Among the 9 foreign holding securities companies, only Nomura Orient International Securities has no investment bank insurance agent filed by the association at present; However, in terms of securities investment consulting (Analyst) filing, Goldman Sachs Gaohua, Credit Suisse Securities, Morgan Stanley Securities, Daiwa Securities and other four securities companies have no registered personnel.
According to the data of 21st Century Capital Research Institute, in 2021, the top three securities companies with the most analysts leaving were Founder Securities Co.Ltd(601901) , Anxin securities and Tianfeng Securities Co.Ltd(601162) ; The top three securities companies with the most analysts are China International Capital Corporation Limited(601995) , China Securities Co.Ltd(601066) , Sealand Securities Co.Ltd(000750)
the top five securities companies in terms of the number of analysts leaving and joining in 2021
data source: Securities Industry Association, which only calculates the data of securities investment consulting (analysts)
China International Capital Corporation Limited(601995) , China Securities Co.Ltd(601066) , Sealand Securities Co.Ltd(000750) , these three securities companies are the top three securities companies among the incoming analysts in 2021. As we all know in the industry, China International Capital Corporation Limited(601995) has begun to vigorously expand the company’s personnel scale since it returned to the A-share market in 2020 and raised a lot of money. This is the second year of its large-scale expansion team.
China Securities Co.Ltd(601066) is the first dark horse to break into a world in the market with investment banking. After the investment banking business developed well, the company planned the strategic deployment of “serving the customers of banks and bank financial subsidiaries with the whole business line and product line”, and serving relevant customers requires the company to have sufficient investment and research strength. Therefore, Its research institute has made great efforts to tap stars in the market in the past two years, and analysts have long been famous.
A large number of Sealand Securities Co.Ltd(000750) analysts left their jobs, which is related to the former director of Founder Securities Co.Ltd(601901) Research Institute joining with “big forces”. The addition of new leaders will inevitably mean a wave of new and old replacement.
In addition to local securities companies, approved foreign securities companies such as JPMorgan Chase, UBS Securities, Nomura Orient International Securities and DBS securities have also accelerated their pace in the layout of their investment and research business.
foreign securities companies develop investment and research business
The whole 2020-2021 is the time for foreign institutions to start the layout of investment and research business after they take advantage of the east wind of financial opening to control joint venture securities companies or newly set up 100% holding securities companies.
By the end of 2021, had 9 foreign holding securities companies in stock, including Goldman Sachs Gaohua securities, UBS Securities, Credit Suisse Securities, Morgan Stanley Huaxin securities, HSBC Qianhai securities (Hong Kong Holdings), Nomura Orient International Securities, JPMorgan Chase securities, Daiwa Securities and DBS securities.
At present, the employees of the above-mentioned securities companies are also officially filed on the Securities Industry Association.
From the overall filing situation, the layout of investment banking business by foreign securities companies is earlier than that of investment research consulting business.
For example, 9 foreign-controlled securities companies, only Nomura Orient International Securities has no investment bank insurance agent filed by the association, while other securities companies have insurance agent filed; However, in terms of securities investment consulting (Analyst) filing, Goldman Sachs Gaohua, Credit Suisse Securities, Morgan Stanley Securities, Daiwa Securities and other four securities companies have no registered personnel, which indicates that the above four securities companies may choose to give priority to the development of investment banking business.
Specifically, the investment and research business of foreign securities companies. Among them, UBS Securities and HSBC Qianhai securities paid more attention to the development of investment and research business during the previous period of domestic holding, so they are also the two securities companies with the most analysts on record.
Among them , there are 43 record analysts of UBS Securities and 28 record analysts of HSBC Qianhai securities.
JPMorgan Chase is another foreign securities firm focusing on investment and research business. At present, there are 24 registered analysts in its association and 10 insurance agents in investment banks .
JPMorgan mainly filed a large number of analysts in 2020, or benefited from its earlier layout preparation. JPMorgan’s analysts are mainly newly filed, including newly recruited fresh students and analysts who previously worked in relevant institutions but did not formally file on the Securities Industry Association.
In addition, JPMorgan also prefers to recruit analysts from securities companies with foreign culture. Its “poaching” friends include UBS Securities, HSBC Qianhai securities and BOC International Securities. In contrast, there are not many analysts who change jobs from local securities companies to JPMorgan Chase, and most of them come from securities companies research institutes ranking high in the industry, including Citic Securities Company Limited(600030) , Guotai Junan Securities Co.Ltd(601211) , Huatai Securities Co.Ltd(601688) , Shenwan Hongyuan Group Co.Ltd(000166) .
Nomura Oriental International, like JPMorgan Chase, will complete the recruitment of key analysts in 2020. It also includes some newly filed investment research personnel, as well as recruiting analysts from institutions with foreign brokerage culture such as UBS Securities and BOC International.
DBS securities, which has a sufficient team of analysts since 2021, seems to prefer to integrate into the atmosphere of local securities companies in China. At present, there are five analysts on the record of DBS securities, all of whom joined in 2021, and four of them are from medium-sized securities companies in China, including: Zheshang Securities Co.Ltd(601878) , Shenyin Wanguo, Tianfeng Securities Co.Ltd(601162) , and Anxin securities.
The above four securities companies also have their own problems in the development of the past few years. For example, Anxin and Tianfeng are the top three securities companies in the industry in terms of the number of analysts leaving in 2021. This may indicate that DBS securities, which wants to integrate into the local atmosphere, is actually less attractive to industry analysts than JPMorgan Chase
filing of analysts and insurance agents of foreign (Hong Kong funded) holding securities companies
data source: Securities Industry Association, which only calculates the data of securities investment consulting (analysts). As of January 20, 2022,
returns from the buyer to the seller
In the securities analysis industry, for many securities analysts, the final destination is to go to the buyer – that is, go to public offering / private placement / asset management, or even “work alone” to do investment business.
However, in the migration path of analysts in 2021, we found that some analysts of asset management (buyer) of securities companies went back to Research Institute of securities companies (seller).
For example, Li yuebo, an analyst who once attracted great attention in the market because he left the securities industry and joined an entity company, returned to Caitong Securities Co.Ltd(601108) as the director of the Research Institute in 2021 after several twists and turns.
In 2019, Li yuebo, then chief of China Industrial Securities Co.Ltd(601377) social service industry and analyst of new fortune, joined Fosun Group and served as senior assistant to the president and Deputy CFO of Fosun international group. According to media reports at that time, she will also have the titles of managing director of the company’s capital market department, general manager of investor relations, joint general manager of the strategy department and President of the economic and Industrial Research Institute.
At that time, the high-profile inter-bank of the beautiful analyst attracted extensive attention in the industry.
That time was also a turning point for the seller’s analysts – the negative public opinion generated by the Founder Securities Co.Ltd(601901) analysts’ canvassing in the process of new wealth appraisal in 2018 led to the suspension of the new wealth appraisal by the regulators in that year, which was reflected in the announcement by the securities industry association to withdraw from the new wealth appraisal 30 securities companies in the industry also announced their withdrawal from the relevant selection – the selection of new wealth analysts in that year was suspended for one year, which made many analysts worried about the future prospects. Since then, some securities companies have chosen the overall transformation of investment and research business. Some securities companies have reduced the weight of new wealth ranking in the internal salary and promotion evaluation system, and many analysts in the industry seem to see no way out for the future of this career.
Perhaps because of this background, star analyst Li yuebo joined Fosun international in 2019.
But looking back, it seems to be a “wrong” choice. In 2020, ant financial services suspended its listing as the key node. Since then, many private commercial entities are in follow-up development and are not so smooth.
According to the record of the Securities Industry Association, in June 2021, Li yuebo returned to the securities industry and joined deppon asset management; Then he changed his job at the end of December 2021, left the buyer and joined Caitong Securities Co.Ltd(601108) as the director of the Research Institute.
After joining deppon asset management, Li yuebo’s job hopping did not attract the attention of the market. There are few media reports on what business they are in charge of or what products they have issued. However, from the situation that they jump back to the seller after six months of employment, the “running in” with deppon asset management may not be smooth.
At the end of December 2021, Jiang Chao, another star analyst who joined the buyer from the seller, welcomed the “onlookers” of the market. After joining Zhongtai asset management and serving as joint chief investment officer, the first private placement product issued during the year – Zhongtai supernova 1 – was found to have retreated by nearly 20% at the end of the year.
For a time, the seller’s analysts will do research, but there are doubts about whether they can manage their products and invest well.
The analysts who jump from the buyer to / back to the seller in 2021 may have a personal story
analysts who jumped from the buyer to the seller in 2021
data source: Securities Industry Association. Only the data of securities investment consulting (Analyst) is calculated. The data is as of January 20, 2022
