Tang Jinxi: Future institutions may apply for licenses to encourage cross-listed fund

Sina Finance on March 27 , the Ninth China Securities Investment Fund Industry Asset Management Annual Conference held in Beijing on top of the annual meeting theme of " innovation , integration, inclusive finance " , Sina Finance Graphic live the forum.

The following is the vice president of the China Association of Securities Investment Funds Tang Jinxi Keynote Record:

Tang Jinxi : Distinguished guests, ladies and gentlemen , Hello everybody morning !

Very pleased to have the opportunity to communicate with you here , because the development of the industry in recent years a variety of environments , the policy environment , social environment, policy environment , the market environment has undergone great changes , the innovation and development of these years everyone discussion, we also continue to conduct exchanges associations and research with industry . State Council executive meeting discussed and adopted the day before , that is, innovation and development issues.

First, the fund management or asset management industry faces opportunities and challenges. Basically because we are aware of the problem , I do not start speaking up , you talk about a few points . Opportunities on the one hand to provide a solid foundation from years of sustained and healthy development of the national economy , for the asset management industry . From our country in terms of total assets under management and the proportion of GDP, with the United States and the West is no match compared to the market . Interest rate reform , the reform of state-owned enterprises , as well as the reform of the capital market , eighteen great start after the reforms gradually , these reforms will bring great influence asset management industry investment environment and investment opportunities. Demand for wealth management and pension needs of residents , and will bring a great demand for the asset management industry . Now we see the number of deposits in banks and savings deposits of residents , etc., as well as potential pension needs are great. Effective integration of the Internet and financial , to the innovation and development of the asset management industry provides a significant change on the technical support and ideas .

Meanwhile, we also see challenges exist, from different perspective , one does not realize the asset management industry regulatory functions , the industry lacks a fair regulatory environment , this matter has been discussed for many years. It should be said before we are in discussions to modify " Fund Law " , but due to various reasons, " Fund Law " does not completely solve the problem , and still achieve regulatory agencies , unified business , there is no uniform standards and rules , so will we the asset management industry, especially public fund management industry has brought great challenges.

Second, the number of fund managers continue to increase , species diversity , competition in the industry will be a new pattern. Continuous relaxation from industry access , public fund management institutions, securities firms to expand and now can apply for public fund license. Private equity fund management institutions can apply for a license public offering , according to various agencies Shaw Chairman 's speech after the various agencies can cross- apply for a license , of course, the fund industry can apply for another license. There are already private equity fund management institutions, so the number of public fund management industry will increase, the problem will be more . In volume terms in 2013 the number of public fund management from 73 to 89 , in February 2014 has reached 92 , a large number of changes will happen after 2035 . Fund management industry social image and position in the financial industry will be greatly affected .

Third, the public fund management industry , which I personally think the whole financial system is functioning fairly standard and transparent regulation in all the asset management industry is the most stringent in recent years have not been fully recognized by society , its industry chain in fact, the right to speak on is getting weaker , more and more weak position . And the industry continues to find some irregularities and unlawful phenomenon , greatly damaged the social image of the industry, the social image not improved. Future demand for wealth management and pension needs we have just mentioned, under the asset management needs continue to increase , we raised funds industry is an advantage .

The next period of time , two-way open capital markets will increase the breadth and depth . From the market in terms of capital markets could further open , because now there are QD, RMB internationalization of capital down , the market will further open . From the aspect of organization , it is now in the public fund management institutions in all financial institutions which is the highest increase after opening with a two-way , in fact, this ratio is likely to be a breakthrough. If the fund can both China and overseas mutual recognition , the impact on us is great. Each of our industry agencies, each person is ready to deal with the challenges of a two-way open, there is no psychological preparation , personnel preparation and technical preparation , this is a great challenge.

Overall, the fund industry in the asset management industry, which is fairly standard and transparent , in the past few years has made relatively large growth. Of course, on the size of the gap compared with other large industry 4.7 trillion in assets under management , raised funds 3.5 trillion , the overall feeling hesitant industry , but also a lack of passion . In recent years our industry comparison with other industries , the gap between where we are , from a lot of latitude to speak , there are many reasons. One problem is the focus of today Laijiangjiang corporate governance issues , which I talked about today theme , corporate governance may be one of the most fundamental issues affecting the development of the industry , I am speaking from several aspects .

First, the fund management company 's governance has become an important competitive factors affecting the development of the industry , in recent years the brain drain quickly raised funds from shareholders to management , lack of long-term fund managers , the company is also a lack of long-term planning , in lack of long-term internal assessment mechanism . Executives and fund managers also lack a long-term philosophy, the private equity industry booming in recent years , I was dealing with the public offering , after the association to deal with the more private , competitive advantage is indeed increasing lack of public offering .

Second, the fund management company's management to see how it should be distinguished from other types of corporate governance . Because we are basically in accordance with past governance "Company Law" to discuss governance issues, but fund managers have the particularity that it is mainly human capital , which is the management of assets , should fully reflect the added value of human capital .

Third, to improve the fund management company is facing unprecedented opportunities , the Third Plenary Session of the Party's eighteen clearly a positive development of mixed ownership economy , allowing the implementation of mixed ownership economy and the interests of all workers a total capital . " Fund Law " has played a major role , the Commission [ microblogging ] now modify the fund management approach . So the laws , regulations and policies to further improve corporate governance, to establish long-term constraint mechanism provides a good opportunity.

Fund management companies to explore a wide range of governance , corporate governance because there is a demand for the company. From a practical point of view, a good company must have good governance, there is no good governance certainly not a good company . But the company does not have a unified model of governance , there is no perfect , only suitable inappropriate questions . Corporate governance model and corporate development stage of a relationship, a relationship with the actual situation . Therefore, we must pay attention to the legal environment , social environment, taking realistic model, find the one best suited to develop their own models , to be independent diversified operations, public fund management industry are aware , due to historical reasons the fund management company's management is relatively uniform . Chairman and General Manager had prescribed uniform , even on internal organizational structure has a uniform requirement. From a practical point of view, there are some historical reasons, should now be the time for a change . In the new market environment, we have a far -oriented governance model , according to the legal environment , social environment and the company's own situation to take for their own governance.

In the past , we see how a lot of responsibility in the end positioning is not particularly clear, independent director of fund management companies play a role in the end there , in fact, there are many problems. The board should firmly grasp the principles of fund holders of priority , the Board should focus on the company's development strategy to create a favorable environment for the company's business development , relationship management and the duties of the Board , governance professionals to actively promote ownership , we will see that all have their own interests , each have their own ideas. So we see that there are a lot of corporate governance and management issues , when ESOP open and transparent to adhere to the law giving priority to efficiency , combining the incentive constraint principle , help to mobilize the enthusiasm of employees .

To fully reflect the risks and benefits of constraint mechanism to match the employee's income level and linked to ethics in financial innovation process, we must pay attention to short-term incentives and risk mismatch problem, we have been studying the issue last year, corporate governance , very worried about the short-term problem is a subsidiary of incentives, incentives excessive , resulting in the risk of long-term and short-term incentive mismatch . Association issued a notice last year , also put this thing to tell you .

To explore the diverse forms of organization to encourage fund management company listed , including a latitude, from the aspects of the fund manager , as the new " Fund Law " came out , not only after the fund management company can do Fund Management , a partnership can do Fund management. Now we see that there is no financial derivatives partner agency said, in fact, this is also allowed. In the perspective of fund management companies , fund management companies have only limited liability company, in fact, after the " Fund Law " modifications can be fund management companies , it can be CORPORATION , you can pave the way for the listing of , and we hope to see funds management of listed companies to go on the road .

We want to encourage fund management company with the actual situation , to build a sound management organization model to explore the group, specialized, diversified development path , the fund management company may take the group on the road . Our fund management company in the past are more restrictions , a single mode , single form , the fund management group set up under several different business professionals and companies , for example, can make public offerings, private placements, you can take the group 's business model, but also diversified business model . While encouraging the path of specialization , they can do the things we do , the things not to do or not to do the high cost of specialized agencies to do, so there is outsourced.

Characteristics and culture to build the industry, to accelerate the building of professional ethics , cultivate industry characteristics common philosophy and value system , to form a good culture , we should actively encourage industry innovation , foster innovation, build positive culture of innovation ( 47.950 , 0.00 , 0.00% ) , local awareness of social responsibility , to create a good environment format . Just talked about social image, industry position , if the industry can fulfill its social responsibilities , what is social responsibility , there are many different interpretations , for example, to enhance the social image of the industry.

Distinguished guests, ladies and gentlemen , this is an era of reform, the asset management industry is undergoing a transformation and change , I hope all of you to actively participate in the work of the Association in the past, I wish the annual meeting a success , thank you.