View market news and trends on Eastmoney, choose Eastmoney Securities for one-stop account opening and trading. Benefiting from the continuous improvement in market sentiment, Hong Kong brokerage stocks have been strengthening. As of the time of writing, Shenwan Hongyuan (06808.HK), Everbright Securities (06178.HK), China Merchants Securities (06099.HK), and Guolian Securities (01456.HK) have risen by 31.56%, 23.39%, 19.03%, and 18.33%, respectively.
In terms of performance news of Hong Kong brokerage stocks, with the recent release of policies, market trading activity has significantly increased, and customer willingness to open accounts has also strengthened. The A-share market has seen a surge in account openings, with many brokerages experiencing a 2 to 4 times increase in account openings. This phenomenon is also evident in the Hong Kong market, where one of the largest local brokers, Phillip Securities, has seen a surge in account opening business, with customer service staff canceling holidays and being on standby 24/7 to meet the demand for account openings.
Tiger Brokers saw a 73.4% increase in account openings last week, with mobile app active users growing by 10% year-on-year. Futu Holdings, one of the largest online brokers in Hong Kong, saw a 40% increase in account inquiries last week, with online platform stock trading volumes increasing by 95% compared to the previous week, and the number of investors increased by 60%.Furthermore, according to data disclosed by the Hong Kong Stock Exchange’s disclosure system, on September 27th, J.P. Morgan increased its holdings by approximately 6.1164 million shares at an average price of 296.4760 Hong Kong dollars per share, involving about 1.813 billion Hong Kong dollars. After the increase, the latest holding is about 81.42 million shares, with the holding ratio rising from 5.93% to 6.42%.
How do institutions view the current brokerage stocks? CICC points out that the performance, valuation, and holdings of the brokerage sector have all bottomed out. Recent policies of lowering reserve requirements and interest rates have provided liquidity to the market, the creation of new policy tools has supported the development of the stock market, and mergers and acquisitions within the industry are accelerating.
UBS believes that brokerage stocks will benefit from macro and capital market support measures. Currently, the price-to-book ratio of H-share brokerage stocks covered by the bank’s research is only 0.4 times, which is at a historical low. Open Source Securities believes that the combination of stable growth and stable stock market policies has exceeded expectations, market trading volume is expected to continue to increase, coupled with a low base, the bank expects that the performance of listed brokerages in the second half of the year is expected to improve significantly year-on-year. (Article source: Caixin Global)