Jump Trading is a trading platform that specializes in the Chinese stock market.
Its founders are a pair of brothers, Zhou Yu and Wang Wen, who started their business in 2005, but it has expanded to include Chinese-speaking trading houses, brokerage firms, and mutual funds.
The company claims to have “the widest range of trading instruments and instruments for other markets in Asia.”
Its Chinese counterpart, Dandong, boasts a similar network.
Jump Trading, like Dandongs trading house, offers a range of products, from Chinese stock exchange shares to trading in foreign currencies.
According to Zhou Yu, the company aims to become the “top-performing Chinese stock trading platform.”
It does this by offering a “world-class customer experience,” including the ability to “trade in hundreds of stocks and currencies, from over 200 countries and territories.”
Zhou Yu told BuzzFeed News that his firm has “made over 100 million yuan in profit in the last three years alone.”
The company’s biggest competitor is a more established Chinese stock brokerage firm called the Shandong International Exchange, which launched in 2006.
According the Shandiu Securities website, the Shandan International Exchange has more than 5,000 registered brokers in China.
“We are a global trading company,” Shandiuk Securities’ chief operating officer, Zheng Yuan, told BuzzFeed, adding that the company “takes a holistic approach to trading and has the expertise to trade all types of markets.”
A Shandiug Securities spokesperson said the company operates in “all sectors, including commodity, financial, real estate, and transportation.”
The website says that the Shands brokerage business is “the biggest trading platform in China,” with over 40 million members.
But a recent report from the National Bureau of Statistics found that only 7% of the companies listed on the platform have more than 20,000 members.
In 2016, Shandius reported $1.9 billion in revenue.
Its main competitors include Shandiuz Securities, a Chinese brokerage firm, and Shandiud Securities, an English-speaking broker.
Shandiuh Securities has more members than the Shandaus, but its website lists only about 10,000 in China, compared to 40,000 Shandiuan Securities’ website lists.
According a Shandiux Securities representative, the Chinese market is “a global market that is still developing” and the company has “no plans” to expand beyond the country.
But Zhou Yu said that the business is in the “final stages” of expansion, and he noted that the firm will “continue to be a world-class broker.”
In 2017, the two companies signed a 10-year agreement, but the company had not yet received a formal invitation to operate in China and is not currently accepting new members.
Shandang Securities said that it has been in business for two decades and that it was “a very active broker in China for a very long time.”
“We will be able to operate a new trading platform and continue to expand our business with the best experience,” Zhou Yu concluded.
“With our existing platform, our customers have to be very familiar with our products and services.”
In the United States, Jump Trading was started by former hedge fund manager Andrew Ackman, who has been vocal about the financial crisis.
He first opened Jump Trading in 2014 as a platform for hedge funds to trade the American market.
At the time, Ackman was one of the largest investors in the market, and his holdings were valued at more than $2 billion.
According an article published by the Wall Street Journal in 2016, Ackland was so concerned about the potential for a financial crisis that he asked his clients to set aside their hedge funds for at least two years in order to avoid the worst.
“I think we are going to be able [to] make it much easier for people to get into this business and to stay in it,” Ackman told the WSJ.
“That is our biggest challenge right now.”
Ackman continued to buy into the markets through his hedge funds until he was forced to sell them in January 2018.
He told the Wall St. Journal that he has since found “a new source of income, and that is a brokerage firm that is very popular in China.”
The Wall Street Post, however, has not confirmed that the Chinese company is Jump Trading.