Mainland China Securities Survey 2016 二零一六年 中国证券业调查报告 Financial services 金融服务 kpmg.com/cn © 2016 KPMG Huazhen LLP, a People's Republic of China partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.in China. Printed entity. (“KPMG International”), a Swiss with KPMG International Cooperative of China partnership and a member firm the KPMG network of independent member firms affiliated Republic a People's KPMG Huazhen LLP, © 2016 Contents 毕马威国际合作组织(“毕马威国际”)相关联的独立成员所网络中的成员。版权所有，不得转载。 © 2016毕马威华振会计师事务所(特殊普通合伙) — 中国合伙制会计师事务所，是与瑞士实体— Introduction 目录 01 01 引言 Market overview 02 05 市场回顾 Market development: opportunities and challenges 03 29 市场动态：机遇与挑战 Industry focus: seeking new breakthroughs under the ‘new normal’ 04 51 行业热点：“新常态”下寻找新突破 Conclusion 05 71 结语 Appendix 06 75 附录 Appendix 1 Financial highlights 77 附录1 财务摘要 Appendix 2 Sector rankings for 2015 123 附录2 二零一五年行业排名 Appendix 3 Overview of Sino-foreign securities joint ventures 131 附录3 中外合资证券公司一览 Appendix 4 2016 grading of securities companies by the CSRC 133 附录4 2016年证监会对证券公司的评级 Appendix 5 Qualified foreign institutional investors 135 附录5 合格境外机构投资者 Appendix 6 RMB qualified foreign institutional investors 147 附录6 人民币合格境外机构投资者 Appendix 7 Qualified domestic institutional investors 155 附录7 合格境内机构投资者 Appendix 8 Mainland futures companies 161 附录8 内地期货公司名单 Appendix 9 Mainland fund management companies 167 附录9 内地基金公司名单 Appendix 10 Subsidiaries of mainland fund management companies 171 附录10 内地基金公司子公司名单 Appendix 11 Securities companies that have set up Hong Kong subsidiaries 175 附录11 设立香港子公司的证券公司 Contact us 07 177 联系我们 1 | Mainland China Securities Survey 2016 © 2016 KPMG Huazhen LLP, a People's Republic of China partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.in China. Printed entity. (“KPMG International”), a Swiss with KPMG International Cooperative of China partnership and a member firm the KPMG network of independent member firms affiliated Republic a People's KPMG Huazhen LLP, © 2016 01 Introduction 引言 | 2 二零一六年中国证券业调查报告 © 2016毕马威华振会计师事务所(特殊普通合伙) — 中国合伙制会计师事务所，是与瑞士实体— 毕马威国际合作组织(“毕马威国际”)相关联的独立成员所网络中的成员。版权所有，不得转载。 © 2016毕马威华振会计师事务所(特殊普通合伙) — 中国合伙制会计师事务所，是与瑞士实体— 3 | Mainland China Securities Survey 2016 © 2016 KPMG Huazhen LLP, a People's Republic of China partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.in China. Printed entity. (“KPMG International”), a Swiss with KPMG International Cooperative of China partnership and a member firm the KPMG network of independent member firms affiliated Republic a People's KPMG Huazhen LLP, © 2016 Introduction 2015 was an eventful year for China’s securities sector. margin financing at the end of 2015 increasing by RMB A-share indices experienced some volatility, with stock 166.7 billion compared with the previous year, an increase prices fluctuating and occasionally surpassing their daily of 17 percent year-on-year. The total balance even limit thresholds. This was caused by a combination of exceeded RMB 2 trillion at one point. Proprietary trading, macroeconomic and market factors. The stock markets investment banking and asset management business became a major topic of discussion in China as a result. also grew, benefiting from active equity markets, the In the second half of the year, the suspension of trading resumption of initial public offerings (IPOs) later in the on a number of stocks put pressure on liquidity, although year and a buoyant asset securitisation market. the markets gradually stabilised after the regulators introduced a series of supportive policies. As China’s In 2015, the significant improvement in securities economy begins to transition towards more balanced companies’ performance was closely linked to sustained growth, financial reform is expected to play a key role reform and innovation in the financial services sector. as part of the government’s attempts to encourage the Advances in technology such as the growth of new financial markets to better support the real economy. The Internet platforms and big data are impacting and will securities market is expected to be crucial in particular in continue to impact upon the traditional profit making providing companies with a number of bespoke and high- business models of securities companies. A number quality financial products. of securities companies also sought to diversify their revenue sources away from traditional business lines 2015 was an overall positive year for China’s securities (e.g. providing channels to direct funding) towards newer sector. According to the summary of the audited and more profitable business lines. The launch of the annual reports of securities companies released by Shanghai Technological Innovation Board is expected to the Securities Association of China (SAC), the sector hasten this development. The Chinese securities market achieved the highest ever level of profitability, posting is also becoming increasingly globalised with more firms total operating income of RMB 575 billion and total net listing in Hong Kong and with the Shanghai-Hong Kong profit of RMB 244 billion on an unconsolidated company Stock Connect having launched last year. level (the definition used for the purpose of analysis hereinafter), an increase of 125 percent and 157 percent Some of China’s biggest securities companies are now respectively when compared with the previous year. beginning to rival many international tier one investment The total assets and net assets of securities companies banks in terms of both size and profitability. The risk reached RMB 6.42 trillion and RMB 1.45 trillion, a year- management and response capabilities of the securities on-year increase of 59 and 60 percent respectively, sector were tested during the volatility experienced in demonstrating the rapid growth of the size of securities the A-share market last year. Going forward, securities companies in 2015. However, earnings in the first half companies should seek to assess potential risk on a of 2016 declined 59 percent compared with the same real-time basis, improve their risk management abilities period in 2015, according to statistics from the Securities generally and establish sound risk management systems. Association of China, demonstrating increased volatility in This would help them as they to continue to grow their earnings. business and also ensure that their services are best placed to improve core competitiveness. Securities companies posted revenue growth across th all business lines in 2015. Net income from brokerage This report is the 10 Mainland China Securities Survey business increased as a result of significantly higher issued by KPMG China. It was prepared based on the transaction volumes, accounting for 48 percent of total 2015 financial statements of 125 securities companies in income, six percentage points higher than in 2014. China released by the SAC on its official website (www. It remained the largest source of income for most sac.net.cn). securities companies. Margin financing and securities lending business continued to grow, with the balance of | 4 二零一六年中国证券业调查报告 © 2016毕马威华振会计师事务所(特殊普通合伙) — 中国合伙制会计师事务所，是与瑞士实体— 毕马威国际合作组织(“毕马威国际”)相关联的独立成员所网络中的成员。版权所有，不得转载。 © 2016毕马威华振会计师事务所(特殊普通合伙) — 中国合伙制会计师事务所，是与瑞士实体— 引言 201是中国不的。 201的与不 的，成的， 相关。联网 的。 的务通 成的， 的的有 成。与的成 ，。中国的 的。 。 与体， 。中国“”，转 中国的，不 的， 国际，的 ，有特的，务实体合 的。实 的务。 ，，立的 体，不务的，务 201中国。中国会 转，。 计的，201实 020 是毕马威中国的中国 务，，12 。是中国会“会”网 1，实有的。 () 的12的201 的621 务制的。 ，60，体201 的。，中国会的计 2016201 ，的。 ，的务201 实。中， 务得201成的 ，的，2016 ，是的。务 ，201166 1，2。 权的的的 ，务务务 201有的。 5 | Mainland China Securities Survey 2016 © 2016 KPMG Huazhen LLP, a People's Republic of China partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.in China. Printed entity. (“KPMG International”), a Swiss with KPMG International Cooperative of China partnership and a member firm the KPMG network of independent member firms affiliated Republic a People's KPMG Huazhen LLP, © 2016 02 Market overview 市场回顾 | 6 二零一六年中国证券业调查报告 © 2016毕马威华振会计师事务所(特殊普通合伙) — 中国合伙制会计师事务所，是与瑞士实体— 毕马威国际合作组织(“毕马威国际”)相关联的独立成员所网络中的成员。版权所有，不得转载。 © 2016毕马威华振会计师事务所(特殊普通合伙) — 中国合伙制会计师事务所，是与瑞士实体— 7 | Mainland China Securities Survey 2016 © 2016 KPMG Huazhen LLP, a People's Republic of China partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.in China. Printed entity. (“KPMG International”), a Swiss with KPMG International Cooperative of China partnership and a member firm the KPMG network of independent member firms affiliated Republic a People's KPMG Huazhen LLP, © 2016 In 2015, the securities sector realised overall net profit after tax of RMB 244 billion, the highest in its history and representing a year-on-year increase of 157 percent (see Chart 1). This surge in profits was largely driven by a bullish A-share market in the first half of 2015, which brought significant growth for the brokerage, proprietary trading, margin financing and securities lending businesses. Investment banking business also grew significantly following the reforms