1. The survival scale of non breakeven financial products of urban commercial banks continued to rise
According to the provincial ranking report on the financial management ability of regional banks (fourth quarter of 2021) (hereinafter referred to as the report) recently released by Puyi standard, in the fourth quarter of 2021, the transformation of financial management business of regional banks in all provinces made steady progress, and the survival scale of non breakeven financial products of urban commercial banks continued to rise. In terms of net worth transformation progress, in the fourth quarter of 2021, the net worth transformation progress of urban commercial banks was 98.90%, an increase of 4.67 percentage points over the previous quarter.
According to the list of the top 100 regional banks released by the report, regional banks in Zhejiang Province, Shandong Province, Jiangsu Province and Guangdong Province have certain advantages in financial management ability, and regional banks in the four provinces account for 39% of the total list. Among them, Zhejiang Province ranks first, and the number of top 100 banks is 12; Shandong province takes the second place, with 11 top 100 banks; Jiangsu Province ranks third, with 9 top 100 banks. From the perspective of scale distribution, the market concentration is obvious. The financial management scale of individual non breakeven banks in the four municipalities directly under the central government and the three provinces of Zhejiang, Jiangsu and Guangdong accounts for nearly 60% of that of regional banks.
In terms of the types of issuers, the number of non breakeven financial products of urban commercial banks in the fourth quarter of 2021 was 20676, a decrease of 1642 compared with the third quarter of 2021, a month on month decrease of 7.36%; The survival scale of non breakeven financial management is estimated to be 5.26 trillion yuan, an increase of 3.04% month on month. The number of non breakeven financial institutions (including rural commercial bank, rural credit cooperatives and rural cooperative bank) in existence was 12183, 211 less than that in the third quarter of 2021, down 1.70% month on month; The survival scale of non breakeven financial management is estimated to be 1.36 trillion yuan, down 3.38% month on month. (economic information daily)
2. In the first year of the new regulations on asset management, the number of products issued by financial subsidiaries decreased significantly
After a three-year transition period, the asset management industry entered the first year of the new regulations in 2022, and the financial management subsidiary will become the leading role in the bank financial management market. According to the latest disclosed data, in the first trading month after the implementation of the new regulations, the number of products issued by financial subsidiaries decreased significantly, down nearly 50% month on month compared with December 2021.
According to the latest monitoring data released by Puyi standard, a total of 3137 bank financial products were issued in January 2022, and the circulation of products decreased by 1280, down nearly 30%. Among them, 2942 net worth products were newly issued, accounting for 93.78%. In the same month, the bank’s financial management subsidiary issued only 878 new financial products, with a significant decrease of 781 models month on month. There were 4497 financial products sold in the bank in May, which was lower than that in the bank in May.
In this regard, Yu Yaqin, a researcher of Puyi standard, said in an interview with the reporter of Securities Daily that the reason may be affected by seasonal endogenous reasons of banks. First, in order to offset the performance scale at the end of the year, banks will significantly issue products at the end of each year; In addition, affected by the “good start” activity in the banking market, the bank completed the issuance reserve of products at the end of last year and began to focus on product marketing at the beginning of the year.
It is worth noting that although the transition period of the new regulations on asset management has officially ended, some banking institutions still issue non net worth products to connect with the stock assets. However, the pressure drop clearing work is not over, and it is a foregone conclusion that such products will withdraw from the historical stage. (Securities Daily)
3. Affected by the market adjustment, the net value of bank financial management fell and the rate war began
Affected by the continuous adjustment of the A-share market since the beginning of the year and other factors, the bank financial management market entering the era of net worth is being tested. Since January this year, the performance of many financial products has fallen below the net value. The data show that in terms of performance benchmark, except for mixed products, the average performance benchmark of fixed income and equity products fell month on month. In terms of product types, fixed income products are still the main force, accounting for 92.48%. The average performance benchmark of closed net worth products is 4.16%, down 0.03 percentage points month on month. Mixed products took the second place, with 213 newly issued models. The average performance benchmark of closed net worth products was 5.28%, up 0.29 percentage points month on month; There are few equity products, with only 21 newly issued. The average performance benchmark of its closed net worth products is 5.25%, down 0.27 percentage points month on month.
The slow pace of issuance and poor income performance indirectly promoted the intensive reduction of the rate of bank financial products and “issued benefits” for investors. Since January, many financial management companies have reduced the management fee rate and sales rate of financial products. Since January, the official website of China Merchants Bank Co.Ltd(600036) has disclosed the rate concessions or phased preferential announcements of products of several consignment financial management companies, including the products issued by China Merchants Bank financial management, xingyin financial management and bocom financial management, involving the reduction of management fees and sales rates. On January 5, CMB financial adjusted the fixed income financial management plan of Zhaorui yuetianli (balance) No. 2, and the sales rate was reduced from 0.15% to 0.05%; Qingkui series will open No. 011 fixed income financial management plan for one and a half years, and the sales rate will also be reduced from 0.3% to 0.25%. On February 10, Industrial Bank Co.Ltd(601166) Tiantian wanlibao Wenli No. 6 N net worth financial products sold on commission by China Merchants Bank Co.Ltd(600036) also implemented a phased reduction in the management fee, in which the sales management fee of class a products decreased from 0.40% to 0.15%, and the investment management fee decreased from 0.15% to 0.1%. In addition, Huaxia financial management, Everbright financial management, Bank of China financial management and other financial management companies have issued rate adjustment announcements. (Shanghai Securities News)
4. BlackRock Jianxin financial management: join the pilot of pension financial products, and the pilot cities are Guangzhou and Chengdu
On Friday, February 11, the China Banking and Insurance Regulatory Commission issued the notice on the pilot of pension financial products carried out by BlackRock Jianxin financial Co., Ltd., which made it clear that BlackRock Jianxin financial Co., Ltd. participated in the pilot of pension financial products, and the pilot cities were Guangzhou and Chengdu; The pilot period of BlackRock CCB pension financial products is one year, and the total scale of raised funds is limited to less than 10 billion yuan in advance. It can be adjusted after evaluation during the implementation process.
BlackRock Jianxin Financial Management Co., Ltd. is a joint venture financial management company jointly initiated and established by BlackRock financial management company, Jianxin Financial Management Co., Ltd. and fuden management private Co., Ltd. It was officially approved to open in May last year. At present, two financial products have been issued, phase 1 of exclusive equity of private banks for new opportunities of Beiying A shares and phase 2 of equity financial products for new opportunities of Beiying A shares. As one of the largest asset management groups in the world, BlackRock group is also the largest professional pension management organization in the world. It has long-term pension management practice and can provide international good experience.
Qi Jiangong, chairman of BlackRock Jianxin financial management, said, “We are glad to participate in the pilot of pension financial products of the China Banking and Insurance Regulatory Commission and contribute to the construction of the country’s third pillar pension system. BlackRock Jianxin financial management will make full use of BlackRock’s expertise in pension investment and China Construction Bank Corporation(601939) With the resource advantages in China’s pension market, we will provide more rich and diverse innovative financial solutions for China’s increasing number of retirees. “
BlackRock is one of the largest asset management groups in the world. According to the information on the company’s official website, as of September 30, 2021, BlackRock’s total assets under global management were about US $9.5 trillion, covering stocks, fixed income investment, cash management, alternative investment and consulting strategies. (China Fund News)
5. Puyin financial management: the daily sales volume was 12 billion, and the bank financial management detonated a “good start”
On February 10, 2022, Hongrui, the diversified series of financial management launched by Bank of PU, set sail. The sales volume exceeded 2 billion yuan in five minutes, 5 billion yuan in one hour and 12 billion yuan in the whole day. The issuance was successfully completed on the same day.
In the view of insiders, there are many reasons for the hot sale of bank financial products, including channel support, good past product performance, performance weighted average comparison benchmark and other factors. At the same time, it is also a silhouette of the acceleration of the net worth transformation of bank financial products. (China Fund News)
Risk tips
The decline of economic growth exceeded expectations, resulting in the deterioration of asset quality; The acceleration of bank financial management transformation may impact the capital adequacy ratio and profit; Financial regulatory policies exceeded expectations.
