Guosen Securities(SZ:002736) Zheng Quan Shi Bao Wang·2024-11-20 18:24Core Viewpoint - The investigation of Wu Guofang, former vice president of Guosen Securities, highlights ongoing anti-corruption efforts in China's financial sector, particularly within the regulatory and issuance supervision areas [1][3][7]. Company Summary - Wu Guofang has been placed under investigation for serious violations and is currently undergoing disciplinary review and investigation by the Central Commission for Discipline Inspection and the Wuxi Municipal Supervisory Commission [1][3]. - Wu Guofang joined Guosen Securities in April 2024, taking over as vice president and head of the investment banking division, and was also elected as chairman of Guosen Securities (Hong Kong) Financial Holdings Limited in May 2024 [4]. - Following Wu Guofang's investigation, Guosen Securities announced his dismissal from the vice president position and his removal from the board of Guosen Securities (Hong Kong) [5]. - Despite the leadership changes, Guosen Securities' investment banking division has maintained a stable performance, ranking 8th among 43 listed brokerages in terms of net income from investment banking fees, which amounted to approximately 252 million yuan in Q3 2024, although this represents a 31.84% decline year-on-year [5]. Industry Summary - The financial sector is experiencing intensified anti-corruption measures, with multiple individuals from issuance supervision backgrounds being investigated since October [2][7]. - The issuance review sector is identified as a high-risk area for corruption, prompting increased scrutiny and enforcement actions by regulatory bodies [7]. - Recent regulatory measures aim to enhance the quality of listed companies by implementing a comprehensive accountability mechanism for violations, including potential lifetime accountability for those found guilty of significant misconduct [8].