What does CITIC Securities mean by generating 200,000 yuan?

Citic Securities invested 200,000 yuan to increase the capital of CITIC, optimistic about the future alternative investment business. In 2020, many companies achieved a substantial doubling of income and net profit through alternative investment business. Subsequently, on June 7th, BOC Securities announced that in order to meet the business development needs of BOC Capital Investment Holding Co., Ltd. (hereinafter referred to as "BOC Capital"), the company planned to pay 6,543.84 billion yuan in cash to Bank of China for capital increase, and the capital of Bank of China increased to 60.4 billion yuan.

Bank of China Capital Co., Ltd. was established on March 20, 2009 with an original registered capital of RMB 300 million. As a wholly-owned subsidiary of the company, it is mainly engaged in alternative investment business. According to the 2020 Annual Report of BOC Securities, during the reporting period, BOC Capital did not conduct business. According to public information, the company's main business will be industrial investment, equity investment and investment management.

Due to the strong profitability of alternative investment business, capital increase to alternative investment subsidiaries has become a concerted action of securities companies. Over the past year, 12 securities companies have increased their registered capital through private capital increase and capital injection by major shareholders. A total of 8 securities companies have registered capital of over 654.38+0 billion. Shenwan Hongyuan Securities (52 billion yuan), Ping An Securities (65.438+0.38 billion yuan) and Bank of China Capital were established on March 20, 2065.438+09 with an original registered capital of 300 million yuan. As a wholly-owned subsidiary of the company, it is mainly engaged in alternative investment business. According to the 2020 Annual Report of BOC Securities, during the reporting period, BOC Capital did not conduct business. According to public information, the company's main business will be industrial investment, equity investment and investment management. Due to the strong profitability of alternative investment business, it has become the concerted action of securities companies to increase capital to alternative investment subsidiaries. Over the past year, 12 securities companies have increased their registered capital through private capital increase and capital injection by major shareholders.

As the leader of alternative investment subsidiaries of securities companies, CITIC Securities invested in more than 70 new investment projects (including scientific and technological innovation boards and investments) in 2020, with an investment amount of nearly 4 billion yuan. By the end of 2020, CITIC Securities had a total investment assets of 654.38+08.575 billion yuan, an operating income of 2.806 billion yuan and a net profit of 654.38+0759 billion yuan, making it the most profitable subsidiary of CITIC Securities. However, the company has only 29 employees at the end of 2020, and its income-generating capacity is amazing.