The securities sector has always been known as the “flag bearer of the bull market”, but in the market turmoil since the beginning of the year, a large number of funds are pouring into securities ETFs through ETFs.
Data show that as of the Spring Festival, Cathay Pacific Securities ETF and Huabao securities ETF have become the industry ETF with the largest growth in scale this year. On the whole, the share of 17 brokerage ETFs in the whole market has increased by 7.719 billion since this year. If calculated according to the average transaction price of the range, the total “gold absorption” exceeds 8 billion yuan.
At the same time, according to the data of the fund’s fourth quarter report in 2021, securities companies are also the only industry in the financial sector to obtain the additional allocation of public funds. Many star public and private fund managers have recently increased their positions in securities companies with “real gold and silver”.
On February 7, the first trading day of the bull market, driven by the “good start” of the market, the securities sector picked up, Orient Securities Company Limited(600958) rose 3.42%, and Citic Securities Company Limited(600030) and China stock market news rose more than 2.5%.
more than 8 billion funds poured into securities ETFs against the market
Since the new year, the brokerage sector has retreated greatly with the overall adjustment of the market. Taking the China Securities all index securities company index as an example, as of the Spring Festival, the index has fallen by 8.38% during the year, of which several constituent stocks such as Orient Securities Company Limited(600958) , China stock market news, Gf Securities Co.Ltd(000776) have fallen by more than 15%.
At the same time, a number of securities trader ETFs have ushered in more and more funds. Among them, Cathay Pacific’s securities ETF has become the industry ETF with the largest growth since this year. As of the Spring Festival, the share of the fund has increased by 3.622 billion during the year. If calculated according to the average transaction price of the range, the ETF has strongly attracted 4.082 billion yuan in January this year.
Following closely, the scale of Huabao’s securities firm ETF has also increased significantly this year, with a share increase of 3.622 billion, which is converted into a fund scale increase of about 3.129 billion yuan.
On the whole, there are 17 ETFs in the whole market, of which 11 have obtained net subscription funds since this year, with a total share increase of 7.719 billion. If calculated according to the average transaction price of the range, it is about 8.392 billion yuan.
public private placement of “real gold and silver” overweight brokerage shares
it is worth noting that according to the data of the fourth quarter report of the fund in 2021, securities companies are also the only industry in the financial sector to obtain the additional allocation of public funds; At the same time, a number of Star public and private fund managers have increased their positions in brokerage stocks in “real gold and silver”.
Guosheng securities research report said that in the financial sector in the fourth quarter, the allocation of funds to banks and insurance was reduced, and securities companies were increased. This is because the performance of securities companies in the fourth quarter is expected to exceed expectations, the performance express continues to catalyze, and the performance of the whole year has a high growth. In addition, market liquidity and regulatory policies are good for the performance of securities companies. At present, the valuation of the sector is cost-effective. On the whole, the valuation level corresponds to only 1.69 times Pb. It is recommended that investors pay attention to allocation opportunities.
For example, Xingquan Trend Investment Fund, jointly managed by Xie Zhiyu, Dong Li and Tong LAN, significantly increased its position in China stock market news in the fourth quarter of last year, making it a new member of the list of the top ten heavy positions. As of the end of last year, the market value of its position was about 670 million yuan.
In addition, according to the information disclosed by the Hong Kong stock exchange, the 10 billion private equity ningquan assets of the same “Xingquan system” increased their holdings of 3 million shares of Zhongzhou securities ( Central China Securities Co.Ltd(601375) H shares) on January 4, at a cost of about HK $4.256 million. After the increase, ningquan assets accumulated more than 146 million Central China Securities Co.Ltd(601375) H shares, accounting for 3.15% of the latter’s total share capital, with a market value of about HK $220 million.
As of the closing on February 4, Hong Kong stock Zhongzhou securities closed at HK $1.5 per share, up 7.14% since 2022; As of the closing on January 28, A-Shares Central China Securities Co.Ltd(601375) closed at 5.04 yuan / share, up 2.65% during the year.
At the same time, GF multi factor, an excellent performance fund last year, raised the overall allocation weight of brokerage stocks in the fourth quarter. Several brokerage stocks such as Huatai Securities Co.Ltd(601688) , Citic Securities Company Limited(600030) , Guotai Junan Securities Co.Ltd(601211) gained significant positions, of which Huatai Securities Co.Ltd(601688) replaced Hundsun Technologies Inc(600570) as the largest heavy position stock, with a market value of more than 1.6 billion yuan by the end of last year; In addition, GF multifactor also heavily positions Hithink Royalflush Information Network Co.Ltd(300033) and Hundsun Technologies Inc(600570) two financial software stocks related to securities companies, with a market value of 1.005 billion yuan and 799 million yuan respectively.
On the whole, Guotai Junan Securities Co.Ltd(601211) research report shows that the fund’s over allocation of stocks to securities companies is concentrated in the wealth management industry chain, including China stock market news, Orient Securities Company Limited(600958) , Gf Securities Co.Ltd(000776) , China Industrial Securities Co.Ltd(601377) , Huatai Securities Co.Ltd(601688) , Citic Securities Company Limited(600030) , etc. Citic Securities Company Limited(600030) has been increased to 0.63%, with a month on month increase of 0.065 percentage points. The high growth of institutional business brought by wealth management business has been gradually recognized by the market.
performance prediction of many bond businesses
Recently, the performance forecast of securities companies in 2021 has been released one after another, and many securities companies have made brilliant achievements. According to the announcement of “the first brother of securities companies” Citic Securities Company Limited(600030) , it is expected to realize a net profit of 22.979 billion yuan in 2021, a year-on-year increase of 54.2%; As for Central China Securities Co.Ltd(601375) which was increased by ningquan assets, it is estimated that the net profit attributable to the parent company in 2021 will increase by 376 million yuan to 456 million yuan, a year-on-year increase of 360.20% ~ 436.90%.
In the 2021 fourth quarter report, Tang Xiaobin and Yang Dong, fund managers of GF multi factors, said: “we are still optimistic about the future development of the large asset management industry, especially the leading companies. Whether it is investment banking, securities lending or derivatives business, there is an obvious trend of the head of securities companies.”
China Post Securities Research Report believes that the growth support logic of the securities industry at this stage lies in:
(1) the increase in performance brought about by the transformation of brokerage business to wealth management mode is mainly due to the constant trend of residents’ deposits from banks that bring low returns and liquidity to the stock market that can bring high returns and high liquidity. Superimposed on the pilot expansion of securities companies’ fund investment advisers and the gradual expansion of fund holdings, the outlook of the securities industry continues to rise.
(2) the performance increment contributed by the new market places bred by innovative business, such as the expansion of securities lending scale, the strong demand for derivatives business inside and outside the market, the exploration of securities settlement fund model and the popularization of “investment bank + investment” two wheel driven business model, will raise the performance level of securities companies. From the perspective of the whole securities industry, the above growth support logic will provide a new revenue growth point for the whole industry; For large-scale securities companies, it will further develop in the strategic direction of building aircraft carrier level securities companies in the country; For small and medium-sized securities companies, their exhibition direction and ability will benefit from the new blue ocean market and earn differentiated income.
The annual report forecast of securities companies was released: the performance growth of three “dark horses” with revenue exceeding 10 billion was eye-catching
