Multiple brokerages consecutively raise margin trading limits, leading to a dual increase in margin trading volume and new account openings amid an active market.

Recently, the dynamics of margin trading in the securities industry have attracted market attention. On the evening of February 11, Caitai Securities announced that the company’s board of directors approved the proposal to increase the authorized scale of credit trading business, aiming to raise the upper limit from no more than 100% of audited net capital for 2024 to 140%, and authorized management to flexibly adjust the specific scale within the limit based on market conditions. The proposal has been pre-approved by the board’s audit committee and still requires approval from the shareholders’ meeting.

In fact, Caitai Securities is not the first institution to adjust its margin trading limits. According to statistics, since 2024, several brokerages including China Merchants Securities, Huatai Securities, and Hualin Securities have taken similar actions. Among them, China Merchants Securities announced on October 30 last year that it would significantly increase the margin financing and securities lending business limit from 150 billion yuan to 250 billion yuan; Huatai Securities announced on the same day that the total business scale limit would be adjusted to no more than three times its net capital at the same period; Hualin Securities further increased its total credit business scale twice within 2025, from 6.2 billion yuan to 8 billion yuan. Shanxi Securities, Industrial Securities, Zheshang Securities, and other institutions have also followed suit with adjustments.

Market data confirms the necessity of brokerages adjusting their limits. Wind data shows that as of February 10, the total margin trading balance in the market reached 2.66 trillion yuan, an increase of about 800 billion yuan from 1.86 trillion yuan at the beginning of 2025. Investor participation remains high; according to Zhongzheng Data, in January 2026, new margin trading accounts reached 190,500, a month-on-month increase of 29.5% and a year-on-year increase of 157%. The entire year of 2025 saw accelerated growth in the second half, with January setting a new monthly high of 205,400 accounts, and the total accounts at the end of the year surpassing 15.64 million. In January 2026, the number further increased to 15.80 million.

The expansion of business scale directly drives growth in brokerage revenues. According to the China Securities Association, the net interest income of the securities industry in the first half of 2024 was 21.215 billion yuan, which increased to 26.238 billion yuan in the first half of 2025, a year-on-year growth of 23.68%. Many institutions have expressed optimism in their research reports; Founder Securities predicts that in 2025, brokerage brokerage and investment businesses will become the main drivers of performance growth, with net interest income increasing by 41% year-on-year. Guotai Haitong’s non-bank team believes that active market trading will continue to push margin balances higher, with an estimated 57% year-on-year increase in net interest income.

It is worth noting that regulators have recently implemented counter-cyclical adjustments to margin trading. On January 14, this year, the Shanghai, Shenzhen, and Beijing stock exchanges, with approval from the China Securities Regulatory Commission, raised the minimum margin requirement for investors’ securities purchases from 80% to 100%. Industry analysts interpret this move as an effort to moderately reduce market leverage and prevent potential risks. Although short-term activity in margin trading may be affected, in the long term, it will help maintain market stability and healthy development. Currently, market liquidity remains ample, and the overall operation of margin trading is stable. Brokerages are dynamically adjusting their business scales within risk-controlled parameters, meeting investor needs while demonstrating the industry’s ability to adapt to market changes.