China's securities companies increased six-fold in net profit and doubled their asset value on the back of a bullish market last year.
The total 106 securities companies reaped a record 191.1 billion yuan ($27 billion) of net profit, 6.35 times that of a year ago, the Securities Association of China (SAC) chairman Huang Xiangpin said on Wednesday.
Asset value totalled 1.73 trillion yuan, 2.8 times that of a year earlier, said Huang at on an association meeting.
Some 59 funds managed a total asset worth of 3.28 trillion yuan, a rise of 350 percent, while net profit surged to 18.47 billion yuan from a year ago.
The Chinese share market sizzled along through 2007 as the Shanghai composite index peaked at 6,124.04 points from the year beginning of 2,700 points, raising $743.8 billion from Shanghai and Shenzhen bourses. The combined turnover hit an unprecedented 4.69 trillion yuan.
Huang said the association will move to improve the drafted industry self-regulatory rules and carry out the rating of securities companies in a more professional manner this year. He also urged the working out of a long-lasting mechanism on investor education against risks.
SAC is a self-regulatory organization for the securities industry. Established in 1991, SAC aims to promote integrity construction and reflect comments and suggestions of the industry to promote a sound industrial development environment.
(Xinhua News Agency March 13, 2008)
