The balance of margin financing and securities lending has hit a record high, with brokerages competing to increase limits and seize market share

As the margin financing balance continues to reach historical highs, securities firms are competing to increase their limits and capture market share. On September 24, the margin financing balance of A-shares increased by over 14 billion yuan in a single day, reaching 2.43 trillion yuan, setting a new historical record. On the same day, Zhejiang Merchants Securities announced that in order to promote the development of credit business and effectively manage the scale of financing-related businesses, the board of directors agreed to raise the scale of financing-related businesses from 40 billion yuan to 50 billion yuan. Just at the beginning of September, Hualin Securities raised the total scale limit of its credit business to 8 billion yuan. The continuous increase in limits for margin financing business by securities firms not only conveys confidence in the market's future prosperity but also signifies the start of a new round of competition in the industry centered around capital strength and risk control capabilities