Core Viewpoint - Jiangsu Guotai's announcement of a 15 billion RMB securities investment plan drew significant public attention, but the company quickly reversed this decision two days later, indicating a focus on core business and increased shareholder returns [1][2][3]. Investment Plan Announcement - On August 22, Jiangsu Guotai announced plans to use up to 120 billion RMB for entrusted wealth management and up to 18.3 billion RMB for securities investment, totaling over 138 billion RMB, which exceeded the company's market capitalization of 123.88 billion RMB [2][3]. - The company had already invested 3.306 billion RMB in securities and planned to establish a subsidiary for securities investment with 15 billion RMB [2][4]. Cancellation of Investment Plan - On August 24, Jiangsu Guotai announced the cancellation of the securities subsidiary plan, citing a need to focus on core business and enhance shareholder returns [3][6]. - The decision was made during a board meeting held on a Sunday, highlighting the urgency of the cancellation [6]. Shareholder Return Strategy - The company revised its shareholder return strategy, planning to distribute dividends 2-3 times annually from 2025 to 2027, with a minimum cash dividend of 40% of distributable profits, up from the previous 10% [7][8]. - This change aims to improve investor returns and reflects a shift in corporate strategy towards prioritizing shareholder interests [7]. Corporate Governance Concerns - The decision-making process regarding the 15 billion RMB investment raised concerns about communication between the board and management, as well as between major and minority shareholders [1][8]. - Current regulations allow significant financial decisions to be made by the board without shareholder approval, which may not adequately protect minority shareholders [8].