Current view
Securities: after the central economic work conference pointed out the need to fully implement the stock issuance registration system, chairman Yi Huiman said on December 30 that in 2022, we will strive to achieve three stabilities and three advances, maintain market stability, policy stability and expected stability, reflect reform, opening up and serve the high-quality development of the real economy, fully implement the stock issuance registration system and improve the multi-level capital market system, We will promote institutional two-way opening of the capital market and continue to normalize IPO and refinancing. In 2021, the securities sector closed down by 4.21%, significantly underperforming the market. At present, the valuation of the securities sector is still in a low quantile. Subsequently, with the continuous release of dividends from capital market reform, there is still room for upward valuation and profits of leading securities companies. It is suggested to continue to focus on the main line of wealth management.
Insurance: on December 31, the CBRC issued the regulatory rules II on solvency of insurance companies, which, on the one hand, improved the measurement method of interest rate risk, optimized the asset range and evaluation curve for hedging interest rate risk, guided insurance companies to strengthen asset liability matching management, and on the other hand, optimized the actual capital and minimum capital measurement standards of long-term equity investment, The risk factor has been greatly improved, which has prompted insurance companies to focus on their main business, prevented the savage growth of capital in the financial field, and successfully completed the construction of the second generation phase II project. Although the liability side of listed insurance companies has been under pressure since February, with the impact of various insurance companies on the annual target and the display of the low base effect on the liability side in the fourth quarter, the premium growth rate has warmed up marginally. In November, seven listed insurance companies achieved a total premium income of 152.301 billion yuan, a year-on-year increase of + 4.39%, and the premium growth rate has changed from negative to positive, in which the premiums of life insurance and property insurance are + 1.74% and + 7.65% respectively year-on-year, The growth rate was + 3.07 PCT and 6.06 PCT respectively. In 2021, Shenwan insurance index closed down 39% as a whole. At present, the valuation of the sector continues to be low, with obvious defense attribute. In the future, we can wait for the effectiveness of debt side reform.
Market performance
In the current period (12.20-12.31), the SW non bank financial index closed at 1872.80, down 0.47% compared with the end of the previous period. The sector as a whole lost 0.18 points to the market (Shanghai and Shenzhen 300), ranking 18th among 31 primary industries. The performance of each sector is insurance > Securities > diversified finance.
Key company dynamics
China International Capital Corporation Limited(601995) : in the process of recommending Lenovo Group’s application for listing on the science and innovation board, it failed to exercise due diligence and perform sufficient verification procedures for the identification of the issuer’s science and innovation attribute, and the CSRC decided to take the supervision and management measures of regulatory conversation.
Orient Securities Company Limited(600958) : the company issued non-public restricted shares. The number of restricted shares listed and circulated this time is 230 million shares, and the circulation date is December 28, 2021.
Risk statement
The economic recovery did not meet expectations; Policy implementation fails to meet expectations; The market interest rate is lower than expected; The equity market fluctuated more than expected.
