Zhong Guo Jing Ying Bao·2025-06-21 01:30Core Viewpoint - The China Securities Regulatory Commission (CSRC) has released a draft for the revised "Securities Company Classification Evaluation Regulations," marking a significant update to the regulatory framework after five years, aimed at enhancing the functionality of securities firms and promoting high-quality development in the industry [1][2][3]. Group 1: Regulatory Changes - The revised regulations emphasize guiding securities firms to better fulfill their roles and enhance professional capabilities, reflecting the regulatory intent [3]. - The title of the regulations has been changed from "Securities Company Classification Supervision Regulations" to "Securities Company Classification Evaluation Regulations" [1][3]. - The new regulations are aligned with the directives from the 20th National Congress and the Central Financial Work Conference, focusing on improving the service to the real economy and encouraging differentiated development among smaller firms [3][4]. Group 2: Support for Small and Medium-sized Firms - The regulations will optimize business development indicators to support high-quality growth and encourage differentiated operations among smaller firms [4]. - The scoring system has been adjusted to expand the coverage for additional points, allowing more firms to benefit from the evaluation [4]. - New specific indicators have been introduced to promote the development of self-operated investment in equity assets and wealth management services [4]. Group 3: Enforcement and Compliance - The revised regulations include provisions for downgrading evaluation results for firms involved in significant legal violations, enhancing the regulatory response to misconduct [5][6]. - The principle of "proportional punishment" has been emphasized, with adjustments made to the scoring for disciplinary actions and administrative penalties to ensure a balanced evaluation system [6]. - New rules have been established for handling special cases, such as reducing penalties for firms that proactively address legal violations during the evaluation period [6].