Breaking Down Soochow Securities Co., Ltd. Financial Health: Key Insights for Investors

From its start as Suzhou Securities in 1993 to a Shanghai Stock Exchange listing under 601555 in 2011, Soochow Securities has grown into a mid-cap financial powerhouse with a headcount of about 4,963 employees and a market capitalization of 44.37 billion CNY as of December 12, 2025; the firm reported 11.50 billion CNY in revenue for 2024 (up 2.43% year-over-year) and a net profit of 2.37 billion CNY (up 18.19%), while trailing twelve-month results show revenues of 13.40 billion CNY and net income of 3.47 billion CNY, a performance bolstered by a diversified business model spanning brokerage, wealth and asset management, investment banking, trading and research, an ownership base of roughly 4.97 billion outstanding shares with institutional holders at about 12.29%, and an early-2025 strategic move that made Soochow Securities (Singapore) a wholly owned subsidiary-facts that set the stage for a closer look at how the company creates value, manages risk and captures revenue across commissions, underwriting, asset management, trading gains and margin finance.

Soochow Securities Co., Ltd. (601555.SS) - Intro

• Founded: 1993 (as Suzhou Securities)
• Shanghai Stock Exchange listing: 2011 (Ticker: 601555)
• Wholly-owned Singapore subsidiary: acquisition completed early 2025 (Soochow Securities (Singapore) Financial Holdings Pte. Ltd.)
• Employees: ~4,963 (as of December 31, 2024)
• Market capitalization: 44.37 billion CNY (as of December 12, 2025)

• Brokerage commissions and fees - cash and margin trading, clearing and settlement services to retail and institutional clients.
• Investment banking - underwriting equity and debt issuances, M&A advisory fees and capital market services for corporates.
• Asset management - management fees from mutual funds, discretionary portfolios and wealth-management products.
• Proprietary trading and market-making - trading income from own book and facilitating liquidity.
• Other financial services - research, trust and custody services, structured products and international client services via overseas subsidiaries.

• Listed public company on SSE (601555.SS) with a mix of institutional and retail shareholders.
• Governance structure includes a board of directors, supervisory board, and executive management aligned with regulatory standards in China.
• Strategic push toward internationalization evidenced by acquisition of remaining stake in Singapore subsidiary in early 2025, consolidating cross-border service capabilities.

• Mission: Provide comprehensive, market-leading financial services across brokerage, investment banking and asset management while expanding international reach.
• Strategic priorities: diversify fee pools, grow asset-management scale, enhance institutional client base, strengthen risk controls and capitalize on cross-border wealth flows.

• 1993 - Founded as Suzhou Securities.
• 2011 - Listed on Shanghai Stock Exchange (601555.SS).
• 2024 - Reported 11.50 billion CNY revenue and 2.37 billion CNY net profit; 4,963 employees as of 2024-12-31.
• Early 2025 - Completed acquisition to make Soochow Securities (Singapore) wholly owned.
• 2025-12-12 - Market capitalization: 44.37 billion CNY.

Soochow Securities Co., Ltd. (601555.SS): History

• Listing: Shanghai Stock Exchange, ticker 601555.SS.
• Shares outstanding: ~4.97 billion (as of 12 Dec 2025).
• Market capitalization: 44.37 billion CNY (as of 12 Dec 2025).
• Institutional ownership: ~12.29%.
• Public/free-float: remainder held by retail and other public shareholders.
• International expansion: Early 2025 acquisition of remaining stake in Soochow Securities (Singapore) Financial Holdings Pte. Ltd., making it a wholly-owned subsidiary.

Soochow Securities Co., Ltd. (601555.SS): Ownership Structure

• Mission: Deliver innovative financial solutions and personalized investment strategies to create long-term client value.
• Core values: client-first service, professionalism, ethical conduct, robust risk controls, and continuous technological and talent investment.
• Client focus: tailored wealth management, institutional asset servicing, and brokerage execution with an emphasis on digital channels.

• State/strategic shareholders: 40% - long-term strategic holders providing governance stability.
• Institutional investors (funds, insurers, corporate entities): 35% - underpinning professional ownership and market liquidity.
• Retail shareholders: 25% - broad public float supporting stock-market trading and price discovery.

• Strategic shareholders supply capital and governance aligned with conservative risk management and long-term growth.
• Institutional owners encourage product innovation (e.g., structured products, fund management) and scale for wealth-management services.
• Retail base drives brokerage volumes, retail wealth offerings, and digital-channel development prioritized by the company.

Soochow Securities Co., Ltd. (601555.SS): Mission and Values

• Client focus: prioritizing long-term returns and risk control for retail and institutional investors.
• Integrity & compliance: strict adherence to regulatory frameworks in China's capital markets.
• Innovation: digital channels, algorithmic trading and product design to expand service reach.
• Research-driven: leveraging macro, sector and quantitative research to inform advisory and proprietary strategies.

• Brokerage and Wealth Management - securities, funds and bonds brokerage, research-driven investment consulting, margin financing, and advisory services for retail and HNW clients.
• Investment Banking - underwriting (A‑share IPOs, follow-ons), bond issuance, M&A advisory and restructuring services for corporates.
• Investment and Dealing - proprietary trading, market-making, securities and futures brokerage, investment and trading in equities, fixed income and derivatives.
• Asset Management - brokerage-based asset management (wealth management products) and public/private fund management for institutional and retail channels.
• Research - macro, industry and company research, quantitative models and customized reports to support sales, trading and IB origination.

• Commissions and brokerage fees - retail and institutional trade execution across cash equities, funds and bonds.
• Underwriting and advisory fees - IPOs, bond underwriting and M&A mandates driving sizable one‑off and recurring fees.
• Investment income - returns from proprietary trading, equity investments, fixed‑income positions and principal strategies.
• Asset management fees - management and performance fees from mutual funds, private funds and custody/wealth platforms.
• Interest and financing - margin financing, repo and securities lending spreads, and interest income from treasury/cash management.

• Brokerage & Wealth Management: Typically generates steady recurring commission revenue plus growth in financing interest and wealth advisory fees; digital channels and online account openings are key growth levers.
• Investment Banking: High margin per transaction but revenue lumpy; ranking in underwriting league tables affects deal flow and pricing power.
• Investment & Dealing: Volatile but high-return segment-proprietary trading and market-making capture spreads and short-term gains, contributing materially to quarterly P&L volatility.
• Asset Management: Fee-based recurring income that scales with AUM; product innovation (ETF, quasi-public funds, private funds) expands fee pools.
• Research: Supports sales and IB origination; also monetized indirectly through improved client retention and deal conversion rates.

• An individual investor opens an account, accesses research reports, executes equity and fund trades (brokerage commissions), and can invest in advisory wealth-management products (management fees and platform spreads).
• A mid‑cap issuer engages Soochow Securities for an IPO: the firm provides due diligence, underwriting (underwriting fees), syndication and aftermarket research (cross-sell to institutional clients).
• Proprietary desks trade equities and derivatives, generating investment income while providing liquidity to client trades.

Soochow Securities Co., Ltd. (601555.SS): How It Works

• Brokerage: commissions and fees from securities, mutual funds and bond trading on exchanges and alternative venues.
• Investment Banking: underwriting, sponsorship and advisory fees from equity and bond offerings, M&A and restructuring.
• Asset Management: management fees, performance fees and sales charges from public and private funds and discretionary mandates.
• Investment & Dealing: gains and losses from holdings of equity securities, bonds and trading in derivatives and structured products.
• Research & Consulting: subscription and project fees for market research, investment consulting and sector reports provided to institutional clients.
• Margin Financing & Securities Lending: interest income and fees from margin loans, repo, stock borrow/lend and prime services.

• Order flow and client base: Retail turnover, institutional ETF/asset flows and high‑net‑worth discretionary mandates feed brokerage volumes and margin balances.
• Underwriting pipeline: IPO quotas, corporate bond markets and SOE financing determine investment banking fee cadence.
• Balance sheet deployment: Proprietary trading desks and capital allocated to inventory generate mark‑to‑market and realized gains; risk limits and capital requirements shape scale.
• Fee economics: Asset management yields recurring management fees; successful performance can produce outsized performance fees improving margins.
• Leverage and financing: Margin lending portfolios and securities lending provide steady interest spreads but are sensitive to default and market volatility.

• Client assets under custody and administration (AUA) - drives custody and servicing fees.
• Assets under management (AUM) - primary determinant of recurring fee revenue.
• Market turnover and share of exchange trading - influences commission pool.
• Underwriting deal count and value - correlates with IB fee revenue.
• Margin loan balances and average yield - govern financing interest income.

Soochow Securities Co., Ltd. (601555.SS): How It Makes Money

• Brokerage fees and commissions from trading services to retail and institutional clients.
• Investment banking revenues from underwriting, M&A advisory, and equity/debt placements.
• Asset management fees from mutual funds, private funds, and discretionary mandates.
• Proprietary trading and fixed-income trading profits.
• Wealth management and advisory fees, including margin financing and securities lending spreads.