Core view
China Securities Association shall revise the bond underwriting specification and report the underwriting fee within 5 days. Recently, the Securities Industry Association organized the revision of the code for corporate bond underwriting business. The main points are as follows: 1) the underwriting institution shall not contract the project by improper means such as low quotation or commitment to obtain approval and the time of obtaining approval. After the issuance of corporate bonds, the underwriting institution shall report the underwriting fees of the current bonds to the association through the channels designated by the association within 5 working days, and the underwriting institution acting as the trustee shall also report the entrusted management fees. 2) To restrict structured bond issuance, the underwriting institution shall urge the issuer not to directly or indirectly subscribe for the corporate bonds issued by it in the issuance process, and disclose the subscription, transaction or transfer of corporate bonds issued by related parties. This revision will further block the price war and improve the self-discipline management efficiency of corporate bonds.
Shenzhen Stock Exchange regulates the stock pledge business and emphasizes prudent incremental development. Shenzhen Stock Exchange issued the risk management of stock pledge repo transaction, which aims to standardize and guide securities companies to comply with regulations and prudently carry out stock pledge repo transaction business: 1) securities companies should prudently carry out incremental business of stock pledge repo, and the scale of incremental business must match the risk management ability and continuous compliance status of stock business. For the annual new scale, the guidelines give a clear calculation method, mainly based on the default rate and the number of years of continuous compliance development. 2) In terms of the management of the integrating party and the financing party, the management of the underlying securities and the management of the use of the integrated funds, securities companies should focus on the repayment ability and operation of the integrating party, and form evaluation opinions according to its debt repayment, external guarantee, performance commitment, violations of laws and regulations and judicial proceedings. 3) In terms of business continuity management and internal control, securities companies shall establish and improve the tracking and monitoring mechanism of the participants during the period to be repurchased, and establish the risk assessment and stress test mechanism of stock pledge repurchase. The introduction of the guidelines indicates that the stock pledge business will bid farewell to the period of radical expansion of scale.
Solicit opinions on the management regulations of insurance asset management companies to guide international and diversified development. By the end of 3q21, 31 insurance asset management companies had opened, with total assets under management of about 18.72 trillion yuan, The draft is mainly changed into one new (special chapter on Corporate Governance), two optimizations (design requirements for optimizing ownership structure, business principles and relevant requirements), and two supplements (risk management, regulatory means and illegal constraints). We believe that the cancellation of the upper limit of foreign shareholding in the context of opening to the outside world is conducive to the further internationalization and marketization of the management mechanism. At the same time, the entrusted insurance funds are extended to all kinds of funds to promote diversified development; the strengthening of risk control also guides the further standardized operation of insurance funds.
Investment proposal and investment object
In terms of securities companies, they continue to adhere to the two main lines of derivatives and large public offering, select high-quality targets with fundamentals, and maintain the optimistic rating of the industry. Recommend Citic Securities Company Limited(600030) (600030, overweight), Gf Securities Co.Ltd(000776) (000776, overweight), and pay attention to China International Capital Corporation Limited(601995) (03908, not rated).
In terms of diversified finance, Hong Kong stocks recommend Far East Hongxin (03360, buy), a leader in financial leasing, and Hong Kong Stock Exchange (00388, overweight), a leader in global exchanges; U.S. stocks recommend square (sq.n, buy), the emerging leader of U.S. mobile payment and e-wallet, and Noah wealth (Noah. N, buy), the leader of third-party high net worth financial management. At the same time, it is recommended to pay attention to futu Holdings (futu. O, buy) and tiger Securities (TIGR. O, buy), the leaders of high growth Hong Kong and U.S. stock brokers who are expected to usher in a policy turning point in the near future.
In terms of insurance, the scale of the team has gradually bottomed out, the production capacity of the remaining team has been improved, and it is expected to start a good start gradually; The inflection point of property insurance has arrived, and we look forward to the synchronous improvement of premium and cor; The outlook of the equity market is optimistic, and the liberalization of the investment ceiling adds upward flexibility. We are optimistic about large insurance companies that actively promote reform and enhance production capacity with science and technology empowerment and cross sales, and maintain the optimistic rating of the industry. Follow up suggestions focus on Ping An Insurance (Group) Company Of China Ltd(601318) (601318, buy), China Pacific Insurance (Group) Co.Ltd(601601) (601601, not rated), AIA (01299, not rated).
Risk statement
The suppression of systemic risk on the performance and valuation of securities business; Stricter supervision than expected; The long-term interest rate is lower than expected; Related policy risks in diversified financial field.
