TF Securities(SH:601162) Bei Jing Shang Bao·2025-09-11 16:32Core Viewpoint - The regulatory scrutiny on brokerage firms has intensified, with multiple violations reported across various branches, particularly in sales practices, indicating a systemic issue within the industry [1][2]. Group 1: Regulatory Actions - On September 10, the Shandong Securities Regulatory Bureau issued a notice regarding violations by Tianfeng Securities' Weifang Dongfeng East Street branch, including improper use of brokers' compensation for marketing expenses and promoting non-Tianfeng products [1]. - A total of 20 brokerage branches have been named for violations this year, with Tianfeng Securities having the highest number at three branches, followed by Changjiang Securities and Everbright Securities, each with two branches cited [2]. Group 2: Common Violations - Frequent violations include selling non-company products, unauthorized sales of private equity products by employees, and sales of funds by individuals without the necessary qualifications [2]. - Specific cases include Changjiang Securities' branch facing issues with expense management and compliance personnel conflicts, and Everbright Securities' branch involved in improper client compensation practices [2]. Group 3: Underlying Issues - The high incidence of sales-related violations may stem from performance evaluation practices that prioritize sales over compliance, leading employees to engage in risky behaviors to meet targets [3]. - There is a noted gap in employees' understanding and execution of compliance requirements, particularly concerning new or complex products, which may contribute to the observed violations [3].