The year 2020 marked a milestone for building a moderately prosperous society in an all-round way, and the end to the battle against poverty. CITIC Securities always remains true to the original aspiration, and acts upon the national poverty alleviation strategy. We have gradually formed our own poverty alleviation philosophy and practices. By pooling the resources at all levels in the Company’s system, we act as a reliable adviser for poverty-stricken areas and the poor people on the path to poverty alleviation, focus on targeted poverty alleviation, and seek suitable and feasible methods to give effective help to the front line of poverty alleviation.
Combining forces for poverty alleviation by joint efforts

Targeted poverty alleviation is a project requires joint efforts. By strengthening the leadership of the Party, CITIC Securities has established a responsibility organization structure with clearly defined roles and responsibilities, and people at all levels work together to this end by making full use of the Company's resources

The Party Committee of CITIC Securities commits on organizational support, and has established a special poverty alleviation team. Each member, on behalf of relevant functions or business line, is responsible for establishing communication channels with poverty-stricken counties. Nearby branches provide regular logistic support for the team. CITIC Securities provides sufficient talent resources for poverty alleviation. Since 2011, the Company has been sending one employee every year to Shenzha County in Tibet to serve as temporary deputy County chief. In 2018, the Company sent two employees to the Finance Bureau of Huichang County, an old revolutionary base area in southern Jiangxi, to serve as temporary officers there, helping with the timely allocation of various resources of the Company to provide support with policies, solutions and technologies. We put great effort on building a collaborative work mechanism that can integrate internal employees, subsidiaries and other poverty alleviation entities of the Company, each with their own focus, to form a joint force.

Giving full play to our financial advantages and strengthening industrial assistance

In 2020, CITIC Securities was one of the first became one of the first to join the "Capital Market Poverty Alleviation Charity Alliance". We gave full play to our advantages of a wide range of business categories and outstanding comprehensive capabilities to provide systematic and multi-channel financial services and industrial support to poor areas. We also followed the "Green Channel" policy of the China Securities Regulatory Commission to provide financing services for poor areas.

The Company participated in multiple agricultural credit asset securitization programs initiated by the China Foundation for Poverty Alleviation (CFPA to leverage the functions of the bond market to support agricultural development. We successively completed the No.1, No.2, No.3 and No.4 special asset-backed plans of CD Finance public petty loans, raising a total of RMB 2,001 million.

Based on our own investment platform, the Company, together with other investors, invested a total of RMB 108 million to help with the technological upgrading, capacity improvement and regulated governance of Jiangxi Huichang Shi Lei Group, so as to support the local characteristic fluoride salt chemical industry.

Recognizing the global leadership of Trina Solar (an investment banking client of the Company) in the photovoltaic module industry, we introduced Trina Solar to the projects of poverty alleviation photovoltaic power plant construction in Huichang County, Jiangxi Province (a poverty-stricken County paired up with the Company under the national poverty alleviation program) and Xi County, Shanxi Province (a poverty-stricken County paired up with the Securities Association of China (“SAC”)). The revenue from the grid-connected photovoltaic systems has become a stable source of income for officially registered poverty-stricken households and village collectives.

By cooperating with the local poverty alleviation offices, CITIC Securities also adopted an innovative poverty alleviation model of "insurance + futures" to gradually lift the officially registered poverty-stricken households out of poverty. In 2020, the Company participated in the OTC rubber options poverty alleviation program of Shanghai Futures Exchange (“SHFE”) in Baisha and Qiongzhong counties in Hainan, and received a capital support of RMB 1.584 million from SHFE.

Branches of CITIC Futures cooperated with County and township governments and agricultural cooperatives to explore potential business opportunities and establish resource supply relationships, so as to serve "agriculture, rural areas and farmers" and help farmers disperse and transfer the agricultural product price risk. In 2020, CITIC Futures launched a series of OTC corn/dates/egg/apple options and "insurance + futures” poverty alleviation programs in poverty-stricken areas such as Huanan and Fujin Counties in Heilongjiang, Tongwei, Tianshui and Li Counties in Gansu, Leye County in Guangxi, Maigaiti in Xinjiang and Yanchang County in Shaanxi, investing a total of RMB 3.0821 million with own funds. In February 2020, CITIC Futures carried out targeted poverty alleviation activities in Pingxiang city in Jiangxi, and invested a total of RMB 300,000 to support projects such as tea-oil tree planting and processing, poverty alleviation workshop construction, tea planting and processing, renovation and upgrading of nursing homes, etc. in Kengkou Village, Zhangjiafang Town, Luxi County, Jiangbei Village, Hushang Town, Lianhua County, Nanling Village, Wanlongshan Town, Wugongshan District and Shenquan Town, Lianhua County.

CITIC Securities South China actively participated in financial poverty alleviation. It underwrote a special poverty alleviation bond (Phase I and II) non-publicly issued by Guangxi Liuzhou Construction Investment Development Co., Ltd. in 2020, raising a total of RMB 1.52 billion. In May 2020, CITIC Securities South China underwrote the Special Poverty Alleviation Corporate Bond (Affordable Housing) (Phase I) non-publicly issued by Guizhou Huazhushan Real Estate Co., Ltd. for supporting affordable housing in 2020, raising a total of RMB 500 million.

Poverty alleviation through education and empowerment

Education is crucial to poverty alleviation. CITIC Securities is committed to poverty alleviation through education support. We provided children in poor areas the access to quality education, strived to end poverty from being passed on to the next generations, laying a good foundation for sustainable development with long-term efforts.

By 2020, the Company donated RMB 8.37 million in supporting high school students in targeted poverty-stricken counties of Hebei Province and Shanxi Province, donated RMB 8.18 million to 6 rural kindergartens in Xainza County, Tibet Autonomous Region, benefiting 2,202 people in 483 families of 12 villages in the surrounding areas, lifted 156 herding families out of poverty through education with funds to “guarantee meals, accommodation and education”.

In 2020, CITIC Securities concluded a one-on-one assistance agreement with Jishishan County, Linxia Hui Autonomous Prefecture, Gansu Province, where RMB 2,455,100 were dedicated to the construction of lavatory in local junior high schools for the sake of over 3,000 students and teachers living on campus. In September, CITIC Securities sent employees to Guyuan County in Hebei Province to carry out education and poverty relief activities. Employee representatives and impoverished students formed cross teams to participate in the cultural and sports competition and shared with each other what they had learnt at school and in the society, difficulties they were facing and confusion about the future, helping students build confidence.

In 2020, the Company, in partnership with the National Council for Social Security Fund, donated medical equipment including color doppler to Xinghe County, Inner Mongolia Autonomous Region, and set up a training program of general medical practitioner to enhance basic medical service and level in Xinghe County, together with a training program for bellwethers of achieving prosperity to promote economic growth in Xinghe County. The Company altogether donated RMB 600,000 to Xinghe County.

CITIC Securities upholds the idea of “teaching a man to fish in addition to giving him a fish”. It focuses on developing regional economies of poor areas and makes full use of existing resources, so as to inspire the potential of the impoverished. In light of the invisible hand of the market, CITIC Securities facilitates basic production and living conditions in poor areas apart from simply increasing income, aspires to establish a fair and proper system to promote cooperation among villagers in a well-organized way, invests heavily in collective economy and innovates endogenous development mechanism.

It is our duty of the times to prevail in the fight against poverty and eradicate absolute poverty, an obsession of the Chinese nation for thousands of years. Bearing the original mission in mind, CITIC Securities actively implements the national strategy of poverty alleviation, serves the real economy, and has its share in the building of a moderately prosperous society in all respects.

Education is crucial to poverty alleviation. CITIC Securities is committed to poverty alleviation through education support. We provided children in poor areas the access to quality education, strived to end poverty from being passed on to the next generations, laying a good foundation for sustainable development with long-term efforts.

By 2020, the Company donated RMB 8.37 million in supporting high school students in targeted poverty-stricken counties of Hebei Province and Shanxi Province, donated RMB 8.18 million to 6 rural kindergartens in Xainza County, Tibet Autonomous Region, benefiting 2,202 people in 483 families of 12 villages in the surrounding areas, lifted 156 herding families out of poverty through education with funds to “guarantee meals, accommodation and education”.

In 2020, CITIC Securities concluded a one-on-one assistance agreement with Jishishan County, Linxia Hui Autonomous Prefecture, Gansu Province, where RMB 2,455,100 were dedicated to the construction of lavatory in local junior high schools for the sake of over 3,000 students and teachers living on campus. In September, CITIC Securities sent employees to Guyuan County in Hebei Province to carry out education and poverty relief activities. Employee representatives and impoverished students formed cross teams to participate in the cultural and sports competition and shared with each other what they had learnt at school and in the society, difficulties they were facing and confusion about the future, helping students build confidence.

In 2020, the Company, in partnership with the National Council for Social Security Fund, donated medical equipment including color doppler to Xinghe County, Inner Mongolia Autonomous Region, and set up a training program of general medical practitioner to enhance basic medical service and level in Xinghe County, together with a training program for bellwethers of achieving prosperity to promote economic growth in Xinghe County. The Company altogether donated RMB 600,000 to Xinghe County.

CITIC Securities upholds the idea of “teaching a man to fish in addition to giving him a fish”. It focuses on developing regional economies of poor areas and makes full use of existing resources, so as to inspire the potential of the impoverished. In light of the invisible hand of the market, CITIC Securities facilitates basic production and living conditions in poor areas apart from simply increasing income, aspires to establish a fair and proper system to promote cooperation among villagers in a well-organized way, invests heavily in collective economy and innovates endogenous development mechanism.

It is our duty of the times to prevail in the fight against poverty and eradicate absolute poverty, an obsession of the Chinese nation for thousands of years. Bearing the original mission in mind, CITIC Securities actively implements the national strategy of poverty alleviation, serves the real economy, and has its share in the building of a moderately prosperous society in all respects.