老虎證券 (TIGR) 2024 Q2 法說會逐字稿

Ladies and gentlemen, thank you for standing by. Welcome to the UP Fintech Holding Limited second-quarter 2024 earnings conference call. (Operator Instructions) I must advise you that this conference is being recorded today, August 30, 2024.

女士們先生們，謝謝你們的支持。歡迎參加 UP Fintech Holding Limited 2024 年第二季財報電話會議。（操作員指示）我必須通知您，本次會議將於今天（2024 年 8 月 30 日）進行錄製。

I would now like to hand the conference over to your first speaker today, Mr. Aaron Li, the Head of Investor Relations. Thank you. Please go ahead.

現在我想將會議交給今天的第一位發言者，投資者關係主管 Aaron Li 先生。謝謝。請繼續。

Thank you, Desmond. Hello, everyone, and thank you for joining us for the call today. UP Fintech Holding Limited's second-quarter 2024 earnings release was distributed earlier today and is available on our IR website at ir.itiger.com as well as GlobeNewswire services.

謝謝你，德斯蒙德。大家好，感謝您今天加入我們的電話會議。UP Fintech Holding Limited 於今天稍早發布了 2024 年第二季收益報告，可在我們的投資者關係網站 ir.itiger.com 以及 GlobeNewswire 服務上取得。

On the call today from UP Fintech are Mr. Wu Tianhua, Chairman and Chief Executive Officer; Mr. John Zeng, Chief Financial Officer; Mr. Huang Lei, CEO of US Tiger Securities; and Mr. Kenny Zhao, our Financial Controller. Mr. Wu will give an overview of our business operations and discuss corporate highlights. Mr. Zeng will then discuss our financial results. They will both be available to answer your questions during the Q&A session and follow their remarks.

今天，UP Fintech 董事長兼首席執行官吳天華先生參加了電話會議；曾約翰先生，財務長；美國老虎證券執行長黃磊先生；以及我們的財務總監 Kenny Zhu 先生。吳先生將概述我們的業務運營並討論公司亮點。然後曾先生將討論我們的財務表現。他們都可以在問答環節回答您的問題並跟進他們的評論。

Now let me cover the safe harbor. The statements we are about to make contain forward-looking statements within the meaning of the US Private Securities letigation Reform Act of 1995. A number of factors could cause actual results to differ materially from those contained in any forward-looking statements.

現在讓我來報道安全港。我們即將做出的聲明包含 1995 年美國私人證券訴訟改革法案意義內的前瞻性聲明。許多因素可能導致實際結果與任何前瞻性陳述中包含的結果有重大差異。

For more information about factors that could cause actual results to materially differ from those in the forward-looking statements. Please refer to our Form 6-K furnished today, August 30, 2024, and our annual report on Form 20F filed on April 22, 2024. We undertake no obligation to update any forward-looking statement, except as required under applicable law.

有關可能導致實際結果與前瞻性陳述中的結果有重大差異的因素的更多資​​訊。請參閱我們今天（2024 年 8 月 30 日）提交的表格 6-K 以及我們於 2024 年 4 月 22 日提交的表格 20F 年度報告。除適用法律要求外，我們不承擔更新任何前瞻性聲明的義務。

It is my pleasure to now introduce our Chairman and Chief Executive Officer, Mr. Wu. Mr. Wu will make remarks in Chinese, which will be followed by English translation. Mr. Wu please go ahead with your remarks.

我很高興現在介紹我們的董事長兼執行長吳先生。吳先生將用中文發言，隨後進行英文翻譯。請吳先生繼續發言。

(interpreted) Hello, everyone. Thank you for joining the Tiger Brokers' second-quarter 2024 earnings conference call.

（譯）大家好。感謝您參加老虎證券 2024 年第二季財報電話會議。

In the second quarter, the US stock market continued to perform well, and overall market activity further improved compared to the first quarter. This led to a sequential increase in client trading volume across stocks, options, and futures. With commission income reaching USD34.1 million, up 22.7% quarter-over-quarter and 54.9% year over year. The second highest quarterly commission revenue in our operating history.

二季度，美國股市持續表現良好，整體市場活躍度較一季進一步改善。這導致股票、選擇權和期貨的客戶交易量持續增加。佣金收入達3,410萬美元，較上季成長22.7%，較去年同期成長54.9%。我們經營史上第二高的季度佣金收入。

Our total revenue for the second quarter was USD87.4 million, an all-time high and reflected a quarter-on-quarter increase of 10.8% and a year-over-year increase of 32.4%. In bottom line, our GAAP and non-GAAP net income attributable to UP Fintech was USD2.6 million and USD5.2 million, respectively. The bottom line was negatively impacted by a loss provision of USD13.2 million relating to a case of Hong Kong stock pledging and withdrawal.

第二季總營收為8,740萬美元，創歷史新高，季增10.8%，較去年同期成長32.4%。歸根結底，UP Fintech 的 GAAP 和非 GAAP 淨利潤分別為 260 萬美元和 520 萬美元。因港股質押及提取案件相關損失撥備1,320萬美元，對淨利產生負面影響。

Since 2023, our company had already stopped similar Hong Kong equity stock pledging and withdrawal in response to market conditions and risks. And there is no such risk exposure among existing users anymore. Excluding the impact of the loss provision, our pretax profit for the quarter would be USD19.4 million reflecting a 13.9% increase quarter-over-quarter and 8.3% increase year over year.

自2023年起，本公司已根據市場狀況和風險停止了類似的港股質押和退出。現有用戶中不再存在此類風險。剔除損失撥備的影響，本季稅前利潤為 1,940 萬美元，季增 13.9%，年增 8.3%。

In the second quarter, we added 48,900 newly funded accounts, representing a 69% sequential increase and a 68% increase year over year. Singapore and Southeast Asian regions were the primary contributors. In the first half of this year, we added a total of 77,700 newly funded accounts, and we are confident of delivering our annual guidance of acquiring at least 150,000 newly funded accounts in 2024.

第二季度，我們新增 48,900 個新入金帳戶，較上季成長 69%，較去年同期成長 68%。新加坡和東南亞地區是主要貢獻者。今年上半年，我們總共新增了 77,700 個新融資帳戶，我們有信心實現 2024 年新增至少 15 萬個新融資帳戶的年度指引。

In terms of client assets, cash net asset inflow remained strong in the second quarter, amounted to USD1.7 billion, primarily from the Singapore and Hong Kong markets, fueled by USD3.6 billion mark-to-market gain that total client assets at the end of the second quarter increased by 16% quarter-over-quarter and 121% year-over-year to USD38.2 billion at all-time high. We are glad to see seven consecutive quarterly growth in total client assets with net high -- sorry, with new highs in the past three quarters. Notably, client assets from the Hong Kong market doubled quarter-to-quarter, highlight our competency in attracting high-quality users in markets like Singapore and Hong Kong through superior product experience and local knowledge also underscores the significant growth potential in the markets we currently focus on.

就客戶資產而言，第二季現金淨資產流入依然強勁，達17億美元，主要來自新加坡和香港市場，這得益於按市值計價的收益，客戶總資產達到36億美元。季增16%，年增121%，達382億美元，創歷史新高。我們很高興看到客戶總資產連續七個季度實現淨高成長——抱歉，在過去三個季度創下了新高。值得注意的是，香港市場的客戶資產環比增長了一倍，凸顯了我們透過卓越的產品體驗和本地知識在新加坡和香港等市場吸引優質用戶的能力，也凸顯了我們目前市場的巨大增長潛力專注於。

In the second quarter, we continue to enhance our product offerings by introducing a range of localized features. In August, we launched two key functionalities, Hong Kong stock options and short selling for Hong Kong stocks. Now we offer all major trading products for Hong Kong market, boosting our competitiveness and appeal to local users.

在第二季度，我們透過引入一系列本地化功能繼續增強我們的產品供應。8月份，我們推出了港股選擇權和港股賣空兩項關鍵功能。現在我們為香港市場提供所有主要交易產品，提高了我們的競爭力和對本地用戶的吸引力。

Looking ahead, we also plan to introduce the combo option strategy feature for Hong Kong stock options. Additionally, since our Hong Kong subsidiary officially uplifted its Type 1 license to include virtual asset dealing service for professional investors in January of this year. We receive approved in June to expand this license to retail investors in Hong Kong. We offer zero commission and no platform fee for both professional investors and Hong Kong retail clients to trade spot cryptocurrency on Tiger platform and supporting real-time settlement of virtual asset transaction in US dollar. This provides user with a truly secure, convenient, and cost-effective global trading experience.

展望未來，我們也計劃推出香港股票選擇權的組合選擇權策略功能。此外，自今年一月我們的香港子公司正式提升其第一類執照以來，包括為專業投資者提供虛擬資產交易服務。我們於 6 月獲得批准，將這項許可證擴大到香港的散戶投資者。我們為專業投資者和香港散戶客戶在老虎平台上交易現貨加密貨幣提供零佣金、無平台費用，並支援虛擬資產交易以美元即時結算。這為用戶提供了真正安全、便利、高性價比的全球交易體驗。

We are also pleased to report that after introducing Tiger BOSS debit card and Contra Trading functions in Singapore market in the first quarter. We have received widespread positive feedback from existing users, which led to a significant increase in the number of newly funded accounts and cardholders with notable improvement in both user activity and stickiness.

我們也很高興地報告，繼第一季在新加坡市場推出Tiger BOSS金融卡和Contra交易功能後。我們收到了現有用戶的廣泛正面回饋，新入金帳戶和持卡人數量大幅增加，用戶活躍度和黏性顯著提升。

In addition to launching new products, we continue to refine the user experience of our existing features. For instance, our Overnight Trading for US stock has now expanded to support up to 9,500 stocks and ETFs, offering greater convenience for clients to trade US stocks and ETF during local market hours and capture more market opportunities. Moreover, Contra option strategy feature for US stock was upgraded in July to support four leg options trade and execution based on net market requirements, further enhancing trading strategy flexibility and marketing efficiency.

除了推出新產品外，我們也持續完善現有功能的使用者體驗。例如，我們的美股隔夜交易現已擴展至支援多達9,500檔股票和ETF，為客戶在當地市場時段交易美股和ETF提供更大便利，捕捉更多市場機會。此外，美股Contra選擇權策略功能於7月升級，支援基於淨市場需求的四腳選擇權交易與執行，進一步提升交易策略彈性與行銷效率。

Our 2B business continues to perform well. In investment banking, we underwrote 12 US and Hong Kong IPOs in the second quarter, including Laopu Gold and Dida. And we served as the exclusive lead bank for Tungray Technologies and YY Group, US IPO. In our ESOP business, we added 22 new clients in the second quarter, bring the total number of ESOP clients served to 579 at the end of the second quarter of 2024, increased by 21% year over year.

我們的 2B 業務繼續表現良好。投資銀行業務方面，第二季我們承銷了12宗美國和香港IPO，包括老鋪黃金和嘀噠。並擔任東銳科技、歡聚時代赴美國國際獨家領導。在員工持股業務方面，第二季新增22家客戶，截至2024年第二季末，我們服務的員工持股客戶總數達到579家，年增21%。

Now I would like to invite our CFO, Zeng, to go over our financials.

現在我想請我們的財務長曾先生來檢查我們的財務狀況。

Thanks, Tianhua and Aaron. Let me go through our financial performance for the second quarter. All numbers are in US dollar.

謝謝天華和阿龍。讓我回顧一下我們第二季的財務表現。所有數字均以美元為單位。

Market was more active in the second quarter versus the first quarter. Trading commission reached $34.1 million, increased 23% quarter-over-quarter and 55% year over year. Total revenue reached all-time high to $87.4 million increased 11% quarter-over-quarter and 32% year over year. Cash equity's take rate was 6.7 bps this quarter, slightly increased from 6.3 bps last quarter. Within commission revenue of about 65% comes from cash equities, 30% from options, and the rest from futures and other products.

與第一季相比，第二季市場更加活躍。交易佣金達 3,410 萬美元，季增 23%，年增 55%。總營收達到歷史新高，達到 8,740 萬美元，季增 11%，年增 32%。本季現金股票的接受率為 6.7 個基點，略高於上季的 6.3 個基點。佣金收入中約65%來自現貨股票，30%來自選擇權，其餘來自期貨和其他產品。

Now onto costs. Interest expense was $13.6 million, increased by 30% from the same quarter of last year in line with the high-interest rate environment. Execution and clearing expenses were $2.8 million, increased 38% from the same period of last year, primarily due to an increase in our trading volume, and we're keeping improving our clearing efficiency. Cash equity clearing expense as a percentage of cash equity commission is about 2.1% this quarter, which remains one of the lowest in the industry.

現在談談成本。利息支出為1,360萬美元，較去年同季增加30%，與高利率環境相符。執行和清算費用為280萬美元，比去年同期增長38%，主要是由於我們的交易量增加，並且我們正在不斷提高清算效率。本季現金權益清算費用佔現金權益佣金的比例約為 2.1%，仍是業界最低的之一。

Employee compensation and benefits expense were $28.6 million, an increase of 20% year-over-year due to head count increase to strengthen overseas growth and the R&D. Occupancy, depreciation and amortization expense decreased 17% to $2.1 million. Communication and market data expense were $8.8 million, an increase of 14% year-over-year due to an increase in user base and IT-related services.

員工薪資和福利費用為 2,860 萬美元，年增 20%，原因是員工人數增加以加強海外成長和研發。入住率、折舊和攤提費用下降 17% 至 210 萬美元。由於用戶群和 IT 相關服務的增加，通訊和市場數據費用為 880 萬美元，年增 14%。

Marketing expense were $6.4 million this quarter, increased 36% year-over-year as we saw market backdrop was more supportive for user acquisition and branding in the second quarter. General and administrative expense were $20.2 million, an increase of 345% year-over-year due to a $13.2 million onetime loss provision we incurred this quarter.

本季行銷費用為 640 萬美元，年增 36%，因為我們看到第二季的市場背景更有利於用戶獲取和品牌推廣。一般及管理費用為 2,020 萬美元，年增 345%，原因是我們本季產生了 1,320 萬美元的一次性損失撥備。

Total operating costs were $69 million, an increase of 52% from the same quarter of last year. As a result, our GAAP net income and non-GAAP net income for the second quarter were $2.6 million and $5.2 million, respectively. If excluding the impact from the loss provision, our pretax profit for the same quarter would be [$13.4 million], increased 14% quarter-over-quarter and 8% year over year.

總營運成本為 6,900 萬美元，較去年同季增長 52%。因此，我們第二季的 GAAP 淨利潤和非 GAAP 淨利潤分別為 260 萬美元和 520 萬美元。如果排除損失撥備的影響，我們同季度的稅前利潤將為[1,340萬美元]，季增14%，年增8%。

Now I have concluded our presentation. Operator, please open the line for Q&A.

現在我的演講結束了。接線員，請開通問答線。

(Operator Instructions) Hua Fan, CICC.

（操作員指令）範華，中金公司。

(spoken in Chinese) I will quickly translate my question. This is Hua Fan from CICC. I have two questions here. The first one is that we see the US stock market has been quite volatile in August. And Q3 has already been underway for two months. Can you show some run rates over the past two months, such as the number of new users of the Chinese client assets and also the impact on the financial performance. And second, if we enter a rate-cutting cycle, how might tighter adjust your business and what kind of impact, say, like a 25 basis point rate cut, would have on the company's interest income?

（中文）我很快翻譯一下我的問題。我是中金公司的範華。我在這裡有兩個問題。第一個是我們看到8月美國股市波動很大。第三季已經進行了兩個月。您能否展示過去兩個月的一些運行率，例如中國客戶資產的新用戶數量以及對財務表現的影響。第二，如果進入降息週期，你的業務會如何收緊調整，例如降息25個基點，會對公司的利息收入產生什麼樣的影響？

(interpreted) Okay. I'll translate for the first question. In terms of client assets, the Client net asset inflow was still strong in the first two months of the third quarter, and the number of newly funded users also continued the rapid growth as we saw in the second quarter. If you look at numbers in July, we saw the highest single month revenue in our operating history. While August has not yet completed, trading volume in August so far is also very active. September is a bit uncertain due to factors like US election and Fed interest rate decision. But overall, we are quite satisfied with how Q3 has been shaped up so far.

（解釋）好的。我來翻譯第一個問題。從客戶資產來看，三季前兩個月客戶淨資產流入依然強勁，新增用戶數也延續了第二季的快速成長。如果你看一下 7 月的數字，我們看到了我們營運史上最高的單月收入。雖然8月尚未結束，但8月至今的交易量也非常活躍。9月受美國大選、聯準會利率決議等因素影響，存在一定的不確定性。但總的來說，我們對第三季迄今的表現非常滿意。

(spoken in Chinese) So a rate cut by the federal reserve may negatively impact our interest income, but we also believe we could grow market activities leading to a more active trading volume and commission income. Therefore, we will adjust our strategy based on the actual pace of the rate cut and the market reactions, ensure we will find a balance among our commission interest-related business and wealth management.

所以聯準會降息可能會對我們的利息收入產生負面影響，但我們也相信我們可以增加市場活動，從而帶來更活躍的交易量和佣金收入。因此，我們將根據實際降息節奏和市場反應調整策略，確保委託利息業務和財富管理之間找到平衡。

So if the rate cut is 25 bps next, next months, our calculation based on our second quarter business scale and the interest income suggests the impact on total revenue for [one] (corrected by company after the call) quarter would be about 1%.

因此，如果下個月降息 25 個基點，我們根據第二季度業務規模和利息收入進行的計算表明，對 [one]（由公司在電話會議後修正）季度總收入的影響約為 1% 。

Operator, please go on to the next question. Thank you.

接線員，請繼續下一個問題。謝謝。

Cindy Wang, China Renaissance.

王辛迪，中國文藝復興。

(spoken in Chinese) Thank management for giving me the chance to ask questions. So I have two questions. First one is, we see the profitability in this quarter, mainly impacted by loss provisions. Could you tell us the reason why for the allowance for receivables from customers? And any following treatment with clients and the possibility of writeback. What is the rate of such growth provisions might happen again in the future?

（中文發言） 感謝領導者給我提問的機會。所以我有兩個問題。首先，我們認為本季的獲利能力主要受到損失撥備的影響。您能否告訴我們提列應收客戶帳款撥備的原因？以及對客戶的任何後續處理以及回寫的可能性。這種成長規定未來可能再次發生的速度是多少？

Second question is the second quarter new funded accounts grows very nicely. And can you give us the regional breakdown and any new customer acquisition strategy adopted in this quarter? Thank you.

第二個問題是第二季新增帳戶成長非常好。您能否向我們介紹本季的區域細分以及採取的新客戶獲取策略？謝謝。

(interpreted) This impairment was linked to our Hong Kong stock pledging transaction business. To be cautious, the full amount was written off in the second quarter. First of all, we're taking this very seriously and doing everything possible to recover the loss. We already signed a repayment agreement with the client and have a controlling shareholder as guarantor. However, to be cautious, the full amount was written off in the second quarter. If we do receive repayment in the future, we will reverse this loss provision when the payment is made.

（解釋）此減損與我們的港股質押交易業務有關。謹慎起見，第二季已全額核銷。首先，我們非常重視此事，並盡一切可能挽回損失。我們已經與客戶簽訂了還款協議，並有控股股東作為擔保人。不過，謹慎起見，第二季就全額核銷了。如果我們將來確實收到還款，我們將在付款時沖銷該損失準備金。

Secondly, since last year before this incident happened, we already stopped our Hong Kong stock pledge with core business due to the market condition and risk. This particular transaction continued because it was still under contract. And finally, after the event, we had a thorough review of our risk procedures and existing stock pledging transaction. Now there are no outstanding stock pledging and cash risk transaction using Hong Kong stock as collateral anymore.

其次，從去年起，在這次事件發生之前，我們就因市場狀況和風險的原因，已經停止了核心業務的港股質押。這項特殊交易仍在繼續，因為它仍在合約期間。最後，活動結束後，我們對我們的風險程序和現有的股票質押交易進行了徹底的審查。目前已不存在未完成的股票質押及以港股為抵押品的現金風險交易。

So in the second quarter, about 65% of our new funded clients came from Singapore and Southeast Asia, around 15% from Hong Kong market and about 10% each from Australia, New Zealand region and the US. We are quite pleased with these results, which are the best we've seen in the last 10 quarters in terms of the number of quarterly new funded accounts.

所以在第二季度，我們的新融資客戶中約有65%來自新加坡和東南亞，約15%來自香港市場，約10%來自澳洲、紐西蘭地區和美國。我們對這些結果感到非常滿意，就季度新增資金帳戶數量而言，這是我們過去 10 個季度以來看到的最佳結果。

We believe there are a couple of reasons for this growth. First of all, the US and Hong Kong stock market did well in the second quarter. So we increased our market spending like on branding and advertisements by about 45% quarter-over-quarter, which helped boost new user numbers across different markets. And secondly, we also saw a big boost from new products we launched in Singapore in the first quarter, like the Tiger BOSS debit card and Contra Trading features.

我們認為這種增長有幾個原因。首先，美國和香港股市第二季表現良好。因此，我們在品牌和廣告等方面的市場支出環比增加了約 45%，這有助於增加不同市場的新用戶數量。其次，我們也看到第一季在新加坡推出的新產品帶來了巨大的推動，例如 Tiger BOSS 金融卡和 Contra 交易功能。

The popularity of this functions among local clientele exceeded our expectations. By the end of August, we already have around 10,000 Tiger BOSS cardholder, mostly new funded users from the second quarter. Plus, in the past three months, Contra Trading feature along also made meaningful contribution on dollars and commission income. So we are seeing significant growth in not only just user numbers, but also trading volume and commission income in Singapore quarter-to-quarter and year over year. Thank you.

該功能在當地客戶中的受歡迎程度超出了我們的預期。截至8月底，我們已經擁有約1萬名Tiger BOSS持卡人，其中大部分是第二季的新增用戶。此外，在過去三個月中，Contra Trading 功能也對美元和佣金收入做出了有意義的貢獻。因此，我們不僅看到新加坡的用戶數量顯著增長，而且交易量和佣金收入也逐季度和逐年顯著增長。謝謝。

Judy Zhang, Citi.

張朱迪，花旗銀行。

(spoken in Chinese) Let me translate my two questions. So the first question is regarding the development in Hong Kong market. How is the progress in the Hong Kong market development including the traditional brokerage business and the company's virtual currency as the business that now supports retailer and the PI trading. And what has the plan for deploying this business such as pricing, customer acquisition strategy and what is the expected results from the management?

（中文）我翻譯一下我的兩個問題。所以第一個問題是關於香港市場的發展。香港市場的發展進展如何，包括傳統的經紀業務以及公司的虛擬貨幣作為現在支持零售商和PI交易的業務。部署這項業務的計劃是什麼，例如定價、客戶獲取策略以及管理層的預期結果是什麼？

And second question is how's the company's wealth management business progressing? And what is the current scale and any updates on the product offerings. Thanks.

第二個問題是公司的財富管理業務進度如何？目前的規模是多少，產品有哪些更新。謝謝。

(spoken in Chinese) So regards to the traditional brokerage business, we are quite pleased with our progress in Hong Kong. So in the second quarter, average net asset inflow from our newly acquired clients was over USD15,000. The Hong Kong market also saw the highest ARPU for the group, with ARPU doubled compared to the fourth quarter of last year. Market was a little bit -- was more active in the second quarter. So we capitalized on this backdrop by increasing local partnership and advertising. As a result, over 7,000 new funded user onboarding in the second quarter, which is for like 2.5 times the number from the previous quarter.

（以中文發言） 那麼對於傳統經紀業務來說，我們對香港的進展感到非常滿意。所以第二季我們新收購客戶的平均淨資產流入超過15,000美元。香港市場的ARPU也為該集團最高，與去年第四季相比翻了一番。市場在第二季更加活躍。因此，我們利用這一背景，增加了當地的合作夥伴關係和廣告。因此，第二季新註冊用戶數量超過 7,000 名，約為上一季的 2.5 倍。

And in terms of client asset, we saw a robust net asset inflow in the second quarter. And with the Hang Seng Index experience for consecutive weeks of gains, our asset under custody from Hong Kong market by the end of the second quarter down sequentially.

就客戶資產而言，我們在第二季看到強勁的淨資產流入。而隨著恆生指數經歷連續幾週的上漲，我們在香港市場託管的資產在第二季末季減。

In terms of virtual asset business our Type 1 license was uplifted back in June -- sorry, back in January to provide crypto trading for professional investors. In June, we got additional approval to offer spot crypto trading for retail investors. We launched our critical campaign for professional investors back in May. The campaign was very successful.

在虛擬資產業務方面，我們的 1 類許可證早在 6 月就已經提升了——抱歉，早在 1 月就為專業投資者提供了加密貨幣交易。6 月份，我們獲得了額外批准，可以為散戶投資者提供現貨加密貨幣交易。我們早在五月就針對專業投資者發起了重要活動。這次活動非常成功。

By end of June, we already doubled our PI users on our platform. So far, we offer the most competitive pricing in Hong Kong in terms of spot crypto trading, outsizing with zero commission cost, zero platform fee to trade a spot crypto on our platform. Thanks.

截至 6 月底，我們平台上的 PI 用戶數量已經增加了一倍。到目前為止，我們在現貨加密貨幣交易方面提供香港最具競爭力的價格，在我們的平台上以零佣金成本、零平台費用進行超大規模的現貨加密貨幣交易。謝謝。

At this time, there are no further questions from the line. Allow me to hand the call back to management for closing.

目前，線路上沒有進一步的問題。請允許我將電話交還給管理層以結束。

Operator, there is one more question, haven't answered.

接線員，還有一個問題，沒有回答。

I beg your pardon. Please continue.

請再說一次。請繼續。

(interpreted) In the second quarter, our wealth management business saw strong growth with current assets and user numbers increased by over 20% quarter-over-quarter and around [150%] year over year. Platform penetration also improved. Now among the new funded clients in the second quarter, more than 30 of them started using our Tiger Vault product. We also made some upgrades to the Tiger Vault in the second quarter. Before the US stock market switched to T+1 settlement on May 28, Tiger Vault had already implemented T+0 functionality across all licenses, supporting US dollar, Hong Kong dollar, and Singapore dollar. This allows customers to instantly convert their balance into buying power and participate in faster market trading.

（解讀）第二季度，我們的財富管理業務成長強勁，流動資產和用戶數季增超過20%，較去年同期成長約[150%]。平台滲透率也有所提高。現在在第二季新融資的客戶中，有超過30家開始使用我們的Tiger Vault產品。我們在第二季度也對 Tiger Vault 進行了一些升級。在5月28日美國股市轉為T+1結算之前，Tiger Vault已經在所有牌照上實現了T+0功能，支援美元、港幣和新加坡元。這使得客戶可以立即將其餘額轉化為購買力並參與更快的市場交易。

The underlying asset of Tiger Vault also continued to perform well. with average seven-day annualized yields during the second quarter, exceeding 5.2% for US dollar margin market fund and 4.2% for Hong Kong dollar money market fund and 3.6% for Singapore dollar money market fund, providing investors with returns above the market average for cash management.

Tiger Vault的基礎資產也持續表現良好。第二季平均7天年化報酬率超過美元保證金市場基金5.2%、港元貨幣市場基金4.2%、新加坡元貨幣市場基金3.6%，為投資人提供高於市場平均的報酬現金管理。

So looking back over the past two years of the interest rate hike cycle, our wealth management business has seen significant growth in both product categories and AUM. In the second quarter, we have moved our wealth management business to the home interface of our app, making it easier for users to access a variety of asset management products. This includes money market funds, stable income products, top performing funds, ETFs, US T-bonds, FCS, and more for users with different risk appetite diversified from pure equity investment. Thank you.

所以回顧過去兩年的升息週期，我們的財富管理業務無論是產品類別還是資產管理規模都有了顯著的成長。第二季度，我們將財富管理業務遷移至APP首頁，方便用戶存取各類資產管理產品。其中包括貨幣市場基金、穩定收益產品、表現最佳的基金、ETF、美國國債、FCS等，為不同風險偏好的用戶提供從純股權投資多元化的產品。謝謝。

Desmond, is there any other questions?

戴斯蒙德，還有其他問題嗎？

At this time, there are no more questions. Please continue.

此時，已經沒有更多的疑問了。請繼續。

Okay. I would like to thank everyone for joining our call today. I am now closing the call on behalf of the management team here at Tiger. We do appreciate your participation in today's call. If you have any further questions, please reach out to our Investor Relations team. This concludes the call and thank you very much for your time. Bye-bye.

好的。我要感謝大家今天加入我們的電話會議。現在我代表 Tiger 的管理團隊結束這通通話。我們非常感謝您參加今天的電話會議。如果您還有任何疑問，請聯絡我們的投資者關係團隊。通話到此結束，非常感謝您抽出寶貴的時間。再見。

Ladies and gentlemen, that concludes our conference for today. Thank you for your participation. You may now disconnect your lines.

女士們、先生們，今天的會議到此結束。感謝您的參與。現在您可以斷開線路。

Portions of this transcript that are marked (interpreted) were spoken by an interpreter present on the live call. The interpreter was provided by the company sponsoring this event.

此文字記錄中標記（翻譯）的部分是由現場通話中的口譯員說出的。口譯員由贊助本次活動的公司提供。