Noah Holdings sold RMB 22.8bn ($3.28bn) worth of fixed income products during the quarter, close to the RMB 28bn total aggregated value of financial products sold.
That compares to just RMB 10.8bn worth of fixed income products sold during the same quarter last year, accounting for only 45.8% of sales.
Equity product sales only accounted for 5.4% of the total during the third quarter this year.
Noah Holdings noted that the total aggregated value of all products it distributed to clients in Q3 was 18.9% higher compared to the third quarter of last year.
Chinese investors in general have been pouring in money into fixed income products, particularly in onshore RMB bond funds. During the same quarter, Chinese RMB fixed income mutual funds saw net inflows of $12.8bn, which made the asset class the best-selling category in Asia-Pacific during the third quarter, according to a Broadridge Financial report.
By comparison, equity products saw net inflows of around $7bn during the quarter in China, the report shows.
Additional clients
Despite the more volatile environment this year, the wealth manager saw an increased number of clients. At the end of September, the total number of registered clients increased 34.6% year-on-year to 236,906.
However, the number of active clients, which refers to the registered clients who purchased financial products during the quarter, decreased 7.8% from the same period.
The firm indicated that it has also been ramping up operations in the mainland, with the number of relationship managers increasing 21.2% to 1,559.
Net revenues for the firm’s wealth management business hit RMB 839m during the quarter, which is 22.6% higher than the third quarter last year, primarily driven by increased recurring service fee revenues and other service fees. Net revenues from recurring service fees were RMB 304.7m, the firm said.
Separately, Noah Holdings’ asset management business, Gopher Asset Management, saw its third quarter AUM rise 14.9% to RMB 164.1bn from the same period the previous year, the firm noted.
