Core Viewpoint - The regulatory authorities are intensifying their crackdown on securities firms that engage in illegal customer solicitation practices, particularly through third-party channels, as evidenced by recent penalties imposed on Zhongshan Securities and Southwest Securities [1][3]. Group 1: Regulatory Actions - Zhongshan Securities' Hefei branch was ordered to rectify its practices due to violations involving unauthorized third-party solicitation and inadequate management of personnel [1]. - Southwest Securities' Dalian branch received a warning letter for similar violations, including improper delegation of customer solicitation to bank staff and incomplete business records [1]. - Other firms, such as China Merchants Securities and Huaxin Securities, have also faced scrutiny for similar third-party solicitation practices [3]. Group 2: Compliance Issues - The "Securities Brokerage Business Management Measures," effective from February 28, 2023, explicitly prohibit securities firms from delegating solicitation activities to unlicensed individuals or institutions [4]. - Many securities firms currently rely on third parties, such as banks and online platforms, for customer acquisition, raising concerns about the licensing status of these third parties [6]. Group 3: Industry Competition - The ongoing practice of third-party solicitation reflects the intense competition within the brokerage industry, characterized by "performance anxiety" among firms [9]. - In the first half of the year, 21 listed brokerage firms reported brokerage income exceeding 1 billion yuan, with the top ten firms accounting for over 60% of the total brokerage income of all listed firms [10]. - The industry is experiencing a "Matthew Effect," where leading firms continue to dominate, prompting discussions on the need for performance evaluation reforms that prioritize compliance alongside sales metrics [10].