Futu Holdings Limited (NASDAQ:FUTU) operates an online brokerage and wealth management platform in Hong Kong and internationally. The company provides trading, clearing, and settlement services; margin financing and securities lending services; and stock yield enhancement program. It also offers online wealth management services under the Futu Money Plus brand, which gives access to mutual funds, private funds, and bonds; market data and information services; and NiuNiu Community, which serves as an open forum for users and clients to share insights, ask questions, and exchange ideas. In addition, the company provides initial public offering subscription and employee share option plan solution services to corporate clients under the Futu I&E brand; and services, including trade execution, as well as margin financing and securities lending, which allow its clients to trade securities, such as stocks, ETFs, warrants, options and futures, across different markets. Futu Holdings Limited was founded in 2007 and is headquartered in Hong Kong, Hong Kong.
Futu is an online brokerage and wealth management platform that primarily operates in China. Since it went public on Nasdaq in March 2019 at $12 a share, the company is one of the best-performing stocks over the past year. Futu is considered the Robinhood of China. The company, founded in 2011, provides online brokerage services in Hong Kong, Mainland China, and the U.S. It primarily generates revenue through fees and margin financing. The company’s wealth management business Money Plus had established partnerships with a number of reputable asset managers including Morgan Stanley
The company has strong backing from notable shareholders like Tencent, Matrix Holdings, and Sequoia Capital. With the backing of a company like Tencent, coupled with the trending tailwinds, the potential for Futu to cement itself as a leader in China’s mobile and online brokerage is very bright.
With some Chinese companies shying away from listing in the U.S., there could be more business going Futu’s way. Considering Futu’s strong fundamentals and potential growths in the market it operates in, there could be more room for growth even after such a rally this year.
Buying Futu stock is the best bet for tapping on the rapid growth of China’s wealth and its retail investing industry. With its robust financials and the growth of the markets it operates in, it will continue to grow for the foreseeable future.