On the news front, the Securities Association of China (SAC) recently issued an analysis of the securities industry's operating performance for the first half of this year. The analysis stated that in the first half, 150 securities firms across the industry achieved operating revenue of 329.81 billion yuan (RMB, same below) and net profit of 138.664 billion yuan, representing year-on-year increases of 31.38% and 23.50% respectively. Among them, 136 securities firms were profitable, with a profitability rate exceeding 90%; loss-making firms were mainly investment banking subsidiaries and others.
In the first half of the year, the industry's average net commission rate for agency trading of securities dropped to 1.71 basis points, significantly reducing investors' trading costs. The industry's revenue structure has changed dramatically, with brokerage business revenue rarely surpassing proprietary trading income to become the largest source of revenue in the securities industry. As of the end of the first half, foreign ownership stakes increased by nearly 30% compared to the end of last year. (ry)