Under Wang Sheng's leadership, Galaxy Securities' performance surged significantly, with investment banking strategy showing notable results?

Ask AI · How does the collaborative model achieve a counterattack and growth in investment banking business?

Produced by | China Investment Network

Reviewed by | Li Xiaoyan

As the core securities platform within the Central Huijin system, China Galaxy Securities has achieved leapfrog growth in performance during the deepening reform cycle of the capital market since Wang Sheng took charge in October 2023. Focusing on the goal of becoming a “first-class modern investment bank,” with investment banking as the breakthrough point and business collaboration as the driving force, the company demonstrates the responsibility and resilience of a state-owned financial institution. Despite phased adjustments in bond business practice quality ratings and ongoing improvements in compliance management, the company’s overall operations remain stable and improving, with a continuously optimized business structure and a more solid foundation for long-term development.

Wang Sheng brings extensive experience in investment banking and management of leading institutions. After joining Galaxy Securities, he precisely addressed the company’s shortfalls in investment banking, promoting the deep integration of traditional brokerage advantages with modern investment banking capabilities. Under his leadership, the company established a “five-in-one” collaborative development model, driving synergy among wealth management, investment banking, institutional business, trading, and international business, building an integrated, full-chain comprehensive financial service system.

Performance data confirms the effectiveness of the strategy. In the first three quarters of 2025, Galaxy Securities achieved operating revenue of 22.75 billion yuan, a year-on-year increase of 44.4%; net profit attributable to the parent was 10.97 billion yuan, a significant increase of 57.5%. Both profit scale and growth quality rank among the industry’s top. Among these, investment banking has become the core growth engine, with equity underwriting performing exceptionally well. In the first three quarters of 2025, the underwriting scale reached 24.07 billion yuan, a surge of 1419% year-on-year, with the industry ranking jumping to 8th, transforming from a “shortcoming” to a “growth engine.” Bond underwriting business continued to expand, with the first half of 2025 seeing a bond underwriting scale of 3,272.62 billion yuan, up 82.8% year-on-year, ranking 6th in the market. The company’s offerings of local government bonds, financial bonds, and medium-term notes all ranked in the top ten industry-wide, significantly enhancing its service capacity for real economy financing.

Leveraging the resource advantages of Central Huijin and the credit backing of a state-owned securities firm, Galaxy Securities maintains a stable market position in government bond underwriting and financial bond issuance. It continues to serve as a principal underwriter for government bonds in Sichuan, Inner Mongolia, and other regions, providing professional services to support local economic development and fiscal financing. The company expands its business coverage through market-oriented approaches, seizing opportunities in national strategies such as state-owned enterprise reform, industrial upgrading, and technological innovation. Investment banking is steadily progressing from “scale expansion” to “quality and efficiency improvement.”

Galaxy Securities always upholds its core advantage in wealth management. Relying on a large offline network and broad client base, it promotes coordinated growth across brokerage, asset management, and wealth management businesses. In the first three quarters of 2025, the net income from brokerage, investment banking, and asset management increased by 70.7%, 29.9%, and 12.7%, respectively, with fee-based businesses showing comprehensive improvement. Steady gains in proprietary investment returns, ongoing optimization of asset allocation structures, and enhanced risk resistance capabilities further support sustainable development. The wealth management client base continues to grow, with assets steadily increasing, providing a solid foundation for the expansion of innovative businesses.

In business development, the company adheres to a “customer-centric” approach. By providing investment banking services such as bond underwriting and equity sponsorship to high-quality enterprises, it drives the reverse synergy of wealth management, asset management, and institutional services, forming a virtuous cycle of “investment banking attracting clients and full-chain value-added.” This collaborative model not only enhances the value contribution per client but also promotes the company’s transformation from a single-channel service provider to a comprehensive financial service provider, resulting in a more balanced and resilient profit structure.

At the same time, Galaxy Securities actively deploys international business. Relying on overseas platforms, it expands into emerging markets such as Southeast Asia, serving the “going global” needs of Chinese enterprises and cross-border investment and financing. It has established a business pattern linking domestic and overseas markets. As an important financial vehicle within the Huijin system, the company plays an irreplaceable role in serving national financial strategies and maintaining the stability of the capital market.

Objectively, Galaxy Securities faces challenges during its rapid expansion, such as phased downgrades in bond business practice quality ratings and the need to improve compliance management for some projects. From 2022 to 2025, the company’s bond business practice quality rating was downgraded from Class A to Class C, with regulatory reminders issued due to issues in project execution details and information disclosure. These are common transitional phenomena during high-speed industry development and reflect room for improvement in scaling and quality control. It should be clarified that the practice quality rating pertains to individual bond business and does not affect the company’s overall creditworthiness or business qualifications, nor does it impact core business operations. In response to regulatory requirements and market attention, Galaxy Securities insists on “compliance first, risk control foremost,” fully implementing regulatory rectification, strengthening full-process project management, upgrading quality control and internal review systems, and improving integrity management to close compliance gaps. The company continues to promote the “Clean Galaxy” initiative, using a four-responsibility collaborative mechanism to solidify compliance responsibilities, integrating risk control and compliance throughout the entire process of project acquisition, execution, and underwriting, and strengthening risk defenses from systems, processes, and personnel.

Regarding industry-wide issues such as low-price underwriting, Galaxy Securities actively responds to self-regulatory requirements, standardizes underwriting pricing behaviors, balances business development with practice quality, and promotes the return of bond underwriting to its service-oriented roots. For individual projects with practice flaws, the company enforces strict accountability, strengthens the responsibilities of sponsors and project leaders, and enhances professional capabilities in research and due diligence, aiming to promote规范 and development through rectification.

Backed by the strong support of Central Huijin and Galaxy Financial Holdings, Galaxy Securities possesses unparalleled shareholder resources, credit qualifications, and strategic synergy advantages. As a key state-owned securities firm, it remains committed to its original mission of serving the country through finance, focusing on main business areas, and continuously advancing in fields such as technological innovation, manufacturing upgrade, green finance, and inclusive finance, supporting high-quality economic development with professional financial capabilities.

Looking ahead, as the comprehensive registration system deepens and capital market reforms continue, Galaxy Securities will further leverage its role as a leading state-owned securities firm, consolidate its traditional strengths in wealth management, strengthen and optimize its investment banking business, enhance institutional services and trading capabilities, and accelerate international expansion. The company will adhere to a balanced approach of scale and quality, development and safety, continuously improve its compliance and risk control systems, address shortcomings in practice quality, and shift from “volume through price” to “quality-driven” growth.

The achievements in performance growth, business collaboration, and structural optimization during this strategic transformation fully demonstrate the adaptability and creativity of a state-owned financial institution amid market-oriented reforms. The phased rating adjustments and compliance challenges are issues and costs of growth, but will also serve as motivation for the company to pursue higher-quality development.

Under Wang Sheng’s leadership, Galaxy Securities is moving forward with a more open mindset, greater professionalism, and more steady steps, strictly adhering to compliance, deepening its core financial services, serving national strategies, and striving to build a leading domestic and world-class modern investment bank, contributing more to the high-quality development of the capital market.