HK Stock Market Move | Brokerages' Q3 reports show mixed performance; Shenwan Hongyuan Group (06806) falls over 5%, China Securities Co.,Ltd. (06066) drops more than 4%.

Chinese brokerage stocks broadly weakened. As of press time, Shenwan Hongyuan Group (06806) fell 5.2% to HK$2.095; China Securities Co.,Ltd. (06066) dropped 4.07% to HK$10.14; Guotai Haitong (02611) fell 2.66% to HK$12.79. On the news front, recently, the 2026 third-quarter reports of several listed brokerages were released, overall showing a divergent trend of "cumulative growth in the first three quarters, with pressure in the third quarter alone." Some listed brokerages, affected by proprietary trading business, saw relatively large performance fluctuations, triggering market concerns. It is worth noting that in the third quarter, public funds reduced their allocation to brokerages amid fluctuations in market conditions and trading volume, and Chinese brokerage stocks were simultaneously underweighted. A recent UBS research report pointed out that it expects the recurring net profit of listed brokerages to slow to 16% year-on-year growth in the third quarter, lower than the 83% and 39% increases in the second and first quarters, and down 18% quarter-on-quarter, reflecting weaker trading activity and softer market conditions, while the listing of CXMT Corporation provides a key earnings buffer.