G Sachs maintains a Buy rating on CICC, GF SECURITIES, and CITIC SECURITIES despite concerns over the suspension of cross-border Total Return Swaps (TRS). They believe the tightening of TRS is a reinforcement of existing regulations rather than a new issue, with limited revenue impact for securities firms. CICC, with the largest Hong Kong business exposure, is less affected by regulatory changes compared to CITIC and GF SECURITIES, which have smaller Hong Kong operations.
