Proprietary investment—where brokerages deploy their own capital for large-scale asset allocation—is a critical arena for gauging a firm’s competitive strength. This business segment significantly impacts net profit figures, yet its internal operations remain shrouded in secrecy, leaving outsiders with limited insight. However, investment performance metrics disclosed in quarterly reports offer glimpses into these operations. With the completion of Q1 2025 earnings releases, the rankings of brokerages’ investment capabilities are now official.
CITIC Securities leads by a wide margin. According to Wind data, CITIC Securities topped the list with a staggering ¥14.5 billion in investment income, far outpacing peers and achieving a 535% year-on-year increase. It was the only firm to cross the ¥10 billion quarterly threshold. The newly merged Guotai Haitong Securities, leveraging combined synergies, secured second place with ¥7.076 billion. CICC claimed third place with ¥4.245 billion, providing crucial support to its net profit amid a sluggish investment banking market. Notably, the competition was razor-thin between third and fifth places. CICC, Shenwan Hongyuan, and Huatai Securities reported nearly identical figures around ¥4.2 billion, with marginal gaps in decimal points. Shenwan Hongyuan recorded ¥4.24 billion, while Huatai Securities posted ¥4.231 billion. Growth rates told another story. Rankings sixth to tenth included China Merchants Securities, Galaxy Securities, GF Securities, Guosen Securities, and CSC Financial. China Merchants Securities saw a dramatic 1,465% surge, attributed to a negative baseline in Q1 2024. Despite a challenging market in early 2024 that led to losses for many, CITIC Securities, CICC, Huatai Securities, GF Securities, and Guosen Securities consistently delivered positive returns across the last two reporting periods—highlighting their teams’ market acumen. Yet, operational details remain undisclosed due to brokerages’ opacity. The second tier (11th–20th) featured East Money Securities, Industrial Securities, Soochow Securities, Founder Securities, Guoyuan Securities, Changjiang Securities, Great Wall Securities, Huaan Securities, Western Securities, and Zhongtai Securities, each vying for prominence.Among the aforementioned “second-tier” securities firms, except for Industrial Securities and Changjiang Securities, which recorded negative returns in the same period last year, the remaining eight firms achieved growth in returns on a positive base. The most impressive performer was Orient Securities, which recorded a staggering 337% year-on-year increase, with investment returns surging from RMB 400 million in the first quarter of last year to over RMB 1.
7 billion in the first three months of this year, indicating a well-timed investment portfolio. Additionally, Founder Securities and Huaan Securities also posted remarkable growth, with proprietary trading returns increasing by 280% and 295% year-on-year, respectively. In the chart above, only Great Wall Securities saw a single-digit year-on-year growth rate (nearly 8%), with its first-quarter returns consistently maintained at the RMB 700-800 million level over the past two years, demonstrating relative “stability. “ Zishitang noted that several securities firms outside the top 20 institutions recorded significant growth in investment returns. For instance, Tianfeng Securities achieved a 500%+ increase in returns in Q1 this year compared to the same period last year, building on a positive base. Huaxi Securities saw its returns grow by nearly 290% (from less than RMB 100 million in Q1 last year). Similarly, Hongta Securities posted a nearly 200% increase (on a positive base). Other firms that doubled their returns (on a positive base) include Nanjing Securities, Southwest Securities, Guojin Securities, Huaxin Securities, and Shanxi Securities. Below is a summary chart of listed securities firms’ investment returns. Risk Warning and Disclaimer: The market carries risks, and investments should be made with caution. This article does not constitute personal investment advice and does not account for individual users’ specific investment objectives, financial situations, or needs. Users should consider whether the opinions, views, or conclusions herein align with their circumstances. Investments made based on this article are at the investor’s own risk.
