Brokerage performance reaches a five-year high; the rebound potential in the securities sector is worth looking forward to.

As the annual report season gets underway, brokerage firms’ performance growth rates have drawn market attention. According to Wind data, as of March 30, 27 listed securities companies had released their 2025 annual reports, and while all of their parent-attributable net profits were positive, the average profit increased year over year by 44.39%, marking the highest level since 2020. And judging by the trend, the CSI All-Index Securities Companies Index (中证全指证券公司指数) rose only 2.54% in 2025, significantly underperforming the Shanghai Composite Index over the same period. Combined with catalysts from securities firm M&A and restructuring events, the room for a catch-up rally in the securities sector may be worth期待. The reporter learned that the Invesco Great Wall ETF line has been newly added—Invesco’s Securities ETF (code: 159008) is currently being offered. The product tracks the CSI All-Index Securities Companies Index, packaging leading A-share brokerage “blue chips” in one click, providing investors a convenient tool to capture opportunities in the sector. (Data source: Wind; the Shanghai Composite Index’s rise in 2025 was 18.41%)

Multiple favorable factors converging could open a window for allocating to the securities sector

As is well known, brokerage firms’ businesses—including brokerage and agency (commission) business, asset management, and proprietary investment—are closely tied to market activity. Since September 24, 2024, with the continued introduction of incremental policies, trading activity in the secondary market has been greatly boosted. For example, in 2025, the average daily value of stock and fund (equities and funds) trading was 1.98T yuan, up 67% year over year; meanwhile, as of the end of 2025, outstanding margin financing totaled 2.5242 trillion yuan, up 36%. Looking at the profit side, taking the CSI All-Index Securities Companies Index as an example, based on Wind’s consensus expectations data, the index’s net profit in 2025 is expected to grow 47.36% year over year. (Data source: Wind, as of 2026/3/27)

However, the sharp improvement in performance has not yet brought a synchronized repair in sector valuations. As of March 27, the CSI All-Index Securities Companies Index’s price-to-earnings (P/E) ratio was 14.78 times, at a historical low within the past five years of 0.54%. Huatai Securities said that in the past, brokerage firms’ performance tended to fluctuate with market conditions, leading investors to worry about the sustainability of earnings growth, which became an important reason suppressing the sector’s performance. Nevertheless, as the capacity of the capital markets has been significantly expanded in the past two years—along with an increase in both investor participation and the number of listed companies—coupled with long-term capital continuing to enter the market, brokerage firms’ operations across various business lines are expected to improve, which could reduce uncertainty about earnings growth. “Looking ahead, the policy tone supporting the development of capital markets is expected to create a ‘slow bull’ environment, promote more diversified development of brokerage businesses, and thereby enhance the stability of earnings growth. With a mismatch between sector valuations and earnings, there may be strategic allocation opportunities.” Huatai Securities’ analysis said.

In addition, the logic of policy support for the long-term development of securities firms is also fairly clear. On one hand, regulators encourage securities firms to integrate resources through mergers and restructuring, improving overall competitiveness while also advancing supply-side reforms in the industry. On the other hand, they encourage differentiated development for securities firms at different tiers—for example, by granting leading firms greater autonomy in areas such as pilot programs for innovative businesses and the use of funds, while guiding smaller securities firms to “compete” on distinctive features, avoiding industry resource drain and inefficient “price wars.” At the same time, the “Fifteenth Five-Year Plan for the period from 2026 to 2030” proposes building China into a strong financial nation; the capital market will play an even more critical hub function in cultivating new quality productive forces and serving the real economy. This will also help promote diversified development of brokerage business and potentially open up long-term growth space.

Gather high-quality brokerage leaders—high flexibility and strong aggressiveness

How can investors seize opportunities for allocating to the securities sector? ETFs are one of the more efficient and convenient tools. Taking the Securities ETF from Invesco that is currently being issued as an example: it tracks the CSI All-Index Securities Companies Index. This index selects securities industry stocks from among the CSI All-Index sample stocks to form its constituents. At present, it has 49 constituent stocks. It includes traditional brokerage leaders such as CITIC Securities, Guotai Junan, and Huatai Securities, and also covers internet brokerage leaders represented by Oriental Fortune. It therefore is highly representative of the securities sector and can capture industry investment opportunities in a relatively comprehensive way. (Data source: Wind, as of 2026/3/27; the above individual stocks are provided only as examples of index constituents and do not represent any specific investment recommendation; investing involves risks—proceed with caution.)

Based on historical data, the performance of the CSI All-Index Securities Companies Index is closely related to the overall business climate of the capital markets. It often shows strong aggressiveness during periods when the market is rising, enabling it to generate significant excess returns that lead the broader market index. For example, during three typical uptrends—July 1, 2013 to June 1, 2015; January 1, 2019 to December 1, 2021; and September 24, 2024 to March 31, 2025—the index rose 235.63%, 52.88%, and 31.97%, respectively. Compared with the Shanghai Composite Index’s gains over the same periods, the excess returns are clearly evident. (Note: The Shanghai Composite Index’s rises in the above ranges were 143.97%, 43.43%, and 21.35%, respectively. Data is from Wind. Historical performance does not represent returns. Investing involves risk; exercise caution when choosing.)

Looking ahead, Zhang Xiaonan, proposed fund manager for Invesco’s Securities ETF (code: 159008), said that under policy support and liquidity care, the trend of capital markets steadily moving upward remains unchanged. In addition, with valuation advantages, brokerage restructuring promoting supply-side reforms in the industry, and incremental improvements in internationalized business quality, there is potential to create two opportunities for the securities sector: valuation repair and earnings realization. It is also worth mentioning that Invesco Great Wall has been working on ETFs for many years, and in recent years has accelerated its deployment of domestic and overseas markets through differentiated strategies featuring both characteristics and internationalization, offering investors a wide range of ETF products with distinct features. In terms of industry themes, besides ETFs covering technology themes such as Hong Kong stock technology, the Nasdaq technology sector, artificial intelligence, and new energy, there are also ETFs focusing on resource sectors such as nonferrous metals, power, and agriculture, animal husbandry, and fisheries. The issuance of this Invesco Securities ETF further enriches the company’s layout in industry theme products and provides investors with a convenient tool to capture opportunities in the securities sector.

MACD golden cross signals have formed—these stocks have strong upward momentum!

A vast amount of information and precise analysis—on the Sina Finance app

责任编辑：郭栩彤