The Red And Black List Of "Stock Speculation" Of Securities Companies: Guotai Junan Increased 50 Times, Why Did The Three Securities Companies Fall Into Losses And Why The Yield Was Lower Than That Of Funds And Private Placement?

In the first quarter, the stock market was rocked. The CSI 300 index fell by 3.13% and the gem index fell by 7%. However, the income growth rate of self operated Securities Dealers (Securities Dealers trading securities themselves) was not so good. Is it a big increase in stock speculation?

According to statistics, in the first quarter, 40 listed securities companies achieved a total of 34.847 billion yuan of self operating business income, an increase of 16.2% year-on-year.

Among them, Guotai Junan, Huatai Securities and CITIC Securities ranked the top three in terms of self operating income, with 4.219 billion yuan, 3.989 billion yuan and 3.904 billion yuan respectively. Among the top three securities companies, Guotai Junan, Xingye securities and Changjiang Securities increased 50 times, 2.7 times and 1.3 times respectively.

However, from the first quarter of the rate of return on proprietary investment, the rate of return of securities companies is not high. According to the calculation of Bohai Securities, among the 40 listed securities companies, the highest return on investment in the first quarter was Hongta securities (2.29%), followed by Guojin securities (1.70%), and Guotai Junan (1.36%).

"Proprietary investment is divided into fixed income and equity." As for the low rate of return of self operation, a person from a securities company in Shenzhen thinks that the assessment of securities companies on this business (self operation) is generally to cover the cost of capital. If the rate of return is between 6% and 8%, the annual target will be achieved. Therefore, the proportion of fixed income is relatively high and the overall income is relatively stable.

In 2021, the self operated scale of many securities companies will increase in different proportions. Visual China

50 times growth of Guotai Junan

As the first echelon of seller securities companies, Guotai Junan's self operating income in the first quarter showed an explosive growth.

According to the calculation of "self operating income = investment income - investment income of joint ventures and joint ventures + net income from changes in fair value", Guotai Junan ranked first in the first quarter of the year, reaching 4.122 billion yuan, nearly 50 times higher than 80.28 million yuan in the same period last year.

For the performance surge, Guotai Junan explained that the main reason was the increase of investment income from trading financial assets and the income from the equity revaluation of Shanghai Securities.

It is understood that in order to solve the problem of horizontal competition with Shanghai Securities, Guotai Junan's shareholding ratio in Shanghai Securities has been reduced from 51% before capital increase to 24.99%. Therefore, Shanghai Securities is no longer included in Guotai Junan's consolidated statements as a holding subsidiary. According to the preliminary calculation, the capital increase of Shanghai Securities will generate income of RMB 1.16 billion for the company.

On the other hand, Guotai Junan's self operated income base was low in the first quarter of last year, and the scale of self operated investment in the first quarter of 2021 increased significantly, reaching 304 billion yuan, higher than the investment scale in the same period of last year.

The 21st century economic reporter learned that in the past five years, Guotai Junan's investment scale has continued to rise, with 117.38 billion yuan in 2016 and 292.8 billion yuan in 2020. By the first quarter of 2021, the self operated scale has exceeded 300 billion yuan, ranking the third among listed securities companies.

Pacific, first venture and Everbright Securities self operating losses

The change of A-share accelerated the performance differentiation of self operated securities companies. The self operating income of Pacific Securities, Everbright Securities and first venture turned into losses in the first quarter.

According to the first quarter report, Pacific Securities realized investment income of 196 million yuan in the first quarter of 2021, down 37.19% compared with the same period last year; The loss of investment income on joint ventures and joint ventures was 9.9861 million yuan, and the income from changes in fair value was - 232 million yuan.

Pacific Securities said that the first quarter stock and bond investment income decreased, income to associated enterprises decreased, the company's position market value also changed.

The company pointed out that the decline of operating income in the first quarter was mainly due to the decrease of investment income and fair value change income.

Some securities practitioners said that, on the whole, the performance differentiation of securities companies in the first quarter was relatively large, and more than half of the securities companies' self operating business income declined. The main reason was that the stock and bond market volatility increased in the first quarter, and the self operation business was not easy to do.

Everbright Securities lost the most in the first quarter, reaching 149 million yuan. Everbright Securities explained that the decrease of self operating income was caused by the increase of loss caused by changes in fair value of financial assets.

"In the first quarter, some securities companies suffered losses, mainly due to the fluctuation of fair value of equity assets." "If the self-supporting business of securities companies can maintain the investment income brought by the increase of equity fair value in the first quarter, it means that the company has not bought core assets again. Because the core assets fell more in the first quarter. "

The highest self operating rate of return in the first quarter was 2.29%

Generally speaking, securities companies invest in four types of assets, bonds, funds, stocks and other categories, most of which are invested in bonds, and the proportion of investment in stocks will not exceed 20%.

Therefore, the overall rate of return of securities companies' self operation will not be too high. According to the statistical data, the highest rate of return of self operated investment of listed securities companies in the first quarter was Hongta securities, with the yield of 2.29%, followed by Guojin securities of 1.7% and Guotai Junan of 1.36%.

From the perspective of self financing investment rate of return, the investment return rate of small and medium-sized securities companies is higher than that of large-scale securities companies, and the fluctuation range is large.

Among the 40 listed securities companies, the top five ones in 2020 are Hongta securities 10.30%, Northeast Securities 8.26%, Guojin securities 7.01%, Western securities 6.56% and industrial securities 6.42%.

It is worth mentioning that in 2021, the self operated scale of many securities companies will increase in different proportions.

For example, by the end of 2020, the scale of self operated investment of CITIC Securities was about 440 billion yuan, and by the first quarter of 2021, the self operated scale of CITIC Securities exceeded 500 billion yuan, becoming the largest self operated securities company. By the end of 2020, the self operated investment scale of CICC will be about 240 billion yuan, and will grow to nearly 300 billion yuan in the first quarter of 2021.

In fact, in the new round of expansion of securities companies, the proportion of securities companies' asset heavy business has soared rapidly. Heavy asset business refers to the business that relies on the expansion of balance sheet to obtain profits, such as self operation, market making, direct investment and capital intermediary business.

Referring to the development process of overseas investment banks, the rise of leverage ratio of securities companies and the mode of heavy capitalization have become the industry trend.

People in the securities industry also said that with the gradual emphasis on Capitalization of the business model of securities companies, capital intermediary business and institutional trading business are gradually exerting force, and in the future, head securities companies will become the focus of capital attention.