Research On The Appropriate Management Of Investors Of Guotai Junan Securities Jilin Branch

In recent years, the market competition of the securities brokerage businessbecomes increasingly fierce, and the development model of securities companieswhich rely solely on reducing commission as a competitive tool has been difficult tosustain. With the decline of commission income and the long-term downturn ofmarket, the securities company’s revenue is difficult to grow, and many securitiesfirms fell into losses, so restructuring has become a necessity. Securities Companiesare difficultly searching a development road that no longer “depending on heaven forfood”. Providing customers with real service and supplying clients with effectiveasset allocation and wealth management are to increase the value of client assets andsafeguard the interests of investors, which are feasible development direction ofsecurities companies in the future. From an investor’s perspective, the appropriatemanagement of investors is also appropriate services to investors, which are thestarting point of all services of Securities Company. We define the appropriatemanagement of investors as providing the appropriate investors with right products atthe right time with an appropriate way. Moreover, the appropriate management ofinvestors required Securities Company to provide appropriate services in the light ofthe client’s financial situation, investment knowledge, investment experience and riskappetite etc. Only truly realize appropriate management for investors can we trulyfind the needs of investors and reduce the risk of customers, finding suitable productsand services of investors, can we carry out a reasonable asset allocation and servicematching, reducing the impact of market volatility to clients assets. In the ordinary course of trading by dynamically adjusting the client’s portfolio, we can achievecustomer value of the assets, thereby expanding the customer’s asset size. Only in thisway can the securities companies get more asset management fees, offsetting thenegative impact of the decline in commission income.At present, the Investors’ appropriate management of the domestic securitiescompanies is still in its infancy. What’s more, the appropriate management system forinvestors which relying on the various regulatory of authorities and self-regulatoryrules is still in the exploratory stage. After the launch of the GEM, from the limits ofcustomer transactions time to the requirements of margin trading business to tradingexperience for the customer, asset size, opening time, expertise, and further to therequirement of stock index futures, bond futures and other financial instruments forinvestors expertise, our Investors in the appropriate management system is graduallydeveloping. The securities company that was regarded as the main implementingagency by investors’ appropriate management should take appropriate management asthe basis for various services, especially for the retail customers of brokeragebusiness, but it should at the appropriate management of the premise, meeting clients’wealth management needs. Securities companies only through continuousimprovement in the appropriate management level can be continuously improveservice capabilities, providing customers with truly valuable service and can becontinuously improve customer satisfaction and customer loyalty, therefore achievingthe real transformation in the securities brokerage businessGuotai Junan Securities Jilin branch is a branch of Guotai Junan Securities inJilin Province, during the establishment of the three year period, relying on thecompany’s brand and the joint efforts of all employees and in the branch under theleadership of leaders, through continuous efforts, in an economically underdevelopedprovinces, it achieved remarkable results. Meanwhile among the securitiesinstitutions in the province, their various business metrics and business were ranked among the best, income levels and market share are maintained to upward trend. As alarge securities company branches in remote provinces, as the top-ranking in theprovince securities institutions, Guotai Junan Securities Jilin branch made someachievements, but not yet out of the brokerage business mainly and retail investors asthe main customer groups, relying solely on the brokerage business income situation,the income characteristic of " depending on heaven for food " is very obvious. Basedon customer data analysis and actual research, the main problems for the Jilin branchare: in the dominated structure by retail investors, customers have the most risk assetsfor the stock, during the sustained downturn of the stock market, customers suffereda great loss; companies can not actually understand the real needs of customers,lacking effective service means and processes to enable customers to truly perceivethe company’s services; perception of customer service is poor and they are lack ofservices stickiness to company.According to the problems faced by Jilin Branch, to the causes of the problem,the impact of the problem and the necessity of improvement, the author made adetailed analysis. Jilin Branch of the problems faced by securities firms are also themost typical problems faced by branch because the appropriate management ofinvestors does not really get implemented, not embed in the entire services process,leading to the entire service in the initial design stage lost investors risk tolerance andinvestment needs based on the fundamental analysis of this. The company is justguesswork customer needs, but unable to provide customers with a valuable service.On the basis of investors in the appropriate management of the basic principle,the author presents Jilin Branch of Investors for management improvement program.By understanding the customers, the products, customers and investment productsmatching, dynamic management and service such as program design, the corporationcompletely changed the lack of appropriate management of the issue for investors,and on this basis, securities institutions to change the business model, hoping to through Jilin Branch of case, for the whole industry Investors in managementimprovement providing advice and reference.