Soochow Securities (Hong Kong) Financial, a wholly owned subsidiary of Soochow Securities, has announced a strategic cooperation agreement with DL Holdings in Hong Kong, signifying a significant milestone in bolstering cross-border investment and wealth management between mainland China and Hong Kong, the Greater Bay Area, and the broader Asia-Pacific region.

The agreement encompasses various facets of collaboration, including family office services, wealth management, joint operations, and equity.

Both entities will leverage their resources and expertise to provide asset allocation strategies, investment products, and financial services to clients, thereby promoting cross-border wealth management and fostering a mutually beneficial partnership.

The global surge in the affluent population and their escalating demand for wealth management has made family office business a vital sector for the rapid growth of the asset and wealth management industry.

Recognising this trend, the Hong Kong Special Administrative Region (HKSAR) government has recently introduced favourable policies to attract more family offices to settle in Hong Kong. These efforts reflect Hong Kong’s commitment to enhancing its competitiveness as a global wealth management centre and positioning itself as a family office hub.

DL Holdings board chairman and executive director Andy Chen said: “DL will fully leverage its own strengths, particularly focusing on the unique advantages of serving family office clients, corporate clients, and global asset allocation.

“We will fully connect with Soochow extensive domestic and international client resources, deeply explore the wealth management needs of existing clients, jointly expand the service scope for clients in new areas, and achieve alignment in principles, complementing each other’s businesses, and promoting mutual assistance, all with the goal of swiftly seizing the cross-border asset management market in Hong Kong and the Greater Bay Area in this new era.

“Simultaneously, we will leverage Soochow’s strong research capabilities and resource network to provide DL’s clients with more comprehensive and in-depth investment banking services and domestic capital support, positioning ourselves as the frontrunners in the industry.”

The collaboration between Soochow Securities and DL Holdings not only enables both parties to maximise their business capabilities and service offerings but also contributes to the development of a comprehensive wealth ecosystem in the Greater Bay Area. Additionally, it supports Hong Kong’s aspiration to become an international wealth management cluster demonstration area.

Both organisations have expressed their dedication to capitalising on wealth management policies and staying abreast of evolving customer needs. Their goal is to establish a diverse, professional, and integrated service system that places customers at the centre, leading to the synergistic growth of cross-border wealth management business.

This strategic cooperation agreement sets the stage for Soochow Securities and DL Holdings to strengthen their positions in the competitive wealth management market while providing clients with enhanced access to investment opportunities and comprehensive financial solutions.

Soochow Securities president Zhen Xue said: “Soochow Securities (Hong Kong) and DL Holdings have signed a strategic cooperation agreement, taking advantage of the ‘favorable timing, geographical and human conditions.’ The ‘favorable timing’ refers to the global economy gradually recovering from the COVID-19, with China’s economy rebounding strongly after reopening.

“The favorable geographical’ signifies that both Soochow Securities (Hong Kong) and DL Holdings are based on the shores of Victoria Harbor, adhering to the principles of ‘one country’ while utilizing the advantages of ‘two systems,’ constantly creating new value for clients in this unique geographical position.

“The ‘ favorable human conditions’ aspect involves DL Holdings possessing a comprehensive talent system and reserves, with the core management team having an average of over twenty years of industry experience. Soochow Securities (Hong Kong) also continues to improve its personnel allocation, fostering a highly efficient and stable team of professionals.

“Against this backdrop, through complementing and promoting each other, the collaboration between the two parties will undoubtedly generate a synergistic effect where ‘1+1>2,’ bringing about a win-win situation to enhance the core competitiveness of both companies.”