What is an investment company?

Legal analysis: an investment company refers to an enterprise organization that raises funds and makes reasonable investments according to investment objectives. Including securities companies, finance companies, investment banks, fund companies, etc. After obtaining a license to operate securities business, a securities company may engage in securities underwriting, securities sponsorship, securities brokerage and securities margin trading.

Legal basis: Article 120 of the Securities Law of People's Republic of China (PRC), with the approval of the the State Council Securities Regulatory Authority, a securities company may engage in some or all of the following securities businesses:

(1) Securities brokers.

(2) Securities investment consultation;

(3) Financial advisers related to securities trading and securities investment activities;

(4) Securities underwriting and sponsorship.

(5) Margin trading.

(6) Market transactions of securities.

(7) Securities are self-operated.

(8) Other securities businesses.