Investment Promotion CITIC Competes For The Market Of Clothing Industry

In the first half of 2012, 8 of the top 10 research institutes with the highest income from separate warehouses declined, with CITIC Securities (10.76, 0.24, 2.28%) as the top one

The 2000 point is in jeopardy, but it does not affect the beginning of a new round of voting war among analysts.

On August 31, CITIC Securities held the fashion clothing The high-end forum attracted a number of clothing listed companies and institutional customers to participate. The day before yesterday, China Merchants Securities (Weibo) (9.93, -0.09, -0.90%) also held a high-end forum on branded consumer goods in Shanghai.

Before that, many clothing listed companies and institutional investors had received invitations from CITIC Securities and China Merchants Securities. "It's hard for both of them to refuse. They just went on a business trip to Shanghai, and both of them attended." A person from a clothing listed company in Shenzhen responded.

The seemingly coincidental schedule actually has a mystery. "After knowing that CITIC will hold an event on the 31st, China Merchants Securities must arrange the time the day before CITIC." An industry insider in Shanghai said, "The two securities companies are pulling each other's strings, telling company executives not to attend other people's conferences, and then mobilizing listed companies to hold model shows."

This is not an isolated case. The harsh and abnormal market and industry environment has forced the seller's analysts to the bottom line of professional dignity. According to insiders, last year, Huatai and its analysts helped institutional customers buy houses in Shenzhen in groups; A securities firm helped fund customers to buy jewelry of Lao Fengxiang (20.35,0.42,2.11%) in group. It is reported that people from China Post Fund are one of its main group buying customers; This year, CITIC Securities provided group purchase services for customers of mattresses, quilts and bamboo mats.

CITIC Investment Promotion Clothing Forum Behind the fighting method

It is said that the chess match is perfect. This time, CITIC Securities and China Merchants Securities both set the clothing forum in Pudong New Area of Shanghai, and the time was just before and after.

On August 30, China Merchants Securities held a high-end forum on branded consumer goods at the New Sky Havana Hotel in Pudong New Area, Shanghai. It is reported that Jinba Men's Wear, Xinhe Shares, Fuanna (36.30, -0.70, -1.89%), Toread (18.330, -0.27, -1.45%), Septwolves (21.56, -0.25, -1.15%), Aokang shoes Companies such as Ye and Souyute (23.79, - 0.15, - 0.63%) all attended the ceremony.

CITIC Securities also showed no weakness. On August 31, CITIC Securities held a high-end fashion clothing forum in Shanghai Dahua Splendid Holiday Hotel. CITIC attracted a large number of clothing companies to participate, including Vancl (Weibo), Jiumuwang (22.67, -0.42, -1.82%), Baoxiniao (11.20, 0.01, 0.09%), Kanudi Road (39.68, 0.87, 2.24%), and Lucco.

Two days before the meeting, CITIC Securities also specially arranged a research day for Fuanna and Lucco. During this period, new product press conference, exchange meeting of listed companies and other links were specially set up.

"There are too many people to hold so many people. We originally planned to have more than 200 people to attend, but now there are nearly 400 people, and all the listed companies that we recommended have come." Referring to the attendance spin Clothing analysts can't hide their happiness.

Competition is inevitable. The two brokerages have made every effort to attract closely related companies and institutions. "Both sides are familiar, so it's hard to refuse. Anyway, they are in Shanghai every other day," said a person from a well-known clothing listed company in Shenzhen.

"Competition is very normal. They do what they do, we do what we do, and we have our own plans." A textile and clothing analyst from CITIC Securities responded.

The model show is indispensable. This is not unprecedented in the textile and clothing industry. Last September, Everbright Securities (11.31, -0.03, -0.26%) Institute held Clothes & Accessories In the industry forum, the catwalk female model brand underwear show excited fund managers and researchers present that night. The seller's female analysts are very clear that this is the most direct and effective way to stimulate adrenaline in the male dominated buyer's organization.

And the clothing industry has always been the place where CITIC and China Merchants Card compete in wealth appraisal. In recent years, Li Xin team of CITIC Securities and Wang Wei team of China Merchants Securities have taken turns to be the top three best analysts of New Fortune.

But listed companies are not enthusiastic about this. "I received an invitation letter. But our chairman and secretary of the board of directors are away on business, and they don't attend. This forum is mainly for institutional investors, and what should be discussed will not be discussed on this occasion, so the activity is of little significance. In fact, we prefer to participate in some professional high-end clothing shows with more targeted audiences." A person from a clothing listed company in Zhejiang said. More than a dozen clothing listed companies also said to the reporter of Financial Weekly that they did not know about the forum or did not care about it.

"To put it bluntly, all kinds of forums are actually canvassing in disguise. It is not a good thing that the mentality of the seller's analysts is becoming more and more impetuous and entertaining." A senior executive of a large securities firm research institute in Shanghai is worried, "entertainment has covered up serious problems in the seller's industry."

Weak market houses, jewelry and pillows

Even the most powerful seller's analyst can't beat the long bear market. In the bear market, the service content of the seller's analysts to the buyer's institutions has also increased, one is to serve the buyer, and the other is to generate income in the weak market.

According to several insiders, Huatai United Real Estate Industry Analysts helped institutional clients to buy houses in Shenzhen last year. "The buyer's organization will not give commissions. In fact, it is to help listed companies and institutional customers. Customers are happy to enjoy commissions, and listed companies are happy to sell unsalable houses, and they are happy to be human themselves." A new wealth real estate analyst in Shanghai is meaningful, "As for sellers, they should have a service spirit."

A securities firm is also willing to buy the jewelry of Laofengxiang, a listed company that focuses on tracking, for fund customers. It is reported that members of the China Post Fund have bought a lot in groups.

In May this year, CITIC Securities Research Institute Light Industry Group and Textile and Clothing Group jointly held an activity named "Cool Summer&Happy June 1st Group Purchase" for listed companies and buyer institutions.

In the 43 page activity and product introduction book sent to the buyer's institutions and affiliated listed companies in the name of CITIC Securities, CITIC Securities analysts recommended 11 items to customers, including mattresses and pillows. The manufacturers of these products are mostly listed companies in the research field of analysts, including Xilinmen (10.66, -0.07, -0.65%), Luolai Home Textile (50.72, -0.26, -0.51%), etc.

Among them, institutional customers' orders and payment for goods are in the charge of counterpart CITIC Securities Sales. The staff of CITIC Securities and other customers are directly connected by researchers, which is very pedantic.

The reporter inquired about the matter as a customer. "We just provide some additional services to our customers, without taking commissions, but only occasionally. Usually, it is a bridge between listed companies and customers. These are mainly sent to listed companies and institutions to serve customers," said the aforementioned CITIC Securities textile industry researcher.

Bull markets sell stocks, bear markets sell pillows. On the one hand, there are buyers who hold "votes" and "food stamps"; on the other hand, there is a long bear market, and the professional dignity of seller analysts can not be placed anywhere.

According to Wind information statistics, in the first half of 2012, the total sub warehouse income of securities research institutes was 2.055 billion yuan, and only the sub warehouse income of CITIC, Shenwan and Galaxy securities research institutes exceeded 100 million yuan. Among the top 10 research institutes, 8 have declined to varying degrees. The highest income of CITIC Securities is only 120 million yuan. The revenue of China Merchants Securities and Guosen Securities of the Southern Department declined by 44.5% and 37.8% respectively.