LUFAX (06623) Acquires Financial Products from Institutions in Routine Operations

Stock News
02/15

LUFAX (06623) has announced that, as part of its treasury management activities, the group has acquired several financial products offered by financial institutions during the ordinary course of business. Each acquisition is intended for treasury management purposes, aiming to optimize the use of surplus cash generated from business operations. The objective is to maintain high liquidity and low risk while achieving balanced returns. Given the low-risk nature and expected returns of these financial products, the group believes the acquisitions can provide better returns than those typically available from commercial bank deposits, thereby enhancing the company's overall profitability. The company closely and effectively monitors and manages these acquisitions and will continue to do so. After careful evaluation, the board of directors has determined that the risks associated with the acquisitions comply with management requirements. Considering similar products in the market and their general returns, the board regards the terms of the acquisitions as fair and reasonable, aligning with the overall interests of the company and its shareholders. The group has implemented adequate and appropriate internal control procedures to ensure that the acquisitions do not affect working capital or operations, and such investments will be conducted in a manner that protects the interests of the company and its shareholders.

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