Futu Holdings Achieves Solid First-Quarter Growth Amid Market Volatility with 67.9% YoY Increase in Paying Clients


Moomoo’s parent company Futu Holdings Limited (Nasdaq: FUTU) (Futu), a leading tech-driven online brokerage and wealth management platform, reported solid performance for the quarter ended March 31, 2022, with US$209.5 million (HK$ 1641.0 million) total revenues, and US$79.4 million (HK$622.2 million) non-GAAP adjusted net income.

Financial & strategic highlights for the first quarter:

  • As of quarter end, total number of users of moomoo and its sister brand Futubull was 18.1 million, an increase of 27.1% YoY;
  • Total number of registered clients was 2,910,995, an increase of 48.7% YoY;
  • Total number of paying clients was 1,326,163, an increase of 67.9% YoY;
  • Over 80% of the newly acquired paying clients in first quarter were from Hong Kong SAR, the United StatesSingapore and Australia markets, indicating the company’s thriving international business;
  • Client stickiness maintained at a high level with the quarterly client retention rate of over 98%.
  • In terms of enterprise service, Futu I&E had 258 IPO and IR clients as well as 459 ESOP clients as of quarter end, climbing up 69.7% and 129.5% YoY, respectively.
  • Regarding wealth management, total client assets reached HK$20.9 billion in the first quarter, an increase of 59.1% YoY. Futu has partnered with 64 world’s well-known financial institutions to offer wealth management services.
  • As of quarter end, Futu has acquired 50 licenses and qualifications (including approvals-in-principle) from regulators across major financial markets.

Futu’s Chairman and Chief Executive Officer Mr. Leaf Hua Li said, “Although the market sentiments remained volatile in the first quarter, Futu demonstrated its resiliency with upbeat highlights and growth in key indicators across various markets. Notably, our enterprise service business and wealth management business performed robust growth.”

Futu continues to lead the industry with continuous growth of Hong Kong paying clients

Having established its presence in Hong Kong for almost ten years, Futu has led the way in the brokerage industry and its renowned Futubull app is now a household brand name for local investors. Meanwhile, the number of paying clients continues to grow.

Futubull’s highly engaging online investor community remains the largest in scale among its local peers. Hong Kong users spent an average of 33.4 minutes using the Futubull app per trading day during the first quarter. There were over 363,000 daily average Hong Kong active users in the online community in the first quarter, producing nearly 100,000 pieces of UGC content each trading day.

Meanwhile, Futu’s Hong Kong subsidiary Futu Securities International (Hong Kong) Limited won five awards from HKEX, demonstrating the recognition of the efforts made by the company in pursuing better trading experience.

Futu Singapore is becoming the first online brokerage to acquire full Singapore Exchange memberships

One year into moomoo’s debut in Singapore, Futu Singapore Pte. (Futu SG) has obtained approvals-in-principal for all of five SGX memberships and an Exempt Financial Adviser status from the Monetary Authority of Singapore.

This makes Futu SG not only the first online brokerage in Singapore to receive approvals-in-principle for full trading and clearing memberships for securities and derivatives, but also the pioneer in the industry to achieve all five SGX memberships. As a fully licensed member of the Singapore Exchange, Futu Singapore can provide trading and clearing services for itself and other Futu subsidiaries, creating synergies and providing a more diversified product range and better services to local investors.

Futu is renowned among Singapore investors for its premium fund products and customized services. Futu Money Plus has expanded its fund product offerings in Singapore to support SGD funds, money market funds, and dividend funds, and has partnered with 26 leading international financial institutions to provide local investors with more options for wealth management. During the quarter, Futu Money Plus’ client assets and the number of fund clients in Singapore increased by 93% and 95% quarter-over-quarter respectively.

Futu expanded its enterprise service footprint in Singapore by participating in several high-profile ETF IOPs. Futu SG was entrusted by Nikko Asset Management as a participating agent in the Initial Offering Period and listing of the Nikko AM – Straits Trading MSCI China Electric Vehicles and Future Mobility ETF (Exchange Traded Fund) on SGX in the first quarter. The subscription of the ETF via Futu Singapore ranked the first in the market, proving Futu’s value in enhancing the local market’s liquidity and promoting investment.

Moomoo steadily acquires users in the US and makes a debut in Australia

Since its debut in the U.S. in 2018, moomoo continued to gain interest from active traders who seek better tools to trade like a pro – a pro that treats investing seriously to have greater control of their financial future.

Moomoo’s core users are retail traders who strive to learn and improve their investing strategies, using the tools, data and training content on moomoo app. Moomoo broke the information barrier by making professional data that used to be exclusive to institutions available to all of its users, such as free level 2 data and free daily short sale volume data, to name a few.

As of quarter end, moomoo had rolled out almost 2500 investing courses online, delivering content in forms of stories, infographics, gif images, videos, animation clips, live streaming, etc., with which users can learn investing concepts and tactics easier than ever. In January moomoo worked with the reputable U.S. financial media firm Benzinga to hold an online seminar series aiming to help the audience to develop professional trading skills.

With the outstanding trading experience moomoo delivers, the app was named as the “Best Trading Platform” in first quarter by FinTech Breakthrough, an independent market intelligence organization in the U.S. focusing on global FinTech innovators.

Moomoo also announced its official launch in Australia on 08 March 2022, with the vision of empowering all investors to grow their wealth through an affordable yet powerful investment platform. Australian investors can now use moomoo to trade stocks and ETFs listed in Australian and US markets – soon trading of Hong Kong, China-A shares and Singapore markets will be available.

Moomoo promotes financial education for investor of all levels, putting responsible investing into practice

Elsewhere, the company keeps investing in education to promote responsible investing, cultivating financial literacy for investors of all kinds and empowering them to achieve their financial goals.

In February, moomoo partnered with Palo Alto Education Group and LaunchFIT, two Bay Area-based educational organizations, in launching #Investeen, a campaign aimed at improving financial literacy and equity investment knowledge in adolescents. As part of the campaign, moomoo participated in launching the paper trading competition in moomoo app, which enabled students from more than 20 countries to practice trading in a safe environment with stimulated funds, to test-drive their investment strategy responsibly.

In Singapore, moomoo partnered with SUSS Investment Group, a student-led community in the Singapore University of Social Sciences, to launch the inaugural Portfolio Management Challenge 2022 early this year. The challengers executed trades in the US market with moomoo platform and updated their portfolio weightage on moomoo’s portfolio feature to view live rankings.

Futu stays committed to the vision of making investing easier for investors all over the world

“We are humbly glad to see the achievements in the first quarter from various markets, but we will never feel fully satisfied in making investment more accessible for all.” Leaf added. “Since the inception of the company, we are committed to our pursuit in making investing easier and not alone, with our tech excellence. We will never cease bringing better trading experience to investors worldwide, becoming their trusted partner to make more savvy decisions, to connect with like-minded peers and to stay up to date on the financial world.”