Under Wang Sheng's leadership, Galaxy Securities' performance greatly increased, and the investment banking strategy achieved remarkable results.

Ask AI · How can the collaborative mode achieve an investment-banking turnaround for growth?

Produced by|China Investment Network

Reviewed by|Li Xiaoyan

As a core securities-platform under the Central Huijin system, China Galaxy Securities has, since Wang Sheng took charge in October 2023, aligned itself with the goal of building “a first-class modern investment bank.” Focusing on investment banking as a breakthrough and business collaboration as the driving force, it achieved leapfrog growth in performance during the period when reforms in the capital markets were deepening, demonstrating the responsibility and development resilience of a state-owned financial institution. Although bond-business practice-quality ratings have been adjusted in phases and compliance management still needs further improvement, the company’s overall operations remain stable and positive, its business structure continues to be optimized, and the foundation for long-term development has become even more solid.

Wang Sheng has extensive experience in investment-banking operations and management experience at leading institutions. After joining Galaxy Securities, he precisely addressed the company’s shortfalls in investment-banking business, driving an in-depth integration of traditional brokerage strengths with modern investment-banking capabilities. Under his leadership, the company established a “five-in-one” coordinated development model, promoting joint efforts across wealth management, investment banking, institutional business, investment trading, and international business, building a full-chain, integrated comprehensive financial services framework.

Performance data confirms the effectiveness of the strategy. In the first three quarters of 2025, Galaxy Securities achieved operating revenue of RMB 22.75 billion, up 44.4% year over year; net profit attributable to shareholders was RMB 10.97 billion, up sharply 57.5% year over year. Both its scale of profitability and growth quality ranked among the top in the industry. Among them, investment banking became the core growth engine. Its equity underwriting business performed especially well: in the first three quarters of 2025, underwriting volume reached RMB 24.07 billion, surging 1419% year over year, with its industry ranking rising to 8th place, achieving a transformation from a “weakness business” to a “growth engine.” Bond underwriting business continued to climb: in the first half of 2025, bond underwriting volume was RMB 8B, up 82.8% year over year; it ranked 6th in the market. Products including local government bonds, financial bonds, and medium-term notes all entered the top ten in the industry, and the company’s capacity to support real-economy financing was significantly strengthened.

Leveraging Central Huijin’s resource advantages and state-owned broker credibility, Galaxy Securities has maintained a stable market position in areas such as government bond underwriting and issuance of financial bonds. It has continued to be selected as lead underwriter of government bonds in multiple regions including Sichuan and Inner Mongolia. Through professional services, it supports local economic development and efficient advancement of fiscal financing. Using market-oriented methods to expand business coverage, the company seizes opportunities in national strategies such as supporting SOE reform, industrial upgrading, and technological innovation, with investment banking business steadily shifting from “scale expansion” toward “dual improvement in quality and efficiency.”

Galaxy Securities has always adhered to its core strength in wealth management. Relying on its large offline branch network and broad customer base, it promotes coordinated growth across brokerage, asset management, and wealth management businesses. In the first three quarters of 2025, the company’s brokerage, investment banking, and asset management net revenues increased year over year by 70.7%, 29.9%, and 12.7% respectively; fee-based businesses improved across the board. Its proprietary investment income has continued to rise steadily, its asset allocation structure has been continuously optimized, and its risk resilience has kept strengthening. The size of its wealth management customer segment has continued to expand, customer assets have grown steadily, and the solid base of traditional businesses provides strong support for expanding innovative businesses.

In business expansion, the company adheres to a “customer-centered” approach. By obtaining high-quality corporate clients through investment-banking services such as bond underwriting and equity sponsorship, it in turn drives coordinated monetization across wealth management, asset management, and institutional services, forming a virtuous cycle of “investment banking as lead generation, value-added across the full chain.” This coordinated model not only increases the contribution of value per customer, but also drives the company’s transformation from a single-channel service provider to a comprehensive financial service provider, making its profit structure more balanced and more resilient across the cycle.

At the same time, Galaxy Securities is actively laying out its international business. Relying on overseas platforms to expand into emerging markets such as Southeast Asia, it serves the “going global” needs of Chinese-funded enterprises and cross-border investment and financing demands, building a business pattern with linkage between domestic and overseas operations. As an important financial carrier within the Huijin system, it plays an irreplaceable role in serving national financial strategies and maintaining stability in the capital market.

Objectively speaking, during Galaxy Securities’ rapid business expansion, it faces challenges such as phased downgrades in the practice-quality ratings of its bond business and the need to improve compliance management for certain projects. From 2022 to 2025, the bond business practice-quality ratings adjusted from Class A to Class C; during that period, due to issues in project execution details and information disclosure, it received regulatory warnings. This is a common phenomenon of phased adjustment during periods of rapid industry development, and it also reflects that the company still has room for improvement in advancing both scale expansion and quality control in parallel.

It needs to be made clear that bond business practice-quality evaluation is a single-business assessment and does not involve the company’s overall credit standing and business qualifications, nor does it affect the company’s core business operations. In response to regulatory requirements and market attention, Galaxy Securities insists on “compliance first and risk control as the priority.” It fully implements regulatory rectification requirements, strengthens end-to-end control over investment-banking projects, upgrades quality-control and internal review systems, improves integrity-in-business management, and closes compliance loopholes. The company continues to advance the construction of “Clean and Upright Galaxy.” Using a four-responsibility coordinated mechanism to strengthen compliance accountability, it ensures that risk control and compliance are embedded throughout the entire chain of business solicitation, execution, and underwriting. Through systems, processes, and personnel—three aspects—the company builds a risk defense line.

For industry common issues such as low-price underwriting that have attracted market attention, Galaxy Securities actively responds to requirements for self-regulation management. It standardizes underwriting pricing conduct, balances business expansion with practice-quality, and promotes bond underwriting business to return to its本源 of serving the real economy. For practice deficiencies in certain projects, the company seriously pursues accountability and intensifies governance over the duties of sponsors and project leaders, improving the professional capabilities of research and due diligence. It promotes standardization through rectification, and promotes development through standardization.

Supported by the strong backing of Central Huijin and Galaxy Holdings, Galaxy Securities has unparalleled advantages in shareholder resources, credit credentials, and strategic coordination. As a key state-owned securities firm, it always stays true to its初心 of serving the nation through finance, focuses on its primary responsibilities and core businesses, and continues to make efforts in areas such as supporting technological innovation, upgrading manufacturing, green finance, and inclusive finance, using its professional financial capabilities to support high-quality development of the real economy.

In the future, as the comprehensive registration-based system is further deepened and reforms in the capital markets continue to advance, Galaxy Securities will continue to play the leading role of a state-owned broker. It will consolidate its traditional wealth-management advantages, strengthen and improve investment-banking business, enhance capabilities in institutional services and investment trading, and accelerate its internationalization strategy. The company will adhere to the principle of placing equal weight on scale and quality, developing in tandem with safety, continuously optimize its compliance and risk-control framework, address gaps in practice quality, and promote the transformation of investment-banking business from “winning by volume through price” to “winning by quality.”

In this strategic transformation, the growth in performance, business coordination, and structure optimization achieved by Galaxy Securities fully demonstrates the adaptability and creativity of state-owned financial institutions in market-oriented reforms. Phased rating adjustments and compliance challenges are problems in development and the cost of growth, but they will also become the driving force that propels the company toward even higher-quality development.

Under Wang Sheng’s leadership, Galaxy Securities is moving with a more open mindset, more professional capabilities, and a more steady pace. It will uphold the compliance bottom line, deepen its focus on financial core businesses, serve national strategies, and work to build a domestic-leading and internationally first-class modern investment bank, contributing more strength to high-quality development of the capital market.