Research On The Customer Asset Allocation In Wealth Management Of Guosen Securities

In 2004, the International Monetary Fund(IMF) published the latest “World Economic Outlook” report. According to this report, by the end of 2014 China will make up 16.48% of global Purchasing Power Parity adjusted GDP(or $17.632 trillion), while US will make up just 16.28%(or $17.416 trillion). The gap will grow in the following years, which means China will produce the world largest Gross National Product(GNP) in the future. China national economic has increased rapidly since economic reform. With the growth of wealth accumulation and the habit of saving, Chinese people get chance to know inside of financial management, so the demand of financial management is getting stronger and stronger. In addition, because of the speed of pricing rising is much higher than the bank saving rates, it is necessary and urgent for people to protect their wealth not being depreciation. Those traditional financial products may not satisfy our high value clients.There are many challenges for the industry. The securities industry will gradually face mercerization. Overall commission is decreased recently and one of the reasons is due to Internet finance. Based on this with the growth knowledge of the investor, also from the point of view of securities sustainable development, this thesis discusses the situation and problems of Asset Allocation in the GuoSen securities wealth manager. It also proposes related suggestions to serve clients to manage asset allocation in securities exchange according to national and international advanced Asset Allocation theories. It could be a theoretical guidance and a practical reference to provide a valuable Asset Allocation service system for high value clients to manage their wealth at GuoSen securities.According to analyzing instantiation of Guosen Securities, this paper proves that asset allocation is an effective way to increase customer profitability. It is important to undertake a comprehensive anatomy of asset allocation services and find the existing problems so that it could be able to search an improved asset allocation management. This paper emphasizes that study direction combined with the advanced experience of Merrill Lynch and Goldman Sachs, to increase customer yields and improve enterprises competition.This paper contains five chapters. The first part introduces the background and significance of assets allocation services based on currently national and international asset allocation services situation in real life. The second part describes major theories associated with asset allocation. The third part focuses on the current situation, clients groups, products and services available within the GuoSen securities wealth management. The fourth part points out the gaps and issues of asset allocation process at GuoSen after analyzing risk preference, finance philosophy, organization situation and policy aspects. The last chapter mainly puts forward methods and strategy to solve those problems.While using empirical analysis, this paper studies special in analysis ideals completion and the actual analysis of the effectiveness of the process. Additionally, through analyzing the real business data, the investment yield in asset allocation ways is significantly better than only in stock operation. Also it hopes to establish an asset allocation services system in Securities Company, through the elaboration of the five projects, from the performance, process, quality, knowledge, IT technology in five areas to improve and perfect the actual empirical analysis results make more practical reference value. At the same time, this paper explores the comparison of domestic and foreign markets, and provides in some degree reference and guidance for asset allocation in the cases of highly globalized financial markets.This study has many limitations, such as the underlying assets of the customer asset allocation choices, the correlation of different subject matter, the effectiveness of the market, customers investment career planning, customers changes in risk preference, customer asset allocation not applicable in all situations and so on, all these need to be improved and strengthened. At the same time we analyze customer assets just from the securities account to understand the situation, but the entire customer assets is not only in the securities account, we need consider others assets outside securities account. So we can improve and perfect customer service asset allocation research. Additionally, policy risk is not considered in this paper, but it is unassailable and certainly considered in assets allocations. In short, there are still lots of work to improve assets allocation services in the securities company, to increase customer ROI, to meet customer asset allocation requirements and so on. This is also my later research directions.