China Implements Regulatory Rating System for Wealth Management Companies

Securities Times Reporter Qin Yanling

On March 16, the General Office of Financial Supervision and Administration issued the “Interim Measures for the Supervision and Rating of Wealth Management Companies,” clarifying that supervision ratings will be conducted from six dimensions: corporate governance, asset management capability, risk management, information disclosure, investor rights protection, and information technology. The ratings will be classified into levels 1–6 and S level, with higher numbers indicating greater institutional risk and requiring increased regulatory attention.

As of the end of December 2025, there are 32 wealth management companies nationwide with a total of 30.7 trillion yuan in existing wealth management products, accounting for 92% of the total market of 33.3 trillion yuan.

The “Measures” set up six rating modules: corporate governance, asset management capability, risk management, information disclosure, investor rights protection, and information technology. The weightings are 10%, 25%, 25%, 15%, 15%, and 10%, respectively. They also include targeted scoring bonuses, deductions, and level adjustment factors to comprehensively evaluate the operation, management, and risk status of wealth management companies.

The supervision rating cycle is one year, with the evaluation period from January 1 to December 31 of the previous year. According to the “Measures,” a score of 90 points or above (including) is level 1; 80–89 points is level 2; 70–79 points is level 3; 60–69 points is level 4; 50–59 points is level 5; and below 50 points is level 6.

“A supervision rating result is an important basis for regulatory authorities to allocate supervision resources, conduct market access, and implement differentiated regulatory measures,” said a responsible official from the relevant department of the General Office of Financial Supervision and Administration. Level 1 and 2 wealth management companies operate stably with relatively good risk profiles, mainly subject to off-site and routine supervision, with priority support for innovative pilot businesses such as pension wealth management; level 3 and 4 companies have certain or many risk issues, requiring strengthened supervision in key areas, necessary corrective measures, risk control of incremental risks, reduction of existing risks, and prevention of risk spread; level 5 and 6 companies have serious risk problems, requiring real-time monitoring of risk changes, strict restrictions, and resolution of high-risk businesses, with orderly implementation of risk disposal or market exit; S-level companies, which are undergoing restructuring, takeover, or market exit, do not participate in the current year’s supervision rating.

The “Measures” emphasize that the supervision rating results are generally for use only by the General Office of Financial Supervision and Administration and its dispatched agencies. Wealth management companies must keep the rating results strictly confidential, not disclose them externally, and not use them for advertising, publicity, or marketing purposes.

(Edited by: Wang Zhiqiang HF013)