Shang Hai Zheng Quan Bao·2025-09-25 18:14Core Viewpoint - The continuous increase in margin financing balance reflects a growing confidence in the market, prompting brokerages to raise their credit business limits to capture market share and enhance their capital strength and risk management capabilities [1][2][5]. Group 1: Margin Financing Balance Growth - As of September 24, the margin financing balance reached a record high of 2.43 trillion yuan, with a single-day increase of over 14 billion yuan, marking a 77.14% year-on-year growth [1][4]. - The margin financing balance has remained above 2 trillion yuan since August 5, with 37 consecutive trading days above this threshold [4]. - The proportion of margin financing balance to the A-share market capitalization is currently 2.54% [4]. Group 2: Brokerages' Credit Business Expansion - Zheshang Securities raised its credit business limit from 40 billion yuan to 50 billion yuan, reflecting confidence in the growth of its margin financing business, which saw a 32.60% year-on-year increase to 23.785 billion yuan [2]. - Huayin Securities has increased its credit business limit twice this year, first to 6.2 billion yuan and then to 8 billion yuan [2]. - Multiple brokerages, including Xingye Securities, have also announced plans to expand their credit business limits, indicating a trend of growth in the sector [2]. Group 3: Market Activity and Investment Trends - The active trading environment has led to significant inflows of leveraged funds into sectors such as electronics, power equipment, and machinery, with net purchases of 11.095 billion yuan, 2.502 billion yuan, and 876 million yuan respectively on September 24 [4]. - Over the past month, several sectors, including electronics and power equipment, have seen net purchases exceeding 10 billion yuan, highlighting investor interest in these areas [4]. Group 4: Risk Management and Compliance - The rapid expansion of margin financing has raised challenges in risk management, with some brokerages facing regulatory warnings for inadequate risk checks and compliance failures [6][7]. - Companies are enhancing their risk management frameworks, focusing on investor suitability management and continuous monitoring of client accounts to mitigate risks associated with increased leverage [7]. - The industry is entering a phase where both scale and quality of service are emphasized, with brokerages competing on capital adequacy, liquidity risk management, and operational compliance [7].