China Fund News reporter Li Zhi
Due to a number of violations in compliance and internal control, Guosen Securities was issued a warning letter by the Shenzhen Securities Regulatory Bureau.
Guosen Securities was taken to issue a warning letter
On April 19, the official website of the Shenzhen Supervision Bureau of the China Securities Regulatory Commission showed that due to a number of problems in compliance and internal control, the Shenzhen Securities Regulatory Bureau took the measure of issuing a warning letter to Guosen Securities Co., Ltd. (hereinafter referred to as Guosen Securities).
After investigation, Guosen Securities has the following problems in its compliance internal control: first, the blacklist management of individual targets of the stock pledged repurchase business is not in place, the due diligence of individual targets is insufficient, and there are still many conditional extensions after the risk of the business integration party, resulting in large losses; second, the management of bail-out products is insufficient, and the funds invested in some bail-out asset management products for bail-out purposes do not reach the specified proportion; third, the management of private equity subsidiaries is not in place, and individual products carry out business without filing, Fourth, there are problems such as facilitating the evasion of supervision by financial institutions and their management products, providing outsourcing services for private placement products that have not been filed, and failing to implement the information barrier system.
In accordance with the provisions of Article 32, Paragraph 1 of the Measures for the Compliance Management of Securities Companies and Securities Investment Fund Management Companies before and after the amendment, the Shenzhen Securities Regulatory Bureau decided to take administrative supervision measures against Guosen Securities by issuing a warning letter.
In addition, from 2019 to 2022, Guosen Securities had the following problems in engaging in stock pledged repurchase business: the blacklist management of individual targets was not in place, the due diligence of individual targets was insufficient, and there were still many conditional delays after the risks of the business integration party, resulting in large losses.
Du Moujiang, as an executive in charge of the stock pledged repurchase business of Guosen Securities at the time, bears leadership responsibility for the above-mentioned violations, and according to relevant regulations, the Shenzhen Securities Regulatory Bureau decided to take administrative supervision measures to issue a warning letter to him.
Both revenue and net profit achieved positive growth
According to public information, the company is engaged in wealth management and institutions, investment banking, investment and trading, asset management and other businesses through its subordinate institutions, subsidiaries and business departments, and carries out private equity fund management, futures, alternative investment and overseas financial services through its wholly-owned subsidiaries Guosen Hongsheng, Guosen Futures, Guosen Capital and Guosen Hong Kong.
According to the annual report, in 2023, Guosen Securities will achieve operating income of 17.317 billion yuan, an increase of 9.08% year-on-year, and net profit attributable to shareholders of listed companies of 6.427 billion yuan, an increase of 5.57% year-on-year. At the end of the year, the total assets reached 462.96 billion yuan and the net assets reached 110.46 billion yuan, further enhancing the capital strength and anti-risk ability.
In addition, the traditional advantageous businesses such as wealth management and investment banking have a solid market position, and the investment and trading, asset management and other businesses have made significant progress, and a number of innovative business qualifications have been approved, making the company's high-quality development foundation more solid. As of the end of the reporting period, Guosen Securities had a total of 238 securities business outlets, distributed in 117 cities and regions across the country.
Up to now, Guosen Securities' share price is 8.95 yuan per share, with a total market value of 86 billion yuan.
Editor: Captain
Review: Muyu