Shenzhen commends 40 innovative entrepreneurial figures, advanced model figures Ma Huateng and others on list

Commendation by the Shenzhen Municipal Committee of the Shenzhen Municipal People’s Government. 

Innovation and entrepreneurship on the 40th anniversary of the establishment of Shenzhen Special Economic Zone

 

Decisions of characters and advanced models

This year marks the 40th anniversary of the establishment of the Shenzhen Special Economic Zone. 

Over the past 40 years, under the strong leadership of the Party Central Committee, the State Council, the Provincial Party Committee, and the Provincial Government, and with the strong support from all parts of the country, the Shenzhen Special Economic Zone has been determined to reform and make breakthroughs, adhere to the first priority of development, vigorously liberate and develop social productive forces, and take the lead in implementing Market-oriented economic system reform, continue to promote comprehensive innovation with technological innovation as the core, adhere to opening up, and actively utilize both domestic and international markets and two resources to rapidly develop from a backward agricultural county into a charming and dynamic international, innovative city with vigour and innovation has created the miracle of the world’s industrialization, modernization and urbanization.

 

Large number of pioneer models have emerged in construction of SEZ

Over the past 40 years, in the construction of the Shenzhen Special Economic Zone, a large number of pioneer models have emerged that bravely stand up to the trend of the times, are determined to reform and innovate, and dare to practice and explore. 

They firmly support the leadership of the Communist Party of China and my country's socialist system, support reform and opening up, and promote Shenzhen. 

The construction of the special economic zone has made outstanding contributions and played an outstanding exemplary and leading role, and is an excellent representative of the construction of the special zone. 

They dare to try, dare to be the first in the world, and have made outstanding contributions and outstanding influences in technological innovation, management innovation, system innovation, cultural innovation, etc.. They are brave to pioneer, dare to work hard, overcome technical difficulties, innovate business models, and lead the development of the industry 

They have taken the lead in cultivating and practicing the core values ​​of socialism, and they have made extraordinary deeds in respect of work, dedication, solidarity and mutual assistance, and poverty alleviation. 

Encouragement on 40th anniversary of the establishment of the Shenzhen Special Economic Zone

On the occasion of the 40th anniversary of the establishment of the Shenzhen Special Economic Zone, in order to commend the advanced, encourage fighting spirit, further stimulate the enthusiasm of the people of the city, and comprehensively promote the construction of the Guangdong-Hong Kong-Macao Greater Bay Area and the pilot demonstration zone of socialism with Chinese characteristics, the municipal party committee and the municipal government decided to deal with Wanjie Wait for 40 innovative entrepreneurs and advanced model figures to be commended for the 40th anniversary of the establishment of Shenzhen Special Economic Zone.

 

 

The municipal party committee and the municipal government called on the people of the city to take the commended advanced individual as an example, earnestly study and implement Xi Jinping’s thoughts on socialism with Chinese characteristics in the new era, strengthen the "four consciousnesses", strengthen the "four self-confidence", and achieve "two safeguards". "Do not forget the original intention of reform and opening up, continue to hold high the banner of reform and opening up, unite more closely around the Party Central Committee with Comrade Xi Jinping at the core, and unswervingly support the comprehensive deepening of reforms and the full expansion of opening up, continue to emancipate the mind, do hard work, and reform. 

Open up and set off again, to be at the forefront of the new era, and to be a pioneer in the new journey, to move forward in the direction of building a pioneering demonstration zone of socialism with Chinese characteristics, and strive to create an urban example of a modern and powerful socialist country.

 "To strive unremittingly for the goal and the Chinese dream of the great rejuvenation of the Chinese nation!"

 

The 40th anniversary of the establishment of Shenzhen Special Economic Zone

 

List of advanced role models

 

(Arranged in order of surname strokes)

 

Wan Jie Chairman of Yachang Culture Group

 

Ma Huateng Chairman and CEO of Shenzhen Tencent Computer System Co., Ltd.

 

Ma Mingzhe Chairman of China Ping An Insurance (Group) Co., Ltd.

 

Ma Weihua Former President of China Merchants Bank

 

Wang Wei, Chairman of SF Holdings Co., Ltd.

 

Wang Chuanfu Chairman and President of BYD Co., Ltd.

 

Ye Qing (female) Secretary of the Party Committee and Chairman of Shenzhen Academy of Building Research Co., Ltd.

 

Feng Guanping Former Dean of Shenzhen Tsinghua University Research Institute

 

Liu Xiaochun Party Secretary and Dean of Shenzhen International Arbitration Court

 

Liu Lei, Secretary of the Party Committee and Dean of Shenzhen Third People's Hospital

 

Sun Xizhuo, Dean of Shenzhen Luohu Hospital Group

 

Sun Lei, Chief Designer of FIYTA Precision Technology Co., Ltd.

 

Li Xiting, Chairman of Shenzhen Mindray Biomedical Electronics Co., Ltd.

 

Li Yi Chairman of Shenzhen Guangfeng Technology Co., Ltd.

 

Li Zexiang, Professor of Hong Kong University of Science and Technology, Chairman of Googol Technology (Shenzhen) Co., Ltd.

 

Li Jianquan, Chairman of Shenzhen Wenjian Medical Products Co., Ltd.

 

Yang Feifei Futaihua Industry (Shenzhen) Co., Ltd. Technical Manager

 

Wu Fenghua, Founder and Creative Director of TTF High Jewelry Brand, Shenzhen Tongtaifu Jewelry Co., Ltd.

 

Shen Qingfang Chairman and CEO of Pengding Holdings (Shenzhen) Co., Ltd.

 

Lu Jianxin, Chief Engineer, South China Region, China State Construction Engineering Group Co., Ltd.

 

Chen Ning, Chairman and CEO of Shenzhen Yuntian Lifei Technology Co., Ltd.

 

Chen Zhilie, Chairman of the Board of Directors of EVOC Hi-Tech Holding Group Co., Ltd.

 

Jin Mizhi, CEO of TCL Huaxing Optoelectronics Technology Co., Ltd.

 

Zhou Chuangbin, Senior Expert of Special Test of China General Nuclear Power Engineering Co., Ltd.

 

Zhao Xinzhu (female) Chairman of Shenzhen Zhongyi Group Co., Ltd.

 

Zhao Huizhou (female), founder and chief designer of EACHWAY brand, Yizhihui Fashion Group (Shenzhen) Co., Ltd.

 

Hu Yingxiang, Chairman of Hopewell Industrial Co., Ltd.

 

Yu Guogang Former Deputy General Manager (Legal Representative) of Shenzhen Stock Exchange

 

Yuan Geng Former Executive Vice Chairman of China Merchants Group, Former Director of the Management Committee of Shekou Industrial Zone

 

Xu Yangsheng, President of The Chinese University of Hong Kong (Shenzhen), Academician of the Chinese Academy of Engineering

 

Gao Yunfeng, Chairman and General Manager of Han's Laser Technology Industry Group Co., Ltd.

 

Guo Liying (Female) Head of Shenzhen Phoenix Nirvana Art Troupe

 

Huang Sanwen, Director and Researcher, Shenzhen Institute of Agricultural Genomes, Chinese Academy of Agricultural Sciences

 

Huang Yuanhao Chairman of Shenzhen Aobi Zhongguang Technology Co., Ltd.

 

Cao Yan (female) Party Secretary and Principal of Shenzhen Yuanping Special Education School

 

Gong Guoxiang Former Principal of Shenzhen Foreign Language School

 

Jiang Kairu, creator of the Federation of Literary and Art Circles in Luohu District, Shenzhen

 

Lu Xianping, Chairman and General Manager of Shenzhen Microchip Biotechnology Co., Ltd.

 

Fan Jianping, Dean and researcher, Shenzhen Institute of Advanced Technology, Chinese Academy of Sciences

 

Dawei Huo Senior Consultant of the 2012 Laboratory Mentor Department of Huawei Technologies Co., Ltd.

 

Financial Analysis Laws and Conventions

Every company’s projects, goals, budgets, funding, liabilities, strengths and other such financial aspects need to be examined periodically as an important key to a company’s retrospective features and future betterment and assessment of potential of business and productivity. Everything needs performance in a very legal way keeping relevant laws and rules in mind. This course of examination would be termed as Financial Analysis in the corporate and banking language.

Financial Analysis is an important feature for companies as it enables the figuring out of the potentials of the company’s performance. It enables regulating authorities and governments to ensure that companies are adhering to the set standards. It helps in maintenance of financial stability and health of the company’s life.

 An analysis of instruments for investment can be done by external company organs as well as the internal parties.

Analyses are the insurance and performance of the firm. It gives a skeleton of the company's accounts and financial figures giving experts of the company ideas and suggests strategies for the betterment of the company and its progress and increased profitability. 

This aids in predicting and figuring out future earnings and thus accordingly adjust current expenses, funding and helps in the calculating the taxation for the firm as well.

 It makes the current financial stand clear and explicit and thus helps have an idea of the requirements for the firm in future.

Why is financial analysis important?

When a financial analysis is conducted in a running business, the managers will get to know how the business is performing, whether it is bringing in expected profits or if it needs further improvements to earn profit. 

The direction in which a business should be taken can be decided through these analysis reports. Every major company, business or a project has its own financial analyst to constantly study their finances at every step and direct them accordingly.

Analysts normally go through the numbers involved in any business or project. They usually aim to achieve specific goals through each financial analysis. 

Often it is conducted to understand the economic trend of a certain business. Or it could be undertaken to decide on long term goals or financial plans for a firm. It can also be helpful setting a financial policy for a company.

Another aspect of a financial analysis is the historical figures and data. Analysts make use of the past financial statuses and cash flow of the given entity to study the present scenario better and thus generate plans for future. Such plans could seriously determine the health of any company.

 The information procured through the analysis is used in making critical decision that will determine the future of any entity.

Sometimes, financial analysis is conducted before mergers or acquisitions to decide whether or not it will be profitable to buy the company off. It can also help in figuring out the amount to be invested per share.

 Basically, financial analysis is an assessment conducted before taking any major business decisions.

What are the elements of financial analysis?

There are five key elements to any financial analysis. These elements are of primary concern in analyzing the financial statuses of organizations. They are as follows:

   1.   Revenue

For any business of seriousness, revenue acts as the prime source of money. In long term plans, the quality, quantity and timing of revenues can play major roles. While considering this, there are several facets that come under the umbrella term 'revenue '. They include:

   ·       Revenue growth

   ·       Revenue concentration

   ·       Revenue per employee

Revenue per employee is a ratio which measures the productivity of any business. For the ideal growth of a business, it is desirable that no single customer should hold more than 10% of the total revenue of the firm.

    2.   Profits

Profit can be sub-divided into three categories:

  Ø Gross profit margin

   A good gross profit means your company is strong enough to suffer comparative degree of losses or downfalls in the form of revenues or expenses.

  Ø Operating profit margin

   The higher the operating profit margins of the company are, the better will be your company financially. It shows your company's ability to make a profit regardless of how the operations are financed.

  Ø Net profit margin

   This is the excess of profit that is available to be given away as dividends or investors or to owners. It can also be utilized for any reinvestments within the firm.

 

   3.   Operational Efficiency

This refers to the efficiency with which the managers are making use of the resources available before them. A lack of operational efficiency will mean that the company is having low growth rates with little profits.

      

   4.   Capital Efficiency and Solvency

Capital efficiency and solvency are the factors that might interest potential lenders, banks or investors of your company. The factors affecting the efficiency and solvency are:

   ·       Return on equity which is the returns that any investor is receiving from the business.

   ·       Debt to equity which is a track of the leverages you are using to run the business.

 

   5.   Liquidity

A detailed study of your company’s liquidity explains your ability to bring out the necessary cash to cover everyday expenses. If the liquidity of a firm falls low, there is no amount of revenue or growth that can compensate the loss.

 The two factors to be considered while analyzing the liquidity of a firm are:

   ·       Current ratio

   ·       Interest coverage

Financial Statements Analysis / Types of Financial Analysis

Horizontal analysis

In this method of analyzing Company’s financial records such as balance sheet, cash inflow etc. will be studied and compared for a period of consecutive time span also called as the reporting periods.

 The observed data is depicted in a horizontal manner for their corresponding year for a range of years and this figure is then compared with the year with which the study began also called as the Base Year.

Vertical Analysis

It’s the analysis of data for a particular period but pertaining to various aspects of the financial statement of the organization. It's also called as the Static Analysis as its focal point centers on the data of only one year.

This method analyses the structural relationship between various factors of a financial statement. Here each item is represented by means of percentage or proportionate ratio of the base figure selected from the same statement.

The size statements and proportional ratios are considered as important tools in analysis. This method helps in understanding the expenses over an income statement put up in percentile of the net sales.

Dynamic Analysis

The depiction of data can be also in the graphical mode. Since the study records the data over a period it called as the Dynamic Analysis.

 This kind of analysis helps to understand the trends and patterns of different kinds taken up in the working of the company and its effect and efficiency and if required then what modifications to be made to counter the downsides of the currently deployed systems.

Internal Analysis

Serves the purpose of vigilance over the finances and operations as well as resultant performances of the company and it’s taken up by the internal organs such as the management itself.

 This analysis is more efficient and authentic as it’s executed by the internal members of the company.

Cross Sectional Analysis

It comprises of the analysis of different companies from the same industry as in the competitor entities of the company subject to analysis for an immediate time frame. 

It is also called as the inter firm analysis.

External Analysis

General public and credit agencies, investors, potential investors, creditors, potential creditors, and the government agencies conduct this method of analysis though it serves only limited purpose as they don’t have any source to amass the internal data and hidden accounts of the company.

Hence the external analysis result is more or less derived from the data observations from the published financial statements. Nonetheless the government in the near past has directed companies to put up more detailed information subject to external analysis.

Time Series Analysis

It comprises of analyzing the outputs of the same company for a vast time frame for understanding the success of implemented strategies and so on.

Financial analysis ratios

Analysts have developed a number of ratios to make their job easier in making comparisons between various financial entities of companies, organizations and projects. 

These are broadly classified as Activity ratios, Liquidity ratios, Solvency ratios and Profitability ratios. 

Each of these ratios has sub divisions in them which facilitate a thorough analysis of every factor regarding a business for a total and sweeping investigation of the finances.

Activity Ratio

The Activity ratios are in fact turnover ratios. They point to the efficiency with which assets are used inside a company. This gives the investors an idea of the proceedings and expenses within a company. They are:

1.   Inventory turnover

This shows the efficiency with which inventories are sold off in a business. If the inventory turnover is higher than the industry an average, it means the business is on a path of growth. 

On the other hand, a too high inventory turnover may be indicative of the inefficiency of the business to meet with its increasing demands.

2.   Payables turnover

This is a measure that shows how fast the company is paying off the bills it owes to third parties. With a payables turnover higher than the industry’s average, then it means the company is well off to make its own payments.

3.   Receivables turnover

Receivables turnover is defined as a measure of how quickly and efficiently a company collects on its outstanding bills.

4.   Asset turnover

Asset turnover is a measure of the company’s efficiency in converting its assets into revenue.

Liquidity Ratio

The liquidity ratios are the most widely used of ratios in a financial analysis, second only to profitability ratios. They measure a company’s ability to meet its shirt term obligations. Hence these are the ratios that creditors usually look for. 

There are three sub-divisions to liquidity ratios. They are:

·       Current ratio

A current ratio compares the current assets in possession of a company with the current liabilities with it. This finds out whether or not the business can pay off its debts through liquefaction of its assets in case of an emergency.

·       Quick ratio

This ratio compares the cash, short-term marketable securities and accounts receivable to current liabilities.

·       Cash ratio

The cash ratio is the ratio between the cash and easy liquefied assets in a company to the company’s current liabilities. The company is considered to be profiting if the ratio is higher than 1.

Solvency Ratios

These ratios measure a company’s ability to meet its long term liabilities. The ratios counted as solvency ratios are as follows:

Ø Interest coverage ratios

This is also known as times interest earned. This compares a company’s cash in-flow with the payments that are made towards interests.

Ø Debt-to-equity ratio

This ratio shows company’s debt capital versus its equity capital.

Ø Debt-to-assets ratio

The debt-to-assets ratios, as its name suggests, is measure of the percentage of assets that are financially supported by debts.

Ø Debt-to-capital ratio

Similar to the debt to assets ratio, the debt-to-capital ratio measures the percentage of a company’s capital that is financed by debts.

Profitability Ratios

The profitability ratios of a company examine its ability to earn profitable returns. It is always advisable for a firm to compare its margin ratios with those of its competitors and the industry averages. The various types of profitability ratios are:

Ø Gross profit margin

A simple ratio between the gross incomes of a company to the net revenue it pays. It is said that the gross profit margin is a reflection of the company’s pricing decisions and product costs.

 

Ø Operating profit margin

This ratio shows the difference between the operation income and the net revenue. The operation income of a company can found when yours subtract the operational expenses from the gross income of the company.

Ø Net profit margin

 The comparison between gross profit and operating profit margin.

What are Financial analysis tools?

Three major documents are used in creating a financial analysis report. These are tools anyone or any analyst would need to conduct a financial analysis:

Cash flow statement

A cash flow statement is a lot similar to an income state that in that both these statements record the performance of a company over a given period of time.

 It gives the exact statement of the income generated by the company during the given period. It gives a clearer picture of the company’s ability to manage its expenses.

Income statement

Unlike a balance sheet, an income statement gives information about the financial performance of any company over a specific period of time. It stresses more upon the company’s future viability that it’s present financial stability. 

The most important factors considered while creating an income statement are revenues earned, expenses met with and the overall profit or loss incurred. 

The revenues further include royalties, interests, and those of sales.

Balance sheet

A balance sheet is an extensive documentation of all the assets available for trading within a business, especially the financial and the physical resources. It is, however, a mere state that of the assets and does not include information about how efficiently these assets are being used by the managements. 

Assets and liabilities form the major content of balance sheets, in general. Thus, a balance sheet shows the current financial state of a company only.

After going through this content we will be able to:

   ·       Understand Financial Analysis Meaning

   ·       Thoroughly understand Financial Analysis and Control

   ·       Understand Financial Analysis Ratios

    ·       Make better use of Financial Analysis Tools

   ·       Make Financial Analysis of a Company

   ·       Determine best use of Money

   ·       Able to select optimum Financial Analysis Course

    ·       Able to make appropriate presentation or financial analysis ppt help

   ·       Find help as regards Financial Analysis Project Management

  

The above list is not so far-reaching. There shall be several benefits after thorough study of this article and on other pages.

 

Investment Banking Laws and Regulations

Investment Banking is a popular term in the business arena. It is also considered to have great scope as a career. So what is it? It is one of the most essential prerequisites before one begins a business or a startup or anything else too. It is a necessity. Investment banking is the division of a financial institution that serves governments, corporations, and institutions by providing underwriting, capital raising and advisory services. Investment banks legally act as mediators between investors who want to invest their funds and the corporations who require capital to grow their businesses. Investment bankers follow a lawful conduct to maintain their goodwill in the market.

What investment banks actually do?

Investment banks also called corporate finance raise capital for clients and also provide advisory help on LBOs, M&A and several others. They help raise capital by underwriting securities to governments and corporations.

Investment Banks help companies obtain and raise money and also provide advisory help. They help companies that work around mergers, acquisitions and also help in trading derivatives, commodities, fixed income requirements and equity securities.

How banks have grown in the field of Investment Banking?

Investment Banking had been in its prime from 1896 to 1929 until the great depression began, thanks to the Federal Reserve Loans which had created extreme speculation of the market. Throughout the former period, J.P. Morgan and National City Bank were said to always come to the rescue when there was any crisis in the financial system.

The Great Depression had the banking system in a mess with 40% according to statistics, of banks being forced to merge or just sinking.

 Rehabilitation measures were however taken, like the separation between investment banking services and brokerage services to prevent any conflict of interests if they did try to do both and the Bank Act of 1933 (Glass-Steagall Act) was established which mainly got the distinction between commercial banking and investment banking.

A regulation like Chinese wall was also made during this period. The 1970-1980 decade saw integrated investment banks flourish which had sales, trading, investment banking and research at one stop. Corporate mergers became the trend in the late 1970s. 

The 80’s produced popular products like high yield, structured products and derivatives which gave lucrative to the ones who provided them, the investment banks.

Through the 1990s, we saw the IPO dominate the world of investment banking and by early 2000s at least 548 IPO deals had been made and done, says statistics. Gramm-Leach-Bliley Act (GLBA) of November 1999 allowed security banking (insurance) along with investment banking, thus permitting broad banking. 

GLBA was the turning point since a long time had been since the belief against the mixing of financial activities and other banking.

Investment banking became a more appealing career known for its flair and power in the 1980s with mega-deals everywhere. It also became a topic in popular media (eg. Oliver Stone in Wall Street and Tom Wolfe in Bonfire of the Vanities).

What are the types of Investment Banking?

There are many types of Investment banking but it is majorly divisible into 3 groups:

·       Capital Markets

Capital markets are financial market in which long-term debt basically over a year or equity-backed securities are bought and sold.

 It channels the wealth of savers to those who can put it to long-term productive use, such as companies or governments making long-term investments.

·       Coverage Groups

The coverage group focuses on a sector or a group of allied sectors and develops and expertise in them. It is the coverage group's responsibility to know, understand and be the authority on that sector in a bank.

·       Industry Groups

Industrial group may refer to organizations of companies in different industries with common ownership interests, which include firms necessary to manufacture and sell products, a network of manufacturers, marketing organizations distributors, suppliers, retailers, and creditors.

What are the Activities of Investment Banks?

There is the Investment Banking Division (IBD) of a bank and a full time service Investment Bank. The former provides only M&A advisory services and underwriting.

Now we know that the IBD of Banks provide only M&A and Underwriting. They advise both the buyers and sellers of these transactions.

·       In the Sales and trading sector

The larger banks provide a little more help to their clients where they will buy and sell items or securities on their behalf and also of the bank’s.

·       In the Research sector

The ratings of buying and selling of items and securities are reviewed, companies are reviewed and reports are written on the data and analysis. They make reports that will help investors make decisions and also trade stocks.

·       M&A are Mergers and Acquisitions

The banks find opportunities and negotiate for their clients on their behalf by employing their extensive networks. 

Investment Banks provide advisory aid to both the buyers and sellers from the start of the business to the end.

·       Asset Management

This service is also provided by Investment banks where they manage investments for a great number of investors which even include individuals and investments of various kinds.

·       Underwriting services

This service also goes hand in hand with capital raising and this works between investors and companies which raise money, or even go public through the IPO process. This gets the primary market or new capital.

In the Underwriting services, we have three types:

1.    The underwriter agrees to see as much issue at the offered price fixed together on agreement but can also return unsold shares to the one who issued, albeit any financial responsibility.

2.    Firm Commitment- The underwriter has to buy the entire issue and also should be responsible for all sold and unsold shares.

3.    All-Or-None- The underwriter can decline the deal if the entire issue is not sold at the offered price. This is like a binary concept. Either the company receives everything or it receives nothing.

Who can be the participants of Investment banking?

The Clients

·       Corporations: These include public and private companies. Investment banks help these go public (meaning, IPO), in their business growth, additional capital raising, acquisition making (M&A), research, selling of business units and also advisory help on general corporate finance.

·       Governments- Money raising, security trading and buying/selling of crown corporations.

·       Institutions: These manage others money and investment banks provide these institutions with security trading and research.

The Bankers

If you are an Investment banker yourself, just recall these lines from Tom Wolfe’s book:

 Look the Part 

Greed might photograph well, but that doesn’t make it good. 

Every battle is won before it is ever fought.

Investment Banking demands specific skills from their bankers for them to qualify to provide advisory help, underwriting services, analysis, research and M&A which are as follows:

•        Business valuation
•          Sales and business development
•          Pitch books and presentations
•          Transaction documents
•        Financial modeling
•     Negotiation
•           Relationships management

Quite the tricky business with ups and downs forthcoming and sometimes even unpredictably investment banking is quite the necessity in everyday life and in business.You can reap your fruits if it is handled carefully and strategically.

If you are looking to make investments, make sure to do your research first and consult the most suitable and best Investment Bank or banker to get your work on the best track. 

Though investment skills are gained over time with experience but gaining knowledge consistently is involved in the process that leads one to expertise.

After going through this article we will be able to:

• Determine Investment Banking Analyst Salary
• Make the best use of Investment Calculator
• Maintain Investment Banking Book
• Determine Investment Banking Associate salary
•  Be an Investment Banker
• Understanding Investment Property and make its best use
•  Understand the work of Investment Analyst and perform Investment Analysis
•  Locate Investment Opportunities
• Make good decisions on Investing Money
• Locate Best Investments
• Find Best Mutual Funds
• Understand better how and where to invest money