The first half of 2026 has seen the securities industry's "compliance test" evolve from isolated incidents into a comprehensive, system-wide stress test for the entire sector.
Data reveals that during this period, regulators including the central bank, the securities regulator, stock exchanges, and their local offices issued a total of 179 penalties, affecting nearly 60 brokerages.
Concurrently, 31 companies terminated their IPO processes, with a higher number of withdrawals seen at top-tier firms due to their extensive project pipelines.
In this landscape of industry-wide regulatory scrutiny, Guotai Haitong Securities has become a focal point, with figures showing 5 penalties, 10 sponsor representatives classified in Category C, and 6 terminated IPO projects.
This situation highlights both the growing pains of a major merger integration and serves as a prime example of the industry's broader shift from prioritizing "scale expansion" towards "quality enhancement."
A Broader Look at Industry Penalties
Media analysis indicates that the 179 penalties issued in the first half of 2026 spanned the entire business spectrum of brokerages, including brokerage, investment banking, proprietary trading, and compliance operations.
Small and medium-sized brokerages remain frequent recipients of penalties, with Tianfeng Securities leading with nearly 30 penalties, and Zhongtian Guofu Securities being fined over 43 million yuan and having its business suspended for six months due to issues with financial advisory services.
However, major firms are not immune; the 5 penalties received by Guotai Haitong Securities place it among the top-tier firms with a higher count.
Since its merger in April of last year, Guotai Haitong has received at least 9 penalties, covering its investment banking sponsorship, continuous supervision, over-the-counter derivatives, overseas subsidiaries, and brokerage businesses.
In investment banking, its Zhongding Hengsheng IPO project was publicly criticized by the Shenzhen Stock Exchange for five major violations, leading to a six-month ban for two sponsor representatives; in the Jieneng Tieren M&A project, the independent financial advisor received a written warning for inadequate verification procedures.
Regarding its branch network, on July 3, 2026, its Xinjiang branch and Urumqi Xinhua North Road sales office were jointly issued warning letters for employee misconduct in soliciting clients and operating client accounts.
Prior to this, sales offices in Shanghai, Heilongjiang, and Jiangxi had faced regulatory actions for suitability management flaws, employee stock trading violations, or facilitating client financing.
For its overseas subsidiary, in March 2026, Hong Kong's Securities and Futures Commission and the Independent Commission Against Corruption launched an investigation into a Guotai Junan International employee for alleged benefit transfer, putting overseas compliance under intense scrutiny.
It is noteworthy that some penalties relate to historical projects from the former Haitong Securities era—such as issues with continuous supervision for Hainan Poly Pharmaceutical—representing the surfacing of accumulated risks.
However, with the merger over a year old, market expectations extend beyond merely digesting this "historical baggage" to the new internal control system comprehensively covering both existing and new risks.
Category C Sponsor Representatives: The Underlying Integration Challenges for Guotai Haitong
The list of Category C (penalized) sponsor representatives serves as a barometer for the quality of investment banking practice.
According to the Securities Association of China, the first-half 2026 list included 32 individuals, with Guotai Haitong Securities accounting for 10, nearly one-third of the total, involving projects on the Beijing Stock Exchange, refinancing, and continuous supervision.
Since the company's merger, the cumulative number of its personnel on the C-class list totals 16.
Some cases involve projects from the former Haitong Securities period, such as Poly Pharmaceutical and Zhongding Hengsheng, where pre-merger practice deficiencies are being cleared under stricter oversight.
Additionally, sponsor representatives Xu Jianhao and Zheng Hao were involved in the Hubei Jingshan Light Industry project during their tenure at Tianfeng Securities, representing historical practice records carried over by personnel movement, not a direct responsibility of the merged Guotai Haitong entity.
However, new risks have also emerged, with some C-class designations relating to new projects undertaken post-merger.
While the merged Guotai Haitong possesses deep investment banking expertise, the磨合 of "dual internal control systems and two sets of practice standards" is still ongoing.
Accelerating the alignment of quality control standards and assessment mechanisms has become crucial for the steady navigation of this "brokerage aircraft carrier."
IPO Withdrawal Rates: Rebalancing Scale and Quality Considerations
The first half of 2026 saw a significant recovery in the A-share IPO market, with 71 companies successfully listing and raising a total of nearly 70.6 billion yuan, representing year-on-year increases of 39% and 86%, respectively.
Guotai Haitong Securities led the industry with 13 sponsored projects and a market share of approximately 18.3%, demonstrating strong project pipeline and execution capabilities.
However, the flip side is that the firm also saw 6 of its sponsored IPO projects (including joint sponsorships) terminated during the period, the highest number in the industry.
On one hand, it is normal for larger brokerages with extensive pipelines to see correspondingly higher withdrawal numbers due to statistical fluctuation.
On the other hand, proactively withdrawing from substandard candidates reflects institutions strengthening self-discipline and tightening entry standards.
Since the merger, Guotai Haitong has seen a total of 10 IPO project terminations.
Under the dual pressures of "strict regulation and high application volume," if the two sets of project approval standards cannot be rapidly aligned post-merger, a large project储备 could反而 amplify risks.
The Journey from Merger to Integration: Why 'Largest by Scale' Must Ultimately Mean 'Best by Quality'
In April 2025, Guotai Junan Securities and Haitong Securities completed the largest-ever A+H share absorption merger in China's capital market history.
At the time, CSRC Chairman Wu Qing commented that it had "preliminarily achieved a '1+1>2' effect."
Over a year later, the report card from this "brokerage aircraft carrier" presents a mixed picture.
Financially, its 2025 full-year operating revenue reached 63.107 billion yuan, up 87.40% year-on-year; net profit attributable to shareholders was 27.809 billion yuan, surging 113.52%.
For the first half of 2026, it forecasts net profit attributable to shareholders between 20.003 billion and 20.511 billion yuan, a year-on-year increase of 27% to 30%, with non-GAAP net profit growth estimated at 164% to 171%.
Simultaneously, its compliance record shows 9 penalties, 16 C-class sponsor representatives, 10 terminated IPOs, and branch management issues exposing integration gaps—creating a stark contrast between stellar financial performance and a黯淡 compliance track record.
This反差 stems from the reality that a "physical merger" is easier than achieving "chemical integration."
Two major investment banks with decades of history each developed distinct internal control cultures and professional practices.
In the year since the merger, the company has completed organizational restructuring at the架构 level—revising over 700 internal rules and establishing unified compliance, risk control, and financial management systems.
However, reshaping a compliance culture is not an overnight task; each step from system alignment to cultural融合, from IT integration to staff认同, represents a test in deep waters.
In May 2025, former senior CSRC official Zhao Huiwen was appointed as Chief Compliance Officer to lead the substantive integration of the two compliance systems.
In June of this year, Chairman Zhu Jian stated the company must "adhere to the consciousness of 'one chessboard' and the posture of 'one family' to systematically advance group integration."
The company's latest "2026 Action Plan for Improving Quality, Efficiency, and Returns to Shareholders" also explicitly proposes "continuously consolidating a comprehensive,穿透式 compliance and risk control system."
The growing pains of integration for a top-tier brokerage are not unique to Guotai Haitong Securities; they are challenges the entire Chinese securities industry must confront in its transition from "scale expansion" to "quality enhancement."
As this asset giant worth 2.1 trillion yuan navigates the compliance深水区, penalties are not the end goal but the starting point for rectification.
The market anticipates not just数字跃升 on financial statements, but a compliance and risk control system robust enough to match its scale and withstand scrutiny.
The ultimate measure of success must shift from "largest by scale" to "best by quality."
The first-anniversary assessment of the Guotai Haitong merger may find its answer not in the fluctuation of penalty counts, but in whether each corrective action genuinely touches the深层肌理 of "chemical integration."
After all, the synergistic "1+1>2" effect must ultimately transition from vision to consistent reality.
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