Core Viewpoint - The trend of brokerage firms downsizing their branch networks continues, with a shift from expansion to efficiency improvement and refined management practices [2][5]. Summary by Sections Downsizing of Branches - Recently, multiple listed brokerages announced plans to close branches, with 19 firms collectively shutting down 43 outlets since August [2][4]. - Notable closures include Guotai Junan Securities, which closed 13 branches, and other major firms like Shenwan Hongyuan and CITIC Securities, each closing one branch [4]. Reasons for Downsizing - The closures primarily target long-term unprofitable branches or those failing to meet performance targets [5]. - The ongoing digital transformation has led to increased online functionality, reducing the marginal value of physical branches [5]. New Branch Openings - Despite the trend of downsizing, some brokerages, such as First Capital Securities, plan to open new branches, with a goal of establishing up to 10 new outlets by the end of 2028 [6]. - First Capital currently has 32 branches, primarily located in Guangdong, which accounts for about 40% of its total [6]. Dynamic Adjustments in Branch Strategy - Brokerages are cautiously adjusting their branch strategies, with some like Shenwan Hongyuan and Dongfang Securities both opening and closing branches in the same period [8]. - The overall attitude towards new branch openings remains cautious, indicating the end of the aggressive expansion era [8]. Enhancing Branch Efficiency - Many brokerages are implementing measures to optimize branch layouts and improve operational efficiency [10]. - Initiatives include talent development, restructuring management, and enhancing customer service mechanisms to boost revenue and competitiveness [10].