1、2023 中信証券年度報告CITIC SECURITIES 2023Annual ReportIntegrityInnovationExcellenceSharingTo become a leading domestic and internationally renowned Chinese investment bank,trusted by clients around the worldWebsite:http:/Email:Telephone:0086-10-60838888,0086-755-23835888,00852-26008888Address:CITIC Securit

2、ies Tower,No.48 Liangmaqiao Road,Chaoyang District,Beijing CITIC Securities Tower,No.8 Zhong Xin San Road,Futian District,Shenzhen,Guangdong Province 26/F,CITIC Tower,1 Tim Mei Avenue,Central,Hong KongA joint stock limited company incorporated in the Peoples Republic of China with limited liabilityS

3、tock Code:6030中信証券年度報告CITIC SECURITIES 2023Annual Report2023IMPORTANT NOTICEThe Board and the Supervisory Committee and the Directors,Supervisors and Senior Management of the Company warrant the truthfulness,accuracy and completeness of the contents of this report and that there is no false represen

4、tation,misleading statement contained herein or material omission from this report,for which they will assume joint and several liabilities.This report was considered and approved at the Eighteenth Meeting of the Eighth Session of the Board of the Company.All Directors attended this meeting of the B

5、oard.No Director raised any objection to this report.KPMG Huazhen LLP and KPMG issued the standard and unqualified auditors reports for the Companys domestic and international financial statements for the year,respectively.Mr.ZHANG Youjun,head of the Company,Mr.ZHANG Hao,the Chief Financial Officer

6、and Ms.XI Zhiying,the head of the Companys accounting department,warrant that the financial statements set out in this report are true,accurate and complete.The Companys profit distribution plan during the Reporting Period as resolved and approved by the Board is to distribute a cash dividend of RMB

7、4.75(tax inclusive)for every 10 Shares.This proposal is subject to the approval by the general meeting of the Company.Forward looking statements,including future plans and development strategies,contained in this report do not constitute a substantive commitment to the investors by the Company.Inves

8、tors should be aware of investment risks.There was no appropriation of funds of the Company by the controlling shareholder and its related/connected parties for non-operating purposes.The Company had made no guarantee to external parties in violation of the stipulated decision-making procedures.Ther

9、e is no such a situation where the majority of the Directors cannot warrant the truthfulness,accuracy and completeness of the annual report disclosed by the Company.The Company prepared this report in both English and Chinese versions.In the event of any discrepancies between the English version and

10、 the Chinese version of this report,the Chinese version shall prevail.Contents2520256683126141161199343344349350351Chairmans StatementCompany InformationFinancial SummaryManagement Discussion and AnalysisReport of the BoardSignificant EventsChanges in Shares and Information on Substantial Shareholde

11、rsDirectors,Supervisors,Senior Management and EmployeesCorporate Governance ReportIndependent Auditors Report and Notes to Financial StatementsDocuments Available for InspectionDefinitionsMaterial Risk FactorsAppendix 1:Organization ChartAppendix 2:Index of Information DisclosureContentsChairmans St

12、atement02Dear Shareholders,2023 was the first year to fully implement the spirit of the 20th National Congress of the Communist Party of China(CPC).Over the year,China has made solid strides in building itself into a modern socialist country in all respects.In 2023,steadily promoting its operation a

13、nd management,CITIC Securities maintained stable operating results and an industry-leading position in various lines of business.During this year,the Company recorded an operating revenue of RMB60.068 billion and a net profit attributable to Shareholders of the Company of RMB19.721 billion,with tota

14、l assets reaching RMB1.45 trillion.It is with the care and support of the Shareholders and the investors that we have accomplished these results.On behalf of CITIC Securities,I hereby extend our deep appreciation to all Shareholders.2023 also marked the 20th anniversary of the A-share listing of CIT

15、IC Securities.On our first successful Investor Engagement Campaign,we shared the experience drawn from our development since the Company went public 20 years ago and talked to the Shareholders,investors,and customers vis-vis to better take advice from the investors and demonstrate our investment val

16、ue.Over the past 20 years from the day it was floated,the Company has remained dedicated to following national strategies and serving the real economy.To give back to investors and deliver customer-oriented services,we have established a comprehensive licensed financial service system,consistently e

17、xpanded our balance sheet,practically managed risk and compliance in all respects,built market-oriented management mechanisms,propelled tech-enabled digital transformation on all fronts,and actively fulfilled our social responsibility.Moreover,we have been providing stable returns to Shareholders an

18、d investors by paying dividends of RMB73.9 billion to Shareholders over the two decades.Over the past year,by developing new quality productive forces we achieved more remarkable results in serving the real economy.As a champion of the innovation-driven development strategy,we have been helping buil

19、d a modern industrial system.Our aggregate underwriting size of equities listed on the STAR Market,ChiNext and BSE and our underwriting size of innovation-driven technology company bonds both ranked first in the market with an underwriting size of equity and debt of RMB2.2 trillion in aggregate.We c

20、hanneled more social capital into fields critical to Chinas scientific and technological self-reliance,such as new materials,new energy,and information technology by making investments of nearly RMB10 billion through our proprietary funds and private equity funds.A number of enterprises we invest in

21、 have overcome the bottlenecks in the key links of industrial chains.Over the past year,we have been committed to delivering inclusive finance services to better meet the wealth management needs of investors.We have been providing all-round,high-quality and multi-level wealth management and asset ma

22、nagement services,and building a multi-level buyer investment advisor configuration service system.We have achieved 2023 Annual Report03CITIC Securities Company LimitedChairmans Statementthe coverage of all asset segments and all types of customers from RMB10 thousand to more than RMB10 million,bett

23、er satisfying the personalized and differentiated allocation needs of customers and improving investors sense of contentment.We exerted continuous efforts to build the brand influence of our pension business,support the development of the three pillars of pension,and conduct financial investment man

24、agement services oriented to elderly care undertakings.The total size of social insurance,basic pension,enterprise annuity,and occupational annuity under management amounted to more than RMB730 billion.We were rated A for fundamentals in the evaluation by the National Council for Social Security Fun

25、d of the Peoples Republic of China.Over the past year,we offered green finance services and actively fulfilled our social responsibilities.We actively propelled and participated in the innovation of green financial products and services to provide abundant green financial solutions for enterprises,a

26、nd guided the green and low-carbon transformation of industrial and energy structures through capital allocation.We underwrote a total of RMB71.6 billion for 150 green bonds(including carbon-neutral bonds)and served Yangtze Power in the completion of the material assets restructuring of RMB80.5 bill

27、ion.We creatively carried out the carbon finance business,completed the first repurchase transaction for combined carbon assets,and created the first risk mitigation tool for carbon asset pledge loan in China.To promote public welfare and support rural revitalization,we donated and invested a total

28、of RMB55.17 million throughout the year,and provided immediate assistance to the earthquake-stricken area in Jishishan,Gansu Province,fully leveraging the role of CITIC Securities as a public welfare fund platform.The Companys MSCI ESG rating has been upgraded for two consecutive years and has reach

29、ed Grade A.04Chairmans StatementOver the past year,we focused on risk prevention to build a more robust global risk and compliance control system.Paying close attention to the correlation and systematicness among various financial risks,as well as the prevention and mitigation of cross-market,cross-

30、industry,and cross-border risks,we proceeded with proper counter-cyclical management of financial risks in the new situation and effected whole-process management covering various risks in multiple dimensions.We optimized the internal management by means of information technology and digitalization,

31、enhanced the capabilities of new risk prevention and compliance management,and continued to improve due diligence criteria and requirements for the audit process.We required the front office and middle office to take risk management seriously and strengthened the personnel management and internal tr

32、aining,so as to properly conduct daily risk monitoring,early warning,prevention and resolution.We spent more efforts on systematic capability building,and improved the risk disposal responsibility mechanism with consistent rights and responsibilities,compatible incentives and constraints.The year 20

33、24 marks the 75th anniversary of the founding of the Peoples Republic of China and also a critical period for fulfilling the goals and tasks set in the national 14th Five-year Plan.Following the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era throughout,CITIC S

34、ecurities will bear in mind the countrys most fundamental interests and strengthen the sense of serving the people.To speed up building the Company into a first-class investment bank and investment institution,we will continue to optimize our overall plan for global business,reinforce the constructi

35、on of our global business system,enhance our capabilities of delivering cross-border,cross-business,and cross-market services,and boost the quality and efficiency of serving the real economy.Furthermore,while assisting in customers long-term development,we will remain committed to serving investors

36、interests in a bid to continually create long-term stable value in return for the investment of Shareholders and investors and contribute as much as we can to the construction of a financial powerhouse.ZHANG YoujunChairmanCITIC Securities Company Limited26 March 2024Company Information2023 Annual Re

37、port05CITIC Securities Company LimitedCompany InformationProfileName in Chinese中信証券股份有限公司Abbreviation in Chinese中信証券Name in EnglishCITIC Securities Company LimitedAbbreviation in EnglishCITIC Securities Co.,Ltd.Legal RepresentativeZHANG YoujunPresidentYANG MinghuiAuthorized RepresentativesYANG Mingh

38、ui,YANG YouyanRegistered Capital and Net Capital of the CompanyIn RMB YuanAs at the end of the Reporting PeriodAs at the end of last yearRegistered Capital14,820,546,829.0014,820,546,829.00Net Capital139,615,490,534.95135,851,886,858.17Note:As of the date of publication of the report,the total numbe

39、r of Shares of the Company was 14,820,546,829,of which 12,200,469,974 were A Shares and 2,620,076,855 were H SharesThe Business Scope of the Company includes:securities brokerage(for areas other than Shandong Province,Henan Province,Tiantai and Cangnan Counties of Zhejiang Province),securities inves

40、tment consulting,financial advice in relation to securities trading and investment activities,securities underwriting and sponsoring,self-operated securities business,securities assets management(NSSF domestic entrusted investment management,securities investment management for basic pension insuran

41、ce fund,investment management for enterprise annuity fund and investment management for occupational pension fund),securities margin trading,selling of securities investment funds,provision of intermediary introduction services to futures companies,distribution of financial products,stock options ma

42、rket making,market making for listed securities.(For projects subject to approval in accordance with laws,business activities may be carried out only after approval by relevant authorities,and specific business projects are subject to the approval documents and licenses from the relevant authorities

43、)In addition,the Company also has the following business qualifications:1.Business qualifications approved or certified by the CSRC:entrusted investment management business,online securities entrustment business;entrusted wealth management;operation of overseas securities investment management busin

44、ess by qualified domestic institutional investors(QDII);direct investment;interbank market interest rate swap business;stock index futures trading in proprietary business and asset management business;pilot business of stock return swap;first class OTC option dealer;treasury bond futures trading in

45、proprietary business and securities asset management business;pilot business of agency services for gold and other precious metal spot contracts and proprietary trading for spot gold contracts;custodian business for securities investment funds;credit risk mitigation instruments selling business;mark

46、et making business of treasury bond futures;commodities derivatives transaction and the trading of financial products on overseas exchanges;carrying out pilot cross-border business;market making business for listed securities.06Company Information2.Business qualifications approved by the stock excha

47、nge:market maker of stock exchange fixed income platform;warrants trading;agreed repurchase-type securities trading business;stock pledge-style repo business;margin refinancing and securities relending;Southbound Trading Connect business;bond pledge-style quoted repo business;financing business with

48、 respect to exercising rights under share incentive schemes of listed companies;stock options brokerage;proprietary trading for stock options;SSE and SZSE ETF options market makers;China Financial Futures Exchange stock index options market maker;commodity options market maker of Dalian Commodity Ex

49、change,Zhengzhou Commodity Exchange,Shanghai Futures Exchange,Shanghai International Energy Exchange;and member of BSE.3.Business qualifications approved by SAC:quoted transfer business;OTC market business;OTC trading business;internet-based securities business pilot;cross-border income swap transac

50、tion business.4.Business qualifications approved by the Peoples Bank of China:lending transactions and bond transactions in the National Interbank Funding Centre;short-term commercial paper underwriting;market maker in interbank bond market;and primary dealer of open market.5.Other business qualific

51、ations:member of book-entry government bond underwriting syndicate;Class A clearing participant of CSDC;license for operating foreign exchange in securities business(foreign-currency negotiable securities brokerage,foreign-currency negotiable securities underwriting and entrusted foreign-exchange as

52、set management);investment manager for enterprise annuity fund and occupational pension fund;member of underwriting syndicate of policy bank;manager of converted shares of the NSSF;NSSF domestic investment manager;entrusted management of insurance funds;securities investment management for national

53、basic pension insurance fund;pilot refinancing business;sideline insurance agency business;business with special institutional clients of insurance institutions;recommending business and brokerage business through National Equities Exchange and Quotations;market-making business through National Equi

54、ties Exchange and Quotations;consultancy services relating to the secrecy-involved business of the military industry;member of Shanghai Gold Exchange;product general clearing member of Shanghai Clearing House;foreign exchange settlement and sale business;member of Asset Management Association of Chi

55、na;member of interbank foreign exchange market;member of interbank foreign currency market;member of the Shanghai Commercial Paper Exchange Corporation Ltd.;and trustee of debt financing instruments for non-financial enterprises.Contact Person and MethodsBoard Secretary,Securities Affairs Representa

56、tive,Company SecretaryNameBoard Secretary:WANG JunfengSecurities Affairs Representative:WANG LeiJoint Company Secretaries:YANG Youyan,YU Hiu Kwan,HildaContact AddressCITIC Securities Tower,No.48 Liangmaqiao Road,Chaoyang District,BeijingCITIC Securities Tower,No.8 Zhong Xin San Road,Futian District,

57、Shenzhen,Guangdong Province(Note:This is a postal address and is in the same building as that of the registered address of the Company.The registered address of the Company corresponds to the name of the building registered with the Shenzhen Real Estate Ownership Registration Centre)Telephone0086-10

58、-60836030,0086-755-23835383Facsimile0086-10-60836031,0086-755-23835525E2023 Annual Report07CITIC Securities Company LimitedCompany InformationBasic InformationRegistered Address of the CompanyNorth Tower,Excellence Times Plaza(II),No.8 Zhong Xin San Road,Futian District,Shenzhen,Guangdong ProvinceHi

59、storical Change of Registered Address of the CompanyOn 6 April 2000,with the approval of CSRC and the former State Administration for Industry&Commerce of the Peoples Republic of China,the registered office of the Company was changed from Beijing to ShenzhenOffice Address of the CompanyCITIC Securit

60、ies Tower,No.48 Liangmaqiao Road,Chaoyang District,Beijing CITIC Securities Tower,No.8 Zhong Xin San Road,Futian District,Shenzhen,Guangdong ProvincePostal Code of Office Address of the Company100026,518048Business Address in Hong Kong26/F,CITIC Tower,1 Tim Mei Avenue,Central,Hong KongWebsite of the

61、 Companyhttp:/ETelephone0086-10-60838888,0086-755-23835888Facsimile0086-10-60836029,0086-755-23835861Customer Service Hotline for Brokerage and Asset Management Business95548,4008895548Investor Relations Hotline0086-10-60836030,0086-755-23835383Unified Social Credibility Code91440300101781440208Comp

62、any InformationInformation Disclosure and Availability PlacesMedia designated for information disclosure by the CompanyChina Securities Journal,Shanghai Securities News,Securities TimesThe websites designated for publication of the Annual Reports of the CompanyWebsite designated by the CSRC:http:/(w

63、ebsite of the SSE)Website designated by the Hong Kong Stock Exchange:http:/www.hkexnews.hk(HKEXnews website of HKEX)Website of the Company:http:/Places where Annual Reports of the Company are available10/F,CITIC Securities Tower,No.48 Liangmaqiao Road,Chaoyang District,Beijing16/F,CITIC Securities T

64、ower,No.8 Zhong Xin San Road,Futian District,Shenzhen,Guangdong Province26/F,CITIC Tower,1 Tim Mei Avenue,Central,Hong KongBrief Information of the Shares of the CompanyClass of SharesStock Exchange of ListingStock Short NameStock CodeA ShareSSECITIC Securities600030H ShareHong Kong Stock ExchangeCI

65、TIC SEC6030Other Information of the CompanyHistory of the Company The Company was incorporated in Beijing in October 1995,under the name of CITIC Securities Limited,with registered capital of RMB300,000,000.The principal Shareholder of the Company was CITIC Group which directly held 95%of share capi

66、tal of the Company.In December 1999,CITIC Securities Limited was converted into a joint stock limited company known as CITIC Securities Company Limited.The registered capital was increased to RMB2,081,500,000 and the direct shareholding of CITIC Group was 37.85%.In April 2000,with the approval of CS

67、RC and the former State Administration for Industry&Commerce of the Peoples Republic of China,the Company was relocated to Shenzhen.In December 2002,the Company conducted the initial public offering of 400,000,000 A Shares,and such Shares were listed on the SSE in January 2003 with proceeds of RMB1.

68、8 billion.The total number of Shares of the Company was increased to 2,481,500,000 and the direct shareholding of CITIC Group was 31.75%.In August 2005,the Company carried out and completed the non-tradable shares reform,and all such Shares were tradable shares,and the direct shareholding of CITIC G

69、roup was 29.89%.In June 2006,the Company completed the A Shares private issuance and the proceeds amounted to RMB4.645 billion.The total number of Shares of the Company increased to 2,981,500,000 and the direct shareholding of CITIC Group was 24.88%.2023 Annual Report09CITIC Securities Company Limit

70、edCompany InformationIn September 2007,the Company completed the A Shares public equity issuance and the proceeds amounted to RMB25 billion.The total number of Shares of the Company increased to 3,315,233,800 and the direct shareholding of CITIC Group was 23.43%.In April 2008,the Company completed a

71、 capitalization issue of 10 bonus Shares for every 10 Shares.The total number of Shares of the Company increased to 6,630,467,600.In June 2010,the Company completed a capitalization issue of 5 bonus Shares for every 10 Shares.The total number of issued Shares of the Company increased to 9,945,701,40

72、0.In October 2011,the Company conducted the initial public offering of 1,071,207,000 H Shares,which were listed and traded on the Hong Kong Stock Exchange in October and November.The net proceeds amounted to approximately HK$13.82 billion,making the Company the first Chinese securities company liste

73、d overseas.The total number of Shares of the Company increased to 11,016,908,400,of which 9,838,580,700 Shares were A Shares and 1,178,327,700 Shares were H Shares,and the direct shareholding of CITIC Group was 20.30%.In February 2013,the largest Shareholder of the Company was changed to CITIC Corpo

74、ration Limited and its direct shareholding in the Company was 20.30%.In June 2015,the Company completed the H Share private placement and the proceed amounted to approximately HK$27.06 billion.The total number of Shares of the Company increased to 12,116,908,400,of which 9,838,580,700 Shares were A

75、Shares and 2,278,327,700 Shares were H Shares.The direct shareholding of CITIC Corporation Limited was 15.59%.In February 2016,CITIC Corporation Limited increased its shareholding in the Company and the direct shareholding of CITIC Corporation Limited increased to 16.50%.In March 2020,the Company co

76、mpleted the acquisition of Guangzhou Securities by A Shares private placement.The total number of Shares of the Company increased to 12,926,776,029,of which the number of A Shares increased to 10,648,448,329.The direct shareholding of CITIC Corporation Limited was 15.47%.New substantial shareholders

77、,namely Yuexiu Financial Holdings(now renamed as“Guangzhou Yuexiu Capital Holdings Group Co.,Ltd.(廣州越秀資本控股集團股份有限公司)”)and Financial Holdings Limited(now renamed as“Guangzhou Yuexiu Capital Holdings Co.,Ltd.(廣州越秀資本控股集團有限公司)”),with an aggregate shareholding ratio of 6.26%,were added.In March 2022,the C

78、ompany completed A+H Share rights issuance and the proceed amounted to approximately RMB27.33 billion.The total number of Shares of the Company increased to 14,820,546,829 Shares,of which A Shares increased to 12,200,469,974 Shares and H Shares increased to 2,620,076,855 Shares.CITIC Limited and CIT

79、IC Corporation Limited held a total of 18.45%of the Companys Shares,and Yuexiu Financial Holdings,Financial Holdings Limited and Yuexiu Financial International held a total of 7.47%of the Companys Shares.In August 2023,the largest shareholder of the Company had been changed to CITIC Financial Holdin

80、gs.After CITIC Corporation Limited,the former largest shareholder,together with CITIC Limited,its party acting in concert,gratuitously transferred all shares held in the Company to CITIC Financial Holdings,CITIC Financial Holdings held 2,299,650,108 A Shares and 434,311,604 H Shares of the Company,a

81、mounting to a total of 2,733,961,712 Shares,representing 18.45%of the total issued shares of the Company.10Company InformationAfter its listing on SSE,the Company has since been included in the SSE 180 Index,SSE 50 Index,CSI 300 Index,FTSE China A50 Index,Dow Jones China 88 Index,MSCI China A50 Inde

82、x,Hang Seng(China A)Corporate Sustainability Benchmark Index,CSI 300 ESG Benchmark Index,SSE SH Equities Index,SSE Central State-owned Enterprises 50 Index,CSI State-owned Enterprises 200 Index,CSI Connect A Share Investment 50 Thematic Index(中證互聯互通A股投資50主題指數),CSI Green Value ESG 100 Index(中證綠色價值ESG

83、100指數),CSI High Dividend Top Index,SSEF 200 Index and SSE Dividend Allocation Index,etc.After its listing on the Hong Kong Stock Exchange,the Company has since been included in constituent stocks of indices such as the Hang Seng China H-Financials Index,Hang Seng China AH Index Series,Hang Seng Comp

84、osite Index,Hang Seng Composite Industry Index Financials,Hang Seng Composite MidCap Index,Hang Seng China(Hong Kong-listed)100 Index,Hang Seng CSI Shanghai-Hong Kong AH Smart Index,MSCI China Index,Hang Seng(China A)Corporate Sustainability Benchmark Index,FTSE China 50 Index,Hang Seng Climate Chan

85、ge 1.5C Target Index,Hang Seng China 50 Index,Hang Seng Stock Connect China 80 Index and Hang Seng Stock Connect Greater Bay Area High Dividend Yield Index,which greatly enhanced the prestige of the Company.Since the launch of Shanghai-Hong Kong Stock Connect on 17 November 2014,the Shares of the Co

86、mpany have been included in its northbound trading list and southbound trading list respectively.Upon the launch of Shenzhen-Hong Kong Stock Connect on 5 December 2016,H Share of the Company has become an eligible stock of Shenzhen-Hong Kong Stock Connect.Changes in registration status during the Re

87、porting Period:On 6 April 2023,the Company completed the filing of amendments to directors and supervisors of the Company and licensed operation projects and the Articles of Association with the Shenzhen Administration for Market Regulation.Information of first registration:Date of First Registratio

88、n:25 October 1995First Registered Address:Capital Mansion,No.6 Xinyuan South Road,Chaoyang District,BeijingRegistration Number of Corporate Legal Person Business License:10001830Certificate of Organization Code:10178144-0Please refer to“Company Information”of the 2002 Annual Report of the Company fo

89、r the information on the first registration of the Company.Changes in the businessesThe Company was established by CITIC Group through integrating the original scattered securities operating institutions immediately after the initial start of the securities market in China.At the end of 1996,the Com

90、pany became one of the first ten securities houses whose stock underwriting qualification was re-approved by CSRC.In October 1999,the Company became one of the first batch of comprehensive securities companies approved by CSRC and one of the first batch of securities houses whose qualification as a

91、lead underwriter for equity product was re-approved by CSRC.The Company is one of the supervisor members of the Securities Association of China,one of the first batch of securities companies to enter into the national interbank lending market,and one of the first batch of securities companies author

92、ized to engage in stock-secured loans.In 2002,the Company obtained the qualifications to engage in entrusted investment management business and fund sales agency services.2023 Annual Report11CITIC Securities Company LimitedCompany InformationIn 2005,the Company obtained the qualification as enterpri

93、se annuity investment manager.In 2006,the Company became one of the first batch of securities companies to obtain the qualification as a lead underwriter of short-term commercial papers.In 2007,the Company obtained the qualifications for the trial business of direct investment and overseas securitie

94、s investment management business as a qualified domestic institutional investor(QDII).In 2008,the Company became a Class-A clearing participant of CSDC and obtained the qualification for the provision of intermediary introduction services to futures companies.In 2009,the Company obtained the qualifi

95、cation to manage the transfer of converted shares of the NSSF.In 2010,the Company obtained the qualifications for margin financing and securities lending business,stock index futures trading in proprietary business and assets management business and was approved to be a domestic investment manager f

96、or the NSSF.In 2011,the Company became one of the first batch of companies to obtain the agreed repurchase-type securities trading qualification.In 2012,the Company obtained the qualifications for underwriting of private placement of SME bonds,entrusted management of insurance funds,distribution of

97、financial products,pilot businesses of stock return swap,pilot refinancing business and consultancy services relating to secrecy-involved business of the military industry.In 2013,the Company obtained the qualifications for sideline insurance agency business,and treasury bond futures trading in prop

98、rietary business and the securities assets management business.It was among the first batch of companies to obtain the qualifications for membership of Shanghai Clearing House on RMB interest rate swaps.In 2014,the Company was among the first batch of companies to obtain the qualification as a gener

99、al clearing member of Shanghai Clearing House to conduct the clearing agency business.It obtained the qualifications for agency services business for gold and other precious metal spot contracts and proprietary business for spot gold contracts,OTC option business,Internet-based securities business,N

100、ew OTC market-making business,securities investment fund custody business,Southbound Trading Connect business,credit risk mitigation instruments selling business and financing business with respect to exercising rights under share incentive schemes of listed companies,and was qualified as a primary

101、dealer of the open market.In 2015,the Company obtained the qualification of the stock options market making business,and was approved to commence SSE 50 ETF options market making business;the Company became a stock options trading participant on the SSE and obtained the trading permission to commenc

102、e the stock options brokerage and proprietary trading business.In 2016,the Company obtained the qualification to manage investment with occupational annuity and was accepted as a non-bank member on the Shanghai Commercial Paper Exchange Corporation Ltd.,and obtained the trading permission to commenc

103、e the rediscount,pledged repurchase,outright repurchase and other transactions of bills.In 2017,the Company obtained the qualification of market-making of commodity options on the Zhengzhou Commodity Exchange.12Company InformationIn 2018,the Company obtained the qualifications for investment in over

104、seas financial products or instruments that other QDIIs are allowed to invest in using its proprietary capital;obtained the qualifications of market-making on the Shanghai Futures Exchange.In 2019,the Company obtained the business qualification as principal market maker of listed funds;was approved

105、to conduct the market making business of treasure bond futures and the stock index option market making business;obtained the operation qualification of settlement and sale of foreign exchange business,and can conduct pilot settlement and sale of foreign exchange business;became a member of the inte

106、rbank foreign exchange market and the interbank foreign currency market,and can engage in spot,forward,swap,currency swap,foreign currency interest rate swap and options trading;obtained the qualification of market-making of commodity options on the Zhengzhou Commodity Exchange and the Dalian Commod

107、ity Exchange.In 2020,the Company can carry out related foreign exchange business on behalf of customers,and became the trustee of debt-financing instruments for non-financial enterprises and can carry out entrusted management business.In 2021,the Company obtained the qualification of membership on t

108、he BSE,carried out the pilot fund investment advisory business,the pilot business of account management function optimization,and centralized clearing agency business for credit default swaps.In 2022,the Company obtained the qualification of market-making trading of listed securities,and can engage

109、in the pilot market-making business of stocks on the STAR Market,can participate in the market-making and securities lending business on the STAR Market,can independently carry out the lead underwriting business of debt financing instruments of non-financial enterprises,carry out sideline insurance

110、agency business and agency sale business of personal pension investment fund.In 2023,CITIC Securities AM obtained the license for operating securities and futures business and commenced business,and the Companys securities asset management business(excluding the domestic entrusted investment managem

111、ent of the National Social Security Fund,the securities investment management of the basic pension insurance fund,the investment management of the enterprise annuity fund and the investment management of the occupational annuity fund)and the overseas securities investment management business conduct

112、ed by qualified domestic institutional investors(QDII),and the qualification for entrusted management of insurance funds will be inherited by CITIC Securities AM.The organization status of the CompanyAs at the end of the Reporting Period,the Company has seven principal wholly-owned subsidiaries,name

113、ly CITIC Securities(Shandong),CSI,GoldStone Investment,CITIC Securities Investment,CITIC Futures and CITIC Securities South China,CITIC Securities AM,and one principal controlling subsidiary,namely China AMC.Please refer to“Analysis of principal controlling subsidiaries”of this report for details.Nu

114、mber and distribution of securities branches of the CompanyAs at the end of the Reporting Period,the Company,CITIC Securities(Shandong),CITIC Securities South China,Kington Securities had 53 branch offices and 313 securities outlets in China.In addition,as at the end of the Reporting Period,CSI had

115、six branches in Hong Kong through its subsidiary.2023 Annual Report13CITIC Securities Company LimitedCompany InformationThe number and distribution of domestic securities outlets of the Group are as follows:Province,city or areaNumber of outletsProvince,city or areaNumber of outletsProvince,city or

116、areaNumber of outletsZhejiang60Shandong52Guangdong50Jiangsu26Beijing22Shanghai20Hubei10Liaoning10Fujian7Jiangxi7Henan7Sichuan7Hebei7Shaanxi6Hunan6Tianjin4Anhui3Shanxi2Guangxi2Heilongjiang1Yunnan1Chongqing1Jilin1Inner Mongolia1The number and distribution of domestic securities branch offices of the G

117、roup are as follows:Province,city or areaNumber of branch officesProvince,city or areaNumber of branch officesProvince,city or areaNumber of branch officesZhejiang7Shandong5Guangdong7Jiangsu5Beijing1Shanghai2Hubei1Liaoning2Fujian2Jiangxi1Henan1Sichuan1Hebei1Shaanxi1Hunan1Tianjin1Anhui1Shanxi1Guangxi

118、1Heilongjiang1Yunnan1Chongqing1Jilin1Inner Mongolia1Hainan1Guizhou1Gansu1Xinjiang1Ningxia1Qinghai114Company InformationNumber and distribution of other branchesAs at the end of the Reporting Period,CITIC Futures held 47 branch offices and 4 futures outlets in China,the number and distribution of whi

119、ch are as follows:Province,city or areaNumber of branchesProvince,city or areaNumber of branchesProvince,city or areaNumber of branchesBeijing3Guizhou1Inner Mongolia1Shanghai4Hainan1Ningxia1Guangdong6Hebei1Shandong4Zhejiang7Henan1Shanxi1Yunnan1Hubei1Shaanxi1Heilongjiang1Hunan1Sichuan1Anhui1Jiangsu3T

120、ianjin1Fujian2Jiangxi1Xinjiang1Gansu1Liaoning2Chongqing1Guangxi1Other Relevant InformationAuditors engaged by the Company(Domestic)NameKPMG HuazhenOffice Address8th Floor,KPMG Tower,OrientalPlaza,1 East Chang An Avenue,Dongcheng District,Beijing,the PRCName of the signing accountantAbby Wang,CHENG H

121、ailiangAuditors engaged by the Company(Overseas)NameKPMG Hong Kong Office Address8th Floor,Princes Building,10 Chater Road,Central,Hong Kong,the PRCName of the signing accountantThomas ChanSponsors performing continuous supervision duties during the Reporting PeriodNameTianfeng Securities Co.,Ltd Of

122、fice AddressBuilding 2,Tianfeng Mansion,No.217 Zhongbei Road,Wuchang District,Wuhan,Hubei ProvinceName of the signing sponsorLU Yongwei,ZHOU JianwenPeriod of continuous supervisionFrom 15 February 2022 to 31 December 20232023 Annual Report15CITIC Securities Company LimitedCompany InformationSponsors

123、 performing continuous supervision duties during the Reporting PeriodNameChina Post Securities Co.,Ltd.Office Address17 Zhushikou Dong Street,Dongcheng District,BeijingName of the signing sponsorCUI Pingping,LI YongPeriod of continuous supervisionFrom 15 February 2022 to 31 December 2023Legal Advise

124、rs as to PRC LawsNameJia Yuan Law OfficesLegal Advisers as to Hong Kong LawsNameJia Yuan Law OfficesA Share RegistrarNameCSDC,Shanghai BranchOffice AddressNo.188 Yanggao South Road,Pudong New Area,ShanghaiH Share RegistrarNameComputershare Hong Kong Investor Services LimitedOffice AddressShops 17121

125、716,17/F,Hopewell Centre,183 Queens Road East,Wanchai,Hong Kong16Company InformationAwards in 2023 The CompanyIssued byName of AwardsShanghai Stock ExchangeExcellent Options Market Maker,Top 10 Options BrokersShenzhen Stock ExchangeExcellent Corporate Bond Underwriter,Excellent Bond Market Maker,Exc

126、ellent Fixed-Income Innovative Product IntermediaryChina Association for Public CompaniesBest Practice Awards for Board Office in 2023(2023年度董事會最佳實踐案例),Best Practice Cases of Annual Report Performance Briefing of Public Companies in 2022(上市公司2022年報業績說明會最佳實踐案例)China Institute of Internal AuditNationa

127、l Advanced Group of Internal Audit 20202022(20202022年度全國內部審計先進集體)Bond Connect Company LimitedOutstanding Investors in Northbound under Bond Connect(Investment Banking)(債券通北向通優秀投資者(投資銀行類),Innovation Award in Cross-Border Subscription(跨境認購創新獎),Excellent Northbound Market Maker(北向通優秀做市商)International F

128、inance Forum(IFF)The 4th IFF Global Green Finance Award Innovation Award(第四屆IFF全球綠色金融獎 創新獎)Asia RiskBest Equity Derivatives Institution for 2023(2023年度最佳股權衍生品機構)InterbrandTop 50 Best Brands in China for 2023(2023中國最佳品牌排行榜50強)International Finance Review(IFR Asia)Best Equity House in China for 2022(2

129、022年度中國最佳股權融資投行)New FortuneThe 16th New Fortune Best Investment BankNo.1 Best Local Investment Bank,No.1 Best Investment Bank in Equity Underwriting,No.1 Best IPO Investment Bank,No.1 Best Refinancing Investment Bank,No.1 Best Investment Bank in Serving Overseas Markets,Best Practice ESG Investment

130、BankSecurities Times2023 Jun Ding Award for Securities Investment Bank in ChinaFull-Service Investment Bank,Equity Financing Investment Bank,Overseas Investment Bank2023 Jun Ding Award for Securities Industry Asset Management in ChinaFull-Service Asset Management Institution,Asset Management Equity

131、Team,Asset Management Quantitative Team2023 Jun Ding Award for Securities Industry Wealth Management Broker in ChinaFull-Service Institution BrokerThe 14th Tianma Award for Investor Relations of Chinese Listed CompaniesBest Investor Relations Award for Chinese Listed Companies2023 Annual Report17CIT

132、IC Securities Company LimitedCompany InformationIssued byName of AwardsWind InfoWinds Best Investment Bank for 2022Best Investment Bank,Best A-Share Equity Underwriter,Best H-Share IPO Sponsor,Best China M&A Financial AdvisorBest Bond Underwriter Securities Company,Best Credit Bond Underwriter Excel

133、lent Securities Trader Award,Best Asset-backed Securities UnderwriterTop 100 ESG Best Practices of Chinese Listed Companies in 2023China Securities Journal2023 Golden Bull Award in Chinese Securities IndustryGolden Bull Award of Top Ten Securities Companies,Golden Bull Award for ESG of Securities Co

134、mpanies,Golden Bull Award for Culture Construction of the Securities Industry,Golden Bull Investment Bank Team Award,Golden Bull Wealth Management Team AwardCAIJING Magazine2023 Institutions with Most Contribution in STAR Market,2023 Evergreen Award Sustainable Development Benefits AwardFinancial Ti

135、mes2023 Best Securities CompanyFinance AsiaCountry Awards for Achievement 2023Best Equity Deals in China Onshore:Postal Savings Bank of Chinas(PSBC)A-share non-public offeringBest Infrastructure Deals in China Onshore:Huaxia Fund-China Resources Nest Rental Housing REITBest M&A Deals in China:Aramco

136、s RMB24.6 billion investment into Rongsheng PetrochemicalThe AssetAsset Triple A Awards 2023Best Custodian,Private Funds in China Onshore,Best in Fund Administration,Mutual Funds in China Onshore,Best Custodian Securities Company in ChinaOnshore(Highly Commended),Best Custodian,Serving Case(China)Si

137、na Finance2023 China Enterprise ESG Golden Responsibility AwardBest Securities Company for Responsible Investment AwardNational Business Daily2023 Top 30 Listed Chinese Securities Companies in Terms of Brand Value,Golden Tripod Awards for the Most Influential Custody Broker,Golden Tripod Awards for

138、the Annual Best A-Share Underwriting Team,Golden Tripod Awards for the Most Powerful Broker for Assets ManagementChina Fund NewsYinghua AwardsDemonstrative Brokerage Company for 25-Year Fund Sales(Mutual Funds),Demonstrative Brokerage Company for Outstanding Wealth Management,Outstanding Private Cus

139、tody Securities Demonstration Institution,Demonstrative Brokerage Company for Outstanding Asset Management,Demonstrative Brokerage Company for Asset Management in Quantification18Company InformationIssued byName of AwardsHong Kong Ta Kung Wen Wei Media Group2023 Best ESG Financial Service PFund and

140、Wealth Management Jie Fu AwardsOutstanding Custodian,Outstanding Administrator,Outstanding Offshore Administrator,Outstanding WFOE Service Institution CLSA LimitedIssued byAwardsAsiamoneyAsiamoney Brokers Poll 2023No.1 Best Brokerages for Corporate Access in Asia(Excluding Australia&Japan)Finance As

141、iaCountry Awards for Achievement 2023Best IPO Asia,Best IPO SEA,Best Property Deal Asia,Best Chinese Offshore BondsThe AssetAsset Triple A Awards 2023Best Fund Administration Mandate Alternatives(Hong Kong)The Hong Kong Limited Partnership Fund AssociationThe Hong Kong Limited Partnership Fund Assoc

142、iation Annual Awards 2023Best Provider of Fund Administration Services CITIC Securities(Shandong)Issued byAwardsThe Securities and Futures Association of QingdaoAdvanced Unit on Investor Protection in Qingdao for 2023 GoldStone InvestmentIssued byAwardChina Securities JournalThe 7th Golden Bull Brok

143、ers Equity Investment Annual WinnerZero2IPO Group2023 Top 6 Private Equity Investment Institutions in ChinaCVINFO2023 Top 10 Private Equity Investment Institutions Most Concerned by LP in China,2023 Top 10 Best State-Owned Investment Institutions in China 2023 Annual Report19CITIC Securities Company

144、 LimitedCompany Information CITIC FuturesIssued byAwardThe Peoples Bank of ChinaThird Prize of the 2021 FinTech Development AwardChina Financial Futures ExchangePlatinum Award for Outstanding MemberInsurance Asset Management Association of ChinaMost Popular Futures Company for Insurance Funds,Most P

145、opular Futures Companyfor Insurance Funds(Stock Index Options Business,Treasury Futures Business)Xinhuanet2023 Excellent Case of Corporate ESG Rural RevitalizationSecurities Times2023 Jun Ding Award for Futures Industry in ChinaLeading Futures Company in China,Outstanding Village Revitalization Futu

146、resCompany in ChinaFutures Daily,Securities TimesThe 16th Best Operating Futures InstitutionFutures Market Thirty-Year Hua Zhang Award in China,Best Futures Company in China China AMCIssued byAwardChina Securities JournalGolden Bull Award for Passive Investment Fund Managers,Golden Bull Award20th An

147、niversary Special Contribution CompanyShanghai Securities NewsGolden Fund Award for Passive Investment Fund ManagersSecurities TimesAward for Star Fund Companies with Three-Year Overseas InvestmentFinancial Summary2023 Annual Report21CITIC Securities Company LimitedFinancial SummaryKey Financial Dat

148、aKey accounting dataIn RMB millionItems20232022Variance in Comparison with last year(%)2021Total revenue and other income83,72585,941-2.5897,324Operating profit25,54428,277-9.6731,004Profit before income tax26,18528,950-9.5531,894Net profit attributable to owners of the parent19,72121,317-7.4923,100

149、Net cash inflow/(outflow)from operating activities-34,13355,258N/A5,518Items31 December 202331 December 2022Variance in Comparison with last year(%)31 December 2021Total assets1,453,3591,308,60311.061,278,665Total liabilities1,179,1601,050,23112.281,064,857Equity attributable to owners of the parent

150、268,840253,1186.21209,171Total share capital14,82114,82112,927Gearing ratioNote76.5574.52Increasedby 2.03percentagepoints79.18Note:Gearing ratio=(total liabilities customer brokerage deposits funds payable to securities issuers)/(total assets customer brokerage deposits funds payable to securities i

151、ssuers).22Financial SummaryKey financial indicatorsItems20232022Variance in comparison with last year(%)2021Basic earnings per share (RMB yuan/share)1.301.42-8.451.69Diluted earnings per share (RMB yuan/share)1.301.42-8.451.69Return on weighted average equity(%)7.818.67Decreased by 0.86 percentage p

152、oint12.07Net capital and relevant risk control indices of the parent companyItems31 December 202331 December 2022Net capital(RMB million)139,615135,852Net assets(RMB million)220,768211,825Total risk capital reserves(RMB million)74,57866,776Risk coverage ratio(%)187.21203.44Capital leverage ratio(%)1

153、6.3217.74Liquidity coverage ratio(%)148.28130.53Net stable funding ratio(%)124.86129.46Net capital/net assets(%)63.2464.13Net capital/liabilities(%)19.9523.86Net assets/liabilities(%)31.5537.21Value of proprietary equity securities and derivatives held/net capital(%)51.4235.99Value of proprietary no

154、n-equity securities and derivatives held/net capital(%)292.66269.86Note 1:The risk control indices for every business of the parent company are in compliance with the relevant requirements of Administrative Measures for the Risk Control Indices of Securities Companies issued by the CSRC.Note 2:The p

155、arent company implemented the relevant provisions of the Interpretation No.16 of the Accounting Standards for Business Enterprises(Cai Kuai 2022 No.31)in 2023,therefore,the net capital and relevant risk indicators at the end of last year are restated.2023 Annual Report23CITIC Securities Company Limi

156、tedFinancial SummaryFinancial Data for the Last 5 YearsOperating resultsIn RMB millionItems20232022202120202019Total revenue and other income83,72585,94197,32471,86957,080Operating expenses58,18157,66466,32051,98440,886Share of profits and losses of associates and joint ventures641673890585801Profit

157、 before income tax26,18528,95031,89420,47016,995Net profit attributable to owners of the parent19,72121,31723,10014,90212,229Financial positionIn RMB millionItems31 December 202331 December 202231 December 202131 December 202031 December 2019Issued share capital14,82114,82112,92712,92712,117Total eq

158、uity274,199258,372213,808185,882165,450Equity attributable to owners of the parent268,840253,118209,171181,712161,625Total liabilities1,179,1601,050,2311,064,857867,080626,272Customer brokerage depositsNote 1283,821279,402251,164203,111123,351Funds payable to securities issuers3515,2547121,071273Tot

159、al assets1,453,3591,308,6031,278,6651,052,962791,72224Financial SummaryKey financial indicatorsItems2023 2022202120202019Dividends per share(RMB yuan/share)0.4750.490.540.400.50Basic earnings per share(RMB yuan/share)1.301.421.691.100.96Diluted earnings per share (RMB yuan/share)1.301.421.691.100.96

160、Return on weighted average equity(%)7.818.6712.078.437.76Gearing ratio(%)Note 276.5574.5279.1878.1075.24Notes:(1)Customer brokerage deposits above represent the amount received from and repayable to clients arising from the normal courses of the Groups securities brokerage business.The fund is restr

161、icted and governed by the relevant third-party deposit institutions.(2)Gearing ratio=(total liabilities customer brokerage deposits funds payable to securities issuers)/(total assets customer brokerage deposits funds payable to securities issuers).In RMB100 millionEquity attributable to owners of th

162、e parentReturn on weighted average equity%Gearing ratio%2,531.182,688.401,616.251,817.122,091.71202320222021202020198.67%7.81%7.76%8.43%12.07%2023202220212020201974.52%76.55%75.24%78.10%79.18%20232022202120202019In RMB100 millionTotal revenue and other incomeIn RMB100 millionNet profit attributable

163、to owners of the parentIn RMB100 millionTotal asset859.41837.25570.80718.69973.2420232021202220202019213.17197.21122.29149.02231.002023202220212020201913,086.0314,533.597,917.2210,529.6212,786.6520232022202120202019Management Discussion and Analysis2023 Annual Report25CITIC Securities Company Limite

164、dManagement Discussion and AnalysisDiscussion and Analysis on the Future Development of the CompanyLandscape and trend of the industryChinas central financial work conference has planned to“optimize the financing structure,give full play to the pivotal role of the capital market,deeply and solidly a

165、dvance the registration-based initial public offering system,develop diversified equity financing,significantly improve the quality of listed companies,and cultivate first-class investment banks and investment institutions”,which serve as the new guidelines for the development of the capital market.

166、The executive meeting held by Chinas State Council has pledged to take stronger,more effective measures to stabilize the market,improve market confidence and promote the stable and healthy development of the capital market.The systematic adjustment to Chinas financial regulatory system and policies

167、will have a direct and material impact on the future development of the securities industry.The regulatory authorities will comprehensively strengthen the“look-through”regulation of the securities industry and the institutions of the industry in all respects and intensify the crackdown on accounting

168、 fraud,offering fraud,market manipulation and other acts violating laws and regulations.Under the direction of“cultivating first-class investment banks and investment institutions”,securities companies have accelerated their business transformation and increased investment in certain key areas,inclu

169、ding upgrading the wealth management model oriented to the investment consulting business,enhancing the integrated service capacity of investment banks especially in merger and acquisition and restructuring services,optimizing the institutional business services such as derivatives services,fixed in

170、come services and prime brokerage,and promoting international development by means of delivering cross-border services.The concentration of the securities industry has been further increased,primarily driven by differentiated regulation,merger and acquisition,and restructuring.The large and comprehe

171、nsive securities companies aim to become the main force to serve the real economy and a“ballast stone”to maintain financial stability and make efforts to be better and stronger.Development strategy of the CompanyBound to help enhance the role of capital markets and serve high-quality economic develo

172、pment,the Company strives to become a domestically leading and internationally first-class Chinese investment bank most trusted by clients around the world.The Company will steadfastly take the path of financial development with Chinese characteristics,dedicate all-out efforts to the development of

173、technology finance,green finance,inclusive finance,elderly care finance,and digital finance,and support Chinese modernization by offering high-quality financial services.Further,the Company will continually plan better for its global operations in a holistic way,develop competence to furnish compreh

174、ensive financial services that meet the needs of global customers,and consistently enhance its international competitiveness and clout.Business planIn 2024,the Company will continue to provide customers with comprehensive services across the entire business chain,ramp up support for technological in

175、novation,advanced manufacturing,green development and small and medium-sized enterprises,and build up the quality and effectiveness of the services to the real economy.The Company will fortify its investment capacity and endeavour to introduce more financial products and services featuring both safe

176、ty and profitability,so as to create long-term and stable investment returns for the clients.The Company will continue to scale up the client base,consolidate its leading position in the domestic market and further enhance its market influence and competitiveness.The Company will continue to improve

177、 its integrated management across its global operations,optimize the overall plan for the development of its global operations and elevate its global financial services capabilities.Its business development will be energized by digital innovation and financial services will be refined by leveraging

178、technological means.The Company will reinforce the construction of its internal control system to avoid major risks for good.The Company will further improve 26Management Discussion and Analysisits talent development system and mechanisms and carry on improving the professional talent training and d

179、evelopment system.In addition,the Company will strengthen the construction of brand and corporate culture,fulfil its social responsibilities and create greater value for society.Capital requirementIn 2023,the Company conducted all lines of business in an orderly manner,among which,fixed income servi

180、ces and margin financing and securities lending services are in demand of sufficient capital.As of the end of the Reporting Period,the balance of the Groups domestic and overseas short-term and long-term loans,bonds payable and short-term financing instruments payable totaled RMB209,291 million.The

181、Company will strengthen its unified management of domestic and overseas funds,continue to improve its overall capital allocation efficiency and keep exploring new financing products and financing models to ensure the satisfaction of capital needs of business development.Possible risks of exposureAt

182、present,the risks and challenges faced by the world economy are increased.Under the environment of high interest rates,the U.S.and European economies are facing downward pressure,the risk of recession in major overseas developed economic entities is increasing,and the US Federal Reserve has a high p

183、robability of cutting interest rates within 2024.With the constant influence of geopolitical factors,local contradictions and conflicts have increased.The complexity,severity and uncertainty of the external environment were enhanced.Domestic economy will constantly recover and grow,and increasingly

184、focus on high-quality development.Domestic risks are mainly concentrated in insufficient effective demand,excess production capacity in certain industries,weak social expectations and various risks and hidden troubles.However,from a comprehensive analysis perspective,favorable conditions outweigh ad

185、verse factors.With changes in the internal and external environment,the growth of derivatives,bulk commodities,foreign exchange and other new businesses comes with noteworthy market risks.Financing activities and fixed income product investments,etc.also face changing credit risks.The Company should

186、,in its steady operation,ensure that the risk level is detectable and controllable amid business expansion.Business OverviewAnalysis of principal businessesThe investment banking business of the Group consists of equity financing,debt financing and financial advisory services.The Group provides fund

187、 raising and financial advisory services to a wide range of enterprises and other institutional clients in China and globally.The wealth management business of the Group mainly includes securities and futures brokerage business,distribution of financial products and investment consulting services.Th

188、e institutional stock brokerage business of the Group provides domestic and overseas professional institutional investors client bases with various professional value-added services,including research marketing,transaction execution,equity financing and trading projects recommendation for their inve

189、stments and trading,in Chinese stock markets and Asia-Pacific,American and other overseas stock markets.The financial market business of the Group mainly includes trading and market-making of equity products,fixed income products and derivatives,foreign exchange business,margin financing and securit

190、ies lending business,alternative investment and bulk commodity business.Asset management business of the Group includes collective asset management(“CAM”),separately managed account(“SMA”)and specialized asset management(“SAM”),fund management and other investment accounts management.The investment

191、business of the Group mainly comprises alternative investment and private equity investment.The Group also provides services such as custody and research.2023 Annual Report27CITIC Securities Company LimitedManagement Discussion and AnalysisInvestment bankingEquity financingMarket conditionsIn 2023,t

192、he offering size of A-share(for cash and asset transactions)amounted to RMB1,134,430 million,representing a year-on-year decrease of 32.74%;the offering size of A-share(for cash)amounted to RMB1,005,059 million,representing a year-on-year decrease of 33.77%.Based on the shares underwritten by lead u

193、nderwriters,the market share of the top ten securities companies in A-share equity underwriting(for cash)amounted to 73.90%.The offering size of Hong Kong IPO amounted to US$5,884 million,representing a year-on-year decrease of 56.08%;the offering size of Hong Kong refinancing market amounted to US$

194、11,842 million,representing a year-on-year increase of 0.56%.Calculated based on the total offering size distributed evenly among all book runners,the market share of the top ten investment banks in the Hong Kong equity financing market totaled 67.90%.In 2023,the number and offering size of A-share

195、IPOs declined,with a total of 313 enterprises completing the IPO process,representing a year-on-year decrease of 26.87%.The offering size amounted to RMB356,539 million,representing a year-on-year decrease of 39.26%.Refinancing issuance size also saw a decrease,with the total issuance size of refina

196、ncing(for cash and assets)amounting to RMB777,891 million,representing a year-on-year decrease of 29.26%.Among them,the total issuance size of private placement(for cash)amounted to RMB449,581 million,representing a year-on-year decrease of 18.58%.The total issuance size of convertible bonds amounte

197、d to RMB140,574 million,representing a year-on-year decrease of 48.61%.Actions and achievementsIn 2023,in respect of domestic equity financing,the Company completed a total of 140 A-share lead underwriting projects with an aggregate lead underwriting size of RMB277,913 million(for cash and asset tra

198、nsactions),accounting for a market share of 24.50%and ranking first in the market.Among them,the Company completed 34 IPO projects,with a lead underwriting size of RMB50,033 million,accounting for a market share of 14.03%and ranking first in the market;106 refinancing projects with an aggregate lead

199、 underwriting size of RMB227,880 million,accounting for a market share of 29.29%and ranking first in the market.Among the refinancing projects,68 were private placement(for cash)projects with a lead underwriting size of RMB127,755 million,accounting for a market share of 28.42%and ranking first in t

200、he market.20232022ItemsLead Underwriting size(RMB million)Number of IssuancesLead Underwriting size(RMB million)Number of IssuancesIPOs50,03334149,83258Refinancing issuances227,880106226,485108Total277,913140376,317166Source:Wind Info and the Companys internal statisticsNote 1:When compiling the abo

201、ve table,the date of completion of an IPO,a public equity issuance,an issuance of convertible bonds/exchangeable bonds,a private placement,a rights issue and an issuance of preference shares is the listing dateNote 2:In the event that the amount attributable to respective underwriter is not specifie

202、d,the underwriting size of a joint-lead underwriting project is calculated by dividing the total project size with the number of lead underwriters;in the event that the amount attributable to respective underwriter is specified,the underwriting size of a joint-lead underwriting project is calculated

203、 on a case-by-case basis28Management Discussion and AnalysisIn 2023,in respect of overseas equity financing,the Company completed a total of 32 overseas equity projects with an underwriting size of US$1,782 million in aggregate calculated on the basis of the total offering size of projects distribut

204、ed evenly among all bookrunner roles.Among them,12 were IPO projects in the Hong Kong market with an underwriting size of US$153 million,6 were refinancing projects with an underwriting size of US$736 million,ranking second among the Chinese securities companies in respect of equity financing busine

205、ss in the Hong Kong market,and 7 were GDR projects in the European market with an underwriting size of US$445 million,ranking second among the Chinese securities companies.The Company completed 7 equity financing projects in the Southeast Asian market and other overseas markets,with an underwriting

206、size of US$447 million.Outlook for 2024The Company will continue to capitalize on the opportunities presented by the capital market reform and development,comprehensively develop diversified equity financing and serve to deepen and implement the registration system reform.The Company will continuous

207、ly increase its efforts in the effective development and services to domestic and overseas clients and markets in alignment with national strategies and client needs,step up efforts in industry research and client market analysis,develop its business forward-looking layout,and provide clients with p

208、rofessional service solutions.The Company will persist in its international development efforts,deepen the centralized management for domestic and overseas businesses,expand its international customer base,strengthen its business expansion in equity financing in Hong Kong,GDR,and equity financing in

209、 the Southeast Asia and other overseas markets,to constantly enhance its competitiveness in the international market.The Company will provide clients with high-quality investment banking services by leveraging its integrated service and platform strength.Debt financingMarket conditionsIn 2023,the yi

210、eld rate of the domestic bond market presented a downward volatility trend,and credit spreads were compressed to a low level;the issuance size of domestic bonds increased year-on-year,with the aggregate issuance size of bonds amounting to RMB71.04 trillion,representing a year-on-year increase of 15.

211、45%.In terms of interest rate securities,the issuance size of treasury bonds amounted to RMB11.10 trillion,representing a year-on-year increase of 14.18%,and the issuance size of local government bonds amounted to RMB9.33 trillion,representing a year-on-year increase of 26.78%.In terms of credit bon

212、ds,the aggregate issuance size amounted to RMB18.98 trillion,representing a year-on-year increase of 5.07%,among which the issuance size of financial bonds and corporate bonds increased,while the issuance size of asset-backed securitization declined.In the overseas market,as the Federal Reserve of t

213、he United States raised interest rates and further tightened the monetary policy,the yield rate of U.S.bond fluctuated at a high level,and the issuance size of offshore bonds issued by Chinese enterprises declined.In 2023,the aggregate issuance size of offshore bonds issued by Chinese enterprises am

214、ounted to US$68,199 million,representing a year-on-year decrease of 25.10%.2023 Annual Report29CITIC Securities Company LimitedManagement Discussion and AnalysisActions and achievementsThe Company maintained its leadership in the debt financing business and underwrote a total of 4,200 bonds in 2023,

215、ranking first among securities companies.The total underwriting size amounted to RMB1,909,992 million,representing a year-on-year increase of 21.01%.The Company contributed 6.85%of the total underwriting size of the market,ranking first in the market,and 14.14%of the total underwriting size of secur

216、ities companies,ranking first among securities companies.20232022ItemsLead Underwriting size(RMB million)Number of IssuancesLead Underwriting size(RMB million)Number of IssuancesEnterprise bonds27,1663139,03345Corporate bonds405,828938354,186722Financial bonds463,254324390,774247Medium-term notes119

217、,57824483,123140Short-term commercial papers27,7066718,78550Private placement notes12,2644010,09233Asset-backed securities210,564835229,811836Convertible bonds/exchangeable bonds28,3462453,97426Local government bonds615,2861,697398,8021,4561,909,9924,2001,578,5813,555Source:Wind Info and the Company

218、s internal statisticsIn respect of offshore bonds issued by Chinese enterprises,the Company completed a total of 134 bond issuances with a total underwriting amount of US$2,418 million,accounting for a market share of 3.55%and ranking first among the Chinese securities companies.In addition,the Comp

219、any also provided customers with structured and leveraged financing,risk solutions,cross-border liquidity management and other diversified services.Outlook for 2024The Company will continue to provide professional comprehensive debt financing services,strengthen the development of strategic clients

220、such as central SOEs and financial institutions as well as clients in strategic emerging industries,and actively develop overseas clients in line with the national Belt and Road Initiative.The Company will continuously promote innovative debt financing business,increase investment in science and tec

221、hnology innovation bonds,green bonds and rural revitalization bonds,collaborate to build a complete business ecology from Pre-REITs to publicly-offered REITs,and serve the construction of multi-level REITs market.The Company will seize the opportunity of opening up the bond market,give full play to

222、the full-product service advantages of domestic and overseas debt financing,continue to explore the businesses opportunities such as Panda Bonds,and vigorously expand businesses like offshore bonds issued by Chinese enterprises,and U.S.dollar-denominated bonds in Southeast Asia and other overseas ma

223、rkets,so as to improve the competitiveness of its overseas bond business.30Management Discussion and AnalysisFinancial advisory servicesMarket conditionsAccording to Dealogic,in 2023,the total amount of global merger and acquisition transactions announced reached US$3.16 trillion and the number of t

224、ransactions amounted to 36,700.On a sector basis,the electronics and computer sector was the most active,with the size of merger and acquisition transactions announced amounting to US$548,559 million,accounting for 17.35%of the size of merger and acquisition transactions announced;the medical and he

225、althcare sector followed with the size of merger and acquisition transactions announced amounting to US$440,845 million,accounting for 13.95%of the total amount of merger and acquisition transactions announced.3,132 merger and acquisition transactions involved Chinese enterprises were announced in 2

226、023,with a transaction size of US$342,455 million,of which 435 were cross-border transactions,with a transaction size of US$81,332 million.Actions and achievementsIn 2023,the Company completed many transactions dealing with material assets restructuring of the China-based companies listed on the A-s

227、hare market;the transaction size amounted to RMB118,070 million,ranking first in the market.The Company completed a number of influential merger and acquisition and restructuring transactions in the market,including the material asset restructuring of Yangtze Power and the material asset restructuri

228、ng of CECEP Equipment.The size of global merger and acquisition transactions involving Chinese enterprises completed by the Company amounted to US$51,795 million,ranking second among the Chinese securities companies.The Company continued to strengthen its global merger and acquisition business expan

229、sion,for instance,assisting Rongsheng Petrochemical in reaching strategic cooperation with Saudi Aramco,a new overseas investor,and assisting the acquisition of a listed company engaging in cement manufacturer in Oman by Huaxin Cement,thereby serving the overseas merger and acquisition of excellent

230、Chinese enterprises.Outlook for 2024The Company will continuously strengthen the construction of merger and acquisition expertise,conduct industry and market research and analysis,initiate merger and acquisition transactions,and consolidate and enhance the market-leading advantages.The Company will

231、actively seize merger and acquisition transaction opportunities such as merger and acquisition and restructuring of central SOEs and SOEs,private equity transactions,control acquisition and risk mitigation,enrich and innovate merger and acquisition professional services,promote the role of merger an

232、d acquisition and restructuring in optimizing resource allocation,and help improve the quality of enterprise development.The Company will continuously improve the global network layout,strengthen the business development of outbound merger and acquisition of Chinese enterprises,inbound merger and ac

233、quisition of foreign enterprises,and industrial merger and acquisition and privatization of overseas-listed companies,and strengthen the merger and acquisition service capabilities in the international market,so as to increase its competitiveness in global merger and acquisition business.2023 Annual

234、 Report31CITIC Securities Company LimitedManagement Discussion and AnalysisThe business of New OTC MarketMarket conditionsThe intensified reform in BSE propelled the ongoing positive evolution of the New OTC Market.In 2023,another 326 enterprises were listed on the New OTC Market,representing a surg

235、e of 23.48%year-on-year.Among them,more than 30%enterprises were national-level specialized and sophisticated“little giant”.The private issuance size of enterprises listed on the New OTC Market reached RMB17,120 million.Among them,77 enterprises recorded a financing size of RMB50 million or more,acc

236、ounting for 15.84%of the above listed enterprises with private issuance.Actions and achievementsThe Company continued to operate the business of New OTC Market on the basis of expanding the customer coverage,and increased the coverage of innovative SMEs by seizing the historical opportunity resultin

237、g from the deepened reform of the multi-level capital market.In 2023,the Company,as the chief agency broker of the New OTC Market,completed the listing of seven companies and assisted listed companies in raising RMB561 million through private placement.It continuously supervised a total of 24 listed

238、 companies,of which 13 companies have entered the innovation layer.Outlook for 2024The Company will further enhance its business layout in the domains of new technologies,new industries,and new business models.It will delve deeper to identify high-quality clients with a focus on specialization,refin

239、ement,distinctiveness,and originality,and endeavor to provide superior investment banking services to innovative SMEs,and help improve the capital markets ability to serve early-stage and growth-stage enterprises.Wealth managementMarket conditionsIn 2023,the SSE Composite Index decreased by 3.70%,th

240、e SME Composite Index decreased by 8.47%,and the ChiNext Composite Index decreased by 5.41%.The average daily trading volume of equity funds in the domestic securities market was RMB991.7 billion,representing a year-on-year decrease of 3.10%.The Hong Kong Hang Seng Index decreased by 13.82%,the Hang

241、 Seng China Enterprises Index decreased by 13.97%,and the Hang Seng TECH Index decreased by 8.83%.The average daily trading volume in the Hong Kong securities market was HK$105.0 billion,representing a year-on-year decrease of 15.93%.Actions and achievementsIn 2023,the Company focused on refined cus

242、tomer operation in respect of domestic wealth management,optimized the organizational structure,and strengthened the headquarters role in empowering branches and leading business development.The Company built a team of experts from diverse backgrounds,innovated the wealth management service model,an

243、d provided comprehensive financial solutions covering the entire life cycle of“People-Family-Enterprise-Society”for customers.With the goal of improving ease of use and satisfaction,the“Xin E Tou”APP version 5.0 was launched to upgrade user investment experience.As of the end of the Reporting Period

244、,the Company had 14.2 million clients on a cumulative basis,and its total assets of clients under custody remained at a RMB10 trillion level,representing a year-on-year increase of 4%;the scale of non-monetary market public funds remained at RMB190.2 billion,ranking first in the industry.The Company

245、 accelerated its global layout of overseas wealth management business,established the CITIC Securities Entrepreneur Office(Hong Kong)service brand,officially launched a wealth management platform in Singapore,which has expanded the scope and content of international services,thereby better providing

246、 global asset allocation and transaction services for domestic and foreign clients.The Company strengthened its services to high-net-worth clients and accelerated the further transformation of wealth management business through the service model of“Account Manager+Investment Consultant”.In 2023,the

247、sales revenue from wealth management products doubled year-on-year,as a result of the increase in overseas high-net-worth clients.32Management Discussion and AnalysisOutlook for 2024The Company will continue to rely on the huge development potential of the wealth management market,adhere to the deve

248、lopment direction and path of wealth management,focus on accelerating the building up of buyer service capabilities,promote the all-employee investment advisory development strategy,provide customers with comprehensive financial solutions,better meet residents wealth management needs,and facilitate

249、the achievement of common prosperity,and will finely serve the wealth management needs of key institutional client base which includes listed companies,SOEs and government platforms,financial peers,and professional investment institutions to better fulfill the function of the capital market and help

250、 the high-quality development of the real economy.The Company will further improve the global wealth management product and service system,expand the overseas territory of wealth management,and gradually enhance the competitiveness in the global wealth management market.Moreover,the Company will upg

251、rade the wealth management platform,use digital means,and innovate the model of developing wealth management business,so as to optimize the customer service experience and discover the needs of customers,accompany them during the service journey and lead them with the professional value.Institutiona

252、l stock brokerage businessMarket conditions(refer to the section titled“Wealth management”)Actions and achievementsThe domestic institutional stock brokerage business of the Company mainly covers services for domestic and foreign professional institutional investors such as public funds,insurance co

253、mpanies,private funds,wealth management subsidiaries of banks,QFIs,WFOEs,etc.The Company continued to maintain its overall leading position in the domestic institutional brokerage business in traditional client business.In particular,the ranking of public fund sub-positions commission income in the

254、first half of 2023 continued to be the first in the market;the number of QFI clients increased to 293 in 2023,ranking first in the market;the key private fund account opening rate amounted to 63%.The Company explored the linkage between the primary and secondary markets and deepened multi-dimensiona

255、l cooperation with equity investment institutions,financial peers and other wealth management institutions in the market.The offshore institutional stock brokerage business of the Company continued to maintain its leading market share in the Asia Pacific region.The Company further expanded its globa

256、l presence,coordinated the differences between domestic and overseas business models,and built an integrated global institutional stock brokerage business platform.The Company expanded from cash services to asset services,transformed from single business-driven model to a multi-business collaborativ

257、e model,to provide differentiated and specialized integrated financial services for global clients.Outlook for 2024Relying on domestic and overseas business advantages and customer resources,the Company will continuously promote the integration and expansion of the stock brokerage business for globa

258、l institutions.The domestic and overseas institutional stock brokerage business will continue to deepen the operation of existing client base,optimize the business synergy within the Group,establish an integrated global stock institutional brokerage business platform,enhance the level of service to

259、its traditional client base,including public,private and foreign institutional clients,while actively expanding its market presence in new fields and new business models,promoting business innovation with a global perspective,and providing support for the trading needs of various types of investors.

260、2023 Annual Report33CITIC Securities Company LimitedManagement Discussion and AnalysisFinancial marketsMarket conditionsIn 2023,the CSI 300 Index decreased by 11.38%and the CSI 500 Index decreased by 7.42%.Large-cap and growth-style stocks underperformed,while low-valuation and high-dividend stocks

261、remained stable,with a significant growth in the artificial intelligence stocks.The communication,media and computer sectors led the way of growth in the overall market,and the sectors in which large central enterprises and state-owned enterprises with low valuations concentrated,such as coal,petrol

262、eum and petrochemicals,also showed a moderate upward trend in general,while the real estate-related industry chain sectors declined mostly.In the major overseas markets,the S&P 500 index,Nasdaq index,the European STOXX 50 Index and the Nikkei 225 Index increased by 24.23%,43.42%,19.19%and 28.24%,res

263、pectively,while the Hang Seng Index and the Hang Seng TECH Index decreased by 13.82%and 8.83%,respectively.Chinas bond market fluctuated and increased during the year with solid returns,with the China Bond New Composite Index rising by 4.75%.Interest rates for key medium-and long-term maturities of

264、treasury bonds fluctuated and declined to historical low point.Actions and achievementsEquity derivatives business is continuously deepening its product innovation,improving its business layout and expanding its application scenarios,and generally maintained a broad customer base,rich product supply

265、,outstanding trading capabilities and stable income.Counter products are also being developed to further enrich the coverage of underlying assets and structural types.In addition,the market-making business is consistently ranking among the top in the market,making the Company one of the first to lau

266、nch market-making trading of stocks on the STAR Market,providing high-quality liquidity to the market.Moreover,overseas equity derivatives business transactions cover international mainstream markets,and provide clients with one-stop investment trading services in global markets across time zones.In

267、 terms of fixed income business,the Company gave full play to the advantages of customer resources,actively broadened domestic and overseas layout,expanded customer coverage and service network,and built a business platform that closely connected customers and the market.The fixed income business co

268、ntinued to enrich the profit model,improved the comprehensive ability in product design and transaction service,and provided customers with comprehensive financial services.The Company maintained its number one position in the industry in terms of sales scale of interest rate products for consecutiv

269、e years.In terms of equity proprietary trading business,the Company insisted on focusing on the fundamentals of listed companies,focused on reducing portfolio volatility and enhancing the ability to resist the impact of external macro factors,and expanded various non-directional investment layouts,a

270、chieving phased results in model transformation,and basically establishing a diversified business framework.Margin financing and securities lending business,centered on the business philosophy of focusing on customers needs,strengthened the coverage of core customer groups and enriched business scen

271、arios,and maintained a leading market share,and continued to enhance the efficiency of strategy development and trading service provision based on product and service capabilities;the stock pledge business adhered to the business objective of serving the real economy,and the quality of credit assets

272、 continued to be optimized,with the growth rate of the scale leading in the market;and the overseas business,with its increasingly enriched product systems and business modes,further enhanced the business management capability while achieving growth in the business scale.The alternative investment b

273、usiness uses new technologies such as artificial intelligence to continuously iterate existing strategies,accelerate the development of new strategies,enrich the variety of strategies,diversify portfolio downside risks and actively and effectively adjusted its strategic allocation according to the c

274、haracteristics of market styles to continuously improve the efficiency of capital utilization.34Management Discussion and AnalysisThe commodities business continuously provided good risk management for industrial customers and asset allocation services for financial institutions.With risk management

275、,product innovation,system support and comprehensive financial services as its core competitiveness,it further improved its quality and efficiency in serving the real economy,aiming at being a major service provider for comprehensive solutions to the price risk of commodities for domestic industrial

276、 customers,the first-class trader and market maker in domestic and foreign commodity derivatives markets,further strengthening the breadth of customer market coverage and depth of customer service,and maintaining its leading position in the industry.Outlook for 2024The equity derivatives business wi

277、ll stick to a customer-oriented principle and create value for customers,further establish specialized platform features in improving product supply and enriching the integrated service ecology,etc.It will continuously improve trading and risk control capabilities,promote digital operation,focus on

278、specialized features,build an international integrated business platform,and provide customers with a global multi-market and all-day one-stop investment and trading experience and integrated financial services.In terms of cross-border derivatives business,the Company will benchmark the derivatives

279、business of world-class investment banks,improve the ability in product design and trading service,enrich product lines,consolidate the advantage of“Chinese assets”,and strengthen international and regional layout,so as to become a stock derivatives provider with strong international competitiveness

280、 in the Asia-Pacific region in the medium-and long-term.The fixed income business will make further efforts in the exploration of the customer market,grasp emerging business opportunities,enrich the product system,and provide diversified and targeted comprehensive financial service solutions centere

281、d on customer needs.We will continue to develop cross-border business,unceasingly explore domestic and foreign customer resources,boost the development of business innovation,and promote the joint development of domestic and overseas business.The equity proprietary trading business will optimize its

282、 investment research system,strengthen the integration of macro,meso and micro research,develop a multi-strategy business platform,strengthen the basic system platform and investment capacity,improve business stability and return certainty,and enhance its capital utilization capability.Margin financ

283、ing and securities lending and stock pledge businesses will continue to comprehensively enhance the business management capabilities,strengthen the compliance and risk management capabilities,continue to optimize the layout of domestic and overseas business,reinforce the differentiation management o

284、f customer bases and the construction of regional business centres,continue to enrich the types of products and strategies,optimize customer marketing,service,pricing and risk management models,cultivate the ability to manage international assets and serve international customers,and continue to pro

285、vide domestic and foreign investors with comprehensive financial services of all categories,links and processes.2023 Annual Report35CITIC Securities Company LimitedManagement Discussion and AnalysisThe alternative investment business will focus on continuous research and development in terms of data

286、,factors and models to develop new strategies for both domestic and overseas markets.It will increase investment and research in the non-factor part of the business,and improve the profitability of the strategies in terms of factor combinations and multi-cycle optimization.In terms of customer marke

287、t,the commodities business will strengthen regional synergy,subdivide industry coverage,and optimize customer structure;in terms of product provision,we will continue to enrich the application scenarios of commodity derivatives,provides precious metal trading services for the whole industry chain,in

288、crease the supply of anti-inflation products and strategies,and provide high-quality risk hedging and investment allocation tools for customers around the world.Asset ManagementMarket conditionsIn 2023,the asset management industry grew modestly in scale and made steady progress around the direction

289、 of high-quality development,with each sub-sector showing differentiated development characteristics.In the future,asset management organisations should continue to enhance their core competitiveness around investment management,risk management,customer service,product layout,etc.,so as to promote t

290、he transformation and development of the real economy and protect and escort the value of peoples property.Asset management business of the Company and CITIC Securities AM Actions and achievementsIn 2023,CITIC Securities AM officially commenced operation,marking a smooth transition of the Companys a

291、sset management business to CITIC Securities AM for diversified licensed operations.On the domestic business front,the Company received an A grade for corporate fundamentals in the evaluation conducted by the National Council for Social Security Fund.It promoted the transformation towards active man

292、agement and the construction of specialization,systematization and refinement,further optimized its banking business structure,and strengthened the development of corporate client bases,resulting in an increase in both the number and scale of corporate clients.The overseas asset under management(“AU

293、M”)witnessed steady growth,with the successful issuance of two public funds and the launch of Cross-boundary WMC products.As of the end of the Reporting Period,the total AUM of the Company amounted to RMB1,388,461 million,including CAM,SMA and SAM,with a size of RMB297,704 million,RMB841,715 million

294、 and RMB249,042 million respectively.The market share of the Companys privately-offered asset management business(excluding pension business,publicly-offered collective investment schemes and asset-backed securitization products)was 13.71%,ranking first in the industry.AUM(RMB million)Income from Ma

295、nagement Fee(RMB million)Category2023202220232022CAM297,704503,3071,0491,507SMA841,715914,4859941,366SAM249,042275,2715073 Total1,388,4611,693,0632,0932,946Source:Statistics from the CompanyNote:The AUM includes both the Company and CITIC Securities AM.The CAM includes collective investment schemes,

296、excluding pension products;the SMA includes pension business;and the SAM includes asset-backed securitization products.36Management Discussion and AnalysisOutlook for 2024The Company will adhere to a professional,systematic,and refined investment research management philosophy for its asset manageme

297、nt business and steadily advance the construction of investment research capabilities,so as to form a portfolio management model that matches the attributes of funds and enhance investors experience.The Company will continue to improve its capabilities in asset discovery,risk pricing,and customer se

298、rvice.CITIC Securities AM will actively promote the application for public offering licenses,continue to optimize the structure of domestic business,build competitive advantages in asset management with investment banking characteristics,and provide comprehensive services with all scenarios and dive

299、rsification around customer needs.The Company will expand the scale of cross-border business and enrich the spectrum of product strategies.China AMCActions and achievementsIn 2023,China AMC maintained industry leadership in the number of products established,with medium-term results in its equity fu

300、nds ranking the top in the industry.The performance of its social security investments was outstanding,and its ETF scale and incremental growth maintained industry leadership.The scale of its monetary funds achieved rapid growth.It actively promoted the three pillars of pension business,led the deve

301、lopment of consumer REITs business,officially obtained the license for equity investment subsidiary,and efficiently empowered business development with several leading technological applications.Continuously strengthening team building,China AMC further increased its assets under management.As at th

302、e end of the Reporting Period,the total AUM of China AMC reached RMB1,823,564 million,of which,the AUM of public funds reached RMB1,317,644 million and the AUM of institutional and international businesses reached RMB505,920 million.Outlook for 2024China AMC will continue to uphold the principle of

303、high-quality development.It will persistently improve its product portfolio while reinforcing its core investment research and asset allocation capabilities to consolidate the advantage of its traditional business.Additionally,China AMC will lead the development of innovation business,and expand the

304、 scale and scope of its institutional and international business.It will also promote the Companys digital transformation and strengthen the human resources system,thereby maintaining its comprehensive competitiveness in the industry.CustodyMarket conditionsIn 2023,due to the market performance,the

305、growth of public fund size slowed down and the asset size of public funds reached RMB27.60 trillion at the end of the year.The reform of the public fund rate was conducted orderly,the reform in the investment side continued to advance,and the structural reform of supply side achieved preliminary suc

306、cess.Regulations on the Supervision and Administration of Private Investment Funds(私募投資基金監督管理條例)was officially issued and came into force,under which.the efforts to supervision were continuously strengthened,the admittance threshold of the industry continued to raise,the growth of filing private fun

307、ds slowed down,and the asset size of private funds reached RMB20.58 trillion at the end of the year.2023 Annual Report37CITIC Securities Company LimitedManagement Discussion and AnalysisActions and achievementsIn 2023,the Company continued to enhance its customer service network,focused on improving

308、 its capabilities to address customer demand and research and develop new services,and took the lead in the industry by introducing a range of innovative service solutions:CITICS Investment Services Company Limited(中信中證投資服務有限責任公司),a subsidiary of the Company,was the first batch to register through a

309、 private investment fund electronic contract service agency;the Company pioneered a new generation of real-time transfer agency(RTA)service in the industry.The Company successively launched a suite of services such as artificial intelligence filling,asset pricing,private fund auditing,automated sett

310、lement of funds and the Argos fund investment research platform,among others.The Company also provided the first Hong Kong Limited Partnership Fund(LPF)in the offshore fund service and launched a foreign currency funds clearing system platform.The Company continued to facilitate cross-business syner

311、gies and regional collaboration mechanisms to ensure that customer demands for services across markets,channels and product lines were met.As of the end of the Reporting Period,the Companys asset custody and fund outsourcing business experienced steady growth.The Company provided asset custody servi

312、ces for 15,014 products and fund outsourcing services for 16,983 products.Outlook for 2024The Company will enhance the convenience and universality of services for investors,enrich the service categories for professional investment institutions,consolidate and increase the market share of private se

313、curities fund,public fund and offshore fund services,actively seek other qualifications for custody business,and participate in the construction of the Companys digital integrated institutional customer service ecosystem to contribute to the high-quality development of the financial services industr

314、y.Equity investmentMarket conditionsIn 2023,Chinas equity investment market as a whole continued its downward trend.According to Zero2IPO Researchs data,in terms of fundraising,the number of new funds raised in Chinas equity investment market in 2023 was 6,980,representing a year-on-year decrease of

315、 1.1%;the total amount was RMB1,824.471 billion,representing a year-on-year decrease of 15.5%.In terms of investment,the number of investments in Chinas equity investment market in 2023 was 9,388,representing a year-on-year decrease of 11.8%;the disclosed investment amount was RMB692.826 billion,rep

316、resenting a year-on-year decrease of 23.7%.Among the investments,state-owned investment institutions remained highly active,guiding market capital injection into semiconductor,new energy,automotive and other fields.In terms of exits,the number of exits in Chinas equity investment market in 2023 was

317、3,946 in total,representing a year-on-year decrease of 9.6%.The number of IPO of invested enterprises A Shares exits in 2023 was 1,348 in aggregate,representing a year-on-year decrease of 38.3%,against the backdrop of a periodic slowdown in new share issuance in Shanghai and Shenzhen.CITIC Securitie

318、s InvestmentActions and achievementsCITIC Securities Investment actively supported the national strategic needs,carried out a systematic layout around strategic emerging industries,deeply explored high-quality enterprises in fields such as new industrialization,transformation and upgrading of the ma

319、nufacturing industry,independent innovation and cutting-edge technology,focused on enterprises with great growth potential and leading product technology advantages,empowered invested enterprises through synergies,and steadily deployed its investment resources in fields such as advanced intelligent

320、manufacturing,new energy,information technology,new materials and biotechnology.38Management Discussion and AnalysisOutlook for 2024CITIC Securities Investment will continue to enhance its research transformation capabilities,implement the ESG investment concepts,continue to be guided by the nationa

321、l strategic needs,endeavour to serve the real economy and scientific and technological innovation,further increase the certainty of investment,and steadily deploy high-level scientific and technological self-reliance and advanced manufacturing industries,so as to inject more vitality into the high-q

322、uality development of the economy and society.GoldStone InvestmentActions and achievementsAs a platform for the Company to raise and manage private equity investment funds,GoldStone Investment continued to give play to its own advantages in fundraising,and completed the filing of new funds of RMB16.

323、790 billion in 2023.GoldStone Investment,as a fund manager,supported the layout of emerging industries in line with the national strategies by way of equity investment,continued to invest in technology innovation enterprises that served the real economy,undertook the construction of major national p

324、rojects,broke through the“stranglehold”key technologies,ensured the stability of industrial chain supply,and implemented the carbon peaking and carbon neutrality strategies.It had invested in a number of enterprises with core competitiveness in fields such as new materials,new energy,new generation

325、of information technology,high-end manufacturing,healthcare and modern services to support the national science and technology innovation strategies by way of equity investment.From the establishment of the first REITs fund in China in 2014 to the end of the Reporting Period,CITIC GoldStone Fund,a w

326、holly-owned subsidiary of GoldStone Investment,has cumulatively established property private funds of approximately RMB34.982 billion,ranking the forefront among the property funds with the cumulative management scale in China.Outlook for 2024GoldStone Investment adopts the method of“top-down,resear

327、ch first”to explore investment targets,and will continue to focus on enterprises with forward-looking technology and high-tech barriers in national strategic emerging industries,and continuously empower enterprises in post-investment management to enhance the industrial value.ResearchIn 2023,the res

328、earch business achieved the integration of domestic and foreign teams,gave full play to the value of research,continued to expand the coverage of global listed companies and enterprises,actively served the Companys domestic and foreign customers,comprehensively and systematically supported the Compa

329、nys various businesses,and created a multi-dimensional brand influence.Research is conducted both domestically and internationally to achieve bi-directional product conversion and service provision.Throughout the year,our domestic team covered 2,400 listed companies and 1,000 unlisted enterprises,wh

330、ile our foreign team covered 1,300 listed companies.We actively explore new models of research business and launch comprehensive research services such as industrial research and ESG consulting for corporate clients.Throughout the year,there were over 3,000 new service agency clients both domestical

331、ly and internationally,covering a total of 15,000 institutional clients.Throughout the year,88 on-site conferences were held domestically,covering 24 provinces and municipalities,providing strong support for regional customer development,and 4 large-scale forums were held overseas.The number of cita

332、tions in the mainstream media and reading volumes on various platforms of research viewpoints has continued to increase,while market influence,industrial influence,and social influence have continued to increase.The Company undertakes various major projects and provides important intellectual suppor

333、t to government authorities.2023 Annual Report39CITIC Securities Company LimitedManagement Discussion and AnalysisIn 2024,the research business will further expand its research influence,improve the level of global integration research,and consolidate its leading advantages.The research business will further expand the research coverage of listed companies and the service coverage of institutional