During the first half of the year, the robust performance of technology sectors, notably semiconductors, spurred a revaluation across the value chain within the core investment banking operations of securities firms. This trend was particularly pronounced as the floating profits from securities firms' co-investments on the STAR Market soared to recent record levels.
According to data, as of July 2, there were 38 companies listed on the STAR Market where sponsoring institutions had co-invested and whose lock-up periods were still in effect. These investments have yielded paper gains amounting to RMB 10.5 billion for the co-investing securities firms. Nevertheless, the lion's share of these profits has been accrued by just 10 securities firms, predominantly the industry's top players.
Analysts opine that co-investment initiatives have substantially bolstered the adaptability of securities firms' mid-term performance, offering them greater leeway in navigating market fluctuations.