TIGR Q3 2025: Hong Kong Drives 35% of New Accounts as Client Assets Soar 49.7%
Tiger Brokers’ third quarter delivered historic highs across revenue, profit, and client assets, propelled by Hong Kong’s emergence as a key growth engine alongside Singapore. The company’s focus on user quality and ROI is translating to higher-value accounts and robust net asset inflows, even as acquisition costs rise. Management’s disciplined expansion and product innovation position TIGR for continued momentum, with overseas markets now firmly at the center of its growth story.
Summary
- Hong Kong Emerges as Growth Engine: Over 35% of new funded accounts now come from Hong Kong, driving record asset inflows.
- Profitability Broadens: All licensed entities posted profit, with non-GAAP net profit hitting new highs for five straight quarters.
- ROI-Focused User Acquisition: Higher client acquisition costs are offset by significantly improved user quality and lifetime value.
Performance Analysis
TIGR posted a standout quarter with total revenue up 73.3% year-over-year and 26.3% sequentially, as both commission and interest income saw double-digit growth. Commission income reached $72.9 million, up 77% YoY, fueled by active trading in U.S. equities—especially low-priced stocks—and robust options activity. Interest income also climbed 53% YoY, reflecting higher client balances and increased idle cash, not just margin lending.
Non-GAAP net profit soared to $57 million, expanding margin to 33% and marking the fifth consecutive quarter of double-digit sequential growth. Client assets hit a new record at $61 billion, up 49.7% YoY, supported by both net inflows and market appreciation. Net asset inflow contributed 30% of the growth, with 70% from market gains, and over 60% of inflows came from Singapore and Hong Kong retail clients.
- Hong Kong and Singapore Dominate New Accounts: 40% of new funded accounts originated in Singapore and 35% in Hong Kong, with Australia, New Zealand, and the U.S. comprising the remainder.
- Take Rate Expansion: Cash equity take rate increased to 7.1 bps, driven by active trading in U.S. penny stocks and lower futures volumes, improving commission yield per trade.
- Cost Structure Evolves: Operating costs rose 51% YoY, mainly from higher compensation, R&D, and marketing, but clearing costs fell to a historic low (6%) due to SEC fee waivers.
TIGR’s business mix is increasingly global, with onshore Chinese retail assets now below 15% of total, underscoring the shift toward international markets and higher-value clients. The company’s 2B (institutional and IPO) business also doubled revenue sequentially, reflecting strong underwriting momentum.
Executive Commentary
"All revenue segments and profits showing encouraging growth and reaching new historic highs. Our total revenue reached $175.2 million, representing a year-over-year increase of 73.3% and a quarter-over-quarter increase of 26.3%. They have maintained our strategy of prioritizing user quality and product experience, which has further improved our ROI and laid down a solid foundation for ongoing profit growth."
Wu Tianhua, Chairman and Chief Executive Officer
"Commission income was $72.9 million, increased 77% year-over-year, and 13% quarter-over-quarter. Interest income was $73.2 million, increased 53% year-over-year, and 25% quarter-over-quarter, in line with our sequential growth in margin and security lending balance. The non-GAAP-led profit margin further expanded to 33% in the third quarter."
Zhang Zeng, Chief Financial Officer
Strategic Positioning
1. Hong Kong’s Strategic Ascent
Hong Kong has become TIGR’s second key growth engine, accounting for over 35% of new funded accounts and roughly a quarter of net asset inflow. The market’s average client asset per new user exceeded $30,000, and quarterly asset growth topped 60%. TIGR is focusing on product breadth and user experience, not just profit, to capture share in this highly competitive market.
2. ROI-Driven User Acquisition and Quality
The company’s acquisition strategy prioritizes high-value users, especially in Singapore, where average new client inflows surpassed $60,000. While client acquisition cost (CAC) in Singapore rose above $400, management views this as justified by improved user quality and faster payback periods. Hong Kong’s CAC remains stable at $300–$400, with the shortest payback cycle among all regions.
3. Global Diversification and Onshore Mix Shift
Onshore China retail assets now represent less than 15% of total client assets, a sharp decline as overseas growth outpaces domestic. Regulatory changes require onshore investors to have overseas or Hong Kong IDs, further accelerating the international pivot. TIGR’s global expansion is targeting high-net-worth and globally mobile client segments.
4. 2B and Institutional Momentum
Institutional and IPO businesses are scaling rapidly, with the number of IPO subscribers up 39.3% QoQ and subscription amounts more than doubling. TIGR underwrote five U.S. and five Hong Kong IPOs as sole bookrunner, reflecting improved platform credibility and revenue diversity beyond retail trading.
5. Product and Technology Innovation
Product enhancements included the launch of Japanese derivatives in Hong Kong and crypto trading in New Zealand, as well as expanded AI-powered investment tools. These innovations aim to deepen user engagement and support cross-market asset allocation, positioning TIGR as a tech-forward global brokerage.
Key Considerations
This quarter marks a strategic inflection as TIGR’s overseas franchise takes center stage, with Hong Kong and Singapore driving both scale and quality of growth. The company’s willingness to invest in user quality, even at higher cost, is paying off in terms of asset inflows and profitability. However, the competitive intensity in core markets and rising operating costs warrant close monitoring.
Key Considerations:
- International User Quality: Average new client inflow in Singapore and Hong Kong far exceeds historical benchmarks, supporting higher LTV/CAC ratios.
- Cost Discipline vs. Growth Investment: Operating expenses rose sharply, mainly from headcount, R&D, and marketing, but are offset by margin expansion and improved clearing cost structure.
- IPO and Institutional Scaling: The 2B business is now a meaningful revenue driver, with strong momentum in IPO underwriting and asset management.
- Regulatory and Market Dynamics: Changes in account opening rules and U.S. SEC fee waivers are reshaping both the client mix and cost base, with long-term implications for competitiveness.
Risks
Rising client acquisition costs, especially in saturated markets like Hong Kong and Singapore, could pressure margins if user quality plateaus. Regulatory shifts in China and global markets could affect client onboarding and asset flows. Intensifying competition from both local and global fintechs may require further investment in product and technology, potentially impacting near-term profitability. Management’s ability to balance growth investment with cost discipline will be critical to sustaining momentum.
Forward Outlook
For Q4 2025, TIGR guided to:
- Trading volume in the first two months already matches full Q3, with cash equity trading exceeding two-thirds of last quarter’s level.
- Net asset inflow remains robust, expected to surpass Q3 barring significant market volatility in December.
For full-year 2025, management confirmed:
- 150,000 new funded account target already achieved, with Q4 new accounts expected to be similar to Q3.
Management highlighted several factors that support continued growth:
- Ongoing prioritization of user quality and ROI over pure volume growth.
- Expansion of product offerings and technology to further penetrate Hong Kong and Singapore markets.
Takeaways
TIGR’s Q3 results underscore a decisive shift toward international, high-value clients, with Hong Kong and Singapore now central to growth. Profitability is broadening, but operating cost vigilance will be key as the company invests in product and user acquisition.
- Global Expansion Delivers: Overseas markets now drive the majority of new clients and asset growth, while onshore China’s share continues to shrink.
- Margin Expansion Amid Rising Costs: Higher spending on talent and marketing is offset by improved take rates and clearing cost reductions, supporting record profitability.
- Watch for Competitive Response: Sustained growth depends on maintaining user quality and further differentiating TIGR’s platform in a crowded fintech landscape.
Conclusion
TIGR’s Q3 marks a clear inflection in its global growth narrative, as Hong Kong and Singapore drive asset and revenue records. The company’s disciplined focus on ROI and product innovation positions it well, but vigilance on cost and competition will be crucial as the international pivot accelerates.
Industry Read-Through
TIGR’s results signal a broader shift among Asian fintech brokers toward international diversification, with client asset growth now anchored in Hong Kong, Singapore, and other overseas markets. Rising client acquisition costs and the focus on high-value users may become a sector-wide theme, especially as regulatory complexity and competition intensify. IPO underwriting and multi-asset product innovation are emerging as key differentiators for brokers seeking to move beyond pure retail trading. For peers, balancing scale, user quality, and cost discipline will determine who captures the next phase of global wealth flows.