Futu Holdings Roars Back in Q1 2026: Client Growth, Record Trading Volume, and a New Prediction Market Business
Futu Holdings has released its first quarter 2026 earnings results, showcasing remarkable client growth, record-breaking trading volume, and strategic business expansions. The company's Q1 2026 conference call provided valuable insights into its performance, with key executives shedding light on the factors driving their success.
Chairman and Chief Executive Officer Leaf Li announced that Futu Holdings added a substantial 225,000 net new funding accounts during the quarter, reaching a total of 3.59 million funding accounts – a year-over-year increase of 34% and a 7% quarter-over-quarter growth. Although Hong Kong equity markets experienced subdued activity, it remained the second-largest contributor to new account additions among all regions, reinforcing the company's confidence in sustained client growth in this market.
Futu Holdings is focusing on increasing client assets and lifetime value by leveraging its strengths in product innovation, brand trust, and a one-stop platform. This approach will further unlock the commercial potential of the Hong Kong market. In Singapore, double-digit sequential growth was achieved in net new funding accounts, with average client assets growing at a CAGR of over 50% over the past three years.
The company's Malaysia operations led all markets in client additions for another quarter due to effective marketing initiatives around U.S. equities and Moomoo's strong IPO product capability. This allowed Futu Holdings to capitalize on the active Malaysian IPO window for accelerated client growth, while profitability continued to improve in this market.
In Japan, the company's superior U.S. equity trading capability continued to drive client acquisition, with U.S. stock trading volume recording double-digit sequential growth and U.S. options contract volume doubling during the quarter. Moving forward, Futu Holdings will enhance its Japanese equity trading experience to better meet domestic investment needs and further unlock client acquisition potential.
The company also announced that it officially received NFA approval to operate a prediction market brokerage business in the US and plans to soon offer event contracts, including sports-related products, to local investors. This move is expected to further strengthen Moomoo's value proposition to active traders.
Notably, client engagements strengthened on the back of precious metal market volatility and geopolitical tension, leading to a second-highest quarterly net asset inflow on record. Despite market losses in client equity holdings exerting a negative impact, the client asset remained flat quarter-over-quarter yet increased 47% year-over-year.
Additionally, total trading volume reached a new record of HKD 4.15 trillion – up 29% year-over-year and 4% quarter-over-quarter. U.S. stock trading volume remained stable at HKD 3 trillion, with AI continuing to be the dominant investment theme as client interest gradually shifted down the value chain from semiconductor names towards AI infrastructure beneficiaries.
In Hong Kong, market volatility led to increased bottom fishing activities, resulting in a 22% sequential increase in stock trading volume to HKD 1 trillion. China's tech stocks and new AI-related listings also drove transaction activity, offsetting weaker consumer board performance.
