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Published by: Listed Company Research Institute Author: Zheng Quan
Recently, 42 pure securities business listed brokerages completed their H1 2025 semi-annual report disclosures. The 42 listed securities firms collectively achieved total operating revenue of 251.9 billion yuan in H1 2025, up 31% year-on-year, and realized net profit attributable to shareholders of 104.0 billion yuan, up 65% year-on-year.
By business segment, proprietary trading became the "pillar" of performance. In H1 2025, the 42 brokerages collectively realized proprietary trading revenue of 112.353 billion yuan (calculated using the formula "proprietary trading revenue = net investment income + fair value changes - investment income from associates and joint ventures," same calculation method applies below), up 53.53% year-on-year, accounting for nearly 45% of total revenue. Among them, CITIC Securities had the highest proprietary trading revenue in H1 2025 at 19.052 billion yuan; BOC International (China) Co.,Ltd. had the lowest proprietary trading revenue at only 122 million yuan.
From the perspective of proprietary trading return rates, BOC International (China) Co.,Ltd. had the lowest investment return rate in H1 2025 (return rate = proprietary trading revenue/average proprietary assets, annualized return rate multiplied by 2; average proprietary assets = (beginning proprietary assets + ending proprietary assets)/2, proprietary assets = trading financial assets + debt investments + other debt investments + other equity instrument investments + derivative financial assets, same calculation method applies below) at only 1.52%. Additionally, Everbright Securities' investment return rate was below 2%.
BOC International (China) Co.,Ltd. not only ranked last in proprietary trading revenue and investment return rates in H1 this year, but also had the lowest ratio of proprietary assets to total assets. In H1 2025, the average ratio of proprietary assets to total assets among the 42 listed brokerages was 50.29%, while BOC International (China) Co.,Ltd.'s ratio was only 20.52%. BOC International (China) Co.,Ltd.'s proprietary trading revenue proportion was even lower at only 8.14%, far below the 45% average of the 42 brokerages.
**BOC International (China) Co.,Ltd. Ranks Last in Both Proprietary Trading Revenue and Investment Returns**
In H1 2025, the 42 brokerages collectively achieved proprietary trading revenue of 112.353 billion yuan, up 53.53% year-on-year. Among them, BOC International (China) Co.,Ltd. had the lowest proprietary trading revenue at only 122 million yuan.
In H1 2024, BOC International (China) Co.,Ltd.'s proprietary trading revenue was 182 million yuan. In H1 2025, it declined by 32.55%, diverging from industry trends during the hot market conditions of the first half.
In H1 2025, China's stock market major indices showed upward trends, with Wind All A rising 5.83%, Shanghai Composite Index up 2.76%, and Shenzhen Component Index up 0.48%. The bond market overall showed high volatility and fluctuation, with CSI All Bond Index up 1.14%. In Q2 2025, both stock and bond performances were favorable, with financial investment asset scale continuing to increase. In Q2 2025, Shanghai Composite Index rose 3.3%, ChiNext Index rose 2.3%, CSI 300 Index rose 1.3%, and ChinaBond Total Wealth Index rose 1.5%.
Data Source: Wind
BOC International (China) Co.,Ltd. not only had low proprietary trading revenue but also low returns. At the end of H1 2025, BOC International (China) Co.,Ltd.'s total proprietary investment assets were 14.888 billion yuan, compared to 17.354 billion yuan at the beginning of 2025, with an average of 16.121 billion yuan, resulting in an investment return rate of only 1.52%, far below the average of 3.46% among the 42 listed brokerages.
BOC International (China) Co.,Ltd.'s low investment return rate may be related to its stock asset proportion. At the end of H1 2025, BOC International (China) Co.,Ltd.'s trading financial assets totaled 12.69 billion yuan, of which stock assets were 675 million yuan, accounting for 5.32%.
**BOC International (China) Co.,Ltd.'s Proprietary Revenue Ratio and Proprietary Asset Ratio Both Significantly Low**
From the perspective of proprietary revenue ratio and the proportion of proprietary assets to total assets, BOC International (China) Co.,Ltd.'s data also ranked last.
In H1 2025, BOC International (China) Co.,Ltd.'s proprietary revenue of 122 million yuan accounted for 8.14% of total revenue, ranking last among the 42 brokerages, far below the average of 45%.
Data Source: Wind
In H1 2025, BOC International (China) Co.,Ltd. achieved operating revenue of 1.505 billion yuan, up 20.79% year-on-year, and net profit attributable to shareholders of 565 million yuan, up 33.13% year-on-year. Whether in terms of revenue scale or net profit scale, BOC International (China) Co.,Ltd. ranked after 30th place, belonging to small and medium-sized brokerages.
For small and medium-sized brokerages, proprietary trading is a business with significant performance elasticity, and many small and medium-sized brokerages have relatively high proprietary revenue ratios. However, BOC International (China) Co.,Ltd.'s ratio is only in single digits, not only below the average of around 45%, but also more than 50% lower than the second-to-last Zhongtai Securities (18.27%).
From an asset perspective, BOC International (China) Co.,Ltd.'s proprietary investment assets of 14.888 billion yuan at the end of H1 2025 accounted for 20.52% of total assets, far below the average of 50.29%. Therefore, if BOC International (China) Co.,Ltd. focuses on proprietary trading business, there may be significant room for future performance improvement.
Research suggests that for future proprietary trading business, large brokerages should adhere to non-directional low-volatility absolute return strategies, while small and medium-sized brokerages should focus on developing businesses that are not dependent on capital. Specifically for equity proprietary trading, large brokerages should focus on OTC options and structured products, while small and medium-sized brokerages should emphasize return swaps. For fixed income proprietary trading, large brokerages should transform toward FICC, while small and medium-sized brokerages should highlight sales and trading cost-effectiveness. Improving balance sheet utilization capabilities and major asset allocation capabilities under asset-liability matching may be the long-term direction for proprietary trading business development.
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Editor: Corporate Observer
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