Market review: from February 21 to February 25, 2022, the Shanghai Composite Index fell 1.1%, the Shenzhen Component Index fell 0.4%, the non bank financial index fell 3.7%, of which the insurance index fell 4.9%, the brokerage index fell 3.3%, the diversified financial index fell 1.8%, and the hang Seng financial industry index fell 6.9%. Since the beginning of 2022, the Shanghai Composite Index has fallen by 5.2%, the Shenzhen composite index has fallen by 9.7%, and the non bank financial index has fallen by 9.1%, 4.0pct behind the Shanghai Composite Index and 0.6pct ahead of the Shenzhen composite index. This week, the top five stocks in the sector rose: Minsheng Holdings Co.Ltd(000416) (12.27%), Shanghai Greencourt Investment Group Co.Ltd(600695) (9.60%), Guangzhou Yuexiu Financial Holdings Group Co.Ltd(000987) (5.02%), Guangdong Golden Dragon Development Inc(000712) (2.38%), Nanhua Futures Co.Ltd(603093) (2.33%).
Industry key data tracking: from February 21 to February 25, 2022, the daily average share based trading volume was 1141 billion yuan. As of February 24, 2022, the balance of financed funds and bonds was 1727121 billion yuan, accounting for 2.46% of the circulating market value of a shares. The trading volume of Liangrong accounts for 7.6% of the trading volume of a shares. As of February 25, the number of pledged shares was 415.8 billion, accounting for 5.20% of the total share capital, a decrease of 0.02 PCT compared with last week; The total amount of market pledge is 3849.7 billion yuan, accounting for 4.06% of the market value of pledge; The capital raised through equity financing was 12.9 billion yuan, and the amount of corporate bonds issued was 47.2 billion yuan.
Major industry news: ① the CSRC solicited public opinions on the guiding opinions on improving the supervision of listed companies after delisting. Based on the implementation of the requirements of the securities law, the guiding opinions protect the legitimate rights and interests of investors, better ensure the smooth implementation of normalized delisting, rely on the existing agency share transfer system as the delisting sector, optimize and improve the blocking points and risk points existing in the current practice, and form a set of institutional arrangements in line with the functional positioning of the delisting sector and suitable for the characteristics of delisting companies. It mainly includes: first, strengthen the connection of delisting procedures; Second, optimize the continuous supervision system of delisting companies; Third, improve the risk prevention mechanism and promote the convergence and gradual clearing of risks; Fourth, improve the company delisting supervision system. ② The China Banking and Insurance Regulatory Commission and the Ministry of housing and urban rural development issued the guidance on bank insurance institutions supporting the development of indemnificatory rental housing. The guidance proposes to build a multi-level, wide coverage, risk controllable and business sustainable affordable rental housing financial service system. All localities are required to clarify the standards of affordable rental housing projects as soon as possible, strengthen the supervision and management of affordable rental housing projects, and provide support for banking and insurance institutions to carry out business. The issuance and implementation of the guiding opinions firmly adhere to the positioning of “houses are for living, not for speculation”, and promote the establishment of a housing system with multi-body supply, multi-channel guarantee and simultaneous rent and purchase.
Next week’s key issues: whether the stock based trading volume has continuously broken trillion, and the marginal improvement of the asset side of insurance stocks.
Securities: impacted by overseas risk events, the overall performance of the securities sector related to market risk appetite is lower than that of the market. However, we believe that at present, the market has paid more attention to the undervalued securities companies, for example, northbound capital has allocated Huatai Securities Co.Ltd(601688) and other leading securities companies for many weeks. At present, the valuation of the securities sector deviates from the fundamentals. The valuation is low and has allocation value. Under the main line of “steady growth”, the repair market of the undervalued financial sector is still worth looking forward to. Suggestions: 1) for the leading securities companies with outstanding comprehensive strength and obvious moat advantages in the securities industry, Citic Securities Company Limited(600030) (a + H) and Huatai Securities Co.Ltd(601688) (a + H) are recommended; 2) Securities companies with differentiated competitiveness in the wealth management segment recommend China stock market news and pay attention to Guolian Securities Co.Ltd(601456) .
Insurance: the share price of insurance stocks fell this week, but in the long run, 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. Specific target suggestions: China Property Insurance with a significantly narrowed risk exposure and AIA with a channel transformation ahead, Ping An Insurance (Group) Company Of China Ltd(601318) (a + H) and China Pacific Insurance (Group) Co.Ltd(601601) (a + H) have long been recommended 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 was lower than expected.
