China Galaxy Securities Business Structure and Ownership

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Night view of the modern architectural landmark Galaxy Soho in Beijing, China, showcasing futuristic design.
Credit: pexels.com, Night view of the modern architectural landmark Galaxy Soho in Beijing, China, showcasing futuristic design.

China Galaxy Securities is a leading securities company in China, with a complex business structure that's worth exploring. It's a state-owned enterprise, which means the Chinese government has a significant stake in the company.

The company is headquartered in Beijing and has a network of branches across China. It's a member of the Shanghai Stock Exchange and the Shenzhen Stock Exchange, giving it access to a vast pool of investors.

Galaxy Securities offers a range of financial services, including brokerage, asset management, and investment banking. It's a major player in the Chinese securities market, with a strong reputation for reliability and expertise.

Management and Ownership

China Galaxy Securities has a complex ownership structure, reflecting its position in the Chinese financial market. As of August 2023, China Galaxy Financial Holdings Limited holds approximately 34.79% of shares.

The company's major shareholders include China Galaxy Financial Holdings Limited, National Council for Social Security Fund, and other domestic and foreign institutional investors. These institutional investors collectively hold around 40.15% of shares.

Here's a breakdown of the company's ownership structure:

Public shareholders account for approximately 19.33% of shares, making up a significant portion of the company's ownership.

Management Board

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The Management Board is responsible for overseeing the company's overall strategy and direction. There are 11 members on the board, consisting of 2 executive Directors, 5 non-executive Directors, and 4 independent non-executive Directors.

Directors are elected for a 3-year term, providing a stable and long-term perspective on the company's growth and development.

The composition of the board is designed to bring a diverse range of skills and expertise to the table, ensuring that the company is well-equipped to tackle complex challenges and opportunities.

Who Owns

China Galaxy Securities Co., Ltd. has a diverse ownership structure, reflecting its position in the Chinese financial market.

The company is owned by various entities, with China Galaxy Financial Holdings Limited holding approximately 34.79% of shares.

National Council for Social Security Fund possesses about 5.73% of shares, indicating a government involvement in the company.

Other domestic and foreign institutional investors collectively hold around 40.15% of shares, showing a significant presence of institutional investors.

Related reading: Galaxy Resources

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Credit: pexels.com, A modern trading desk with screens displaying financial charts and graphs, showcasing a digital analysis setup.

Public shareholders account for approximately 19.33% of shares, providing a retail ownership component.

Here is a breakdown of the major shareholders of China Galaxy Securities:

The company's ownership structure is subject to change, but as of August 2023, these entities held the majority of shares.

Business Operations

China Galaxy Securities has a significant presence in the Chinese financial market. Brokerage services are a major contributor to the company's revenue, accounting for around 43% of its total revenue in fiscal year 2022.

The company's brokerage commission income reached approximately RMB 15.3 billion in fiscal year 2022. This income is generated from services related to stock trading, client trading commissions, and margin financing.

China Galaxy Securities has been actively involved in various financial transactions in recent months. In August 2025, the company completed the issuance of 4 billion yuan in short-term bonds, with its shares jumping 5% as a result.

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Daughter Companies

Galaxy has a significant presence in the market through its various daughter companies. These companies are strategically located in key cities across China.

Stunning view of the futuristic Galaxy SOHO complex in Beijing, showcasing its unique modern architecture.
Credit: pexels.com, Stunning view of the futuristic Galaxy SOHO complex in Beijing, showcasing its unique modern architecture.

Galaxy Futures, established in 2006 in Beijing, is one of the company's earliest daughter companies. It has been operational for over 15 years.

Galaxy Capital, founded in 2009 in Beijing, offers a range of financial services to its clients. Its expertise in the financial sector has been instrumental in Galaxy's growth.

Galaxy International Holdings, set up in 2011 in Hong Kong, has played a crucial role in expanding Galaxy's global presence. Its international connections have facilitated business partnerships and collaborations.

Galaxy Yuanhui, established in 2015 in Shanghai, has been instrumental in Galaxy's expansion into the Chinese market. Its local knowledge and expertise have been invaluable to the company's success.

Galaxy Jinhui, founded in 2014 in Shenzhen, has been a key player in Galaxy's growth in the southern region of China. Its innovative approach to business has been a driving force behind the company's success.

Here are the main daughter companies of Galaxy as of 2020:

  • Galaxy Futures (Beijing, founded in 2006)
  • Galaxy Capital (Beijing, founded in 2009)
  • Galaxy International Holdings (Hong Kong, founded in 2011)
  • Galaxy Yuanhui (Shanghai, founded in 2015)
  • Galaxy Jinhui (Shenzhen, founded in 2014)

Investment Banking and Brokerage

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China Galaxy Securities is a leading player in the investment banking and brokerage services market. Its brokerage services are a significant contributor to its revenue, accounting for around 43% of its total revenue in fiscal year 2022, with brokerage commission income reaching approximately RMB 15.3 billion.

The company has been actively involved in various financial transactions, including the sale of 4 billion yuan bonds on September 17. On September 10, it issued 4 billion yuan short-term bonds, which resulted in a 2% increase in its shares.

China Galaxy Securities has also been issuing commercial paper, with a total of 4 billion yuan sold on September 10. On August 22, it sold another 4 billion yuan in commercial paper.

Here are some key financial transactions carried out by China Galaxy Securities in the past few months:

These transactions demonstrate the company's active involvement in the financial market and its ability to raise funds through various means.

Asset Management

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Asset management is a rapidly growing segment within China Galaxy's operations, managing assets worth approximately RMB 1.2 trillion as of the end of 2022.

This significant growth reflects the increasing interest in mutual funds and private equity investments within China.

Asset management fees contributed about RMB 4.1 billion to the revenue, making up around 12% of the total income.

This substantial revenue stream highlights the importance of asset management in China Galaxy's overall business operations.

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Revenue Streams

China Galaxy Securities generates revenue through a diverse range of services within the financial sector. The company operates primarily in three key segments.

Brokerage services are a significant contributor to the company's revenue, accounting for 43% of total revenue in 2022, with RMB 15.3 billion in revenue.

Investment banking is another key segment, with RMB 6.5 billion in revenue, making up 18% of total revenue in 2022.

Asset management also plays a crucial role, generating RMB 4.1 billion in revenue, which is 12% of total revenue in 2022.

Credit: youtube.com, CICC (3908 HK) & China Galaxy (6881 HK): The Next Mega Brokerage Merger

The company's other revenue sources, including proprietary trading, wealth management services, and financial advisory, contributed approximately RMB 9.8 billion, or 27% of total revenue in 2022.

Here's a breakdown of the company's revenue streams:

The company's diversified revenue streams help reduce dependence on traditional brokerage commissions and position it for future profitability.

How Alibaba Works

China Galaxy Securities Co., Ltd. is a Chinese financial services company that operates in a similar industry as Alibaba, although they are not directly related. Alibaba is a multinational conglomerate that provides e-commerce, retail, and technology services.

Alibaba's business model is quite different from China Galaxy's, but they both have a strong focus on technology and innovation. China Galaxy has invested heavily in its trading platforms and data analytics capabilities, allocating around RMB 1 billion (around USD 146 million) in 2023 towards IT infrastructure enhancements.

Alibaba's e-commerce platform is one of the largest in the world, with a vast network of users and sellers. China Galaxy, on the other hand, operates a network of over 100 branches across China, with a client base that exceeds 1.5 million accounts.

Credit: youtube.com, Chinese e-commerce giant Alibaba starts trading on Hong Kong stock exchange

Here are some key financial metrics for Alibaba and China Galaxy, although it's worth noting that Alibaba is a much larger company:

It's worth noting that Alibaba's business is much more diversified than China Galaxy's, with a wider range of services and products. However, both companies have a strong focus on technology and innovation, and are driving growth and change in their respective industries.

Frequently Asked Questions

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CGS International offers a wide range of investment products and services through its global distribution network. Empower your investment journey with our trusted and professional investment solutions.

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CGS International Securities is owned by China Galaxy Securities Co., a prominent Chinese securities company. Learn more about China Galaxy Securities and its role in the global financial market.

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Alberto Stehr is a meticulous and detail-oriented copy editor with a passion for crafting clear and engaging content. With a keen eye for grammar, punctuation, and syntax, Alberto has honed his skills over years of experience in the field. Alberto's expertise spans a wide range of topics, from personal finance and retirement planning to education and technology.

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