西部證券2004-2007年商業(yè)計(jì)劃書(shū)

1、1,,Western XX FMCBusiness Plan(2004-2007),,to be further discussed(Confidential),,2,Content,1、Profile of Western XX Asset Management Co.,Ltd. 2、Organizational Structure

2、 3、Business Development Strategies 4、Roadmap 5、

3、Assumptions and Forecast 6、Sales Breakdown in 2005,3,1、 Profile of Western XX Asset Management Co.,Ltd.,4,Registered Capital and Share Structure,Registered Capital: RMB 100 millionRegistered Place:

4、 Pudong District, Shanghai, ChinaProposed Share Structure: Western Securities Co., Ltd. RMB 40 million Other foreign sponsor

5、 RMB 33 million Shaanxi Investment Group Co.,Ltd. RMB 27 million,5,Business Scope,Fund management and investment advisory business in China as permitted by the applicable la

6、w. (incl. promotion, sale,issuance and management of investment funds),Other asset management business permitted by the applicable law.,6,Vision, Philosophy and Strategy,Vision,One of the leaders in the great China wea

7、lth management,Philoshophy,Investors‘ benefits are everything,Strategy,Brand, Service and Product all in one,7,Business Goal,Grow the JV into one of the top 5 FMCs in China, in the following three categories: Profitab

8、ility Fund Performance Total AUM Professionalism,8,2、Organizational Structure,9,FMC‘s Organization Chart (at the beginning),CEO(1),CMO(1),CIO(1),CEO/COO(1),Sales& CustomerService(5),Marketing&Product

9、development (3),Head of Compliance(1),R&D(5),Fund Manager(2),BODChairman(1),Trader(2),FundAccount-ing&TA(3),IT(2),Admin&HR(2),Auditing&Compliance(2),,,,,,,,,,,,,,,,,,32 persons in the 1st

10、 year(proposed),,,,10,FMC‘s Organizational Chart (in 3 years ),Customer Service Dept.,CMO,CIO,COO,Fund Manage-ment Dept.,Fund dealing Dept.,R&DDept.,CEO,TA,IT Dept.,HR&Admin. Dept.,FundSales Dept.,Ma

11、rketing Dept.,Strategy research,Finance engineer-ing,Industry& Company research,Centraldealing room,Call center,FundAccount-ing,Market-ing &Productdevelop-ment,Direct sale,Agency sale,OA,Systemm

12、aintain-ence,Complianceoffice,Auditing&Supervis-ing,Info.disclosure,Head of Compliance,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,11,Structure of Governance,,Board of directors,Qualification examination and compensa

13、tioncommittee,CEO,The shareholders’ meeting,Board of supervisors,The compliance committee,,,,,Head of Compliance,,,12,Structure of Business Operation,,CEO,Investment decision committee,Risk control committee,Fund app

14、raisal group,CMO,CIO,COO,,,,,,,,,Head of Compliance,,,13,3、Business Development Strategies,14,Adding long-term value,DistributionChannelsClients baseLocal market acknowledgement,22 branches, strategic cooperation w

15、ith ICBC, CCB etc.700，000 individual clients, main institutional clients exceed 400 Excellent performance record, good reputation , Strong government support, Opportunities from the development of western China,P

16、rofessionalismInternational experienceProductdevelopment,International standard in FM. & research Organizational Know How;International management teamFund product innovation& importation,15,Outsourcin

17、g,Value-addedbusiness,Market Segmentation,Product Design,Promotion/Fund Distribution,Research and Development,Fund Transaction/ Investment Management,Risk Control/ Performance evaluation,Non value- a

18、ddedbusiness,Compliance,HR/ Administration,IT Maintenance,Customer Service,TA/ Fund accounting,Internal Audit,,,Outsourcing to the reliable third-party,16,Market Segmentation,Market analysis Market volume

19、 182 billion units in 2003 Growth rate Aver. annual growth rate 50% New opportunities QFII,National Security Funds asset allocation

20、 Deregulation in fund issuance procedureCustomer segmentationInstitutional v.s. Individual clients 40%v.s.60%(estimate) Internal sales package A.

21、M. clients transfer into funds holders …,17,Customer Needs Anlysis,18,Identifying the needs of domestic customers Institutional clients : Fixed income,lo

22、w risk,cash flow management Individuals clients : Growth,Small and middle cap,active managementFee Structure varies according to client base Institutional clients: Low subscription and redemption feeIndividuals cl

23、ients: Varies according to the period of holdingDeciding on distribution channels, depending on target groupsInstitutional clients : Direct sales/custodian bank recommendationIndividuals clients : Agency sales via

24、banks, securities houses etc.,Customer Segmentation,19,Product Strategy,Present fund products Equity,bond,balance,hybrid,index, mone

25、y market,guaranty etc.Competition products Deposit, fund biding insurance, asset management, trust, underground fund

26、 etc.Development plan Meet the needs of main clients group Product fr

27、ame Based on capital market environment Image/Brand…,20,Guaranty Fund,Money Market Fund,Bond Fund,Balance Fund,,,High Risk Low,,,

28、,,Equity Fund,,Low Return High,Product Frame,Fund Type,21,Distrubution,Distribution methodsDirect sales to main institutional clients Agenc

29、y sales through agency banks, securities firms, China Unionpay etc.E-business

30、 through website and call center…Distribution channelsPresent channels banks, securities firms,internet etc.Channels selection 3-4 commercial banks,10 sec. firmsIncentiv

31、e scheme front-load fee kickbacksBinding promotion flight tickets,insurance,credit card,lottery etc.,22,Investment Management,Investment StrategiesActive / Passive

32、 BenchmarkError trackingPerformance evaluation/Risk managementReporting systemResearchTop to down /Bottom up Inv

33、estment strategiesListed companies research ModelingStock-based loan…,23,Operational management,IT frameworkTA (Self-establishment / The third-party supporting)Software and hardware selectionCustomer service syste

34、mCompany web OAHuman resources & General AdministrationThe number of staffCore employeesJob descriptionTrainingCorporate finance and administration,24,Compliance,Auditing and supervisingFund and company asse

35、ts auditingBehavior supervisingRisk evaluation FirewallEmergency event handling scheme…Public relationshipRelationship with CSRC, the exchanges and securities associationLegal affairs, information disclosure, int

36、ernational business…,25,4、Roadmap,26,Initial Process in Seting up JVFMC,Sign the Joint Venture agreement and the article Set up joint preparatory team Prepare application documents required by CSRCObtain the approval

37、 of establishmentRecruitment and trainingInstall the equipment and software of JVFMC’s operationFund product development and key clients contactSetup of contracts with custodian bank and distributors PromotionFund

38、issuance,27,Short-/Medium-/Long Term Target Setting,28,5、 Assumption and Forecast,29,Macroeconomy,GDP growth rate 7%-8% annually,Inflation rate Under 1%,Resident Savings

39、 20% growth annually,30,Shareholder Concept,,2003 2004 2005 2006 2007,,,,67%,33%,,,,,Maintain 33%,Call Option to 49%,Or,Share transferCapital Expansion,31,,Earning Di

40、stribution Concept,,,JV-FMC,,,,,Share Capital& Resource,Share Capital& Resource,,,,,Dividends& Service fee,Dividends& Service fee,Dividends destribution bases on share stuctureService fee based on the sh

41、areholders‘ contribution to JVFMC under SLASLA and the payment method are to be discussed under the real legal enviroment,32,Market Share,Optimistic Scenario 60%

42、 5% Realistic Scenario 45% 3.5% Pessimistic Scenario

43、 30% 2%,Total Mutual Fund The num. Of FMCs The num. Of Funds 182 billion units

44、 47 112,Scenario Growth Rate Market Share

45、 (in 3 years),(By the end of 2003),33,Fee rate Structure,0.25%,1-1.5%,1% 1% <=3% 0-1%,0.6-0.75% 0.2%

46、 1% <= 1.5% 0-1%,1% 0.2% 1% <= 1.5% 0-1%,0.33% 0.1% * NA NA

47、,* 0.25% sales service fee charged,34,Setup Cost,Space 1000 M2 (Constructional area)Rent US$0

48、.70/M2 / D (Aver, standard)Decoration 850 yuan /M2 0.85 million (Aver, standard) Computer Center 1 million Furniture/PCs

49、 32 0.80 millionAutomobile 3 1.2 millionIT costs 11 million

50、 (TA,OA,hardware,software etc.)Depreciation method straight line,2004.3-2005.3

51、 12 months,35,36,Staff Cost,7 employees in establishing period aver. RMB10,000 yuan/m perOperational periodNumber of employee 32,45,55

52、 in 2003-2007Base salary according to the position Bonus

53、30%-120% of base salary aver. 40% in BPNo compensation for foreign staff by JVFMC,37,38,,Operational Cost(2005-2007),Rent

54、 2.1 million /yIT maintenance 1.1 million/y, 10% of IT costsTraveling and meeting

55、3.2-6.2 millionMarketing and Promotion 11-21.5 millionResearch and development 2.1-3 millionCompliance

56、 1.05-1.25 millionConsulting 5.175 million /yAdministration 0.6-0.84 millionSales tax

57、 5%Income tax 15%,39,40,Revenue,Profit and Cashflow Forecast,Optimistic Scenario,41,Realistic Scenario,42,,Pessimistic Scenar

58、io,43,6、 Sales Breakdown in 2005,44,Asset allocation of Chinese insurance Company,Direct Sales,ASSUME that funds invested by insurance companies increase by 50 percent annually and 1 percent market share taken by JVFMC;

59、 around RMB0.7bn units will be sold to insurance companies,Unit: RMB 100 million yuan,45,Potentials from Other Financial Institutions ex Banks,Total assets of finance companies are RMB346bn, net assets are RMB32.2bn by

60、the end of Jun. 2002 Major finance companies in China : China Electric Power Finance Co., China Petroleum Finance Co., China Petrifaction Finance Co., HuaNeng Finance Co., Zhongwu Finance Co. etc.Trust

61、& Securities Co. owns RMB250bn assets by the end of 2002 Including: Western Trust&Investment Co., JinSin Trust Co., Ping An of China Trust Co., Ai Jian Trust Co., Shangdong Trust Co. ect.,ASSUME that 10%

62、of total assets of these institutions are allocated into mutual funds and 1% market share taken by JVFMC; more than RMB0.55bn funds will be sold to these companies,46,NaCSSeF/Houese Reserve/Listed Companies,Total assets

63、 of National Council for Social Security Fund (NaCSSeF) are around RMB124.1bn by the end of 2003 which of 40 percent is permitted to flow into securities marketTotal assets of National House Reserve are 346.7bn by the

64、end of 2003, and 1.5% of total sum managed by Shaanxi Provincial House ReserveAccording to the bulletins of China Securities Journal, trust assets of listed companies managed by securities companies exceed RMB 3bn i

65、n 2003,ASSUME that around RMB20bn assets of NaCSSeF allocated into mutual funds and 1 percent market share taken by JVFMC; 0.2bn units funds will be sold to NaCSSeFASSUME 5% share of Shaanxi Provincial House Reserve t

66、aken by JVFMC, that is 0.25bn units,47,State-owned Enterpirise Groups (Strategic partners),Shaanxi Provincial Investment Group State-owned investment holding company with a registered capital of RMB3bn; to manage

67、the governmental enterprises, real estate and financial assets more than RMB15bn by the end of 2002HanNan Airlines Group Listed company invested by American Aviation Ltd., and total assets exceeding around RMB20bn

68、; more than sixty thousand employeesShaanxi Provincial Electric Power Co. Fully held by National Electric Power Co., Ltd; total Assets exceeding RMB 24bn and by the end of 2002; sustained long-term growth and abun