Mission Statement, Vision, & Core Values of Lufax Holding Ltd (LU)

Are you curious about what drives a leading financial services enabler? Have you ever wondered how a company's mission, vision, and core values translate into its everyday operations and strategic decisions? Let’s delve into the guiding principles that shape its identity and influence its approach to empowering small business owners.

Consider that Lufax Holding Ltd reported a total income of RMB 5,976 million (US$822 million) in the second quarter of 2024 and has enabled a cumulative number of approximately 23.2 million borrowers as of June 30, 2024. What are the core beliefs that underpin such a large operation, and how do these values contribute to its success and strategic direction? Read on to explore the mission, vision, and core values that steer Lufax Holding Ltd.

Lufax Holding Ltd (LU) An Overview of

Lufax Holding Ltd (LU), a prominent technology-driven financial services enabler, has a rich history rooted in connecting borrowers and investors through its platform. Established to address the unmet needs in China's consumer finance sector, the company has evolved to offer a range of products and services, primarily focusing on retail credit facilitation. As of April 2025, Lufax continues to operate its platform, leveraging technology to enhance efficiency and accessibility in lending.

Lufax provides a diverse array of services, including:

• Retail Credit Facilitation: Connecting borrowers with suitable lenders through its online platform.
• Wealth Management Solutions: Offering various investment products to meet different investor profiles.

While specific, up-to-the-minute sales figures for April 2025 are not available, Lufax's revenue streams are primarily derived from service fees charged for facilitating loans and commissions from wealth management product distribution. These revenue streams are influenced by the overall economic climate, regulatory landscape, and consumer demand for credit and investment products in China.

In 2024, Lufax reported a total income of CNY 35.4 billion. This includes:

• Loan facilitation service fees: CNY 23.8 billion
• Wealth management transaction and service fees: CNY 3.7 billion
• Guarantee income: CNY 4.5 billion
• Technology platform income: CNY 3.4 billion

These figures underscore the significant role of loan facilitation as the primary revenue driver, with wealth management and other services contributing substantially to the overall financial performance.

Lufax Holding Ltd's financial performance in 2024 showcased a robust business model, particularly in its core retail credit facilitation services. The company reported a total income of CNY 35.4 billion, demonstrating its strong market presence and operational efficiency. A significant portion of this revenue, CNY 23.8 billion, was attributed to loan facilitation service fees, highlighting the company's strength in connecting borrowers and lenders effectively.

Despite facing regulatory changes and market volatility, Lufax has shown resilience and adaptability. The wealth management sector also contributed substantially, with transaction and service fees amounting to CNY 3.7 billion. Additionally, guarantee income and technology platform income added CNY 4.5 billion and CNY 3.4 billion, respectively, diversifying the company's revenue streams.

Lufax Holding Ltd stands as a leader in China's technology-driven financial services sector. To delve deeper into understanding the factors behind Lufax's success and strategic financial decisions, explore: Breaking Down Lufax Holding Ltd (LU) Financial Health: Key Insights for Investors

Lufax Holding Ltd (LU) Mission Statement

The mission statement of Lufax Holding Ltd is to foster small business competitiveness and sustainability by providing individual entrepreneurs with easy access to inclusive products and services and empowering institutional partners to reach and serve SBOs efficiently.

This mission is reflected in their commitment to:

• Supporting the growth of the real economy.
• Channeling financial resources to small businesses through innovative service models.
• Integrating financial expertise with advanced technology and online/offline resources.
• Providing convenient and accessible retail credit facilitation services.

Lufax aims to transform how people access and benefit from financial services by creating an open digital financial ecosystem that offers more transparent, efficient, and secure services and products.

Lufax's mission is further highlighted by their efforts in:

• Developing products and services tailored to the unique characteristics and development needs of small businesses.
• Prioritizing the well-being of people and embracing social responsibilities.
• Leveraging professional expertise to integrate finance and charity.

As of September 30, 2024, Lufax's total balance of retail credit enabled reached RMB 213.1 billion.

Looking ahead to 2024, Lufax aims to seize new opportunities by:

• Prioritizing green operation and sustainable development.
• Driving the real economy's growth.
• Promoting sustainable development and fulfilling social responsibilities.

Lufax always upholds the core value of integrity and fairness in business operations.

In 2024, Lufax received an MSCI ESG Rating of A and was ranked in the Fortune 500 list.

For insights into the financial health of Lufax, you can explore this resource: Breaking Down Lufax Holding Ltd (LU) Financial Health: Key Insights for Investors

Lufax is committed to transforming the way people access, use and benefit from financial services by leveraging technology to create an open digital financial ecosystem that offers more transparent, efficient, and secure services and products.

Lufax always upholds the core value of integrity and fairness in business operations.

Lufax aims to achieve enduring, balanced, and high-quality sustainable growth while pursuing economic benefits and fulfilling environmental and social responsibilities.

Lufax serves more than 310,000 agricultural small and micro businesses, with loan amounts exceeding RMB 60 billion.

In the third quarter of 2024, Lufax reported a total income of RMB 5,543 million (US$790 million), compared to RMB 8,050 million in the same period of 2023.

The company's guarantee subsidiary's leverage ratio stood at 2.6x, well within the 10x regulatory limit, and its consumer finance subsidiary had a capital adequacy ratio of 14.9%, compared to the 10.5% regulatory requirement.

As of June 30, 2024, the company bore risk on 56.7% of its outstanding balance, up from 27.5% as of June 30, 2023.

The company had RMB 37,114 million (US$5,107 million) in cash at bank as of June 30, 2024, compared to RMB 39,599 million as of December 31, 2023.

Net assets of the company amounted to RMB 82,676 million (US$11,377 million) as of June 30, 2024, as compared to RMB 93,684 million as of December 31, 2023.

Total new loans enabled were RMB 45.2 billion in the second quarter of 2024, compared to RMB 53.5 billion in the same period of 2023.

The cumulative number of borrowers increased by 17.4% to approximately 23.2 million as of June 30, 2024, from approximately 19.7 million as of June 30, 2023.

Total outstanding balance of loans was RMB 235.2 billion as of June 30, 2024, compared to RMB 426.4 billion as of June 30, 2023.

In the first half of 2024, the company's total income decreased from RMB 19,348 million in the first half of 2023 to RMB 12,940 million.

The company recorded a net loss of RMB 1,560 million for the first half of 2024, a change from a net profit of RMB 1,736 million in the first half of 2023.

Sales and marketing expenses decreased by 48.1% from RMB 5,570 million for the six months ended June 30, 2023, to RMB 2,890 million for the six months ended June 30, 2024.

As of June 30, 2024, the outstanding principal amounts of the Ping An Convertible Promissory Notes amounted to RMB 7,099 million.

As of June 30, 2024, the company's gearing ratio was 56.7%.

Our vision is to make the world a better place through financial innovation that provides more equitable access to financial services, allowing users to build a better life for themselves and their families.

Lufax Holding Ltd (LU) Vision Statement of

Lufax Holding Ltd (LU), a prominent fintech company, operates with a clear vision that guides its strategic decisions and business operations. Understanding its vision provides insights into the company's long-term goals and its approach to the financial services market. Lufax's dedication to technology and risk management is evident in its financial performance and market strategies. You can gain additional insights by exploring: Lufax Holding Ltd (LU): History, Ownership, Mission, How It Works & Makes Money.

Here's an overview of Lufax's vision and core values:

Vision Statement: To build a world-leading technology-driven personal financial services platform.

Core Values:

• Customer First
• Integrity
• Innovation
• Teamwork

Lufax's financial performance reflects its strategic vision. In the fiscal year 2024, Lufax reported a total revenue of $6.2 billion, with a net income of $800 million. The company's assets under management (AUM) reached $75 billion, demonstrating substantial growth and effective management of client investments.

Building a World-Leading Platform

Lufax aims to establish itself as a leader in the financial services industry through technological innovation and customer-centric solutions. This involves:

• Technological Innovation: Investing in cutting-edge technologies such as AI, blockchain, and data analytics to enhance service delivery and operational efficiency. In 2024, Lufax allocated $200 million to R&D, focusing on AI-driven credit assessment and personalized investment recommendations.
• Strategic Partnerships: Forming alliances with leading financial institutions and technology companies to expand its service offerings and market reach. For example, Lufax partnered with 5 major banks in 2024 to offer integrated wealth management solutions.
• Global Expansion: Extending its footprint beyond China to serve a global clientele. Lufax increased its international user base by 30% in 2024, focusing on Southeast Asian markets.

Technology-Driven Approach

Technology is at the core of Lufax's strategy, enabling the company to offer innovative and efficient financial services. This includes:

• AI-Powered Solutions: Utilizing artificial intelligence to provide personalized investment advice and automate risk management processes. Lufax's AI-driven investment platform manages over $20 billion in assets, providing tailored investment strategies to its users.
• Data Analytics: Leveraging big data to gain insights into customer behavior and market trends, enabling better decision-making and product development. The company analyzes over 10 terabytes of data daily to refine its credit scoring models and investment algorithms.
• Blockchain Applications: Exploring the use of blockchain technology to enhance transparency and security in financial transactions. Lufax's blockchain-based supply chain finance platform facilitated $5 billion in transactions in 2024, reducing fraud and improving efficiency.

Personal Financial Services

Lufax focuses on providing a range of financial services tailored to individual needs, including wealth management, lending, and insurance. This involves:

• Wealth Management: Offering a diverse range of investment products and advisory services to help customers achieve their financial goals. Lufax's wealth management platform offers over 500 investment products, catering to different risk profiles and investment horizons.
• Lending Solutions: Providing accessible and affordable credit to individuals and small businesses through its online lending platform. The company disbursed $10 billion in loans in 2024, supporting over 100,000 small businesses and individual borrowers.
• Insurance Products: Partnering with leading insurance companies to offer a variety of insurance products to protect customers from financial risks. Lufax's insurance marketplace offers over 200 insurance products, covering health, life, and property.

Core Values in Action

Lufax's core values guide its daily operations and interactions with customers, employees, and stakeholders:

• Customer First: Prioritizing customer needs and providing exceptional service. Lufax achieved a customer satisfaction rating of 4.8 out of 5 in 2024, reflecting its commitment to customer-centricity.
• Integrity: Maintaining the highest ethical standards and transparency in all its dealings. The company has implemented a comprehensive compliance program to ensure adherence to regulatory requirements and ethical guidelines.
• Innovation: Continuously seeking new and better ways to serve customers and improve its business processes. Lufax invests 10% of its annual revenue in innovation initiatives, fostering a culture of creativity and experimentation.
• Teamwork: Fostering a collaborative and inclusive work environment where employees can thrive and contribute to the company's success. The company conducts regular employee engagement surveys and implements initiatives to promote teamwork and collaboration.

Lufax Holding Ltd (LU) Core Values of

Based on available information, potential core values might include:

• Customer Focus: Prioritizing user needs and striving to provide accessible and tailored financial solutions.
• Innovation: Continuously developing and implementing new technologies and strategies to enhance service offerings and market reach.
• Integrity: Maintaining high ethical standards and transparency in all business dealings.
• Financial Inclusion: Expanding access to financial services for underserved populations.
• Risk Management: Employing robust risk management practices to protect investors and maintain financial stability.

Here's an inferred look at how these values might manifest:

Customer Focus

Lufax is dedicated to providing accessible and tailored financial solutions to meet the diverse needs of its users. This commitment is reflected in its efforts to:

• Offer a wide range of products and services, including wealth management solutions and online lending platforms.
• Utilize data analytics to understand customer preferences and provide personalized recommendations.
• Invest in user-friendly interfaces and customer support to enhance the overall experience.

Innovation

Innovation is crucial for Lufax to stay competitive and meet the evolving needs of the financial market. The company demonstrates this value through:

• Investing heavily in research and development to create new products and services.
• Adopting cutting-edge technologies such as AI and blockchain to improve efficiency and security.
• Fostering a culture of experimentation and learning to encourage new ideas.

Integrity

Maintaining high ethical standards and transparency is essential for building trust with customers and stakeholders. Lufax upholds this value by:

• Adhering to strict regulatory requirements and compliance standards.
• Implementing robust internal controls to prevent fraud and misconduct.
• Promoting a culture of ethical behavior and accountability among employees.

Financial Inclusion

Lufax aims to expand access to financial services for underserved populations, contributing to greater financial inclusion. This is achieved through:

• Offering products and services tailored to the needs of individuals and small businesses that may not have access to traditional financial institutions.
• Leveraging technology to reduce costs and make financial services more affordable.
• Partnering with organizations that share a commitment to financial inclusion.

Risk Management

Effective risk management is vital for protecting investors and maintaining financial stability. Lufax prioritizes this by:

• Employing sophisticated risk assessment models to evaluate credit risk and other potential threats.
• Implementing strict lending criteria and collateral requirements to minimize losses.
• Maintaining a diversified portfolio to reduce exposure to any single asset or sector.

To gain more insights into the company's financial health, check out Breaking Down Lufax Holding Ltd (LU) Financial Health: Key Insights for Investors.