Targeting quantitative and convertible bond assets! An executive at this major securities firm sends a signal

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Recently, China Galaxy executives attended the 2025 Q3 performance briefing.

This major securities firm has a unique approach to its international business, wealth management, and institutional business. The management answered investors’ questions regarding these competitive business areas and released valuable information.

Among these, the logic of asset allocation for major categories under a low interest rate environment has become a topic of high interest for investors.

Capital Insights has organized the contents of this briefing as follows for readers’ benefit.

Accelerating Overseas Expansion

The company’s investment banking business adheres to a functional-first positioning, focuses on enhancing the quality and efficiency of serving national strategies, centers on key industries in the 15th Five-Year Plan, actively promotes business synergy, deepens integrated onshore and offshore development, aims to create benchmark cases in equity and debt financing, as well as mergers and acquisitions, and seeks to expand the scale of these businesses.

The company’s international business network covers Hong Kong, Singapore, Malaysia, Indonesia, Thailand, and other regions, making it one of the Chinese securities firms with the widest network in Asia. Next, the company will continue to strengthen the transparent management of overseas subsidiaries, deepen the efficient integration and operation of its full business chain both domestically and internationally, and consolidate its core market position in Southeast Asia.

The company’s wealth management business always aligns with national strategies, collaborates with partners, and advances together with clients. It focuses on various client scenarios, continues to upgrade and iterate its trading system, and has established a more diversified, stable, and sustainable service ecosystem.

The company’s institutional business is committed to becoming a full-chain service provider relied on by clients, continuously promoting deep integration of technology and business, improving its institutional service ecosystem, and focusing on offering one-stop, personalized and comprehensive solutions across diverse business scenarios including research, OTC derivatives, institutional wealth management, custody and fund services, prime brokerage (PB), and equity services.

Shift in Investment Business

Currently, under a low interest rate environment, traditional fixed-income investments face low spreads and high volatility challenges. On top of traditional fixed-income investments, FICC investments are mainly expanding towards quantitative investment, neutral strategies, structured products, and other investment tools to enrich investment strategies and categories and improve investment returns.

Regarding OCI investments, the company uses its own funds while also proactively responding to and utilizing new financial policy support tools such as central bank swap facilities, keeping the scale of investments in the OCI account basically stable under the premise of reasonable dividend yield.

Focus on Convertible Bond Market Opportunities

In terms of equity business, in response to the recent gradual decline in the size of the convertible bond market, the company’s future convertible bond investments will continue to leverage its traditional professional advantages, combine the characteristics of convertible bond assets with those of securities firms’ proprietary business, maintain a relatively stable investment style, reasonably control investment size and direction, strive to manage volatility, and achieve steady returns.

New Round of Strategic Planning

Regarding the company’s new round of strategic planning, the company is currently conducting in-depth discussions and rigorous evaluations. This is a critical plan for the company’s development over the next five years and beyond. We need to comprehensively assess the macroeconomic environment, capital market policy requirements, changes in the securities industry, financial technology transformation, and our own development foundation to ensure that the final strategy is clear, feasible, and able to create long-term value for all shareholders.

Risk Warning and DisclaimerThe market has risks; investment should be approached cautiously. This article does not constitute personal investment advice, nor does it take into account the specific investment objectives, financial situation, or needs of individual users. Users should consider whether any opinions, viewpoints, or conclusions herein are suitable for their specific circumstances. Invest at your own risk. ```