Dongwu Securities plans to acquire Donghai Securities, and the Securities ETF Huaxia(515010) rose 0.76% against the market trend

As of the morning trading session on March 3, 2026, the three major indices all opened lower. The financial sector stocks gained during the session, helping the Shanghai Composite turn positive. By 11:00, the Huaxia Securities ETF (515010) was up 0.76%, with its holdings in Guosheng Securities rising 3.94%. Shares of First Venture, Hualin Securities, CITIC Securities, and GF Securities also gained. The Huaxia Financial Technology ETF (516100) fell 0.67%.

In news, Dongwu Securities announced today that it is planning to acquire Donghai Securities through issuing A-shares. The stock has been suspended since the market opened on March 2, with an expected suspension period of no more than 10 trading days. Meanwhile, Donghai Securities, listed on the New Third Board, has also been suspended since March 2 and is expected to resume trading before March 16.

Open Source Securities analysts noted that this acquisition strengthens Dongwu Securities’ net assets and improves its ranking: as of the end of the first half of 2025, Dongwu Securities’ total assets and net assets were 171.9 billion and 43.2 billion yuan, respectively. Donghai Securities’ total assets and net assets were 57.1 billion and 10.3 billion yuan. After the merger, the combined company’s net assets are estimated at 53.5 billion yuan, moving its ranking among listed brokerages from 18th to 14th. The company’s capital strength is solidified, which will support the development of various business lines during the slow bull market. Additionally, this merger will enhance the coverage and service density within the province. The Yangtze River Delta region, with its strong resource endowment and vibrant economy, is expected to further unlock regional potential and promote retail, institutional, and corporate client business growth.

Regarding fees, the management fee for the Huaxia Securities ETF is 0.15%, and the custody fee is 0.05%, the lowest among comparable funds.

From a valuation perspective, the latest price-to-earnings ratio (PE-TTM) of the CSI All Share Securities Index tracked by the Huaxia Securities ETF is only 16.47 times, placing it in the 0.4th percentile over the past year. This means the valuation has been below 99.6% of the past year’s levels, indicating a historical low.

The Huaxia Securities ETF closely tracks the CSI All Share Securities Index. As of February 27, 2026, the top ten holdings of the CSI All Share Securities Index (399975) are East Money, CITIC Securities, Guotai Huatong, Huatai Securities, China Merchants Securities, GF Securities, Orient Securities, Industrial Securities, Shenwan Hongyuan, and CICC. These ten stocks account for 60.15% of the index. (The listed stocks are only index components and do not constitute specific recommendations.)

(The above stocks are only index components and do not imply any specific endorsement.)

Huaxia Securities ETF (515010) is connected via the over-the-counter links: Huaxia CSI All Share Securities ETF Connection A (007992), Huaxia CSI All Share Securities ETF Connection C (007993), and Huaxia CSI All Share Securities ETF Connection D (023766).