Pan-Asia Index Rebalances/ Events/ Delta One, Periscope Analytics

Brian Freitas

Pan-Asia Index Rebalances/ Events/ Delta One

Periscope Analytics

Periscope Analytics focuses on event-driven trades across Asia Pacific and provides comprehensive, timely and systematic coverage of index changes to major Asia Pacific indices in a structured manner.

The analysis includes forecasted inclusions and exclusions to all major Asian indices that have significant amount of tracking assets, including estimates of passive buy/sell flow on the stocks. The service also provides commentary and impact of market consultations, ground rule changes, and other events (IPOs, spin-offs, M&A) that could lead to index changes and passive flow.

Periscope Analytics works with multi-strategy hedge funds, proprietary trading firms, stat arb trading groups and long-only investors that invest and trade in the Asia Pacific region with the data being used to trade index rebalances, avoid pre-positioning and passive flow, and to time entry into and exit from stocks.

Event-Driven Trades Across Asia Pacific

Index Rebalance

Orient Overseas International / Index Rebalance

<ul>
<li>The inclusion of <a href="https://www.smartkarma.com/entities/orient-overseas-international" target="_blank" data-smartkarma-citation="entities:801:1" rel="noopener">Orient Overseas International</a>, <a href="https://www.smartkarma.com/entities/zhongsheng-group-holdings" target="_blank" data-smartkarma-citation="entities:10573:1" rel="noopener">Zhongsheng Group</a>, <a href="https://www.smartkarma.com/entities/semiconductor-manufacturing-international-corp-smic" target="_blank" data-smartkarma-citation="entities:14231:1" rel="noopener">Semiconductor Manufacturing International Corp (SMIC)</a> and <a href="https://www.smartkarma.com/entities/china-hongqiao-group-ltd" target="_blank" data-smartkarma-citation="entities:1909:1" rel="noopener">China Hongqiao</a> plus the deletion of <a href="https://www.smartkarma.com/entities/aac-technologies-holdings-inc" target="_blank" data-smartkarma-citation="entities:6544:1" rel="noopener">AAC Technologies Holdings</a> takes us to 69 index stocks.</li>
<li>Changes to the stocks, number of shares, float and capping result in an estimated one-way turnover is 3.43% and will result in a one-way trade of HK$7,444m.</li>
<li>There is huge short interest on <a href="https://www.smartkarma.com/entities/zhongsheng-group-holdings" target="_blank" data-smartkarma-citation="entities:10573:1" rel="noopener">Zhongsheng Group (881 HK)</a> and <a href="https://www.smartkarma.com/entities/china-hongqiao-group-ltd" target="_blank" data-smartkarma-citation="entities:1909:1" rel="noopener">China Hongqiao (1378 HK)</a> and there could be some short covering from now to implementation.</li>
</ul>


The inclusion of Orient Overseas International, Zhongsheng Group, Semiconductor Manufacturing International Corp (SMIC) and China Hongqiao plus the deletion of AAC Technologies Holdings takes us to 69 index stocks.
Changes to the stocks, number of shares, float and capping result in an estimated one-way turnover is 3.43% and will result in a one-way trade of HK$7,444m.
There is huge short interest on Zhongsheng Group (881 HK) and China Hongqiao (1378 HK) and there could be some short covering from now to implementation.


HSI Index Rebalance: Four Weddings & A Funeral

Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>Inside is a recap of movements in the last week relating to the Shanghai and Shenzhen-Hong Kong Stock Connect facilities, broken down by company and industry. </li>
<li>Overall, the total value increased US$12.5bn in the past week, with Shanghai accounting for US$5.7bn and Shenzhen US$6.8bn. <a href="https://www.smartkarma.com/entities/tencent-holdings-ltd" target="_blank" data-smartkarma-citation="entities:26:1" rel="noopener">Tencent (700 HK)</a> is the dominant holding across both programs</li>
<li>
<a href="https://www.smartkarma.com/entities/glory-sun-financial-group-ltd" target="_blank" data-smartkarma-citation="entities:17758:1" rel="noopener">Glory Sun Financial Group Limited (1282 HK)</a> saw the biggest upward movement as the chairman sold to pay off debt. <a href="https://www.smartkarma.com/entities/china-south-city-holdings" target="_blank" data-smartkarma-citation="entities:8205:1" rel="noopener">China South City (1668 HK)</a> was reduced by both programs. </li>
</ul>


Inside is a recap of movements in the last week relating to the Shanghai and Shenzhen-Hong Kong Stock Connect facilities, broken down by company and industry. 
Overall, the total value increased US$12.5bn in the past week, with Shanghai accounting for US$5.7bn and Shenzhen US$6.8bn. Tencent (700 HK) is the dominant holding across both programs

Glory Sun Financial Group Limited (1282 HK) saw the biggest upward movement as the chairman sold to pay off debt. China South City (1668 HK) was reduced by both programs. 


Shanghai/Shenzhen Southbound Connect: Weekly Moves (20 May 2022)

Head of Research, IPOs & Placements, Aequitas Research

Sumeet Singh

Head of Research, IPOs & Placements

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Equity Capital Markets

Zhejiang Leapmotor Technologie / Equity Capital Markets

<ul>
<li>Leapmotor (LM) aims to raise around US$1bn in its Hong Kong IPO. LM is a smart EV company based in China, founded in 2015.</li>
<li>It focuses on the mid- to high-end segment in China’s NEV market with a price range of RMB150,000-300,000. As of end FY21, it had delivered a total of 52,832 cars.</li>
<li>In this note, we talk about the not so positive aspects of the deal.</li>
</ul>


Leapmotor (LM) aims to raise around US$1bn in its Hong Kong IPO. LM is a smart EV company based in China, founded in 2015.
It focuses on the mid- to high-end segment in China’s NEV market with a price range of RMB150,000-300,000. As of end FY21, it had delivered a total of 52,832 cars.
In this note, we talk about the not so positive aspects of the deal.


Leapmotor Pre-IPO - The Negatives - Related Party Sanctions, Lags Peers

<ul>
<li>On 23rd Dec 2021, Tencent declared a special dividend in the form of distribution in specie of shares of JD.com, making Prosus the third largest shareholder with a 4.2% stake.</li>
<li>The actual settlement only happened on 25th Mar. On that day, the bulk of the stock that Tencent distributed moved into CCASS with the exception of shares held by Prosus.</li>
<li>In this note, we talk about the shareholding pattern and increase in shares held in CCASS.</li>
</ul>


On 23rd Dec 2021, Tencent declared a special dividend in the form of distribution in specie of shares of JD.com, making Prosus the third largest shareholder with a 4.2% stake.
The actual settlement only happened on 25th Mar. On that day, the bulk of the stock that Tencent distributed moved into CCASS with the exception of shares held by Prosus.
In this note, we talk about the shareholding pattern and increase in shares held in CCASS.


JD.com Tencent Distribution - All Prosus Stock Worth US$3.5bn Could Be in CCASS Now

Asia Pac IPO & Placement Research, China biotech, Aequitas Research

Ke Yan, CFA, FRM

Asia Pac IPO & Placement Research, China biotech

Quantitative Analysis

<ul>
<li>We analyzed the latest HK SFC report for aggregate short position as of May 6th.</li>
<li>Top short increases and decreases were tabulated for one week and four week period. </li>
<li>We highlight week on week short spike in Bilibili, and Sany Heavy. </li>
</ul>


We analyzed the latest HK SFC report for aggregate short position as of May 6th.
Top short increases and decreases were tabulated for one week and four week period. 
We highlight week on week short spike in Bilibili, and Sany Heavy. 


HK Short Interest: Short Spikes for Bilibili, Sany Heavy

China

Meituan operates as a web based shopping platform for locally found consumer products and retail services. The Company offers deals of the day by selling vouchers on local services and entertainment, dining, delivery, and other services. Meituan provides its services throughout China.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Meituan (3690 HK)

HSI Index Rebalance: Four Weddings & A Funeral

There are 4 adds & 1 delete to take the number of HSI members to 69. There is reasonable impact on the stocks and huge short interest on some of...

Brian Freitas

Shanghai/Shenzhen Southbound Connect: Weekly Moves (20 May 2022)

Overall, the total value increased US$12.5bn, with Shanghai accounting for US$5.7bn and Shenzhen US$6.8bn. Glory Sun saw the biggest upward...

David Blennerhassett

JD.com Tencent Distribution - All Prosus Stock Worth US$3.5bn Could Be in CCASS Now

In Dec 21, Tencent declared a special dividend via distribution in specie of JD.com shares, making Prosus the 3rd largest shareholder. Some shares...

Sumeet Singh

HK Short Interest: Short Spikes for Bilibili, Sany Heavy

We highlight week on week short spike in Bilibili (9626 HK), and Sany Heavy (631 HK) based on the latest HK SFC Short Aggregate report..

Ke Yan, CFA, FRM

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

HSI Index Rebalance: Four Weddings & A Funeral

There are 4 adds & 1 delete to take the number of HSI members to 69. There is reasonable impact on the stocks and huge short interest on some of...

Brian Freitas

Shanghai/Shenzhen Southbound Connect: Weekly Moves (20 May 2022)

Overall, the total value increased US$12.5bn, with Shanghai accounting for US$5.7bn and Shenzhen US$6.8bn. Glory Sun saw the biggest upward...

David Blennerhassett

Leapmotor Pre-IPO - The Negatives - Related Party Sanctions, Lags Peers

Leapmotor (LM) aims to raise around US$1bn in its Hong Kong IPO. LM is a smart EV company based in China, founded in 2015. In this note, we talk...

Sumeet Singh

JD.com Tencent Distribution - All Prosus Stock Worth US$3.5bn Could Be in CCASS Now

In Dec 21, Tencent declared a special dividend via distribution in specie of JD.com shares, making Prosus the 3rd largest shareholder. Some shares...

Sumeet Singh

HK Short Interest: Short Spikes for Bilibili, Sany Heavy

We highlight week on week short spike in Bilibili (9626 HK), and Sany Heavy (631 HK) based on the latest HK SFC Short Aggregate report..

Ke Yan, CFA, FRM