The Battle for the FinTech Foundation: How Hundsun, Jinzheng, Vertex, and Genyuan Are Reshaping the Securities & Fund Industry

📌 Core Thesis Under the converging waves of domestic substitution (Xinchuang), distributed architecture upgrades, and AI intelligence, the competitive logic of China’s securities and fund IT market is undergoing fundamental change. The classic business adage—“first-class companies set standards, second-class deliver services, third-class make products”—manifests uniquely in the FinTech space:

Hundsun Technologies approaches a “de facto standard” through full-stack adaptation and engineering methodology; Jinzheng pursues “platform-based services” with its dual-cornerstone strategy and cloud-native platform; Vertex Software achieves “product breakthrough” via proprietary in-memory databases and low-latency middleware; Genyuan Technology attains “invisible standard” status in high-value niches such as QFII and OTC derivatives.

Drawing on the latest industry developments and public data, this article dissects the strategic choices and technology roadmaps of these four vendors during the Xinchuang window, providing reference for broker CIOs making selection decisions.

I. Market Landscape: The Xinchuang Window Reshuffles Industry Rankings

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2025–2026 marks a concentrated construction cycle for brokers’ next-generation Xinchuang core systems. According to Jiemian News and publicly disclosed bidding information from leading brokers, the top-10 brokerage firms’ next-generation Xinchuang counter projects show a clear stratification:

⚠️ Note: Although HuaRui Technology is not among the four vendors specified by the user, together with the other three it forms the main supply camp for next-generation core systems.

In the past six months, at least 15 brokers have announced core trading system upgrade progress. The securities industry is pushing core trading systems from a “monolithic” model toward a layered, scenario-based architecture.

💡 Key Insight: Hundsun still holds the leading market share at 31.4%, with Jinzheng (19.2%) and Vertex (15.8%) in the second tier; the top five suppliers collectively account for 78.6% of the market, up 3.2 percentage points from 2023. But incumbent market share ≠ Xinchuang incremental share—this is the most dramatic aspect of the current competitive landscape.

II. Positioning of the Four Vendors Under the “Standards–Services–Products” Framework

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2.1 Hundsun Technologies: Approaching a De Facto Standard Through Full-Stack Ecology

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Hundsun is the closest to a “standard setter” among the four. Its strategy essentially aims to become the reference implementation for industry Xinchuang through full-stack adaptation and engineering methodology.

In June 2026, Hundsun released the 2026 Hundsun Securities Industry Core System Xinchuang Construction Guide, covering seven core business systems including UF3.0 and O45, providing full-stack selection schemes and engineering implementation specifications spanning chips, operating systems, databases, and middleware. It has now completed 100% full-stack Xinchuang adaptation for all core business systems, with cumulative implementation of over 2,000 Xinchuang projects.

UF3.0’s technical approach:

• “Agile + Stable” dual-mode architecture design, achieving multi-dimensional technological innovation through domain-driven design and layered decoupling
• “Database-agnostic” architecture transformation, breaking dependence on foreign commercial databases and hardware platforms
• Completed adaptation to mainstream domestic vendors including Huawei Kunpeng, Hygon, KylinOS, OceanBase
• Single-node customer capacity increased 3×, single-transaction processing performance improved 10×, clearing time reduced 86%; memory trading relies on proprietary LDP low-latency distributed technology platform, core processing latency <50μs

O45 migration methodology: Hundsun has distilled a mature migration methodology from extensive project practice, covering six key phases: historical requirements analysis, product installation and deployment, peripheral system integration, historical data migration, business verification testing, and dual-track parallel switchover. In July 2026, Zhongyou Securities completed O45 single-track switchover, becoming the industry’s first O45 Xinchuang upgrade using Hygon chips.

📌 Hundsun’s “quasi-standard” logic: It does not directly set regulatory standards, but through the trinity of “Guide + full-stack adaptation + engineering methodology,” it positions itself as the de facto reference architecture for broker Xinchuang selection. This is the closest path to “first-class companies set standards.”

2.2 Jinzheng: Platform-Based Services Under the Dual-Cornerstone Strategy

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Jinzheng chooses the “second-class service” path—but it platformizes the service. Its proprietary cloud-native technology platform KOCA features cloud-native, microservices, low-latency, and low-code development capabilities, covering securities, funds, banking, trusts, insurance, and more.

FS2.5’s core approach:

• Built on the KOCA platform, adopting distributed, cloud-native converged architecture
• “Auction + Comprehensive” dual-order system, separating auction business from comprehensive business
• Low-latency platform architecture combined with multi-node multi-channel design and read-write separation, performance improved more than 30 times over centralized trading systems
• Clearing system reconstructed around customer assets, supporting future-oriented unified clearing and bookkeeping across all businesses

Scale deployment advantage: Jinzheng holds the mainstream share of head brokers’ overall counter new-build projects, covering CICC Wealth, Galaxy, Shenwan Hongyuan, CSC full-counter projects, GF Securities business base, while also undertaking parts of GTJA and Guosen’s clearing core modules. In July 2026, FS2.5 won a bid for a major head broker’s Xinchuang next-generation trading and clearing system project.

Public fund Xinchuang cloud breakthrough: Jinzheng’s first full-stack Xinchuang cloud solution landed at Fengchao Fund, whose initial systems went live in dual-track parallel operation on June 29, 2026, less than one month from project initiation. This is the industry’s first full-stack Xinchuang cloud deployment production case in public funds.

📌 Jinzheng’s “platformized service” logic: Rather than pursuing full-stack standard definition like Hundsun, it provides adaptable, extensible, cloud-deliverable service vehicles through the KOCA platform plus FS2.5/A8 dual flagship products. This is an upgraded version of “second-class delivers services” in the Xinchuang era.

2.3 Vertex Software: “Product Breakthrough” with Proprietary Underlying Technology

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Vertex is the purest “product school” among the four, but the products it makes are products others cannot make—its proprietary in-memory database HyperDB and distributed low-latency trading middleware LiveDTP.

A5’s Xinchuang benchmark significance:

• Went fully live at Soochow Securities in June 2020, the first time a securities industry core trading system removed Oracle database
• By end of 2023, A5 ran on full-element Xinchuang single-track at Soochow
• Over four years, A5 has been deployed to 12 brokers
• All five brokers in China that have removed Oracle from their core systems use Vertex A5
• Selected for MIIT’s 2024 Key Recommended Application Cases for IT Application Innovation Solutions; only 4 cases selected from the financial industry, and Vertex A5 is the sole case for securities core trading systems
• Performance: per-transaction latency dropped from 10ms to under 100μs, supporting tens of millions of trades daily; system capacity increased more than 10×, trading latency reduced more than 20×

A5 Max: The Next Leap – Xinchuang + AI: In April 2026, Vertex released A5 Max Super Edition, achieving four major upgrades: extreme performance, extreme fault tolerance, hyper-distributed architecture, and native wealth accounts. Through the “in-memory + distributed” and “compute-storage separation” technology roadmap, based on proprietary LiveDTP and HyperDB, “compute” leverages the efficient in-memory database, “storage” uses mainstream domestic databases, realizing full domestic substitution that surpasses traditional Oracle architecture.

Head broker breakthroughs: At end of 2023, Vertex won the CITIC Securities A5 project, marking an important milestone as the core trading system upgrade entered the pilot phase; in 2025, CITIC Securities launched at scale, followed by Everbright Securities. Leveraging the differentiated advantage from proprietary underlying database technology, Vertex successively secured benchmark projects at CITIC, Everbright, Industrial, and other leading brokers.

📌 Vertex’s “product breakthrough” logic: Is it making “third-class products”? No—it makes products that can define the underlying technology roadmap. HyperDB and LiveDTP essentially attempt to set the de facto standard for in-memory computing. This is the highest form of the “product school”—using products to force standards.

2.4 Genyuan Technology: “Product Expert” in Niche Segments

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Founded in 2000, Genyuan Technology is a core application solution provider for the securities and asset management industries, covering securities, private equity, and big data. Its positioning is the most unique among the four—it does not pursue full-broker counter turnkey projects, but instead dominates institutional business niches.

Niche market dominance:

• QFII system: 98% market share
• Joint risk control: 70% market share
• ETF arbitrage system: 70% market share
• Derivatives trading platform: 30% market share
• Options market-making system: 50% market share
• Foreign-funded tier-1 broker coverage: 100%; AA-rated broker coverage: 100%

Institutional business platform “Yingtong”: Designed based on “microservices” and “enterprise-level bus” concepts, providing low-latency (<10μs), high-concurrency (>100,000 tps) ultra-fast trading channels, redefining the concept of broker institutional services.

OTC derivatives first-mover advantage: Genyuan has successfully built a new-generation OTC derivatives integrated service platform featuring “straight-through trading, intelligent hedging,” empowering brokers to grow their OTC derivatives business, covering 100% of foreign investment banks, and is the only domestic securities and asset management core system supplier meeting Wall Street standards.

📌 Genyuan’s “niche product expert” logic: It does not try to be a “standard setter” or “full-stack service provider,” but goes deep in high-value niche tracks such as QFII, OTC derivatives, and options market-making. This is a special existence under the “third-class product” framework—in its niche, it is the “first-class standard.”

III. Technology Evolution: Architecture Revolution from Centralized to Distributed

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3.1 Generational Transition of Core Trading Systems

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The main next-generation core trading systems currently adopted by brokers involve four vendors: Hundsun UF3.0, HuaRui ATP T7, Jinzheng FS2.5, and Vertex A5. These four represent the latest technology directions for securities industry core trading systems.

3.2 Breakthroughs in In-Memory Computing and Microsecond-Level Trading

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Financial trading systems first pursue ultra-fast trading chains, typically requiring microsecond-level latency.

• Hundsun UF3.0 memory trading: Core processing latency <50μs, uplink processing latency <1ms
• Jinzheng FS2.5: Performance improved more than 30 times compared to existing centralized trading systems
• Vertex A5: Per-transaction latency reduced from 10ms to under 100μs, supporting tens of millions of trades daily
• Genyuan Yingtong: Low latency <10μs, high concurrency >100,000 tps

Leading brokers’ next-generation systems have reduced trading latency from 20ms to 200μs, and order processing capacity from 2,500 tps to 8,000 tps.

3.3 Database Domestic Substitution: From Oracle to Proprietary

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Vertex A5 is the industry Xinchuang benchmark—went fully live at Soochow Securities in June 2020, first to remove Oracle from a securities core trading system; by 2023 achieved 100% domestic server and OS replacement.

Other vendors’ database strategies:

• Hundsun UF3.0 adopts a “database-agnostic” architecture, completing adaptation to mainstream domestic vendors including Kunpeng, Hygon, KylinOS, OceanBase
• Jinzheng FS2.5 natively supports Xinchuang, achieving full-stack Xinchuang based on the KOCA platform
• Vertex A5 Max uses “compute-storage separation”: compute with proprietary HyperDB, storage with mainstream domestic databases

IV. Deep Dive into Core Products: The “Heart” and “Brain” of Securities & Funds

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4.1 TA System: The “Account Hub” of Asset Managers

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The TA (Transfer Agent) system, along with valuation accounting and investment trading, constitutes the “three core systems” of asset management companies.

• Hundsun TA4.0: Helps financial institutions build asset management operations capabilities
• Jinzheng TA system: Widely used in the industry, continuously empowering financial digitalization
• Genyuan TA system: Serves asset management business, providing supporting functions such as portfolio analysis and valuation systems

4.2 Investment Trading System: Generational Leap from O32 to O45

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Hundsun O32 → O45:

• O32 is one of the core systems in the fund industry, widely used in securities, securities asset management, insurance, trusts, futures, etc.
• O45 is the upgraded version of O32, adopting a loosely coupled product function group architecture divided into equity, fixed income, derivatives, and other business subsystems
• Performance leap: single-instruction and order throughput increased at least 47×, single-order latency reduced nearly 100%; batch instructions in 300-security scenarios throughput increased at least 46×
• In July 2026, Zhongyou Securities completed O45 single-track switchover, becoming an industry-wide Xinchuang benchmark

Jinzheng A8: Next-generation investment trading system covering investment trading, investment management, wealth management, and operations, achieving end-to-end integration from asset management to proprietary trading, from buy-side to sell-side. In 2025, A8 went live at a leading broker.

4.3 Institutional Business Platform: Strategic Value of PB Systems

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• Genyuan “Yingtong”: Based on microservices and enterprise-level bus design, providing a unified access, domestic/overseas connectivity, on-exchange/off-exchange connectivity large-PB platform serving QFII/RQFII, WFOE, public funds, private funds, etc.
• Hundsun Institutional Service Platform: Provides an integrated off-exchange open-end fund business solution, enabling seamless connection between O32/O45 and off-exchange business

V. The Xinchuang Wave: Opportunities and Challenges of Domestic Substitution

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5.1 Policy-Driven Acceleration of Xinchuang

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Since 2024, Xinchuang requirements have shifted from “recommended substitution” to “mandatory substitution.” The 2027 deadline is approaching, and broker core trading system Xinchuang selection has entered a critical window.

Hundsun has completed 100% full-stack Xinchuang adaptation for all core business systems, with over 2,000 cumulative Xinchuang projects; Jinzheng FS2.5, as a native Xinchuang system, is steadily being deployed at multiple leading brokers; Vertex A5, as the industry’s first fully online, full-business distributed core trading system, has established its vanguard position in securities industry Xinchuang.

5.2 Ecosystem Building: From Point Breakthroughs to Full-Stack Collaboration

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FinTech vendors are strengthening cooperation with various domestic Xinchuang vendors to build a synergistic ecosystem:

• Huawei Kunpeng/HarmonyOS: Jinzheng has achieved deep adaptation of its full-stack products with Huawei Kunpeng and HarmonyOS; Hundsun UF3.0 collaborates with Huawei on joint innovation, building securities industry Xinchuang benchmarks based on GaussDB, Kunpeng servers, Dorado storage
• Domestic databases: OceanBase, Renmin Jincang, TiDB and other distributed databases support financial-grade high concurrency and low latency
• Xinchuang alliance: Hundsun has joined the Xinchuang alliance to promote the landing of Xinchuang adaptation achievements

VI. Differentiated Competitive Strategies: The Moats of Each Vendor

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6.1 Hundsun Technologies: Scale Effect + Full Product Line Coverage + Methodology Output

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Moats:

• Obvious advantages over main competitors; business broadly covers securities, funds, banking, futures, insurance asset management, and many other financial fields
• The 2026 Hundsun Securities Industry Core System Xinchuang Construction Guide outputs standardized engineering implementation plans, making project execution “rule-based”
• Jointly builds a “six-dimensional security, triple lock, data protection” architecture with industry clouds, addressing small/mid institutions’ concerns about Xinchuang cloud security

Challenges:

• Standardization delivery cycle for next-generation Xinchuang-native architecture noticeably lags behind overall industry pace
• Q1-Q3 2025 revenue: RMB 3.490 billion, down 16.66% year-on-year
• Share in head brokers’ new full-stack Xinchuang selections has contracted significantly; advantages only remain in existing traditional counter expansions and comprehensive business transformation of small/mid brokers

6.2 Jinzheng: Dual-Cornerstone Strategy + Xinchuang Native + Cloud Breakthrough

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Moats:

• Deepened “dual-cornerstone” business reform in 2023, integrating securities IT and asset management IT
• FS2.5 as a native Xinchuang system, with underlying Xinchuang route finalized; significant scale-deployment advantages among head brokers
• First full-stack Xinchuang cloud for public funds landed at Fengchao Fund, setting an industry benchmark with “30 days to go live”
• FS2.5 won a bid for a major head broker’s Xinchuang next-generation trading and clearing system project

Challenges:

• Q1-Q3 2025 revenue: RMB 1.771 billion, down 49.08% year-on-year (active contraction of non-financial IT business + slowdown in industry client IT spending growth)
• Comprehensive ecosystem still being perfected

6.3 Vertex Software: Xinchuang First-Mover + Proprietary Underlying Technology + Head Broker Breakthroughs

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Moats:

• A5 Xinchuang version first went fully live at Soochow Securities in 2020; all five brokers that have removed Oracle from their core systems use A5
• Selected for MIIT’s Xinchuang key recommended application case, the only one for securities core trading systems
• Differentiated advantage from proprietary underlying database technology, securing benchmark projects at CITIC, Everbright, Industrial Securities
• A5 deployed to 12 brokers
• Released A5 Max Super Edition in 2026, integrating “Xinchuang + AI”

Challenges:

• Comprehensive ecosystem still being perfected; needs to continue expanding deployment scale
• High R&D expense ratio (22.6% in 2022), profitability balance pressure

6.4 Genyuan Technology: Niche Deepening + Institutional Business + Foreign Coverage

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Moats:

• QFII system 98% market share, 100% coverage of foreign-funded tier-1 brokers
• Preferred third-party provider for OTC derivatives systems, 100% coverage of foreign investment banks
• Yingtong institutional business platform provides microsecond-level ultra-fast trading channels
• Serves more than 300 financial institutions globally

Challenges:

• Overall market share relatively small; not among the top four in broker core counters
• Must defend niche advantages in competition with Hundsun, Jinzheng, and Vertex

VII. Future Trends: Three Judgments on the Foundation Battle

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Judgment 1: The Standard Contest Shifts from “De Facto Standards” to “Ecosystem Standards”

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Hundsun attempts to define a de facto standard through the Xinchuang Construction Guide + full-stack adaptation; Vertex tries to define the technical standard for in-memory computing through HyperDB; Jinzheng seeks to define the service standard for cloud-native architecture through the KOCA platform. The future winner will not be the winner of a single product, but the winner of an ecosystem standard.

Judgment 2: The Xinchuang Window Reshuffles Industry Rankings

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2025–2026 is the critical window. Traditional incumbent advantages, underlying Xinchuang-native capabilities, and large-scale deployment cases jointly determine vendors’ incremental share allocation.

• Hundsun: Strong incumbent advantages, but Xinchuang-native delivery lags behind
• Vertex: Proprietary underlying differentiation, continuous head broker benchmark breakthroughs
• Jinzheng: Underlying Xinchuang route finalized, significant head broker scale-deployment advantages
• HuaRui: Leading in niche performance, but lacks complete counter turnkey delivery capability

Judgment 3: The Boundaries Between “Standards, Services, and Products” Are Blurring

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All four vendors are attempting upward transitions:

• Hundsun: from “products + services” to “quasi-standard”
• Jinzheng: from “services” to “platformized services + products”
• Vertex: from “products” to “underlying technology standard”
• Genyuan: simultaneously “product expert” and “de facto standard” in its niche

💡 Core assessment: In the FinTech foundation battle, “first-class companies set standards, second-class deliver services, third-class make products” is not a static label, but a dynamic transition path. After the 2027 Xinchuang deadline, vendors that can build capabilities across all three tiers will be the ones that continue to lead in the next decade.

VIII. Conclusion: The Foundation Battle Is Essentially a Battle for Ecological Niches

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From Hundsun’s full-business ecological foundation to Jinzheng’s dual-cornerstone platform strategy; from Vertex’s proprietary underlying technology breakthrough to Genyuan’s niche deepening—these four vendors each leverage their strengths in the securities and fund FinTech field, collectively driving the reconstruction of China’s financial IT foundation.

The essence of this foundation battle is not a product competition, but a competition for ecological niches:

• Whoever defines the reference architecture in full-stack Xinchuang adaptation gains the discourse power of a “quasi-standard”
• Whoever hosts more business scenarios on a cloud-native platform controls the entry point for “platformized services”
• Whoever achieves a dual breakthrough in performance and independent controllability through proprietary underlying technology wields the sharp knife of “product breakthrough”
• Whoever establishes dominance in high-value niche tracks commands the pricing power of a “niche standard”

The 2027 Xinchuang deadline is fast approaching, and this FinTech foundation battle has only just entered deep waters. For CIOs at brokerages and fund companies, the core of system selection is no longer “which product to buy,” but “which ecological niche to choose as a technology partner for the next 5–10 years.”

⚠️ Food for thought for CIOs: When Hundsun, Jinzheng, Vertex, and Genyuan occupy the four tiers of “quasi-standard – platform service – underlying product – niche expert,” which one does your broker need? The answer is—probably more than one. That’s why “dual-engine” or even “multi-engine” architectures are becoming the new normal among leading brokers.

Appendix: Quick Comparison of Core Capabilities

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💡 Further Reading & Interaction

Would you like me to write “The Face-off Between Hundsun UF3.0 and Vertex A5: Two Routes for Xinchuang-Native Architecture” ? Or perhaps “Genyuan’s ‘Small but Beautiful’: Survival Rules for a Niche Champion” ?

Both articles can build on the four-vendor landscape presented here, connecting the dots from “market structure” to “technology roadmap showdown” to “niche survival rules” for a complete picture of securities and fund Xinchuang. Leave a comment to tell me your choice!

References:

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2. Sina Finance, “Major Guide Released! Hundsun Provides ‘Practical Path’ for Securities Industry Core System Independent Innovation,” 2026-06-04
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4. Sogou Baike, Genyuan Technology entry
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