On December 12, 2023, our college invited alumni Mr. Lu Jun to give a lecture at an industry forum on the theme of "Transformation and Development of New Securities Business Departments".
Mr. Lu Jun is a Master of Applied Statistics from Shanghai University of Finance and Economics, Class 14. He currently serves as the General Manager of Dongfang Securities Shanghai Qifan Road Branch, a specially appointed options lecturer and senior strategy consultant at the Shanghai Stock Exchange, and a senior options strategy analyst at the Shenzhen Stock Exchange. After graduating with a master's degree in 2017, Mr. Lu Jun joined the headquarters of Dongfang Securities and underwent job rotation and learning from Dongfang Securities, Dongfanghong, and Huitianfu. In 2019, he served as the head of the Zhengzhou branch as a reserve cadre of the company, becoming the youngest branch head in the country. Appointed as the head of Shanghai Qifan Road Business Department in 2021, and awarded the title of "Youth Civilization" by Shanghai State owned Assets Supervision and Administration Commission in 2022.
Mr. Lu Jun first started with the business department in our eyes, and compared and analyzed the differences between traditional A-class business departments and new B-class business departments in terms of customers, business models, and profit models. He introduced the characteristics of the new business department, which has a large proportion of high net worth or institutional investors, mainly focuses on financial management business, develops institutional business in parallel, and creates value by serving customers. This led to the challenges faced by the current business department in the industry competition. In terms of homogeneous internalization, Mr. Lu Jun mainly mentioned commission rates, fund subscription fees/subscription fees, and custody fees internalization; And differentiated internalization involves investment service fees, consulting fees, excess profit sharing, etc.
Subsequently, Mr. Lu Jun put forward his own insights on the transformation and development of the new business department. In today's market, securities firms are actually undergoing passive transformation. He pointed out the decisive role of "pricing power" in transformation, and emphasized the importance of "professionalism" and "creating value for customers".
Finally, Mr. Lu Jun provided us with an introduction to the job requirements for two positions: financial advisor and wealth advisor. It is worth noting that both positions require securities and fund industry qualifications, as well as passing the investment advisory qualification examination during the probationary period. It is recommended that students who are interested in working in the securities industry prepare early.
Afterwards, Mr. Lu Jun invited his colleague Mr. Li Zhubing to conduct a case study on the theme of "Collaborative Investment Banking Business of Securities Firms - Bond Business Issuance" for the students. Mr. Li conducted an analysis from three aspects: an introduction to the bond market and bond varieties, an introduction to the bond issuance process, and an analysis of bond business cases. Firstly, Mr. Li introduced the basic framework of China's financial market. China's financial market can be divided into two major markets: over-the-counter market (interbank market) and on exchange market (exchange market), which can be further subdivided into foreign exchange market, money market, derivatives market, bond market, gold market, stock market, and insurance market. Secondly, Mr. Li introduced the issuance process of bond financing instruments. Finally, Mr. Li analyzed the case of Jiangsu Baoying's issuance of free trade bonds.
During the questioning session, students actively raised their doubts and inquired about the management trainee program of Dongfang Securities. Lu Jun stated that he entered Dongfang Securities through the management trainee program and introduced his experience to the students in detail. Subsequently, Lu Jun answered the students' questions about the current employment situation in the securities industry, stating that securities companies are currently experiencing a cold winter and career choices need to be expanded. Through this industry forum, students have gained a deeper understanding of employment related content in the new bond business sector.
Contributors: Huang Tianzhi, Zhu Lin
Image provided by: Li Junzhu, You Chenhua
