Asia Pac ECM and Index Rebal, DZT Research

Ke Yan, CFA, FRM

Asia Pac ECM and Index Rebal

Asia Pac IPO & Placement Research, China Biotech

DZT Research

DZT Research is an independent Asia Pacific equity specialist. Our quantitative research covers index rebalancing flows, alongside exchange data analytics accross Asia Pacific. On the equity capital markets side, we focus on Asia Pacific ECM, especially biotech and TMT. Our lead analyst is frequently cited by international media.

Index Rebalance

<ul>
<li>CSI announced 19 ADDs and 19 DELETEs effective 15 Jun 2026, the largest cycle in our four-cycle reference set.</li>
<li>We reviewed rebalance stocks against four prior CSI 300 cycles and the completed pre-announcement setup.</li>
<li>The prior forecast captured the four strongest ADDs and six of the seven weakest DELETEs, with misses mainly in buffer-zone ADDs and retained-risk DELETEs.</li>
</ul>


CSI announced 19 ADDs and 19 DELETEs effective 15 Jun 2026, the largest cycle in our four-cycle reference set.
We reviewed rebalance stocks against four prior CSI 300 cycles and the completed pre-announcement setup.
The prior forecast captured the four strongest ADDs and six of the seven weakest DELETEs, with misses mainly in buffer-zone ADDs and retained-risk DELETEs.


CSI 300 June 2026 Rebalance: Post-Announcement Positioning

Verisilicon Microelectronics S / Index Rebalance

Verisilicon Microelectronics S (688521 CH)

<ul>
<li>We screened the CSI 300 eligible universe ahead of the Jun 2026 semi-annual rebalance.</li>
<li>ADDs: we expect 4 High Conviction ADDs, 6 Mid Conviction ADDs, and 3 Low Conviction ADDs.</li>
<li>We also flag 2 Skip ADDs due to CG/CSRC issues. DELETEs: we expect 8 Likely DELETEs, 3 Borderline DELETEs, 4 Rank-Driven DELETEs, and 1 Potential Retain.</li>
</ul>


We screened the CSI 300 eligible universe ahead of the Jun 2026 semi-annual rebalance.
ADDs: we expect 4 High Conviction ADDs, 6 Mid Conviction ADDs, and 3 Low Conviction ADDs.
We also flag 2 Skip ADDs due to CG/CSRC issues. DELETEs: we expect 8 Likely DELETEs, 3 Borderline DELETEs, 4 Rank-Driven DELETEs, and 1 Potential Retain.


Asset Allocation & Fund Positioning, Copley Fund Research

Steven Holden

Asset Allocation & Fund Positioning

Copley Fund Research

Copley Fund Research provide research and data on asset allocation among Global and Emerging Market equity funds.  The analysis details absolute and relative positioning across countries, sectors and industries together with highly granular data on single stock and single fund allocations.  The data is updated monthly with time series going back to January 2011.

Global Research - Analysis of 165 prominent Global equity funds, combined AUM $335bn
GEM Research - Analysis of 127 prominent global EM equity funds, combined AUM $250bn

Asset Allocation - Global and GEM Equity

Thematic (Sector/Industry)

<ul>
<li>Concerns over Chinese Real Estate sector pushes ownership in Construction Materials stocks to their lowest levels on record.</li>
<li>Fund activity heavily skewed to the sell-side and driven by mass closures in Anhui Conch Cement, Huaxin Cement and Beijing New Building Materials.</li>
<li>Investor sentiment, as measured by A-Share fund activity and positioning, is as low as it gets for the Construction Materials sector.</li>
</ul>


Concerns over Chinese Real Estate sector pushes ownership in Construction Materials stocks to their lowest levels on record.
Fund activity heavily skewed to the sell-side and driven by mass closures in Anhui Conch Cement, Huaxin Cement and Beijing New Building Materials.
Investor sentiment, as measured by A-Share fund activity and positioning, is as low as it gets for the Construction Materials sector.


China A-Shares: Construction Materials Slump

Equity Research in HK and Mainland China

Li Tang

<ul>
<li>Wang Menghui, Minister of MOHURD, gave an interview with Xinhua News .</li>
<li>As ministry did not release the report of their post-CEWC meeting, his words in the interview help set the tone for their work plans for next year.</li>
<li>He reiterated that "houses are for living in, not speculation" and "refrain from using real estate as a short-term means for stimulating the economy".</li>
</ul>


Wang Menghui, Minister of MOHURD, gave an interview with Xinhua News .
As ministry did not release the report of their post-CEWC meeting, his words in the interview help set the tone for their work plans for next year.
He reiterated that "houses are for living in, not speculation" and "refrain from using real estate as a short-term means for stimulating the economy".


China Housing Ministry Flags Key Tasks for Next Year

<ul>
<li>China Industrials attract further inflows from dedicated active China funds.</li>
<li>Machinery and Electrical Equipment industry groups dominate holdings within the sector.</li>
<li>Buying seen in <a href="https://www.smartkarma.com/entities/contemporary-amperex-techn-a" target="_blank" data-smartkarma-citation="entities:24404:1" rel="noopener">CATL (A) (300750 CH)</a>, <a href="https://www.smartkarma.com/entities/sany-heavy-industry-co-ltd" target="_blank" data-smartkarma-citation="entities:20183:1" rel="noopener">Sany Heavy Industry (600031 CH)</a> and <a href="https://www.smartkarma.com/entities/ever-sunshine-lifestyle-services-group-limited" target="_blank" data-smartkarma-citation="entities:28932:1" rel="noopener">Ever Sunshine Lifestyle Services (1995 HK)</a>.  Selling in <a href="https://www.smartkarma.com/entities/zhuzhou-csr-times-electric-co-ltd" target="_blank" data-smartkarma-citation="entities:18:1" rel="noopener">Zhuzhou Csr Times Electric Co, Ltd. (3898 HK)</a> and <a href="https://www.smartkarma.com/entities/beijing-new-building-materials-plc" target="_blank" data-smartkarma-citation="entities:13910:1" rel="noopener">Beijing New Building Materials (000786 CH)</a>
</li>
<li>Industrials move to top sector overweight among active China funds.</li>
</ul>


China Industrials attract further inflows from dedicated active China funds.
Machinery and Electrical Equipment industry groups dominate holdings within the sector.
Buying seen in CATL (A) (300750 CH), Sany Heavy Industry (600031 CH) and Ever Sunshine Lifestyle Services (1995 HK).  Selling in Zhuzhou Csr Times Electric Co, Ltd. (3898 HK) and Beijing New Building Materials (000786 CH)

Industrials move to top sector overweight among active China funds.


China Funds Increase Industrials Exposure, Moves to Top Overweight

China

Beijing New Building Materials PLC develops, manufactures, and markets advanced building materials, wall materials, chemical construction materials, and decoration materials.  The Company also operates in trading businesses.

Beijing New Building Materials (000786 CH)

Price Gauge
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Beijing New Building Materials (000786 CH)

CSI 300 June 2026 Rebalance: Post-Announcement Positioning

CSI 300 June 2026 post-announcement trading is live. ADD strength is concentrated in a few forecast names. The opening gap should set chase and...

Ke Yan, CFA, FRM

CSI 300 May 2026 Index Review Forecast

CSI 300 May 2026 review: we expect 4 High Conviction ADDs and 6 Mid Conviction ADDs, offset by 8 Likely DELETEs, 7 Borderline or rank-driven...

Ke Yan, CFA, FRM

China A-Shares: Construction Materials Slump

Concerns over Chinese Real Estate sector pushes ownership in Construction Materials stocks to their lowest levels on record.

Steven Holden

China Housing Ministry Flags Key Tasks for Next Year

We believe prefab and green construction will be supported China's push for affordable rental housing during the 14th Five-Year period

Li Tang

China Funds Increase Industrials Exposure, Moves to Top Overweight

Inflows in to Machinery and Electrical Equipment stocks push the Industrial sector to the top overweight among active China funds.

Steven Holden

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)