Financial management companies are expanding in size, with equity products becoming the new favorite

Source: 21st Century Business Herald Author: Tang Yaohua, Intern Huang Yue

Currently, 14 wealth management companies have disclosed their 2025 second-half financial reports, including Xingyin Wealth Management, Puyin Wealth Management, China Post Wealth Management, Xinyin Wealth Management, Huiyin Wealth Management, Hangyin Wealth Management, Qingyin Wealth Management, Huihua Wealth Management, BlackRock CCB Wealth Management, Societe Generale Agricultural Bank Wealth Management, and others.

With the release of these reports, the development outlook for wealth management companies in 2025 is also becoming clearer. Data shows that most companies achieved double-digit growth last year, with a more diversified range of financial products. The appeal of hybrid and other equity-linked products has increased, significantly boosting their market share. After the A-shares hit new highs, some companies reduced their investment in equity assets in the second half of 2025.

Most wealth management companies experienced double-digit growth last year

The reports indicate that most disclosed companies maintained double-digit growth in their wealth management scale in 2025, with only a few, such as Qingyin Wealth Management and Guangyin Wealth Management, experiencing single-digit growth last year. Qingyin and Guangyin saw their scales decrease in the first half of the year but rebounded in the second half.

Two joint venture wealth management firms, Societe Generale Agricultural Bank Wealth Management and Huihua Wealth Management, doubled their scales last year based on low bases, with growth rates of 202.04% and 105.81%, respectively. BlackRock CCB Wealth Management’s growth was slightly lower at 60.97%.

Xingyin Wealth Management, which has entered the “2 trillion yuan club,” continued to grow its scale to 24.3116 trillion yuan in 2025, while Xinyin Wealth Management grew to 22.9617 trillion yuan. China Post Wealth Management surpassed 1 trillion yuan by the end of 2025, reaching 13.17152 trillion yuan.

Major bank wealth management subsidiaries, such as China Post Wealth Management, and city commercial bank subsidiaries like Hangyin Wealth Management and Suyin Wealth Management, also saw significant growth, with increases of 31.82%, 38.53%, and 30.48%, respectively.

Xingyin Wealth Management, Xinyin Wealth Management, Puyin Wealth Management, Shangyin Wealth Management, and Huiyin Wealth Management all grew between 10% and 20%, with respective increases of 12.44%, 17.96%, 15.31%, 18.05%, and 19.57%.

Many companies reduced their investment in equity assets in the second half of last year

In the second half of last year, the A-share market fluctuated upward, breaking 4,000 points and reaching a 10-year high. Many wealth management companies chose to reduce their investment in equity assets during this period. Data from the financial product registration and custody center shows that last year, companies such as Suyin Wealth Management, BlackRock CCB Wealth Management, China Post Wealth Management, Puyin Wealth Management, Shangyin Wealth Management, Huiyin Wealth Management, and Huihua Wealth Management lowered their equity asset allocations.

This may be related to a slight change in market outlook among some firms. Industry insiders told the 21st Century Business Herald that sentiment toward the stock market in the second half of last year was less optimistic than in the second half of 2024 and the first half of 2025.

Suyin Wealth Management and BlackRock CCB Wealth Management significantly reduced their equity allocations, with Suyin decreasing from 8.39% at the end of 2024 to 6.11% at the end of 2025, and BlackRock CCB from 5.6% to 2.1%. Both companies previously had relatively high equity allocations compared to peers.

Some firms increased their equity investments last year, such as Xingyin and Hangyin, though Hangyin reduced its equity allocation in the first half and increased it again in the second half, resulting in a slight overall increase for the year. Qingyin Wealth Management increased its equity allocation in the first half but reduced it in the second half, ending the year with a lower proportion than at the start.

Overall, the banking wealth management sector reduced its equity asset ratio last year. According to the Banking Wealth Management Registration and Custody Center, the balance of wealth management products invested in equities at the end of 2025 was 0.66 trillion yuan, accounting for 1.85% of total assets, slightly down from 2.58% at the end of 2024. The proportion of cash, bank deposits, interbank certificates of deposit, and fund assets increased. The decline in equity investment ratios mainly occurred in the second half, with the ratio at the end of June 2025 still at 2.38%.

“A possible reason is channel preferences, and some wealth management firms also consider contrarian strategies to some extent,” a product department insider from a wealth management firm told the 21st Century Business Herald. Adjusting investment ratios dynamically based on market performance is also a common practice among these firms.

Enhanced appeal of products with equity features

Last year, firms like Xingyin Wealth Management and Hangyin Wealth Management actively promoted products with equity features, including many hybrid products. They issued 48 and 14 hybrid products, respectively. Hengfeng Wealth Management and Suyin Wealth Management also issued several, with 12 and 7 products each.

Hangyin Wealth Management mainly issued hybrid products in the second half of the year, with 12 issued then compared to only 2 in the first half, showing a clear focus on the second half. Both firms also issued many equity-linked products, with Hangyin issuing 6 and Xingyin 5.

The stock market’s upward trend in the second half of last year, reaching near 10-year highs, significantly boosted the appeal of hybrid products that had been less popular before. Although China Post Wealth Management only issued 5 hybrid products in the second half, the total raised amounted to 62.572 billion yuan, with an average of 12.514 billion yuan per product.

At the end of last year, the scale of hybrid products held by China Post Wealth Management and Xingyin Wealth Management reached 76.499 billion yuan and 51.24 billion yuan, respectively, with increases of 44.76% and 46.68% in the second half. Notably, China Post Wealth Management’s hybrid product scale continued to grow despite a reduction of 2 products in the second half. Suyin Wealth Management also increased its hybrid product scale by 1.409 billion yuan last year, despite reducing the number of existing hybrid products by 15.

With new products attracting funds and existing products continuing to draw investments, the proportion of hybrid products in the portfolios of most firms increased by the end of 2025 compared to the beginning of the year. This includes firms like Xingyin, China Post, Hangyin, Huiyin, Hengfeng, and Guangyin, whose hybrid product proportions rose.

Data from the Banking Wealth Management Registration and Custody Center shows that the overall proportion of hybrid products in the industry increased from 1.98% at the end of 2024 to 2.73% at the end of 2025. The proportion of products in commodities and financial derivatives also slightly increased from 0.04% to 0.07%. Wealth management products are becoming more diversified.