Guotai Haitong: China's Largest Brokerage Pioneers AI-Powered Investment Advisory

Guotai Haitong Fund Investment Advisory emerges from the landmark merger of Guotai Junan and Haitong Securities, forming China's largest securities brokerage by asset value. This new entity is set to redefine investment advisory services in China, focusing on personalized, client-centric guidance and leveraging advanced technology like AI. It signifies a pivotal moment in the maturation and innovation of China's rapidly expanding wealth management sector.

Formation and Market Leadership

• Guotai Haitong Fund Investment Advisory results from the landmark merger of Guotai Junan Securities Co Ltd and Haitong Securities Co Ltd.
• The merger, completed on March 14, 2025, and officially rebranded on April 3, 2025, created China's largest securities brokerage by asset value.
• This consolidation positions the entity to redefine investment advisory services and establish a "first-class investment bank with international competitiveness."

Fund Investment Advisory in China

• Definition: A service offering professional guidance on fund selection, asset allocation, and portfolio management, distinct from product-centric fund sales.
• Regulatory Evolution: Comprehensive advisory services for public funds began a pilot launch in 2019, with new guidelines in March 2023 providing clearer definitions.
• Market Growth: China's wealth management sector is rapidly expanding, with household investable assets projected to surpass RMB 300 trillion (USD 41.7 trillion) by 2025.

Comprehensive Financial Ecosystem

• Guotai Haitong Securities offers an extensive array of financial products and services, including wealth management, investment banking, institutional and trading services, and investment management.
• Its wealth management segment provides traditional securities/futures brokerage, financial product distribution, margin financing, and securities lending.
• Fund investment advisory is a key component within its wealth management offerings, designed to empower clients with informed investment decisions.

Innovation and Technology Integration

• The firm embraces digital transformation through initiatives like "Investment Advisor Online" live broadcasts and the "2025 Guotai Haitong Wealth Navigation Activity."
• It is integrating artificial intelligence (AI) into its advisory framework, having introduced the "Junhong Lingxi Large Model."
• The AI system offers advanced features such as AI-driven market monitoring, interactive AI interpretations, and intelligent navigation for trading.
• Analysts are transitioning into investment advisor roles to strengthen direct client advisory, combining human expertise with cutting-edge technology.