As 2026 marks the conclusion of China's 14th Five-Year Plan and the strategic planning phase for the 15th Five-Year Plan, the wealth management industry is transitioning from scale expansion to quality enhancement. Shenzhen, serving as a core engine for the development of the Guangdong-Hong Kong-Macao Greater Bay Area and a pilot demonstration zone for socialism with Chinese characteristics, stands out as one of the cities with the highest concentration of high-net-worth individuals, most active wealth flows, and most forward-looking policy pilots in China.
The Greater Bay Area has long been a fertile ground for securities firms to expand their operations. In recent years, CITIC Securities has continuously deepened its business presence in the region. Chen Gang, a member of the Wealth Management Party Committee, Co-Chair of the Wealth Management Committee, and Head of the Client Development Center at CITIC Securities, stated that the company will closely align with the financial support policies of the Greater Bay Area, enhance coordination between domestic and international operations, strengthen compliance, risk control, and investor protection, and intensify efforts in cross-border investment, asset allocation, and financial innovation. These initiatives aim to contribute significantly to the development of the Greater Bay Area into an international first-class bay area and a world-class city cluster.
Since the launch of the Greater Bay Area initiative in 2017, CITIC Securities has implemented comprehensive and forward-looking strategies focusing on financial connectivity, high-quality development, and institutional openness. The company is committed to building an integrated financial platform that serves the bay area while connecting globally.
One key strategy involves deepening local presence to establish strong service footholds. In 2018, the company announced the acquisition of Guangzhou Securities, completing the industrial and commercial registration changes in 2020 and establishing CITIC Securities South China Company Limited as a specialized subsidiary focusing on wealth management in the region. Leveraging its regional network and localized service capabilities, the subsidiary provides comprehensive financial services, including brokerage, investment advisory, margin trading, and financial product distribution, thereby enhancing service efficiency and coverage in the bay area.
Another focus is strengthening global connectivity to create a cross-border service hub. Using Hong Kong as an international bridgehead, CITIC Securities coordinates resources and professional teams across borders to offer one-stop solutions in securities, funds, futures, foreign exchange, and commodities. The company supports bay area enterprises in going global and facilitates the inflow of international capital, providing services such as cross-border investment and financing, global asset allocation, and risk management. In 2025, the company's Hong Kong subsidiary acted as a sponsor for 33 out of 116 IPO projects in the Hong Kong market, accounting for 28.4% of the total. Additionally, it assisted the Ministry of Finance in issuing RMB 6 billion government bonds in Macao, supporting the internationalization of the renminbi.
CITIC Securities is also seizing opportunities presented by cross-border connectivity initiatives. In November 2024, CITIC Securities South China obtained approval to participate in the Cross-Boundary Wealth Management Connect Scheme, becoming one of the first securities firms to operate under the pilot program. The company strictly adheres to regulatory requirements, offering compliant and diversified cross-border asset allocation options to residents of the Greater Bay Area, thereby promoting orderly capital flows and the high-level opening of the wealth management market.
Digital empowerment represents another strategic priority. In 2025, the company established an Online Finance Division in Shenzhen to focus on online customer acquisition and retail financial services in the bay area. By integrating the company's brand and technological advantages with local resources, the division has improved customer acquisition efficiency and engagement while reducing service costs, thereby expanding the reach of inclusive finance.
Looking ahead, the wealth management market in the Greater Bay Area presents both opportunities and challenges. Key opportunities include the continued vibrancy of the Hong Kong stock market, with IPO fundraising exceeding HKD 180 billion in 2025, and growing demand for cross-border wealth management solutions. However, differences in regulatory rules between mainland China and Hong Kong pose challenges, requiring financial institutions to enhance compliance, risk management, and investor education.
CITIC Securities plans to leverage its integrated domestic and international layout to support enterprises in listing, refinancing, and employee stock incentive plans in Hong Kong. The company will also upgrade its global wealth management and asset allocation capabilities, offering a wide range of cross-border products, including public and private funds, to meet diverse client needs.
The unique "one country, two systems, three tariff zones" framework of the Greater Bay Area has resulted in distinct client demands characterized by cross-border, diversified, and professional features. Clients in the region exhibit a strong appetite for global asset allocation, cross-border financial tools, and innovative products, necessitating comprehensive and specialized services from financial institutions.
To address these needs, CITIC Securities has launched targeted investor education initiatives. These include online and offline activities, such as seminars in collaboration with Hong Kong Exchanges and Clearing Limited, and educational content on topics like the Cross-Boundary Wealth Management Connect Scheme and trading rules for the Hong Kong Stock Connect. The company also engages with schools and communities to promote financial literacy and risk awareness.
In terms of cross-border asset allocation, CITIC Securities has developed a robust product framework covering public and private funds. The company offers a diverse range of products, including overseas equity index funds and fixed-income strategies, to meet the evolving needs of clients. Since obtaining the Cross-Boundary Wealth Management Connect pilot qualification, CITIC Securities South China, in collaboration with CITIC Securities Wealth Management (Hong Kong), has provided efficient cross-border wealth management services, with signed clients accounting for nearly 10% of the market's new份额 and fund remittances exceeding 20% of the industry total.
CITIC Securities remains committed to advancing the buyer-driven investment advisory model, with assets under advisory exceeding RMB 130 billion. The company ensures the separation of asset introduction and market operations to prioritize client interests. It offers tailored solutions across different risk profiles, helping clients achieve steady wealth preservation and growth.
Moving forward, CITIC Securities will continue to align with regulatory guidance, deepen the transformation of wealth management services, and enhance mechanisms that bind the interests of the company with those of its clients. By providing high-quality products and services, the company aims to support the growth of long-term investment ecosystems and contribute to the high-quality development of capital markets.