical. " In its view, the decision to reduce the handling fee is for the enterpriseThe industry is the simplest, but whether there are matching services or brands and other advantages to match this new price system, it will be accumulated over a long period of time.

An insider of a medium-sized public fund company in Beijing said that if securities firms want to win more market share in the fund consignment market, it is not enough to reduce fees, and the fee reduction can win a certain advantage for securities firms in the consignment market competition, but it is difficult to form the core competitiveness in the fund consignment market. ExceptIn addition to reducing fees, securities firms should also focus on improving customer experience. From the current customer experience of various channels, the Internet platform and the tripartite platform are better than the traditional securities firms as a whole, and the APP interaction design of these institutions is more user-friendly than the traditional securities firms.

The above-mentioned insider of a medium-sized securities firm in Beijing said that securities firms should change their traditional thinking, strengthen their insight into the needs of C-end customers, make efforts in online channels, and provide more attachments to customers at the same time.Add services and do a good job in investor education, so as to strive for more market share.

At the same time, in the view of institutions, regardless of price cuts or measures such as improving service experience, for the fund consignment industry, once the competition begins, it cannot easily end.

"the consignment competition will continue, and the volume in the industry is an inevitable result, and the development of platforms such as the Internet will aggravate this process," said an insider from a medium-sized securities firm in Beijing. Internet platforms often useThe thinking of "subsidy grabs the flow" grabs the market and has a stronger ability to withstand short-term losses on projects, while traditional financial institutions often find it difficult to allow business parts to compete for more market share in the form of strategic losses. As a result, the fee reduction of the Internet platform is often more violent, which will force the entire industry to carry out reform.

In the view of the head of the wealth management department of the above-mentioned brokerage, the reduction in fees is actually the same as the decline in commission, which is the same as the pressure from the Internet.Force has given birth to a new ecological formation, for users, the reduction of fees and discounts is a good thing in the final analysis, the cost has been reduced, such a market back to force institutions to make new choices, to some extent, is also a kind of self-revolution.

A person related to the asset management of a small and medium-sized securities firm in eastern China said that if everyone is thinking about the buyer and making money for the appreciation of the customer's assets, then the era of earning intermediate transaction fees is slowly changing over a long period of time.Look, this change is positive and conducive to the survival of the fittest in the industry.

The industry transformation is accelerated under the tide of fee reduction.

The focus of the competition has been shifted from the front-line investment.

Li Di, a reporter from China Fund News.

Under the background of the general fee reduction in fund consignment, the business charging model of securities firms needs to be changed urgently, and the front-line investment is also facing new challenges. Looking to the future, if the price war becomes more and more fierce, the attractiveness of fee reduction to customers will diminish marginally, and the service capacity of front-line investment will become the focus of competition.With the enhancement of investment service capacity and the reform of the charging mode of securities firms, the process of the transformation of wealth management in the securities industry will also be steadily advanced.

The reduction of fees has forced the transformation of service capacity to become the focus of competition.

Fund consignment rates decline, front-line investment will be directly affected. With the start of the price war of fund consignment fees, the argument that the value of investment service has been reduced by fee reduction operation is also rampant. However, some people in the industry think that the fee reduction will make the front-line investment right.The reorientation of the content and nature of one's work will not derogate the value of investment services, but will also accelerate the pace of front-line investment transformation.

An insider from a medium-sized brokerage firm in Beijing said, "the rate of the consignment fund cannot be simply equated with the value of the first-line investment." In the great era of securities firms' transformation of wealth management, the value of front-line investment has been newly reflected. In the future, the price of front-line investment will be more reflected in providing advice to customers.Services, asset allocation for clients and other aspects, and reducing the rate of consignment funds is expected to force the transformation of the industry, accelerating the transformation from handling fees to consulting fees. "

In addition, under the background of the overall reduction of fund consignment fees, the competition among front-line practitioners of financial institutions in the field of fund consignment is becoming increasingly fierce. In the future, if securities firms want to establish their core competitiveness in the highly competitive fund consignment market, they should not only rely on fee reduction, but also onRely on the professional ability and service ability of front-line investment.

The head of the wealth management department of a brokerage said, "originally the wealth management business is competition within the industry, but in terms of fund consignment, the tripartite platform almost crushes the traditional financial institutions, and the share of securities firms is not large." The emergence of the tripartite platform will allow investment to have a benchmark, and eventually the competitive pressure on the brokerage itself will indeed increase. As a matter of fact, the general decline of the Internet will also force securities firms to do so.Line practitioners improve their professional level. This is because to retain the major that the customer ultimately needs to invest in or rely on service to create your own value. "

The person in charge also mentioned, "at present, some tripartite platforms have also taken the fund investment qualifications, but also launched some investment products, can also increase their own customer service capacity." Well, compared with these competitors, if some front-line customers of securities firms can provide better service to their customers,Inspection or asset allocation, there will be a comparative advantage. "

The charging model is expected to change and accelerate the process of industry innovation.

The tide of fee reduction will not only promote the positive transformation of front-line investment, but also have a more far-reaching impact on the brokerage industry. The continuation of the price war of fund consignment is expected to break the commission charging model of traditional financial institutions and promote the rise of service charging model, which precisely conforms to the general trend of the transformation of wealth management of securities firms.

Capital management of a small and medium-sized securities firm in East ChinaRelevant people said, "if everyone is turning to the buyer's thinking and making money for the appreciation of customers' assets, then the era of earning intermediate transaction fees is slowly changing, and in the long run, this change is positive. It is conducive to the survival of the fittest in the industry."

An insider of a medium-sized securities firm in Beijing said, "with reference to the experience of mature countries in Europe and the United States, with the continuous evolution of the price war of handling fees, the willingness of fund holders to pay is gradually increasing."Long, the service charging model must be the major trend in the future. Price war will certainly force the transformation of the industry, once profits are directly damaged, financial institutions will want to change and look for new profit growth points. "

At present, many traditional financial institutions have accelerated the innovation process driven by the fee reduction measures of the Internet platform, and many securities firms are also aware of the changes in customer base structure and purchasing habits. The head of the wealth management department of a leading securities firm analyzed and said, "at the current point of time,"The buying habits of financial managers have changed significantly, and almost all young investors buy fund products on the Internet platform, a trend that will lead to a loss of customers for institutions; in addition, after long-term argumentation and internal research, traditional financial institutions themselves believe that it is necessary to self-revolution. In fact, the operation of a 90% discount on the fund purchase rate appeared a long time ago, but the traditional institutions are not ready to respond to this fee reduction trend until now.Make a change. "

The person in charge also mentioned, "the market of China's fund industry is constantly expanding, and the securities industry will pay more attention to the layout of the fund market." In addition to consignment, securities firms will also increase the layout of fund research and investment business, which is a comprehensive and systematic new business, and the prospect of transformation in the future is worth looking forward to. "

The account of selling funds at a discount

How do you calculate it?

Zhang Li, a reporter from China Fund News.

The consignment of funds is under way.A scuffle over price reduction.

This summer, under the example of China Merchants Bank, Ping an Bank, China International Capital Corporation and China Construction Bank CorporationLeading institutions such as China Merchants Securities and China Merchants Securities have announced that they will reduce the purchase fees for most Class A share fund products to 90% discount, while increasing the layout of front-end free Class C share funds. The coming of the tide of price reduction has made many fund investors applaud.

However, these major moves from the field of channel sales are actually not traditional financial institutions.Innovation. As early as a few years ago, the Internet platform continued to capture territory in the fund consignment market with the help of low class C share fund application rates, and quickly eroded the market share of banks and securities firms. And this trend is more obvious in the recent data released by trade associations. Under the pressure of the Internet industry, traditional financial institutions have to make uniform discounts.

So does the discount mean that the cost is really lower? This isIt depends on the circumstances.

At present, the head financial institutions that have announced a fee reduction discount have adopted a differentiated charging strategy for the purchase of funds. Generally speaking, there is a 90% discount for Class A share funds, and there is no charge for the front end of Class C share funds. Of course, there are also more radical institutions, two types of fund purchase shares are free of charge, but this situation is not common.

In terms of rates, the subscription fee for the share of category A funds is generally between 1.2% and 1.5% at present.The discount application rate is only 0.12% to 0.15%, which is actually the same as that of the Internet third-party sales platform. At the same time, in terms of sales strategy, these financial institutions also choose to promote the share of Class C funds in an all-round way.

However, investors who are familiar with the difference between Class An and Class C share funds should be aware that the charging rules of the two types of share funds are different. There will be corresponding fees when Class A shares are subscribed or subscribed, and Class C shares will not be charged at the time of purchase.Yes, a sales service fee will be charged during the subsequent holding period, with a rate of about 0.5%, 0.8%.

In other words, Category C funds have an extra sales service charge than Category A, which is charged annually and on a daily basis. This also means that the longer class C funds are held, the more fees the platform charges clients. This kind of charging rule actually brings out the investment choices of different investment groups. If you like short-term investment, buy C.Class is more cost-effective; if you prefer long-term, then Class An is the wise choice.

It is also pointed out that although there is no absolute difference between Class A funds and Class C funds, long-term investment is the key to winning stable returns. In the case of a general 90% discount on Class An in the future, we should not just look at the first paragraph of the purchase fee without charging. You also need to combine your own investment holding period to get the base cost.

Therefore, no matter whether it is the Internet platform or the financial institutions, the fees will be greatly reduced.Licensing does not mean making less money. In addition to the sales service fees hidden in Class C share funds, perhaps in the future these institutions can also thicken their income by frequently adjusting their fund portfolios or getting a large number of service commissions for fund investment.

For investors, PingTaiwan oneWei recommends class C funds, which may not be providing help, on the contrary, they may also be driving up the hidden costs of investors or inducing them to hold them in the short term, which is similar to that of the industry.The idea of calling for a long time is actually inconsistent. Institutions that call on investors to grow up should also make it clear that they should actively guide customers to bind their buying decisions to their holding period. only in this way can we really build a healthy ecology of the wealth management market.