China’s banking wealth management market expanded to a record RMB 33.29 trillion ($4.8 trillion) in 2025, up 11.15% from the year start, reports Caixin. This comes even as average investor returns slipped below 2% for the first time, highlighting the disconnect between asset growth and yield performance.
The industry’s growth underscores the continued enthusiasm of China’s roughly 143 million retail investors, says Caixin, many of whom remain drawn to low-risk banking products despite diminishing yields. This trend has prompted financial institutions to diversify beyond traditional fixed-income assets to sustain returns.
The balance of wealth management products, or WMPs, rose 11.2% over the year, according to a report released Friday by the China Banking Wealth Management Registration and Depository Center. However, average returns fell to 1.98% in 2025, down 67 basis points from 2.65% a year earlier. The total income generated for investors reached RMB 730.3 billion.