Zhongtai Securities Co. Ltd. will likely remain highly profit driven and increase its risk exposure over the next two years amid signs of a recovery in China's capital markets. We believe the China-based company's capital position will continue to provide a good buffer against modest growth in risks or volatility. We affirmed our 'BBB-/A-3' issuer credit ratings on Zhongtai. The stable rating outlook reflects our expectation that Zhongtai will maintain its strong capitalization over the next 24 months and continue to benefit from government support. On Oct. 21, 2024, S&P Global Ratings affirmed its 'BBB-' long-term and 'A-3' short-term issuer credit ratings on Zhongtai. The outlook on the long-term rating is stable. China's policy stimulus measures in recent weeks are
