Credit Suisse Founder Securities (CSFS) has hired Steven Zhang as head of sales trading, marking the firm’s first senior appointment since launching its brokerage services in early November.
Zhang brings a wealth of experience in sales trading to CSFS, the Chinese joint venture between Credit Suisse and Founder Securities, having worked in sales trading-related roles for over a decade.
Zhang was most recently a senior sales trader with China International Capital Corporation. He was head of China sales trading with UBS Securities, responsible for A-share trading and execution for institutional clients, before joining CICC.
The appointment comes as Credit Suisse actively builds its onshore business through the China JV.
The Swiss bank launched the onshore securities brokerage business through CSFS on November 2, joining a handful of foreign investment banks to offer direct access to the mainland stock markets.
In November last year, CSFS received approval from the China Securities Regulatory Commission to conduct securities brokerage in Qianhai, a special economic zone located in the west of Shenzhen. CSFS is 33.3% owned by Credit Suisse and 66.7% owned by Founder Securities.
Its launch comes amid expectations the long-awaited Shenzhen-Hong Kong Stock Connect scheme, which will allow foreign investors to directly trade shares listed on the Shenzhen Stock Exchange, will come into operation soon.
Alternatively such investors can access the Chinese onshore market through the qualified foreign institutional investor (QFII) scheme and the Renminbi QFII scheme.
The commencement of CSFS’ brokerage business will add to the firm’s capital market and financial advisory services, which have faced fierce competition from bigger players with stronger sponsoring and underwriting capabilities.
CSFS is the third foreign investment bank to provide onshore brokerage services in China. Goldman Sachs provides similar services through its China JV Goldman Sachs Guohua Securities, while UBS operates its onshore brokerage business through UBS Securities, which was renamed from Beijing Securities after its acquisition by the Swiss bank in 2006.
