Topic: 2025 Qingdao Venture Capital Conference - New Financial Formats and Trends
On September 26, the 2025 Qingdao Venture Capital Conference was held in Qingdao. Feng Yidong, General Manager of Zhongtai Securities, attended and participated in the roundtable discussion "Financial Opening and New Investment Opportunities."
Feng Yidong primarily elaborated on the role of PE/VC investments (private equity and venture capital) in capital markets. He pointed out that PE/VC emerged alongside capital markets, or is essentially part of capital markets. Since September 24 last year, the activity levels of A-shares, including Hong Kong stocks, have significantly increased, with rising valuation levels and enhanced PE/VC activity.
In the first seven months of this year, data from the Asset Management Association of China showed that the newly registered scale of PE/VC exceeded the entire previous year, which is closely related to market conditions. Additionally, since last year, PE/VC investment directions have been highly aligned with the capital market's focus on encouraging IPO and M&A activities, mainly in areas such as information technology, next-generation information technology, and new quality productive forces.
He further stated that the overall operational model of PE/VC has undergone significant changes compared to the past, with PE/VC evolving from purely financial investors to comprehensive enablers across entire industrial chains. Previously, IPO and M&A seemed to be primarily exit channels, but in reality, IPO and M&A also play very positive roles in fundraising within the "raise-invest-manage-exit" cycle. IPOs generate more wealthy companies and individuals, making fundraising easier for us, while also clarifying our investment directions.
Taking the Hong Kong market as an example, Hong Kong raised $14.1 billion in the first half of this year, setting a historical record and increasing 7-8 times compared to the same period last year. However, when compared to A-share M&A transaction volumes, to some extent, when reaching peak levels, it's comparable to our M&A activities. The Hong Kong market is more active, and the M&A market serves as a more important exit channel.