Liberalization Of Brokerage Commission Under The Securities Company's Profit Model Analysis

Since 1970s, we have witness a wave of deregulation in world's main security markets. The similar change-abolish of fixed commissions and introduction of negotiated omissions is also seen in China's security markets.Going with the quicken pace of the global economy incorporating and Chinese capital market's opening, it has been commonly concerned by domestic securities dealers that how to learn actively from foreign dealers for their advanced operational pattern, to adjust to the changes that led by free commission policy and build a brand new profitability module.With analysis and comparison of the existing business structures and profit modules of both Chinese and foreign securities dealers, this dissertation has revealed that there are three types of profit pattern as follows: preponderant operation pattern, operation innovation pattern and traditional operation pattern. Using theoretical module, we have analyzed the developing tendency of the profitability pattern of securities dealers and hope to offer a thread to the selection of profitability pattern.As many domestic securities dealers have chosen traditional operation as profit pattern, this dissertation views from both theoretical and practical aspects and probe the operation environment, competition strategy and profitability after float commission policy which acting as the carrier of agent operation. It also analyzes the policy effect caused by the change of commission policy and has compared with advanced pattern of foreign agency operation. It points out the problems of current domestic agency operation and discusses the future transformation of operation patterns.