Q4 2024 Futu Holdings Ltd Earnings Call
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Speaker Change: Hello, Ladies and gentlemen, welcome to for two holdings fourth quarter and full year 'twenty 'twenty four earnings conference call.
Speaker Change: At this time all participants are in a listen only mode. After management's prepared remarks, there will be a Q&A session. Today's conference call is being recorded if you have any objections you may disconnect. At this time I would now like to turn the conference over to your host for today's conference call Daniela Young Chief.
Speaker Change: Stuff to CEO head of strategy and IR I just would you. Please go ahead sir.
Speaker Change: Thanks, operator, and thank you for joining us today to discuss our fourth quarter and full year 2024 earnings results. Joining me on the call today are Mr leaf Li Chairman and Chief Executive Officer, Arthur Chen Chief Financial Officer, and Robin Xu Senior Vice President.
Speaker Change: As a reminder, today's call may include forward looking statements, which represent the company's belief regarding future events, which by their nature are not certain and are outside the company's control.
Speaker Change: We're looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward looking statements.
Speaker Change: More information about the potential risks and uncertainties. Please refer to the company's filings with the SEC, including its annual report.
Speaker Change: I will now turn the call over to leaf leaf will make his comments in Chinese and I will translate.
Speaker Change: Scott, Doug I forgot didnt get it yet.
Speaker Change: That is pretty adult doses on a hook up robots with Johnson.
Speaker Change: That coupled with obviously the other way.
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Speaker Change: Julia you like us as a forecast of what parts of Germany.
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Speaker Change: Thank you all for joining our earnings call today.
Speaker Change: Acquisitions accelerated across all markets and eventful quarter.
Speaker Change: Exceeded our full year guidance by a wide margin.
Speaker Change: 215000 paying clients in the fourth quarter alone.
Speaker Change: Total paying clients was over $2 4 million at 41% year over year.
Speaker Change: Year to date, we've observed robust paying client growth across markets and our guidance for 800000 net new paying clients in 2025.
Speaker Change: So it is.
Speaker Change: Younger.
Speaker Change: What are you kind of go with what Mike would you like to invest in that.
But what sort of potential maybe let's just talk to you soon.
Speaker Change: They don't want us where the top end up.
Speaker Change: Yes, you got to sit down with the stock prices.
Speaker Change: So who would you slow down.
Speaker Change: Yes, as you said.
Speaker Change: Democrats Yep.
Speaker Change: You bet I suppose if you've had a lead gen debate.
Speaker Change: T J E T.
Sundar: Thank you Sundar.
Second was you had a chance in the pocket.
Speaker Change: So you may go hunting weapons.
Sundar: So all this is happening.
Sundar: Just a couple one before the storm hits would end up in the fourth quarter Hong Kong market was the top growth driver for European clients as we implemented targeted marketing initiatives to capitalize on the momentum of different asset classes and.
Sundar: In Singapore, we maintained our quality growth with more paying clients. There also with higher average assets.
Sundar: We further solidified our position as the leading one stop investment platform in Malaysia, and recorded another quarter of strong paying client growth with our increasingly vocal at an experience and strengthening brand equity.
Sundar: In Japan, new paying clients grew double digits quarter over quarter as our superior U S stock trading experience gained traction amid a bullish U S market backdrop.
Sundar: What made you onto our balance you'll see you don't die from influenza.
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Doug: Because of the Chilean peso.
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Doug: Thanks, John.
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Doug: Jonathan.
Doug: In 2024, we delivered 209 iterations of our mobile App and desktop clients and added 7762, new features up 37% and 32% year over year, respectively.
Doug: Product velocity remained high in the fourth quarter in Japan, We launched U S margin training with an increasing adoption rate and improving throughout the quarter and the U S. We unveiled option strategy pillar on our desktop version to better help traders navigate various options trading strategy.
Doug: If we continue to refine our options trading products in the fourth quarter. The number of options traders in the U S more than doubled year over year, while the number of options contracts traded at more than tripled compared to the year ago quarter.
Doug: In Hong Kong in Singapore, we established the bond trading with us to help our clients execute large and complex bondholders.
Doug: Clients in Australia, and in Canada, We launched recurring investment plans for local stock.
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Doug: Financially our deleveraging goal.
Paul: Thank you Dr. Paul.
Doug: So as you see copel routine.
Doug: One reason that back and this is Joe so Joe the answer to that.
Sundar: Thank you Sundar.
Doug: Jonathan.
Doug: A couple of periods of time, you will be anxious.
Doug: Critical parts requirement buildup.
Doug: Absolutely the Cook will garner Daiichi towards India.
Doug: Okay.
Doug: That's right.
Speaker Change: <unk> Gala Chinese as Hugo although the pullback in China equity for the second half of the quarter weighed on the valuation of our clients' assets. It was more than offset by stellar net asset inflows across markets.
Speaker Change: Total client assets were 743 billion, Hong Kong dollars at 43% year over year, and 7% quarter over quarter.
Speaker Change: Overseas markets recorded the highest quarterly net asset inflow almost equivalent to the full year 2023.
Speaker Change: I'm fine.
Speaker Change: Singapore grew by 19% quarter over quarter, marking the 10th consecutive quarter of sequential growth. Thanks to robust net etc flow into U S equities and money market funds.
Speaker Change: Canada, and Australia markets also win a sequential growth in average client assets to four consecutive quarters.
Other clients took a more leveraged position market financing and securities lending balance increased by 25% sequentially to a record 51 billion Hong Kong dollars.
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Hugo Gala: This is Hugo <unk>.
Hugo Gala: The genco for wonderful job.
Hugo Gala: Yes, you've got India, juices, or AIP and goods.
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Hugo Gala: Answer John.
Hugo Gala: Are you down quite a bit about with <unk>.
Hugo Gala: Achieved that CGI bankruptcy.
Hugo Gala: So Joe Hey, Eli <unk> with a total loyalty museum with luck.
John for you or those back waster cope with very positive non.
non-GAAP EPS political relationships, yet with you soon.
Hugo Gala: Hello trading volume jumped by 202% year over year, and 52% quarter over quarter to 289 trillion dollars.
Hugo Gala: In the fourth quarter, our clients diversify their investing to include more crypto and AI.
Hugo Gala: As a result U S stock trading volume grew by 36% sequentially to a historic high of 2.08 trillion Hong Kong dollars.
Hugo Gala: Notably several AI focused companies previously less familiar to our clients emerged as top trading U S stocks in 2024, driven by the remarkable outperformance and the rising narrative around AI has transformative potential.
Speaker Change: I'll start trading volume grew exponentially by 117% sequentially to 755 billion Hong Kong dollars the renewed enthusiasm in Hong Kong equity starting from September led to a substantial rebound in trading velocity climb.
Speaker Change: Clients showed a meaningful pickup of interest and many technology as well our cooperation and first Etfs among other things.
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Scott: Scott you changed about usually cover.
Jim: Jim go ahead.
Speaker Change: So you do yours. Thank you says on future <unk> been.
Jim: Being played on what type of brand new cohorts also the type of questions.
John Roberts: Thanks, John Roberts and therefore, this is a product <unk>.
John Roberts: You're going to hold them back to guardians of Coke with a potent future.
Speaker Change: Tableau Guangxi cohorts answer time, Samsung, Google Docs, who tend to be some tier sensor partners sure George.
Speaker Change: Judging endpoints you talked about in the short team will pension total client assets in wealth management increased 93% year over year, and 14% quarter over quarter to 111 billion Hong Kong dollars.
Speaker Change: Money market funds continue to hope Garnet Hill for a planned even with moderately lower yields in the fourth quarter and drove the bulk of the sequential growth is wealth management Eva.
Speaker Change: In Hong Kong, Singapore, we expanded our structured product offerings to better address the investment needs of our high net worth clients total client assets in wealth management accounted for 15% of total client assets up.
Speaker Change: From 12% in the same quarter last year.
Speaker Change: While the idea of Asia also Alex that was rolled out in Boston.
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Speaker Change: The answer is that here with <unk>.
Speaker Change: John I'll tell you what sort of changes towards the heart team will keep high premium.
Speaker Change: All of our global data you saw that last year that don't ship.
Speaker Change: The rule of changing the use of <unk> to larger sort of zero <unk> dealer in December while midterm guidance seasonal putting your quality so called other IPO again go to yet.
Speaker Change: Jim.
Speaker Change: These are positive.
Speaker Change: Hi, tradeoff on heretofore Sunday of whole well merchants will charge that.
Speaker Change: You're seeing seem quite yet so I'm going to use them.
Speaker Change: We had 482 IPO distribution and IR clients up 16% year over year in 2024, we underwrote 40, Hong Kong Ipos ranked first among all brokers for the third consecutive year According to wind.
Speaker Change: New digital IPO settlement platform Phebe introduced by the Hong Kong stock exchange eliminate multi accounts subscriptions shortened per download period reduces the amount of lockup capital need at the lowest funding costs through the new pre funding model.
Speaker Change: We believe that this new system improves the retail IPO subscription experience drop core retail participation and favors market consolidation.
Speaker Change: We swiftly adapted our subscription process based on our new framework and achieved notable gains in market share.
Speaker Change: Our Iot OIBDA associates.
Speaker Change: That's how we got here.
Speaker Change: Next I'd like to invite our CFO Arthur to discuss our financial performance.
Speaker Change: <unk> Daniel Please allow me to walk you through our financial performance in the fourth quarter, all the numbers in Hong Kong dollar unless otherwise noted.
Speaker Change: Total revenue was $4 4 billion.
Speaker Change: It is 7% from $2 4 billion in the fourth quarter of 2023, we conclude a strong year with full year revenue growing to $13 6 billion up 36% year over year.
Speaker Change: Brokerage Commission and handling charge income was $2 1 billion, an increase of 128% year over year, and 35% Q over Q and year over year on a Q O. Q increase was both driven by higher trading volumes, partially offset by the decline in blended commission rate, we adopt pets per contract and the per ship pricing model for <unk>.
Speaker Change: <unk> options in the U S stock trading respectively. As a result brokerage income will grow at a slower rate than trading volume, while our clients trade high priced stocks and options.
Speaker Change: Interest income was 2 billion up 52% year over year in the 19% Q over Q, both were driven by higher interest income from our securities borrowing in the lending business and the high interest from banking deposits.
Speaker Change: Other income was $353 million up 157% year over year, and a 69% Q over Q. The <unk> increase was both primarily attributed to higher distribution income and the currency exchange income.
Speaker Change: Our total cost was $776 million, an increase of 17, 9% from $434 million in the fourth quarter political III.
Speaker Change: Brokerage Commission and handling charge expenses was 112 million up 90% year over year, and 38% Q over Q.
Speaker Change: Q over Q increase was roughly in line with the movement of our brokerage commission and handling charge income.
Speaker Change: Interest expenses were 513 billion up 90% year over year, and 24% Q on Q the year over year increase was driven by higher interest expenses associated with our security borrowing in the lending business.
<unk> increase was mainly due to higher module financing interest expenses as a result of higher funding costs for Hong Kong dollars.
Speaker Change: Processing and servicing costs were 151 million up 45% year over year, and 16% Q over Q. The increase was largely due to higher market information and the data fee for new products with higher system usage fees.
Speaker Change: As a result total gross profit was three seven.
Speaker Change: Seven 1 billion, an increase of 89% from $1 9 billion in the fourth quarter of 2023 gross margin was 82, 5% as compared to 81, 7% in the fourth quarter of 2023.
Speaker Change: Operating expenses were 75.
Speaker Change: 57% year over year at 33% Q over Q to one 4 billion R&D expenses were $399 million up 10% year over year, and a 4% Q over Q.
Speaker Change: This increase was partially due to cost related to organizational restructuring in the fourth quarter of 2024.
Speaker Change: Selling and marketing expenses were 464 million up 154% year over year, and a 48% Q over Q. So year over increase was due to a triple digit year over year increase in net new paying clients, partially offset by lower client acquisition cost, but can you walk you increase was in line with the growth.
Speaker Change: Of our new paying clients.
General and administrative expenses was 578 6 million up 55% year over year, and a 51% Q over Q.
Speaker Change: Year over year increase was primarily due to the increase in the general and administrative head the call on the Q over Q increase was mainly due to higher bonus accrued for general and administrative personnel and a two hour less extent costa related to organizational restructuring.
Speaker Change: As a result income from operations increased 117% year over year in the 28% Q O Q to $2 2 billion operating margin increased to 50% from 43, 1% in the fourth quarter of 2023, mostly due to strong top line growth and operating leverage.
Speaker Change: Our net income increased by 113% year over year and up 42% Q over Q2, $1 9 billion net income margin expanded to 42, 2% in the fourth quarter as compared to 36, 9% in the same quarter last year.
Speaker Change: Our effective tax rate for the quarter was 16, 1%.
Speaker Change: That concludes our prepared remarks, we'd now like to open the call Sue questions. Operator. Please go ahead.
Speaker Change: Okay.
Speaker Change: Thank you to ask a question. Please press star one on your telephone and wait for your name to be announced.
To withdraw your question. Please press star one on one again.
Speaker Change: Please stand by while we compile the Q&A queue.
Speaker Change: We will now take the first question.
Mark Chu: From the line of Mark Chu from Bank of America Securities. Please go ahead.
Mark Chu: Good.
Mark Chu: With.
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Mark Chu: Alcohol ships, you can idea that Dallas and Atlanta.
Speaker Change: I just had a quick question Betsy AC.
Tito: Zombie, Thank Tito <unk> with Goldman Sachs.
Tito: Well of course will be thank you don't go to counting the ban will go Tomsk, Russia Hull quail had whether J Joseph how this all will have let's say.
Speaker Change: Did you guys CIC way, Steve and away from by city to be highly you guys out for this onshore so anyways that she sounds Dutch GBM, which opened up for question I would tell you Osha <unk>.
Tito: J P, Oklahoma now women Kian.
Speaker Change: Rockwell cool well that you'd see selling you the CIC ladies washouts now thank you.
Tito: Okay.
Tito: Okay.
Tito: Congratulations on the very strong results.
Tito: Two questions. The first question is about that new paying clients.
Tito: 800000, new paying clients for this year are around a 100000 is more than last year, but last year, you have two new markets, Malaysia, and Japan and Japan. This year previously you guided that you don't have new market plants. So just wondering why you are able to guide.
Tito: Such as stroke, and Youre paying client target and the second question is about the CIC client acquisition cost.
Tito: Increased moderately.
Tito: First quarter of last year. Despite the battery are that the active market.
Tito: Active market in general should be lower thanks to the Nashville flows. So just wondering is it go through that channel.
Tito: Market.
Tito: Salten, youll paying client market or due to the change of the channels that lead to the increase of the CIC and what's your target.
Tito: For this year.
Tito: Thanks.
Tito: Thanks.
Tito: I will take these two questions.
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Tito: Sure.
Speaker Change: Charles you can cope with even yenching can cope with Eagle junction to shield, the Gabon, Olaf <unk>, what's your current genial Mitchell.
Tito: <unk> been with you or the curtains.
Tito: Cheng.
Tito: Sunshine compete Shelby you Hitachi to get should get tighter that EMEA parents' home chick tissue issued a chunk of the eco Moshe I think about you know you had some on a comp with not just one quickly a Hawk County, California energy, which Tricia showed all typical efficient checkout feature hot aapl's, yet or not.
Tito: Yes.
Tito: Thank you.
Our financial in terms of your first question regarding our new guidance for 2020, 568, AK new paying clients does not include any new markets, we will entity or not.
Tito: 105. So this is all fortis existing set of markets.
The reason for this very strong guidance is number one is we think season.
Tito: Two new markets, such as Malaysia, and the Japan, which we adding to last year, you will provide a very meaningful robust the growth outlook in 2025.
Tito: Not to mention.
Tito: Yes.
Tito: Relatively mature markets, such as Singapore, and Hong Kong, we still see very good upside in client acquisition. Thanks to partially due to the Chinese asset rating, what we're what we witness.
Tito: From.
Early days of this year and.
Tito: In terms of the second questions regarding the acquisition costs, we roughly pocket.
Tito: 2500 to 3000, Hong Kong dollars.
Tito: For this year.
The end of last year and going forward, we will spend more money in some brand equities in order to enhance our long term user loyalty in our pathway. Thank you.
Tito: Thank you very clear.
Tito: Thank you.
Speaker Change: We will now take the next question from the line of Cindy Wang from China Renaissance. Please go ahead.
Speaker Change: Uh huh.
Tito: I can help you ask your question.
Speaker Change: Any chance that this is Johan Dalian Banco Galicia, now with BMO demo when he comes from Joe <unk>.
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Speaker Change: Okay gentlemen.
Speaker Change: Hey, Matthew good Awhile know assumptions alisha at Youre shooting and hunting day does Johnson eager pipeline now elements without Joseph concludes at the end.
Speaker Change: Indian Darkly Johan Jordan J code homes, just Honda and Pat.
Speaker Change: Doug our equity southward. So again this is something not ETE crypto.
Speaker Change: Some guys NAPCO Ortega attempting super singles.
Speaker Change: Johnson pipeline take Goldman Sachs Hydrophone shot with <unk>.
Speaker Change: Thanks for taking my question and congrats for a very strong result in Q4 and that have quick two questions here first question.
Speaker Change: Recently, we noticed that.
The Hong Kong market Okay.
Speaker Change: Market trading Rod in my house in a really strong quarter over quarter performance.
Speaker Change: In first quarter.
Speaker Change: Quarter to date.
Speaker Change: So can management give us a little bit color on based on current run rate.
Speaker Change: What's the trading volume trading velocity net asset inflows and the margin financing securities and lending guidance.
Speaker Change: The second question is related to the new product pipeline.
Speaker Change: We know like Google has a lot of like product pipeline every year. So can you give us roughly partly.
Speaker Change: Hotline.
Speaker Change: <unk> teams and crypto products. Thank you.
Speaker Change: I think he hollister to Daniel <unk>.
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Speaker Change: Now <unk> come April actual pay down below that if you look at again the window potentially that you could really see and how you've been on call. It seems like the China cohort.
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Speaker Change: The Dow Jones <unk> whats the chatter thank you vishal.
Speaker Change: We will <unk> John.
Speaker Change: Small tenant run rate, we'll maybe see Tommy telling you with actions it will be about dish with each which are undeniable team for that particular from Jonathan convenient, Colorado Eco what I'd tell you to issue.
Speaker Change: Hydrogen with IPL Calder GBP.
Speaker Change: Jonathan <unk>.
Speaker Change: For those of you guys <unk> Shaanxi energy pipeline nimble muscle cohort, which includes health care, how much liquidity the future.
Speaker Change: Thank you, Matt Chataqua equates tissue, which you can tell us when it didn't meet your Hanmi will tell you that no.
Speaker Change: Yes, let me wait and see.
Speaker Change: <unk> utilities, you're generating the jumping on the.
Speaker Change: In Colombia that Latam English as Hal on the <unk> Crypto that you could tell me why it would be a which tissue culture at <unk> to go down.
Speaker Change: Our backlog is Alan Shaw, RTG, cohortative, losing and culture.
Speaker Change: Okay.
Speaker Change: So first of all I'll give you some color on the quarter to date operating matrices. We've seen this year. There was a lot of trading opportunities for both our Hong Kong and U S stock market.
Speaker Change: Told investors continue to be very highly engaged and year to date based on the current run rate, we forecast higher than new paying clients.
Speaker Change: Third to the fourth quarter last year, we've also seen higher net asset inflows, which coupled with the appreciation of China equity led to a very meaningful sequential increase in total client assets and based on the current run rate. We also forecast.
Speaker Change: Total trading volume to further increase on top of the high base last quarter, we've seen that the clients remain highly engaged and very high risk tolerance and regarding our product plan. So this year for all of our overseas markets, we have a very rich product pipeline.
Speaker Change: In order to satisfy the client demands.
Speaker Change: We're a different risk reward.
Speaker Change: In Japan for example will continue to catch up with our product trade capabilities around Japanese equities and at the same time continuing to optimize and.
Speaker Change: We extend our leadership in U S trading and Malaysia. We also will have a number of our product innovations and iterations based on local clients' needs.
Speaker Change: We plan to rollout crypto trading in the next couple of months and in terms of wealth management.
Speaker Change: We plan to continue to expand our wealth management offering including offering more structure notes for our retail and high net worth clients. Thank you.
David: Thank you David.
Speaker Change: Yeah.
Speaker Change: Thank you as a reminder, if you wish to ask a question. Please press star one on one.
Speaker Change: We will now take the next question from the line of Chi Chow Wang from Morgan Stanley. Please go ahead.
Speaker Change: Hello, guys here, so im going also with Melissa.
Speaker Change: Morgan Stanley the chill.
Jonathan Johnson: Jonathan Johnson <unk> Johnson.
Speaker Change: Right.
Speaker Change: Sure Tom.
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Speaker Change: Yes, Gwen when these are going to go quick Todd.
Speaker Change: Glen maybe a.
Speaker Change: Question on Cam crypto trading number, but what does Shanghai airports Aman.
Speaker Change: So as soon as you update.
Speaker Change: If I take that Jacob Heitz, Ohio to Ciampino Shanks yeah.
Speaker Change: Update comes from guys, Hey, guys hunting and golf Digest here great.
Speaker Change: Question on units yes.
Speaker Change: But what are your thoughts if you're tweaking Diego Chico Crypto question I'm going to tell you I didn't listen total with Mou in Asia.
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Speaker Change: With all that audio Crypto day, where you will be able to tie some buchanan.
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Speaker Change: So basically two questions. One is you know.
Speaker Change: The.
Speaker Change: Basically what areas of the business that management think have the most potential to integrate AI.
AI models like deep seek and what kind of.
Speaker Change: Efficiency gains and how should that strengthen our product offerings and services and the second question is on crypto offerings and I'm. Just wondering is there any update on the licensing process or what can be down to accelerate beyond that.
Speaker Change: Client penetration already Investor education.
And the marketing side on the crypto businesses, the Hong Kong, Singapore, So and then what will be most differentiated offering from photo script office compared to peers. Thank you.
Speaker Change: Thank you Jill Lee will also your first question and my colleagues Swabbing will answer your second question regarding crypto. Thank you.
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Jim: Susan.
Speaker Change: The past couple of years, we've made a number of explorations and AI based on different usage scenarios and we incorporate AI capability, both for internal operations and for client facing capabilities and we are also doing vocal deployment of DC. So internally we've found that.
Speaker Change: Help us to meaningfully lift our efficiency in terms of the.
Speaker Change: The market news and data generation filtering of content in our social community and the designer and the graphics et cetera, and in terms of quiet client facing user experiences.
Speaker Change: Hong Kong, we've launched a new synthesis function for individual stocks twice a day in the morning.
Speaker Change: We also have an automatic interpretation of the corporate announcements and analysis of the financial results of these are all based on the model, which we believe help our clients to quickly understand market dynamics and reduce the time needed for them to make investment decisions.
Speaker Change: And we are also doing a lot of studying and <unk>.
Speaker Change: Research in terms of how better to incorporate AI to empower more applications for retail investors and we believe that if we use AI to help with decision, making that puts a much higher requirement in terms of the timeliness and accuracy of the information generated so the unpredictable quality of the responsive.
Speaker Change: Well.
Speaker Change: Actually increased the investment thresholds for the retail investors and prolong the time needed for them to make effective investment position, thereby lowering.
Our investment experiences and we hope to.
Speaker Change: Thorough preparation and to make sure that the information, we generate through AI and different usage scenarios, a highly accurate and at the same time, we need to do very prudent assessment and very comprehensive testing to make sure that we strike the right balance between user experience compliance and top technological.
Speaker Change: So as to maximize.
Speaker Change: Our investors.
Speaker Change: Benefits and helps to protect their needs. Thank you.
Speaker Change: Okay.
Thank you.
Speaker Change: We will now okay.
Speaker Change: The next question.
Charles <unk>: From the line of Charles <unk> from UBS. Please go ahead.
Speaker Change: Although we're sure Liza <unk> here, Joe Chang what have been the Yolanda Lindsay.
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Sanjay: Sanjay how confident you are that.
Speaker Change: Sure.
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Speaker Change: What you can choose your interest with hydro.
Speaker Change: Patrick Shane.
Speaker Change: Quick witted Dewey.
Speaker Change: Youre getting a shot you ought not to eat Yogurts, Kenya Jovially on how we'll make sure we heard your question without each year.
Speaker Change: Two quick ones.
Speaker Change: So I've got two questions. The first one we understand the company plans to develop wealth management business in both Hong Kong and also Singapore. So what is your expectation for the total addressable market size.
Speaker Change: So how does the full two differentiated from its competitors.
Speaker Change: Either.
Speaker Change: Say for example, probably banks or insurance companies and can you maybe talk about your competitive advantage from products.
Speaker Change: Distribution that et cetera, and do you think the business will be scalable my second questions. Following a strong trading volumes Q4 last year U S stocks corrected sharply over the past months, how did it impact your trading volume in Q1, and if the sales momentum continue in the U S dollar currencies to the client AUM will decline.
Speaker Change: This also affect overall youre trading volume and the rest of this year in 2025. Thank you.
Speaker Change: Okay.
Speaker Change: Sure.
Speaker Change: If we need.
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Speaker Change: Chicago had lauder highly when he may operate arterial one quick Joey found in our coaching whether trailer Robyn.
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Speaker Change: J P on tissue, what Macondo tenure, eiichi Fukuda schoemaker yield each year checkup yellow <unk> retail.
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Speaker Change: 70, <unk> on the volatility while merchant card are you hopeful that you could tell you the way it will meet our short auto body shop, and Latasha, Concord, Schlumberger gelled hoelscher tuition legal fees homing shallow drop so Jonathan <unk> Daniel Okay.
Speaker Change: <unk> quarter, our Tokyo, which is a kind of itchy to the eco Joey down that you could achieve.
Speaker Change: How should reach all of their heart.
Speaker Change: We're finding charge in terms of the trading volumes. Despite a we saw some setback in the U S stock markets in the in the fourth quarter so far.
Speaker Change: Really the market setbacks create more volatility, which inspire more clients trading to bottom fish other markets in the U S. In the U S stock market.
Speaker Change: And then in the meantime.
Speaker Change: Trading volumes in Hong Kong made a huge spike due to China as we are rating and a lot of the deep seek relate to the theme so on a collective basis.
As Daniel mentioned that before in the first quarter. So far we see the overall trading volumes remained very robust.
Robyn: Now I hand over to Robyn.
Robyn: Jim.
Robyn: Sure Glenn you Cryptoclimate Wednesday.
Robyn: Our strategy to be hunting Titan Django cope with Daiichi Sean Quinn.
Joe: Gosh, you can assure you that we'll talk America, Joe you're correct to assume that your chin.
Speaker Change: Joey Barton this is Jim.
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Ralph: Clearly the crypto shampoo, that's all your questions.
Ralph: She also shutdown.
Jonathan Johnson: So Jonathan again shortly.
Ralph: Thank you, Doug, although you've shipped uhm.
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Ralph: We've also Joe Joe.
Speaker Change: Jason I'll quote sure Chico neutral Joe you'd be doing.
Ralph: Yes.
Ralph: Question, that's equivalent based on as you go into other trial what are you doing.
Speaker Change: So hopefully John Challenge, a cool xiaomi will be switched to the other ones.
Ralph: Sales were unchanged from Macquarie.
Ralph: So it didn't change the Jamba, Stephen Cocchi, Johnny that Youre trying to achieve.
Ralph: People switching quarter congratulations.
Ralph: Sure Todd.
Ralph: Sure Charles this is actually John.
Ralph: Sandy you guys, obviously did not.
Speaker Change: Sure sure Crypto, Chile Central Shanghai seal.
Speaker Change: Now let me ask this chemo combo.
Speaker Change: Or does it go towards El Nino congestion will conduct routine Deutsch John D code J J <unk>.
Speaker Change: So you're really good at Tommy China Shanghai.
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Speaker Change: So people would you do that.
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John Roberts: John Youre for tissue that im not again with tissue that Youll ship, Hey, Jay question woman, sorry, Jimmy Janitorial syndrome or <unk>.
Speaker Change: Thank you Bob.
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Speaker Change: We're trying to in crypto simple dynamic now women should.
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Speaker Change: And the other <unk> Pedro that you get people, knowing many of which the future and good.
Speaker Change: Is that all doing well so we are seeing at Shaw.
Speaker Change: Thank you Jaime with treaty that that issue yes.
Speaker Change: Good afternoon Chuck.
Speaker Change: To share just your guangxi critical from in the Eagle.
Speaker Change: Sure.
Speaker Change: Ladies have already.
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Speaker Change: Sure Tim.
Speaker Change: Thanks, Joe G don't really quality didn't necessarily do the Hunter. How are you doing are strictly box sure Joe.
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John Roberts: Thank you John but let me turn to ensure gouging to cope with the Jews intelligence has been done.
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John Roberts: Paddle <unk>.
John Roberts: Tissue.
John Roberts: So I will first translate about about the crypto updates and then Robin also touched on wealth management.
John Roberts: So in the fourth quarter.
John Roberts: Crypto market had a huge boom, which lifted our clients' trading interest in sentiment.
John Roberts: You've seen that in November and December.
John Roberts: Crypto trading volume on our platform grew exponentially, which is almost five times, what we saw in October and our daily trading volume surpassed 35 million U S dollars and we've also seen a similar growth rate in terms of number of crypto traders on our platform during the first quarter, we've seen that.
John Roberts: The crypto crime prices experienced some pullback in the same time, there's a lot of trading opportunities in Hong Kong and U S stock market. So we've seen a subsiding interest in crypto trading on our platform, but the trading volume and the crypto traders are still at a relatively high level.
John Roberts: Right now in Hong Kong, we offer for trading Paris.
John Roberts: To our retail investors and will for sixth Street in Paris, and Singapore and in the future. We plan to allow more kind of mainstream trading Paris and at the same time, I think will enhance our management of that.
John Roberts: Capital efficiency.
John Roberts: The liquidity and the security and also have lower the cost.
John Roberts: Clients moving funds in and out.
John Roberts: Which we believe will help with client conversion and with further penetration of crypto trading.
John Roberts: We believe in Hong Kong, Singapore, and most of the retail investors are still in the very early stage of building up awareness.
John Roberts: And we think there is a lot of further room for penetration and we hope to leverage more investor education material, a seamless fund deposit experience to assuage, our clients' concerns towards its relatively new asset class and as the regulatory framework that's more clear in these two.
John Roberts: Market <unk> as one of the earliest retail players in this space will enjoy the early mover advantage and building up our user mindshare, especially in terms of the complaint operations, which will help us in advantage as the crypto asset class became a becomes more mainstream and these two mark.
John Roberts: <unk>.
John Roberts: And as I mentioned earlier, we are also planning to rollout crypto trading and give us this year and we are expecting a higher penetration of crypto amount of our U S client base compared to what we have seen in Hong Kong and Singapore, So far.
John Roberts: As regards to <unk> license. So we got a conditional approval from the fleet and we are.
John Roberts: Working on our product development, we don't have a very specific timeline for our official launch yet and we look forward to keep giving more color down the road and then about the wealth management.
John Roberts: So this year, we entered into a rate cut cycle, but we still believe money market funds.
John Roberts: We will continue to be attractive to our clients and the foreseeable future and at the same time, we have provided very seamless automatic subscription and redemption functions for our money market funds, which really maximizes our clients' capital efficiency.
John Roberts: To help them to see if the trading opportunities in the market and the same time, our Ngls under our cash and we use typically we expect an outperformance of fixed income related assets during a rate cut cycle and we have built a comprehensive set of products. That's based in Hong Kong, and Singapore, which we believe will help our client.
John Roberts: And navigate.
John Roberts: Different investment cycles.
John Roberts: To achieve long term capital appreciation and at the same time as mentioned earlier, we intend to further enrich our wealth management product offerings, including more structure notes for both our retail and high net worth clients and we are optimistic about the AUM growth through our wealth management and to add some additional color to it.
Speaker Change: Robin just thought about wealth management I think there are some of our key competitive advantages in this space is number one we've really upped our client is seamless experience.
Speaker Change: Two to navigate across different asset classes on our platform, whether it's equities or wealth management or crypto et cetera. So I think that is one of our key competitive advantage, we don't adjust lead our competitors and just one specific asset class, but it is a very a seamless one stop experience for clients to very easily.
Speaker Change: Switch between asset classes and to crop and navigate different cycles and number two I think we adopt a platform model, which is a key advantage for our.
Speaker Change: Kind of with clients wealth management business for example, like in terms of structured products.
Speaker Change: We onboard a structure offerings from a number of different private banks and our clients can compare these returns and the performances and pick the best asset class on on our platform.
Speaker Change: As opposed to maybe some other institutions will prefer it too.
Speaker Change: South of their clients their own proprietary product. So this platform model really gives our clients access to.
Speaker Change: To a variety of different assets and us intermediary is very neutral and just make sure that we will be able to provide our clients with the most attractive investment opportunity. Thank you.
Speaker Change: Okay.
Speaker Change: Thank you.
Speaker Change: We will now take the next question.
Speaker Change: From the line of Hugh Fun from CIC. Please go ahead.
Speaker Change: Hey, how does the handguns Argos vehicles with pseudoephedrine gallium intermediates about soon.
Speaker Change: I wish it on Ingalls no. Thank you Hassan Youll know what the Daniela Glenn he sounds like T gel is that.
Speaker Change: And indeed, it's Aman <unk>, what's the time that you could breakdown.
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Speaker Change: On that issue.
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Speaker Change: So you can it sounds from Tulsa to determine comes things Youll see your commentary.
Speaker Change: It sounds of Macau I hope all kosher, David Simon I think Atlassian cool bar called Cuda routine. Thank you to the conference Lasalle just for what you've been in a Glenn here.
Michael Thank you Scott.
Oh this is Neil Nelson from CIC, and the two class rings.
Speaker Change: One is regarding the breakdown in <unk>. So how much is from clients net asset inflow and how much from market to market impact and what's the original breakdown of the client's assets.
Speaker Change: And the second question.
Speaker Change: See the active Hong Kong IPO subscription recently also what's the impact on our income statement and what's the contribution to our new paying clients and.
Speaker Change: As it is now.
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Kishore: IPO cash in Shanghai that Youre sure tender what mentioned global Speaker. Shortly you tend to be chunky civilian Chen Tricia Shanghai's IPO pays off over the shoulder <unk> shutdown at <unk> I should say.
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Kishore: We've got Daniel your Toyota umbrella Patricia Cheng.
<unk> took a geico to the IPO actually achieve bulk water.
Kishore: Feeney teacher induction good cohort.
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Kishore: ECP gel hold Asia IPO. These EPS, yes, yes, some challenging short haul Cisco like HIFU focal routine <unk> Chuck maybe you can change.
Kishore: Now without ethane.
Kishore: In terms of the NASA asset inflow breakdowns in the fourth quarter as we mentioned before the market to market implications in the fourth quarter actually it was a negative number so the client asset inflow. The number is much larger than the movement of the balance between.
Kishore: Two quarters and among the 24% of the ethane flow actually come from non great China areas.
Kishore: This number one year ago, what's just a 20% we see it as a very good indicator for our overseas markets continues.
Kishore: Engagements for clients and then the second question the record revenues from Hong Kong IPO is just contributes low single digit of our total revenue given that we are further diversify our revenue stream in the past four to five years and also due to the new Macao license in Hong Kong.
As Feeney.
Kishore: The settlement duration leveraged financing duration, where both short and so on.
Kishore: On one side it is a negative to all the brokers direct the commission and the interest income, but on the other hand, it further engage with clients to the markets to enhance the market liquidity and.
Speaker Change: Gas up more interest in terms of the retail clients and participate in this market. So on a net net basis. It is Steve I reported to our business. Thank you.
Kishore: Although fountain for cancer.
Speaker Change: Yeah.
Speaker Change: Thank you.
Speaker Change: Okay.
Speaker Change: We will now take the next question.
Speaker Change: From the line of Jpmorgan. Please.
Zhang: Zhang Please go ahead from Jpmorgan.
Glenn: So Glenn you send to you on the call.
Speaker Change: For the Fleetwood <unk> bet, you all got Goldman.
Glenn: Could you go if you're Kuan yew expense.
Speaker Change: 200 <unk>.
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Speaker Change: So our G&A expense should centrella might.
Speaker Change: Have you thought about that for sure.
Speaker Change: Sure.
Speaker Change: John.
Speaker Change: Well it may sound to you guys, how do we should pay a hole.
Speaker Change: You will not hear you. It's all trying to sure up your thoughts on why that you got.
Speaker Change: Sure.
Speaker Change: Oh yeah.
Speaker Change: Head count dropped the Ohio, R&D G&A expense, thereby element sure local do you seen Scott Rhonda just at Eaglebank.
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Julien: Yeah, and Julien Hi, the showroom, Doug Patricia and somebody cuts Youre seeing seeing somebody you know, it's always a fine year.
Julien: Menu, thanks for giving me the opportunity to ask questions.
Speaker Change: So could you touch on phone JP Morgan and I have two questions first is about the operating expense and away notice that from sequential perspective that G&A expense increased by over 50% Q on Q in fourth quarter, while R&D expense, the only moderate today pick up by 4%.
Julien: I wanted to understand what's the.
Speaker Change: Drivers behind.
Speaker Change: Diverging Chen for the two different operating expense in fourth quarter and.
Speaker Change: What will be your outlook for a tiny tiny Fi in terms of your headcount growth.
Speaker Change: And your.
Speaker Change: Your R&D engine.
Expense growth in <unk>.
Speaker Change: And my second question is about the other income we noticed that.
Speaker Change: Other income grow by 16, 9% Q on Q2, a record quarterly high in fourth quarter, we still understand what's the drivers behind this increase and.
Speaker Change: What's the outlook into <unk>. Thank you.
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Speaker Change: Chuck Digital Sharon Kochan make water issues, how do we get that tie to how should we got up to the polka job Elysium Oncotype upon literature Youll choice yet hopefully this year what are your controlled eto equities mutual.
Speaker Change: Shan Shan cut what you do.
Speaker Change: We will ensure that you don't have issued type one in Shanghai and the initial outlay that chip I mean, the usual leader.
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Speaker Change: Johnny you should hope should help akshay.
Speaker Change: For two question number one is regarding the G&A <unk> expenses increased mainly due to three reasons number one.
Our year end bonus.
Speaker Change: Especially for the overseas market management.
Secondly is due to some.
Speaker Change: One off professional expenses relating to some new license applications and the new markets feasibility studies.
Speaker Change: Thirdly is due to some one off organizational restructuring.
Speaker Change: Looking forward to 2025, we expect the number of I'll have Carl will continue to increase in.
Speaker Change: MIT in low to middle single digit.
Speaker Change: Both the situations.
Speaker Change: Situations in 2024.
Speaker Change: For second question regarding the break out the key drivers of the other income mainly comes from two factors number one is.
Speaker Change: Revenues derived from the wealth management, including the first distribution and also more fees from this structure products.
Speaker Change: Like structure notes.
Speaker Change: T bills et cetera, the other is it relating to farming.
Speaker Change: FX exchange fees.
Speaker Change: This is partially due to very divergent market performance between the U S market and the Hong Kong market in fourth quarter. So we saw more clients is try to switch their assets between these two markets. Thank you.
Speaker Change: Thank you.
We will now take the next question.
Speaker Change: From the line of sung.
Strong: Strong from Jefferies. Please go ahead.
Speaker Change: Hey, guys, good ladies and gentlemen.
Speaker Change: This concludes the conference Rebecca Mcclellan.
Speaker Change: So I'll now go on to Zach <unk> with Citigroup.
Speaker Change: We would like our Tony Hawk brand ethos.
Speaker Change: Thank you Luca.
Jason Marcus with Jpmorgan.
Speaker Change: Can you talk on I mean this is omar.
Bob Michael: If you are willing to ship I don't way Bob Michael.
Speaker Change: Michael can you ship.
Speaker Change: We can assure you sounds good my question is on auto Ohio.
Speaker Change: Backing into what goes on in the economy, you see from anthem.
Speaker Change: Okay.
Yeah Yeah.
Thanks management for taking my questions and congratulations on the strong results and I have two questions first we have seen the blend into trading commission rate declined both year over year and sequential and the info, Paul Hi, browser trading volume contribution from Asia actually increased in Q4, excluding the structural impact what's the reason for the commission rate.
Speaker Change: Klein and.
Speaker Change: And then my second question is about capital return.
Speaker Change: 500 million share.
Speaker Change: Share buyback program, which is effective.
Speaker Change: Yes.
Speaker Change: May I ask how much is the remaining quarter and what the operating plan this year.
Speaker Change: So do we have any configuration of regulatory debate.
Speaker Change: Thank you.
Speaker Change: Although she is really work with our Chilean <unk>.
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Speaker Change: And then does it take ratio generally remained high.
Speaker Change: Chip.
Speaker Change: Product mix that you've got planned for our drill section of stage two youll control in these cohorts at <unk> and the other make what vehicle Cal EG make all the <unk> are trading dollars imply the woman that you could take rate shall be essentially Boucher gentlemen, no chunky on the EG group.
Speaker Change: And all that you can take away that you had some shifts where you go beyond <unk>.
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Speaker Change: Thoughts on that you got we're.
Speaker Change: We're going to get your thoughts on.
Juan <unk> I'm, good English English on what we're seeing here with the <unk> will take quite some time because he has worked with Ohio, Hitachi attendee cianci like a Google box evaluation tool without Jason that should have a good quarter I'll focus on <unk>.
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Speaker Change: The change in <unk>.
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Speaker Change: Georgia and colleagues showed on the issues Horseshit lightweight ball woman challenged <unk> show up in the channel in the Eagle Ford.
Speaker Change: While financial Inc. In terms of the blended commission rate.
Speaker Change: The <unk> decrease was mainly due to the product mix change in the fourth quarter more clients trading with these high value non metal values U S stocks and also high Lamido values U S options, which land, which made the blended take rate have some Q on Q decrease and in the first quarter so far.
Speaker Change: We saw our take rate remains very stable.
Speaker Change: Then the second question regarding the shareholder returns so far we have lots of utilize our.
Speaker Change: Share repurchase program, which would be expire at the end of 2025, we still think.
Speaker Change: So this new market new business lines, we're still in a fast growth stage, there will be a huge room for us to deploy the capital for this new business in our new markets, which we think in the long run will enhance our competitive edge in the market and also our profitability profitability.
Speaker Change: <unk> said that.
Speaker Change: As we mentioned in our third quarters, we do concur part of our shareholders.
Very focusing okay about cash dividends, and we will revisit and evaluate our fund our dividend payout policies.
Speaker Change: 1020.
Speaker Change: Five year full year complete and will consider the relative measures to provide a reward to our long term shareholders. Thank you.
Speaker Change: That's very clear thank you.
Thank you.
Speaker Change: We will now take the next question.
Wang: From the line of <unk> Wang from 86 research. Please go ahead.
Speaker Change: I'm, just wondering if I'm going over to join the team.
BARDA research and Haryana.
Speaker Change: I don't want injunction you alisha.
Speaker Change: Okay got it cynically assumption connects all of them in total trading volume.
Speaker Change: With workshop.
Speaker Change: You could call. It answer your question Tom was alone, but then Jakafi once you conduct <unk>.
Speaker Change: Got it.
Speaker Change: What do you have in Asia.
Thanks management for taking my questions. It's high up from 86 research I have one simple question regarding the active.
It's trading.
Speaker Change: So what is the.
Speaker Change: Approximately the presentation off with the room tips into our total trading volume in the fourth quarter.
Speaker Change: And considering the increase in market volatility recently do you see increasing the proportion of our group.
Speaker Change: Our platform Okay, alright, thank you.
Speaker Change: Although Shanghai on what equity <unk> sugar.
Speaker Change: Sure <unk>.
Speaker Change: <unk> essentially what you're generally going to be our Shelby you want at least that you could call. It in the shower your issue.
Speaker Change: Now lets home <unk> could be a topic.
Speaker Change: In terms of the in terms of the terrific commissions is roughly accounts for one third of our total commission trading commissions in the fourth quarters slightly down to our historical high in the past and in the first quarter. So far we do not witness any material change for this ratio. Thank you.
Speaker Change: Thank you.
Speaker Change: Okay.
We will now take the next question.
Speaker Change #100: From the line of Oliver Chen from Citi. Please go ahead.
Speaker Change #100: And as far as I said, he thought there, which works well with all conditions.
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Speaker Change #100: So let's say Joseph.
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Speaker Change #100: I think a hole.
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Speaker Change #100: They put out.
Speaker Change #100: These are called <unk>.
Speaker Change #100: Okay.
Speaker Change #100: So very little hotel.
Hello.
Speaker Change #100: Uh huh.
Speaker Change #100: Excellent.
Speaker Change #100: Thank you.
Speaker Change #100: Yes.
Alex: Thanks, Mike has been talking with the chance to ask the question. This is Alex on the Citibank.
Alex: Can management give us some breakdown of the interest income in terms of either passion, because some culling process module.
Alex: The curriculum to income.
Alex: Management metrics, what's the prevailing interest rate for tools.
Alex: Idle cash.
Alex: Either passion and focus on before.
Alex: September last year, we have already seen.
Alex: That coupled with the fact, we had 100 basis points I'm wondering how much of that 100 basis points that re class already reflect it.
Alex: Two of the declines out of the cash interest rate.
Alex: Paul This is Alan without children Qunar your branches or this is all that means is not that I can just finish with artificial what's what youll. Let me show you an attached idle cash yield.
Alex: That's helpful beyond ICU, <unk> <unk> or the <unk> sure.
Alex: One <unk>.
Alex: <unk> got quite a union shop.
Alex: You are seeing such a good ecosystem, they hopefully more women archived shortly <unk>.
Alex: May it may may usher will get easier and that sort of made untrue.
Alex: You guys have talked about we fully unused shall woman may down we achieved target Doug has helped our buyback until he cannot compete or youre switching legally right now goes to the gene to the Ciena Shelby woman Ostomy.
Alex: <unk> essentially do a show that was light at two other dania senior woman chunk or that your competition equally more digital.
Alex: As you know you've achieved with Vishal thoughts when we show that either you can shoulder chug Cortez had legal Eagles Queen more chunky Sanjay Doshi. You go you are caught up now you're <unk> by insight what Michelle said that you could probably already mentioned the peach on Pandora.
Speaker Change #102: Sure, England. The couple that you got to inquire.
Speaker Change #102: Painting, the Youtube diverted some of it's the way to go should yet so you will.
Speaker Change #102: To the final leg Eagle formulation, Youll clinically BBB sugared and potentially you need to renegotiate with either shall we what you see now in terms of the breakdown of the interest income roughly 40% to 45%.
Interest income was derived from the idle cash deposits and the remaining belongs to the margin financing and the security lending et cetera.
Speaker Change #102: The impasse for the rate cuts if we use the <unk>.
Speaker Change #102: The fourth quarter and kind of assess numbers.
Speaker Change #102: To make our projections every 25 basis cut.
By the further rate our pretax profit monthly pretax profit will be negatively impacted by 8% to 10, Vietnam Hong Kong dollars. Thank you.
Speaker Change #102: Okay.
Speaker Change #102: Okay.
Speaker Change #102: Thank you.
Speaker Change #103: We will now take the last question from the line of <unk> Wang from Goldman Sachs. Please go ahead.
Speaker Change #103: Thank you Glenn you can go with her when she comes from Sean Hannan from Geismar women 62.
Speaker Change #103: Ah Okay cohort.
Speaker Change #103: The original break Barb.
Speaker Change #103: One quick one.
Speaker Change #103: One change John when you look at what that does in Kenosha Mr. Trump.
Speaker Change #103: So it goes out of the promotion I think neutral from Chicago.
Speaker Change #103: I'd now.
Speaker Change #103: Okay.
Speaker Change #103: And then maybe cool curtains, which happening you've got it sounds good.
Speaker Change #103: Sure Yes.
Alicia: Thank you Alicia.
Speaker Change #103: <unk> ratio in the bank and how quickly.
Speaker Change #103: And Oh Finfet cohorts on TV quack. Thank.
Speaker Change #103: Thank you <unk>.
Speaker Change #103: Uh huh.
Speaker Change #103: Thanks for your time.
Speaker Change #103: Thank you ship all at home.
Speaker Change #105: So my kind of woman gun Lake good glad she will narrow question Sandy.
Speaker Change #103: I'm just about any time.
Thanks Lindsay.
Speaker Change #103: My first question is can you help us.
Speaker Change #106: A breakdown of their new paying client growth.
Speaker Change #106: Thanks for attending Quantifies, what proportion of them.
<unk> 8000, 800000, well paying client is expected to be from market.
Speaker Change #106: One quick question from mature market and my second question is.
Speaker Change #106: Alright, Thank you have a guidance for <unk>.
Speaker Change #106: Will it be diluted as paying client growth and for five and majority of them maybe from a new market.
Speaker Change #106: And along with levels that we expect and our clients to reach and shrinking. Thank you.
Speaker Change #106: So this is how well have we gotten into NCR to your one chance Wichita <unk>.
Peter: Is it simply that actual one the judge to introduce yourself, Peter Shanghai and Singapore.
Speaker Change #106: I'll go back and especially those tissue.
Speaker Change #106: Calendar year number one.
Speaker Change #106: <unk> agile that should actually Josh on volatile tonnage, how big <unk> can we on the general notion.
Speaker Change #106: We like to have both centralized to them that they made that joke.
Speaker Change #106: <unk>.
Speaker Change #106: But we're generally outcome.
Speaker Change #106: In terms of the breakdown of the new client acquisition geographic geographic locations.
Speaker Change #106: Fortis mature markets like Hong Kong, Singapore, which collective basis contributed roughly 40% to 45% of our total new paying clients acquired in the fourth quarter and the remaining countries in Asia alongside Australia contributed roughly 40% as well then the remaining 20% belongs to the North America. Thank you.
Speaker Change #107: And so how long should it anyway with eisai by clicking the chattel lending not necessarily elegant connected to.
Speaker Change #106: <unk>.
Speaker Change #106: We cannot assure tumor cohort I think with <unk> yoga franchise.
No.
John: No problem John to.
<unk>, which is like a fit Hong Kong shaping now without question.
John: You kind of Argentina, Ecuador.
She shopped in the chicken mix.
John: Sure.
John: Hello, Youku buckle, particularly in Utah.
John: That again push your mark to market impact throughout the <unk>.
John: Hopefully they deal with and take a moment to it.
John: Yeah, Shneur for Berkshire feature on <unk> shoulder now without cause.
John: Garrigan on Tito's uniquely kosher.
John: The cohort.
John: We're actually at the amount of Tampa, not woken up can be seen that Shaw with either.
John: <unk> will go to Greenfield.
It kind of takeaways in the Chicago.
Pension binding is highly functional particular cohort including fatality.
John: Got it.
John: But without that I think that <unk> number one you'd see how.
John: <unk> because it sounds like is it either.
John: Michelle I joist and I'm sure she'll Youll consolidated are shaping up.
John: A woman kind of channel shift that is legitimate tissue may you Cook.
Speaker Change #109: According to <unk>.
Speaker Change #109: We'll try to give a conjunct well my sales team, while how would you kind of walk.
Speaker Change #109: Maybe I should have equivalent the Ohio border.
Speaker Change #109: Blood or tissue summed up content <unk> woman overshot that Timna geotechnical label cohort ECH tissue the routine thing why they don't want <unk>.
Speaker Change #109: Youre attempting easier way.
Nancy Conculture: Nancy Conculture, which converting to the ECA.
Speaker Change #109: So it will mean.
Speaker Change #111: Sure by asking any Indian OTT.
Speaker Change #111: Because I mean, you guys should have coating at the time of wholesale Iot both fusion that timber.
Speaker Change #111: Let me briefly translate so.
Speaker Change #112: First of all I just want to comment on net asset inflow in 2024, we saw a very meaningful step up in net asset inflow in comparison to 2023, and we foresee a similar very robust net asset inflow in 2025 as well.
Speaker Change #111: As you know.
Speaker Change #111: Average client assets are first of all impacted by our new client mix between different markets and also impacted by mark to market trends and both of these factors are less within our control than net asset outflows. So it's very hard to protect our average client assets with connect trends for 2025.
Speaker Change #111: And in terms of.
Speaker Change #111: Average classes and different market, while some markets.
Speaker Change #111: Well structurally.
Speaker Change #111: Hi average client assets for example, Hong Kong, Singapore like these clients have higher investable income and therefore, we will have more capital that they can deploy our <unk> platform.
Speaker Change #111: At the same time.
<unk> Super encouraging as flat in the fourth quarter all of our markets experienced very meaningful Q on Q growth in average client assets and we expect this trend to continue because as we onboard more product. There is a lot of cross selling opportunity and we think there is ample opportunity for our existing clients to put more assets onto our platform and the.
Same time as our product capabilities get enhanced enhanced our brand equity gas enhanced we're able to attract more high quality clients, including high net worth clients.
Speaker Change #111: Are these market. Thank you.
Speaker Change #111: Okay.
Thank you I will now like to turn the conference back to Daniel Zhang for closing remarks.
Well that concludes our earnings call on behalf of the <unk> management team I would like to thank you for joining US today. If you have any further questions. Please do not hesitate to contact me or any of our Investor Relations representative Thank you and goodbye.
Speaker Change #113: This concludes today's conference call. Thank you for participating you may now disconnect.
Speaker Change #113: Okay.
Speaker Change #113: [music].
Speaker Change #113: Okay.
Speaker Change #113: [music].
Speaker Change #113: Okay.
[music].
Speaker Change #113: Hum.
Speaker Change #113: [music].