Futu faces investigation by China regulators, shares drop 28% on legal concerns.

Futu Holdings Limited announced it received a notice of investigation and penalty pre-notification from the China Securities Regulatory Commission related to its operations in mainland China. Following this news on May 22, 2026, Futu's share price fell sharply by 28%, dropping from $123.86 to $89.76. A law firm, Bragar Eagel & Squire, is investigating potential claims against Futu for possible violations of federal securities laws and encourages affected investors to contact them. This development raises concerns about Futu's regulatory compliance and could impact investor confidence going forward.