China Forms $230 Billion Brokerage to Challenge Wall Street

Guotai Junan and Haitong Securities merge to create China's largest brokerage, pending regulatory approval.

The merger aims to consolidate China's $1.7 trillion brokerage sector.
Guotai Junan and Haitong Securities will form an entity with 1.6 trillion yuan in assets.
The move follows President Xi Jinping's call for top-ranked investment banks to compete globally.
Local brokerages saw a surge in shares following the merger announcement.
The merger may lead to job cuts due to industry challenges and low valuations.