January
On January 7, the awarding ceremony for the "SYWG Prize" of 2002 by Shanghai Municipal Educational Development Foundation was held in East China Normal University. Xie Lijuan, Vice Chairman of Shanghai Committee of Chinese People's Consultative Conference and President of Shanghai Municipal Educational Development Foundation and Tian Enmin, Deputy Party Committee Secretary and Chairman of Board of Supervisors attended the ceremony and made speeches. More than 300 prize-winning teachers and students from 7 institutions of higher education, such as Fudan University, atttended the ceremony. Since its founding 8 years before, over 2100 teachers and students had won financial support for a total amount of more than RMB2.6 million. It became an important scholarship among Shanghai's institutions of higher education.

On January 10, SYWG called the mobilization meeting for the implementation of organizational reform of the Investment Bank. The first stage of the reform of administration system and operation mechanism was formally carried out. It set up Investment Banking Division, Merger & Acquisition Division, Fixed Income Division, and Internal Inspection & Approval Committee for securities, initially establishing big investment banking business system. In the following two months it successfully completed the reform in the departments of management and technical support, other business departments, logistics guarantee and Comprehensive Service Company, thus forming three interrelating and coordinating lines in market business, technical support and comprehensive administration, each with specific responsibilities.

On January 17, the 6th session of the 2nd board of directors of SYWG was held in the meeting room on the 20th floor. All the directors and authorized representatives were present and all the supervisors and authorized representatives and members of the President's Office attended as non-voting delegates. Chairman of Board of Directors Wang Mingquan chaired the meeting and made an important speech. The board of directors earnestly examined proposals including the "Guideline of the Company's Overall Budget for 2003" and the "Proposal of Appointing Principal Leaders of the Company's Headquarters and Principal Responsible Persons of Some Business Branches". It listened to the reports including the "Concise Circular of the Company's Operation in 2002", the "Circular on Calculation, Compilation and Submission of 2002 Accounting Statements for Examination as Required by China Securities Regulatory Commission" and the "Circular on Changes of Part of Directors" and passed corresponding resolutions.

On January 23, the signing ceremony of the "Joint Venture Contract" for setting up a joint venture asset management company between SYWG and BNP Paribas Asset Management Group of France was held in No. 2 Meeting Room on the 4th floor of the Company's building. President Feng Guorong of SYWG and President Ji Delong of BNP Paribas Asset Management Group of France, on behalf of each party, signed the contract.

On January 27, at the "Meeting on 2003 Internal Security Work of Key Enterprises and Entities in Shanghai and Commending the Advanced" jointly called by Shanghai Municipal Bureau of Public Security and Shanghai Municipal Key Enterprises Security Work Association, President Feng Guorong again won the honor of "2002 Advanced Responsible Person for Public Security" and the Company's Security Section of the Administration Division and the Economic Police Brigade won the honor of the advanced security collectives.

On January 29, SYWG and Hangzhou Nature Opto-Electronic Technology Co., Ltd. signed the "Agreement on Recommendation for Listing", under which SYWG would be the the company's listing recommendor. Feng Guorong, President of SYWG and Song Xiaochun, Chairman of Board of Directors of Hangzhou Nature Co. signed the agreement on behalf of the two parties.

February
In early February, with the approval by the Ministry of Finance, the People's Bank of China and the China Securities Regulatory Commission, SYWG obtained the membership of 2003 treasury bonds syndicate of inter-bank bonds system and of stock exchange bonds system. It also successfully became a member of 2003 financial bonds syndicate of China Development Bank.

From the evening of February 14 to 16, SYWG called its 2003 annual working meeting in Shanghai Worldfield Convention Hotel. Chairman of Board of Directors Wang Mingquan sent a letter to congratulate the convening of the meeting. President Feng Guorong delivered the report entitled "Enhance Confidence and Make Pioneering Efforts to Create a New Prospect of Low Cost Operation and Overleaping Development". Members of the Party leadership and principal responsible persons from different divisions and business branches attended the meeting. The meeting assigned ??targets and tasks to the different business branches and commended the 2002 Advanced Individuals, Model Departments and Offices, Model Windows and Young Pacesetters. Vice President Miao Hengsheng, on behalf of the Company, signed the "Letter of Contract Responsibility for Security and Comprehensive Administration" with the responsible persons of related divisions and business branches.

On February 16, SYWG called the 2003 meeting on brokerage business. President Feng Guorong made an important speech at the meeting. Vice President Chen Min delivered the report entitled "Strive to Raise Market Competitive Capacity and Create a New Prospect of Brokerage Business". Leadership of the Party and management, principal responsible persons of related divisions, cadres of assistants to managers and above level from Brokerage Division and Computer Network Center, principal responsible persons from different business branches and part of financial officers attended the meeting.

On February 17, in the public bidding for the 2003 Ministry of Finance's book-entry (Phase I) treasury bonds, SYWG won the bid with a total amount of RMB1.16 billion, becoming one of the top three securities dealers.

March
On March 17, the A shares of Anhui Xingma Automobile Co., Ltd., whose lead underwriter was SYWG, were officially issued. It was the first IPO for which SYWG played the role of lead underwriter in the last 4 years.

On March 19, China Development Bank issued a new phase of financial bonds on the inter-bank bonds market. It was the first public bidding this year since the Company became a member of the financial bonds syndicate of China Development Bank. The Company won the bid of RMB250 million, ranking the 19th among 70 underwriters and the 4th among the securities dealers.

April
On April 1, the A shares of Anhui Xingma Automobile Co., Ltd. with SYWG as the lead underwriter and recommendor were successfully listed on the Shanghai Stock Exchange. Huang Haisong, Deputy Governor of Anhui Province, Zheng Mumin, Vice Chairman of the Anhui Provincial Committee of the Chinese Political Consultative Conference, Ma Yuanfei, Deputy Secretary-General of the provincial government, Ding Haizhong, Mayor of Ma'anshan City, Yao Yuzhou, Deputy Party Secretary of the City, and Fan Yongjin, Vice Director of Shanghai Financial Service Office, were present at the ceremony. SYWG President Feng Guorong, Chairman of Board of Supervisors Tian Enmin, Vice President Jiang Guofang and responsible persons from different divisions were invited to attend the ceremony.

On April 1, with the approval by the People's Bank of China SYWG became a member of the inter-bank offer market and could deal in inter-bank offer business.

On April 3, SYWG invited Chen Zhixing, Vice Director of Shanghai World Expo Office, to give a special report entitled "World Expo and New Round of Shanghai Development". In response to the call of Shanghai Municipal Committee of CCP and Shanghai Municipal Financial Working Commission, the Company organized discussions among staff and employees on the topic of the "Action and Effect of the Company in the World Expo and New Round of Shanghai Development".

On April 4, a delegation headed by Li Wencai, Party Secretary of Ji'an County of Jiangxi Province visited SYWG and, on behalf of Ji'an County Party Committee and County Government, presented the latter with a copper plaque, expressing their thanks to SYWG for its concern and support to the old liberated area. Vice President Miao Hengsheng and responsible persons from the General Office met the delegation and expressed the wishes of SYWG to support, as it always did, the old liberated area in its construction and development.

On April 12, SYWG held the 2003 Meeting of Party Construction Work in its headquarters building. Leaders of the Company's Party Committee and management, secretaries of general and sub- Party branches, responsible persons of the Trade Union and Communist Youth League attended the meeting. Party Committee Secretary and President Feng Guorong made a speech titled "Strengthening Party Construction in An All-round Way and Advancing a New Round of SYWG Development" The Company's Vice Party Committee Secretary and Chairman of Board of Supervisors Tian Enmin made a special report titled "Enhancing the Construction of Party Conduct and Incorruptible Performance". It also invited Wu Jianrong, Secretary-General of CCP Shanghai Municipal Financial Working Commission, to make a guidance lecture titled "Further Strengthening Construction of Basic Party Organizations and Bringing into Full Play the Role of Combat Strongholds of Party Branches and the Model Role of Party Members as Vanguards".

On April 15, in the public bidding of the Ministry of Finance's 2003 book-entry (Phase III) treasury bonds, SYWG got the first place in the bidding with a total amount of RMB2.69 billion, accounting for 10.35% of the total amount of issuance.

On April 25, the 7th session of the 2nd board of directors and the 3rd session of the 2nd board of supervisors of SYWG were respectively held in Shanghai Jing'an Hilton Hotel. The whole board of directors and authorized representatives attended the meetings. The whole board of supervisors, authorized representatives and members of the President's Office were present as non-voting delegates. Chairman of Board of Directors Wang Mingquan chaired the meetings and dilivered important speeches. The board of directors examined and passed the "Proposal of Appointing Principal Responsible Persons for the Company's Headquarters and Securities Business Branches", the "Company's 2002 Annual Report", the "the Company's Profits Distribution Scheme for 2002", and the "Proposal of Submission and Examination of Documents Regarding the Issuance of Bonds". The board meeting appointed the 2003 responsible persons for the Headquarters and responsible persons for part of the business branches. The board of supervisors earnestly listened to and examined the " 2002 Working Report of Board of Supervisors".

The statistics in the Fund Annual Report issued in April showed that in 2002 SYWG ranked the first in terms of commission income from fund service among Chinese securities dealers, accounting for 11.42% of the total amount. Thus SYWG had been in the first place in fund service income for three consecutive years.

In mid and late April, in face of the grim situation of fighting SARS, SYWG persisted in implementing the government's instructions and work assignments, and, taking into consideration of the characteristics of the trade, effectively carried out the prevention work against SARS. The Company set up an emergency leading group composed of responsible persons from related departments with President Feng Guorong as the leader and Vice President Miao Hengshen as the deputy leader. All the departments paid close attention and took immediate action to put into effect the different preventive measures to ensure normal operation and administration and to safeguard the health and life safety of all investors and employees.

May
In early May, All-China Federation of Trades Unions officially awarded Zhuang Dongchen, Chairman of Board of Directors of SYWG Research Institute, the "National May 1st Labor Medal". He was the first person in the securities consultant business to win such an honor.

On May 8, the world's largest logistics and real estate investor American Prologis Co. issued a letter of authorization, authorizing SYWG to be the consultant for its business development in China and to assist it in locating targets for purchase and investment, to plan schemes for execution and to help establish strategic alliance and information channels.

On May 12, Zhang Ning, Vice Director of the CSRC Shanghai Bureau and Zhou Zehong, Head of Organization Department, inspected the Company on its efforts in SARS prevention. President Feng Guorong and Vice Presidents Chen Min and Miao Hengsheng reported to them. Other officials form the Bureau also made on-the-spot inspection at the Company's business branches at Ruijin No 2 Road, Zhonghua Road, Guangdong Road, North Zhongshan Roadand Yuyao Road. Officials form the Bureau spoke highly of the Company's responsible attitude and meticulous measures after their inspection.
In mid-May, SYWG, while earnestly adopting preventive measures against SARS, donated RMB1 million to Shanhai Municipal Gorvenment as special fund for fighting SARS, an act in support of the fight against SARS in line with the fine Chinese tradition of "one when in difficulty all sides will come to help".

On May 19, in the public bidding for the additional issuance of 2003 book-entry (Phase I) treasury bonds, SYWG underwrote RMB1.34 billion, ranking the 3rd place among securities dealers and the 5th place among all the underwriters in the country.

On May 21, Anhui Tongdu Copper Stock Co., Ltd. (000630)'s convertible bonds of RMB760 million ,for which SYWG acted as the lead underwriter, were publicly issued. This was the second bonds issuance program of SYWG in 2003.

In late May, the nationwide campaign of fighting against SARS entered a regular stage. SYWG issued the "Notice of Continuously Putting into Effect the Preventive Work against SARS", asking all the divisions and business branches to continue to maintain high vigilance, to not relax in thought, work and measurement and to strictly perform corresponding rules and regulations of the Company.

June
In early June, SYWG Trade Union organized a competition aiming at "Establishing a Service Brand and Working for Larger Market Share". 109 business branches took part in the competition in order to motivate to the maximum the initiative of staff and employees to accomplish all the operational targets.

On June 9, SYWG and UBS signed the "Agency Agreement on Qualified Foreign Institutional Investors' Securities Investment in China", thus becoming the first agent for QFII securities investment in China. SYWG has persisted in the operating principle of "abiding by law, regulations and standards", thus forming an accomplished legal person administrative structure, a key factor in winning the top place in QFII business competition.

On June 17, Mr. Esgar N. Legzdins, President of the BMO Investment Co. of Bank of Montreal, Canada, visited SYWG. President Feng Guorong, Vice Presidents Chen Min and Miao Hengsheng and principal responsible persons from the Strategic Planning Division welcomed him. They exchanged ideas regarding the future development of the Fuguo Fund Management Co., in which SYWG holds a stake.

On the afternoon of June 20, SYWG called a "Correspondents' Forum". At the forum were correspondents from over 20 media, such as Jiefang Daily, Wenhui Daily, Xinmin Evening News, Xinwen Morning Post, China Securities Journal, Shanghai Securities News, Securities Times, Shanghai TV Station, Orient TV Station, etc. President Feng Guorong, Chairman of Board of Supervisors Tian Enmin and principal responsible persons from related divisions attended the forum. They presented the Company' progress and achievements in its operation and administration and exchanged ideas with the correspondents.

From June 23 to 26, SYWG and UBS jointly held the "Overseas Promotion Conference for Listed Chinese Companies" in Singapore and Hong Kong respectively. This was another cooperative achievement of the two parties in preparation for the QFII investment in China's securities market. Representatives from about a dozen listed Chinese companies and over 40 overseas funds attended the conferences. The meetings were conducted in one-to-one interview or by video communication, providing overseas funds managers with opportunities to directly exchange ideas with listed Chinese companies.

On June 25, SYWG held the appraisal meeting of the project of "Financial Management Information System (Phase II)" in its headquarters building. The appraisal group, headed by Vice President Huang Xiaowei, unanimously approved of the system, which marked that SYWG has taken the lead in accomplishing the establishment of network financial management information system in broking business circle.

On June 26, SYWG called in the headquarters building the mobilization meeting on "Earnestly Studying the <Notice> by the Central Committee of the Chinese Communist Party, to Start a New Upsurge in Studying and Putting Effect the Ideas of the Three Represents'". Party Committee Secretary and President Feng Guorong made the mobilizing report. Vice Party Committee Secretary and Chairman of Board of Supervisors Tian Enmin chaired the meeting. It started a new upsurge in the Company to study the ideas of the "three represents". The basic Party cells and leaders at different levels earnestly organized all the Party members, staff and employees to study in different forms the ideas of the "three represents", the reports by the Party's 16th National Congress, the newly revised Party Constitution and important speeches and works by Comrade Jiang Zemin.

July
At 10:18 on the morning of July 9, UBS, by means of SYWG's QFII business special seat, settled the first purchase of A shares. The long-awaited QFII business entered an actual operating stage. This marked the official entry of qualified foreign institutional investors into China's securities market and the first step of Chinese A-share market opening to the world. At the same time, SYWG won another "first" record in the development of China's securities market.

On July 8, 9 and 10, SYWG Securities Research Institute held, in Shanghai, Beijing and Shenzhen, respectively, a seminar on securities market investment strategy of the second half of 2003. Over 300 organizations from all around China attended the meeting. The first group of QFII also presented themselves on invitation. The main topic of the meeting was the "Current Economic Situation and Sustainable Growth of Rapid Growing Sectors".

Beginning from early July SYWG carried out among its staff and employees the activity of proposing for financial products innovation, encouraging its employees to enthusiastically bringing into full play their creativity. In the meantime, the Company selected professionals from related departments to form a working group of product innovation to speed up the innovation of financial products.

On July 12, SYWG called the Trade Union's second assembly of staff and worker representatives in the headquarters building. Wu Jianrong, Secretary-General of CCP Shanghai Municipal Financial Working Commission and Chairman of Shanghai Municipal Financial Trade Union, presented himself and gave a speech. The Company's Party Committee Secretary and President Feng Guorong also made a speech at the meeting. The meeting passed, by voting, the working report titled "Vigorously Exploring and Working Hard to Play a Proper Role of Trade Union in the Development of the Company" by Xie Jinkun, Chairman of the 1st Trade Union, and the "Working Report of the 1st Trade Union's Fund Examination Committee" by Xu Rongde, Director of the Trade Union's 1st Fund Examination Committee. The meeting also elected the members of the Trade Union's 2nd Committee and the 2nd Fund Examination Committee.

On July 17, at the 3rd assembly of members of Shanghai Municipal Securities Association, SYWG was elected as the Chair Entity of Board of Supervisors of Shanghai Municipal Securities Trade Guild. SYWG Vice President Miao Hengsheng was elected Chairman of Board of Supervisors of Shanghai Municipal Securities Trade Guild.

On July 25, SYWG held the 2nd Working Meeting of 2003 in its headquarters building. Party Committee Secretary and President Feng Guorong made an important speech, asking all the departments to earnestly study and implement the important ideas of the "three represents" and the important speech by the Party Central Committee General Secretary Hu Jintao on July 1st by closely linking to practice and with the guiding thoughts of this year's work and the key work of the latter half year, make persistent efforts to accomplish in an all-round way the tasks so as to make new contributions to the company's development.

On July 29, SYWG's Party Committee Secretary and President Feng Guorong led a delegation composed of Deputy Secretary of Party Committee and Chairman of Board of Supervisors Tian Enmin and responsible persons from related divisions visited the Logistics Department of Shanghai Armed Police Headquarters to express, on behalf of the entire staff and employees, their regards and greetings to the soldiers and their congratulations to the 76th anniversary of the founding of the Chinese People's Liberation Army.

On the afternoon of July 31, SYWG and BNP Paribas Asset Management SAS jointly prepared the founding of the joint venture Asset Management Co., which successfully passed the appraisal of experts organized by the China Securities Regulatory Commission. The joint venture was highly assessed by the leaders and experts present at the meeting. This showed the application for establishing the joint venture company had completed the key procedures of examination and approval.

August
On August 2, the 3rd Communist Youth League Congress of SYWG was held. Chen Jing, Secretary of Communist Youth League of China Shanghai Committee, attended the meeting and expressed his congratulations on behalf of the CYLC Shanghai Committee. SYWG Party Committee Secretary and President Feng Guorong, and Deputy Secretary of Party Committee and Chairman of Board of Supervisors Tian Enmin were present and made speeches. Other members of the Party leadership, responsible persons from part of the divisions, 140 league delegates and especially invited representatives attended the meeting. The congress passed the working report made by Zhu Yi, Secretary of the 2nd Communist Youth League Committee of SYWG, and elected the members of the 3rd Committee.

From August 5 to 7, SYWG Vice President Huang Xiaowei led a delegation to participate in the "Meeting on Standardization and Development of Former Listed Companies in Zibo City" called by Zibo Municipal Government. In the course of meetings, Zhou Qingli, Executive Vice Mayor and Deputy Secretary of CPC Zibo Committee, Shandong, and other related government officials met Vice President Huang Xiaowei. The two parties made friendly exchanges on issues including the further cooperation in capital operation between SYWG and Zibo City.

On August 6, SYWG called the 8th session of the 2nd board of directors in the headquarters building. All the directors and authorized representatives attended the meeting. All the supervisors and authorized representatives and part of the members of the President's office were present as non-voting delegates. Chairman of Board of Directors Wang Mingquan chaired the meeting and delivered an important speech. The board carefully examined and discussed the "Proposal of Appointment and Dismissal of Responsible Persons of Certain Business Branches" and heard the reports on "Operation inFirst Half of 2003 and Arrangement of Tasks for Second Half of Year" and the "Special Report on Possible Impact on the Company by Supervisory Policies Promulgated by the State Council" and formed relevant resolutions.

From August 12 to 13, at the forum held by China Securities Regulatory Commission on the "Standard Development of Securities Companies", SYWG President Feng Guorong delivered a speech on "Having a Correct Concept in Management, Controlling Risks and Speeding Development". He introduced the experience and specific measures of SYWG in persisting in the operating principle of "Abiding by Law, Regulations and Standards" in the past years, in accomplishing the legal person administration mechanism, vigorously guarding against and controlling risks.

On August 15, the 4th regular communication meeting of board of supervisors of Shanghai Financial Enterprises was held in SYWG. The meeting was chaired by Chairman of Board of Supervisors Tian Enmin. President Feng Guorong attended the meeting and made an introduction to the company's business conditions. Leaders from Shanghai Municipal Party Committee Organization Department, Shanghai Municipal Financial Work Committee and State-owned Assets Supervision and Administration Commission of Shanghai Municipal Government were present and made speeches. Responsible persons from the board of supervisors of Shanghai Financial Enterprises and responsible persons from related departments attended the meeting.

On August 18, SYWG and Higher Educational Publishing House signed the "Agreement of Long-term Financial Consultation" in Beijing. President Feng Guorong of SYWG and President Liu Zhipeng from the publishing house respectively signed on the agreement and addressed the meeting. Related persons from both sides were also present at the signing ceremony.

On August 19, SYWG President Feng Guorong led a group of responsible persons from related business branches to visit Tianjin Municipal Government concerning SYWG's acting as the latter's financial consultant. They were warmly received by Cui Jindu, Vice Mayor of Tianjin and other responsible persons from relevant committees and offices. Both sides discussed and studied on their further cooperation.

On August 27, SYWG held in Shanghai Xinzhuang Business Branch the opening ceremony of the "Week of Recommending Brokerage Service Products". In every afternoon of the following week, SYWG successively introduced, through its internal satellite TV, to investors of 109 business branches the existing series of service products. All the business branches set up special publicity counters to offer consultation and explanations to investors on different brokerage products.

At the end of August, the preparation for establishment of SW BNP Paribas Asset Management Co., Ltd. was officially approved by the China Securities Regulatory Commission. This was a crucial breakthrough for the preparation of establishment of the joint venture asset management company. From then on the establishment of the company would enter a substantial construction stage.

September
On September 2, at the headquarters of Jiangxi Copper Industry Co., Ltd., Guixi City, Jiangxi Province, President Feng Guorong of SYWG and He Changming, Chairman of Board of Directors of Jiangxi Copper Industry, signed the "Agreement on Commissioning the Lead Underwriter for Convertible Corporate Bonds Issuance of Jiangxi Copper Industry". Jiangxi Copper Industry planned to apply for the issue of a maximum of RMB3 billion convertible corporate bonds. Before that, SYWG has never underwritten another program with a larger amount of face value or a larger scale of funds.

On September 4, a seminar jointly sponsored by SYWG and Zhejiang Province Taizhou Municipal People's Government in Kaiyuan Hotel in Taizhou titled "Training Meeting for Restructuring and Joint-Stock System Reform of Enterprises in Taizhou and Seminar on Development of Private Enterprises and Capital Market". SYWG Vice President Jiang Guofang attended the meeting and made a speech. Zhao Jinyong, Executive Vice Mayor of Taizhou, L? Renmiao, Deputy Secretary-General of Taizhou government, Lu Xiuchai, Director of Taizhou Organizational System Reform Committee and 100 representatives from more than 50 private enterprises were present at the seminar.

On September 6, the 9th session of the 2nd SYWG board of directors was held in the headquarters building. All the directors and authorized representatives, all the supervisors and authorized representatives, part of the members of the President's office were present. Chairman of Board of Directors Wang Mingquan presided over the meeting and made a speech. The board of directors seriously examined and discussed the "Report on Preparation for Establishment of SW BNP Paribas Asset Management Co.", the "Proposal for Examination of Documents on Bonds Issue", the "Proposal for Appointment and Dismissal of the Company's Deputy General Managers" and the "Proposal for Appointment and Dismissal of Principal Responsible Persons of Zhejiang Division". It listened to the "Report on the Appointment of Zhu Minjie and Others" and approved corresponding resolutions .

In early September, SYWG successfully completed the setting up and popularization of SDH (synchronized digital hierarchy ) antenna and ground wire mutual reserve project. Inspected by Shanghai Securities Communication Co. and Shenzhen Securities Communication Co. and regarded as having reached the standard, SYWG was the first securities dealer in the country with both the antenna and ground wire mutual reserve ??p to the standard?? In the appraisal of securities dealer network grading in Shanghai Stock Exchange, SYWG was the only securities dealer in the country with the grading of all its business branches' networks attaining the A-grade standard set by Shanghai Stock Exchange.

On September 13 and 14, SYWG held a meeting to study the important ideas of the "Three Represents". Wu Ming, Party secretary of Shanghai Municipal Financial Work Committee made a speech. Around 150 people, including members of SYWG Party committee and management, principal responsible persons from different divisions and business branches, full-time secretaries of general Party branches and Party branches joined the meeting. Members of Shanghai lecturing team of the important ideas of the "Three Represents", Yin Jizuo, President of Shanghai Social Sciences Academy, Professor Xu Genxing from Shanghai Municipal Party Committee Party School were invited to make special guidance lectures on the study of the important ideas of the "Three Represents". SYWG Party Committee Secretary and President Feng Guorong, Deputy Party Secretary and Chairman of Board of Supervisors Tian Enmin, Party committee member and Vice President Huang Xiaowei spoke at the meeting. Part of representatives from divisions and business branches also spoke and exchanged their thoughts after the study.

On September 15, in the public bidding for 2003 treasury bonds Phase VIII issued by the Ministry of Finance, SYWG won the bid of RMB1.86 billion, accounting for 11.35% of the actual total issuance amount of RMB16.38 billion, ranking the 1st. It was the second time that SYWG got the first place in bidding and the first time was when it bid for the 2003 book-entry (Phase III) treasury bonds.
On September 19, Corporate Bonds of China Huayuan Group Co., Ltd. of 2003 were issued with SYWG acting as the lead underwriter after being approved by the National Development and Reform Commission.

On September 19, the first foreign currency bonds of China Development Bank Domestic USD Bonds were issued in the form of bidding through the bond issue system of the People's Bank of China. SYWG, as a member of underwriting syndicate of China Development Bank's RMB-denominated financial bonds, participated in the underwriting of the bonds and won the bid of US$5 million, thus laying a foundation for its future business development in the market of foreign currency bonds.

On September 20, SYWG held the "Closing Ceremony of the 2nd Employees' Art Festival" in the auditorium of Shanghai Municipal Party School. Party Committee Secretary and President Feng Guorong addressed the ceremony. The entire employees and over 100 representatives from different regions joined in the activity. In the 3 months of the festival, 5 special shows of "Dancing Youth", "SYWG Style", "Partners in Storms", "Cozy Home" and "Golden Times" demonstrated the enterprise culture and spiritual style of SYWG staff and employees.

On September 23, SYWG held a meeting on investment analysis titled "Pay Attention to B-share Market and Watch Market Trend Closely" in its Xinchang Road Business Branch. Senior research personnel from International Business Division and Research Institute made analysis on the topics generally concerned by investors, including the "prevailing situation of current B-share market and opportunities for investment". The report meeting attracted a large number of investors in Shanghai.

From September 26 to 28, SYWG Party Committee Secretary and President Feng Guorong led a group of 40 members from the company to visit the revolutionary base Xibaipo in Hebei Province for study and investigation. This was another educational activity on revolutionary tradition, following the visit to Jinggangshan in Jiangxi in 2002. Vice President Miao Hengsheng, principal responsible persons from some business branches, representatives of outstanding managers and Youth League members also joined in the visit.

On September 26, Shanghai Yangpu District People's Government and SYWG held the ceremony of signing the "Framework Agreement on Cooperation" in the News Center on the 2nd floor of the Grand Theatre. SYWG was officially engaged by the district government as its financial advisor. Feng Guoqin, Shanghai Municipal Party Standing Committee Member and Executive Vice Mayor, attended the ceremony and made an important speech. SYWG President Feng Guorong addressed the ceremony. Yuan Yuebin, Deputy Governor of Yangpu District, and SYWG Vice President Jiang Guofang signed on the agreement on behalf of each party.

October
On October 8, SYWG officially submitted to China Securities Regulatory Commission the application for the company's issue of bonds. Before that, SYWG already had, following the instructions of "Provisionary Measures for Management of Bonds Issue", accomplished the preparatory work in the feasibility analysis, investigation and credit appraisal as required for bonds issue. It also made modification to and further improvement of the documents.

In the afternoon of October 15, SYWG called a meeting on operation analysis to analyze the operation during January to September, and the operation situation in the fourth quarter. Vice President Huang Xiaowei chaired the meeting. Vice President Miao Hengsheng and principal responsible persons from headquarters in Shanghai area attended the meeting. The meeting required that the staff and employees in different divisions should reach a common understanding and rouse themselves to grasp opportunities and strive to accomplish all the company's operational targets of the year.

On October 16, Shanghai Pudong Development Bank Co., Ltd. opened bid for institutions to refinance. Among the 12 domestic well-known securities dealers in competition, SYWG, with advanced number of votes, became one of the two " joint lead underwriters" who won the bid of the refinancing grogram of Shanghai Pudong Development Bank.

On October 22, the "2003 China Wujiang Autumn Economic and Trade Conferrence and Forum for Economic Development of the Yangtze Delta Area" was jointly held by SYWG and Wujiang Municipal People's Government. Attendants of the forum included Liu Fuyuan, Vice President of the Academy of Macroeconomic Reasearch of the National Development and Reform Commission, Huang Danhua, head of China Securities Development Strategy Department, related leaders from Shanghai and Shenzhen securities trade, representatives from about 100 domestic listed companies and 100 enterprises in Wujiang. SYWG Vice President Huang Xiaowei attended the forum and made a congratulation speech. Experts from M&A Division, Fixed Income Division and Research Institute spoke at the forum on theme topics.

In the afternoon of October 28, Han Zheng, mayor of Shanghai, who was then leading a group on the visit in Hong Kong, visited the Hong Kong Stock Exchange, and when he walked by the seat of SYWG (Hong Kong) Co., Ltd., Han Zheng inquired about the market conditions and the recent business development of SYWG Hong Kong and said, "I hope SYWG Securities Co. will become more and more prosperous and so will SYWG Hong Kong Co. Ltd."

On October 28, Xu Yilin, Chief Director of Member Department of Shanghai Stock Exchange, led a group to SYWG to conduct on-the-spot inspection of 2003 member brokerage. SYWG President Feng Guorong, Vice President Huang Xiaowei and related personnel received the inspection group and reported to them the control of risks in brokerage. The inspection group later went to SYWG Shanghai East Yincheng Road Business branch, and Weihai Rd Business branch to inspect on the spot works including risk control in brokerage.

November
In early November, the award ceremony was held in Shenzhen for the 4th Appraisal of the " Excellent Chinese Securities Website" most popular among shareholders(netizens). SYWG online transaction business won 4 prizes, i.e., 2 big prizes and 2 single event prizes. Shenwang ranked the 3rd of the "Excellent Chinese Securities Website" in the securities dealer category, and won the best investment consultant website prize and the special prize for the best market quotations service. Qingyang Road Business branch in Wuxi won the prize for "excellent Online Transaction Promotion Business Branch". SYWG Vice President Huang Xiaowei accepted the prizes on behalf of the company.

On Nov. 12, Jiangsu Jiangnan High Fiber Co., Ltd. successfully conducted the IPO of its A shares at the Shanghai Stock Exchange, with SYWG acting as the lead underwriter. . This was the third time SYWG played the role of lead underwriter in 2003, following the successful issues of A shares of Xingma Automobile and convertible bonds of Tongdu Copper Industry.

In mid-November, B-share marketrerestarted its financing function after 3 years. Shanggong Co., Ltd. announced an additional issue of no more than 100 million B shares via private placement. SYWG was the associate lead underwriter for the placement. By the end of the issue, SYWG sold 24 million B shares, excessing the assigned quota for underwriting.

On Nov. 20, the international authoritative financial journal "Asia Money" sponsored the award ceremony for "2003 Best Broker" in Hong Kong. SYWG was appraised as the "Best Broker in China" according to the result of vote by 1,045 investment experts from 651 organizations in the world (including 124 hedge funds), which showed that the professional performance and the overall strength of SYWG were fully recognized by international institutional investors. President of SYWG Feng Guorong accepted the prizes on behalf of the company.

In late November, SYWG won the bid for lead underwriting for the refinancing of Laiwu Iron and Steel Co., Ltd., following its underwriting for refinancing of Jiangxi Copper Industry and Pudong Development Bank.

On Nov. 26, Bebler, Chairman of Board of Directors of BNP Paribas Bank Group in France, led a group to visit SYWG. SYWG President Feng Guorong, Chairman of Board of Supervisors Tian Enmn, Vice President Jiang Guofang and principal responsible persons from related divisions met the delegation. Both parties confirmed each other's outstanding positions and achievements in the trade and appreciated the mutual cooperation. Responsible persons from SYWG accompanied the French delegation to visit the office site of SW BNP Paribas Asset Management Co. under preparation and listened to the report on the progress of the project. Both sides wished success to the setting up of the fund management company.

On Nov. 29, the "Opening Ceremony of SYWG Brokerage Business High Quality Service Month and Report Meeting on 2004 Securities Market Strategic Investment" was held in Dalian Business Branch. Activities in "the Month of Brokerage Business High Quality Service" from Dec. 1 to 31 included lottery drawing of ??reeting the New Year and Wishing You Good Luck?? investment consultation publicity tour around the country titled "Prospects for 2004 Securities Market" and visits to key clients at the end of the year.

December
On Dec. 19, the final of "Competition of Comprehensive Skill of Individual Finance Management by Youth in Shanghai Financial Trades" was held in the transmission hall of Shanghai Broadcasting and TV Building. The participant team of SYWG was among the 10 financial units for finals and won the excellent prize with good records. The competition was sponsored by Shanghai Communist Youth League Committee and Shanghai Financial Youth Workers Working Committee, with the aim to expand the knowledge scope of young workers in the financial trade so as to upgrade their own qualification and increase the comprehensive competitive power of the enterprise.

In late December, the opening for operation of SW BNP Paribas Asset Management Co. Ltd., jointly sponsored and founded by SYWG and BNP Paribas Asset Management SAS, was officially approved by the China Securities Regulatory Commission. The company was registered in Shanghai, China with a registered capital of RMB100 million, to which SYWG contributed 67% and BNP Paribas Asset Management SAS 33%.