TF Securities(SH:601162) Bei Jing Shang Bao·2025-09-11 12:32Core Viewpoint - The frequent regulatory issues faced by brokerage firms, particularly regarding compliance and sales practices, indicate systemic problems within the industry that need to be addressed to ensure proper governance and operational integrity [1][5][7]. Group 1: Regulatory Actions - On September 10, the Shandong Securities Regulatory Bureau issued a notice highlighting two violations by Tianfeng Securities' Weifang Dongfeng East Street Securities Office, including improper use of labor remuneration for marketing expenses and promoting non-Tianfeng private equity funds [4][5]. - This is not the first instance in 2023 where Tianfeng Securities has been "named," with three of its offices receiving regulatory warnings this year, indicating a pattern of compliance issues [4][5]. - Other brokerage firms, such as Changjiang Securities and Everbright Securities, have also faced regulatory scrutiny, with multiple offices being flagged for various compliance failures [5][6]. Group 2: Nature of Violations - The primary violations reported include selling non-company products, unauthorized sales of private equity products, and sales by unqualified personnel [6][7]. - The frequency of these violations suggests a trend where sales practices are prioritized over compliance, leading to a higher incidence of regulatory infractions [7]. Group 3: Industry Implications - The repeated regulatory actions against multiple offices within the same brokerage may reflect deeper issues in compliance management and internal governance, potentially harming the firm's brand image [7]. - Experts suggest that brokerage firms need to enhance vertical management from headquarters to branches, clarify compliance responsibilities, and improve internal audit mechanisms to mitigate these risks [7].