The "Caijing" Annual Conference 2026: Predictions and Strategies & 2025 Global Wealth Management Forum was held in Beijing from December 18 to 20, 2025. Zheng Ding, Partner at Yuanhe Origin Capital, noted that the capital market has shown signs of recovery since 2024, driven by strong government measures to boost the market, breakthroughs by Chinese tech firms in AI triggering global revaluation, and capital inflows amid the U.S. dollar interest rate cut cycle.

However, challenges remain in the integration of technology and finance: China's capital market lacks sufficient IPO tolerance for loss-making tech firms. From 2023 to 2025, only single-digit loss-making companies went public annually in China, compared to a median of 100 in the U.S., accounting for over 50% of listings.

"Tech companies face long R&D cycles, high funding needs, and slow commercialization. If financial metrics alone determine IPO eligibility, many cutting-edge firms may collapse before reaching profitability," Zheng said.

He highlighted that top U.S. tech companies derive 70% of core talent income from stock-based compensation, leveraging global capital to create a "cream-skimming effect" in talent competition. In contrast, China's "engineer dividend" has yet to translate into competitive compensation, leaving top AI talent vulnerable to poaching by Silicon Valley firms.

Zheng emphasized the need to build a "triangle" linking capital markets, tech firms, and talent to compete globally, especially in the AI era, where 60% of the world's AI talent received undergraduate education in China—a remarkably high proportion.

"Today, Silicon Valley giants offer Chinese AI talent higher pay than NBA stars—something unimaginable before. This reflects the insufficient compensation for technical talent despite our engineer dividend. If we establish a virtuous cycle among capital markets, tech firms, and talent in the coming years, China can make new strides in global tech competition," he added.