Market review: from February 14 to February 18, 2022, the Shanghai Composite Index rose 1.8%, the Shenzhen Component Index rose 2.6%, the non bank financial index rose 0.2%, of which the insurance index rose 0.9%, the brokerage index fell 0.2%, the diversified financial index rose 0.2%, and the hang Seng financial industry index fell 0.9%. Since the beginning of 2022, the Shanghai Composite Index has fallen by 4.1%, the Shenzhen composite index has fallen by 9.4%, and the non bank financial index has fallen by 3.9%, leading the Shanghai Composite Index by 0.2pct and the Shenzhen Composite Index by 5.5pct. The top five stocks in the sector rose: Guangdong Golden Dragon Development Inc(000712) (7.32%), Nanhua Futures Co.Ltd(603093) (2.30%), Jingwei Textile Machinery Company Limited(000666) (1.02%), Guosheng Financial Holding Inc(002670) (0.33%), Jiangsu Financial Leasing Co.Ltd(600901) (0.19%).
Industry key data tracking: from February 14 to February 18, 2022, the daily average share based trading volume was 913.2 billion yuan. As of February 17, 2022, the balance of margin trading and securities lending was 172.182 billion yuan, basically the same as last week, accounting for 2.43% of the circulating market value of a shares. The trading volume of Liangrong accounts for 7.13% of the trading volume of a shares. As of February 18, 417.1 billion shares had been pledged, accounting for 5.22% of the total share capital, a decrease of 0.02 PCT from last week; The total amount of market pledge is 3802 billion yuan, accounting for 3.98% of the market value of pledge; Equity financing raised 1.7 billion yuan of capital and corporate bonds issued 18.3 billion yuan.
Major industry news: ① the CSRC issued the measures for the supervision and administration of directors, supervisors, senior managers and employees of securities fund operating institutions. Combined with the practice of institutional supervision, the administrative measures comprehensively stipulates the job requirements, practice norms and management responsibilities of the main body of securities fund operating institutions. The main contents include: first, optimize the job management of personnel according to the principle of classification; Second, strengthen professional norms and implement the requirement of “zero tolerance”; Third, consolidate the main responsibility of business institutions and consolidate the foundation of industry development. ② The CBRC issued the off-site supervision regulations for financial leasing companies. Main contents: first, it stipulates the obligations of local financial supervision departments, such as information collection, data review, confirmation and file management; 2、 It stipulates the responsibilities of local financial supervision departments in monitoring and analysis, supervision and inspection, handling of abnormal changes in indicators, reporting of major risk events and writing of annual supervision reports; 3、 It specifies the submission path and time requirements of the report and the application of the analysis and evaluation results; 4、 It stipulates differentiated supervision measures and penalties.
Next week’s key issues: whether the stock based trading volume breaks trillion and the marginal improvement of the asset side of insurance stocks.
Securities: since the beginning of 2022, funds from northward have continuously flowed into leading securities companies such as Citic Securities Company Limited(600030) , Huatai Securities Co.Ltd(601688) . Under the background of growth sector adjustment, the undervalued securities company sector has been favored by funds. This week, the hot market of the securities sector after the festival gradually calmed down, and the overall performance was not as good as the market. However, we believe that the current valuation of the securities sector deviated from the fundamentals. The valuation is at a low level and has allocation value. Under the main line of “steady growth”, the repair market of the undervalued financial sector is still worth waiting. Suggestions: 1) for the leading securities companies with outstanding comprehensive strength and obvious moat advantages in the securities industry, it is recommended to recommend Citic Securities Company Limited(600030) (a + H) and Huatai Securities Co.Ltd(601688) (a + H); 2) Securities companies with differentiated competitiveness in the wealth management segment track recommend China stock market news and pay attention to Guolian Securities Co.Ltd(601456) .
Insurance: this week, several listed insurance companies disclosed the data of original insurance premium income in January 2022. In January, the performance of life insurance premiums was differentiated, and the growth rate was lower than that in the same period of 2021, and the improvement process on the liability side was slow. The macro-control on the investment side is mainly “stable”, the long-term interest rate stabilizes and rebounds, and the repair process of insurance stock valuation still pays attention to the marginal improvement on the asset side. The performance of insurance stocks fell this week, but the non bank sector continued to lead the rise, and the valuation repair may continue. It is recommended to recommend leading insurance companies with a valuation at the bottom of history and a high dividend rate in the next year. The specific target recommendations focus on China’s property insurance with significantly narrowed risk exposure and AIA in the forefront of channel transformation, It has long recommended Ping An Insurance (Group) Company Of China Ltd(601318) (a + H) and China Pacific Insurance (Group) Co.Ltd(601601) (a + H) for multi line layout of health and elderly care industry.
Investment suggestion: Insurance: recommend China property insurance, AIA, Ping An Insurance (Group) Company Of China Ltd(601318) (a + H), China Pacific Insurance (Group) Co.Ltd(601601) (a + H); Securities companies: recommend Citic Securities Company Limited(600030) (a + H), Huatai Securities Co.Ltd(601688) (a + H), China stock market news. It is recommended to pay attention to Guolian Securities Co.Ltd(601456) .
Risk tip: the economic recovery is less than expected; The long-term interest rate is lower than expected
