Asia Pac ECM and Index Rebal, Shenton Research

Ke Yan, CFA, FRM

Asia Pac ECM and Index Rebal

Asia Pac IPO & Placement Research, China Biotech

Shenton Research

Shenton 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>We review the proposed HS TECH rule changes and screen an early beneficiary list for the December 2026 rebalance.</li>
<li>Our screening returns 20 ADD candidates, 10 based on market value and 10 based on revenue growth.</li>
<li>We expect all 30 current constituents are retained. 10 MV based stocks to be mechanical and sales growth for 10 growth based stocks to be cut off at 30%.</li>
</ul>


We review the proposed HS TECH rule changes and screen an early beneficiary list for the December 2026 rebalance.
Our screening returns 20 ADD candidates, 10 based on market value and 10 based on revenue growth.
We expect all 30 current constituents are retained. 10 MV based stocks to be mechanical and sales growth for 10 growth based stocks to be cut off at 30%.


HS TECH Index Consultation: Rules and Beneficiary Analysis

HK/China Equity Long-Short

Osbert Tang, CFA

Equity Capital Markets

Epiworld International / Equity Capital Markets

<ul>
<li>
<a href="https://www.smartkarma.com/entities/epiworld-international-co-ltd" target="_blank" data-smartkarma-citation="entities:47626:1" rel="noopener">EpiWorld International (2726 HK)</a>, while it is a global leader in the silicon carbide (SiC) epitaxy industry, has a weak profit record. Its IPO price looks demanding. </li>
<li>Its net profit will likely be relatively flat in FY26, before picking up in FY27 and FY28. However, whether the industry will bottom in 2H26 remains an unknown.</li>
<li>The stock's valuations of 117x PER and 35.6x P/S are not cheap relative to peers, implying that risks outweigh returns in its H-share IPO.</li>
</ul>



EpiWorld International (2726 HK), while it is a global leader in the silicon carbide (SiC) epitaxy industry, has a weak profit record. Its IPO price looks demanding. 
Its net profit will likely be relatively flat in FY26, before picking up in FY27 and FY28. However, whether the industry will bottom in 2H26 remains an unknown.
The stock's valuations of 117x PER and 35.6x P/S are not cheap relative to peers, implying that risks outweigh returns in its H-share IPO.


EpiWorld Intl (2726 HK) IPO: A Pricy (And Risky) Choice

US-EU Index Rebalances / Quantitative Researcher

Dimitris Ioannidis

Global Financial Data and Analytics Platform

ORTEX

ORTEX is a global financial data and analytics platform providing real-time securities lending and short interest data, index rebalance data, holdings and insider transactions, trading signals, corporate actions and news,  stock machine learning and factor scores and other analytics. The majority of the data are downloadable and accessible through APIs.

<ul>
<li>
<a href="https://www.smartkarma.com/entities/coreweave-inc" target="_blank" data-smartkarma-citation="entities:44471:1" rel="noopener">CoreWeave (CRWV US)</a> and <a href="https://www.smartkarma.com/entities/chime-financial-inc" target="_blank" data-smartkarma-citation="entities:45194:1" rel="noopener">Chime (CHYM US)</a> are expected inclusions in All-World and SmallCap, respectively, following lock-up expiry which increases public voting rights above 5%.</li>
<li>
<a href="https://www.smartkarma.com/entities/figure-technology-solutions-inc" target="_blank" data-smartkarma-citation="entities:45672:1" rel="noopener">Figure Technology Solutions (FIGR US)</a> and <a href="https://www.smartkarma.com/entities/bullish-us-llc" target="_blank" data-smartkarma-citation="entities:45521:1" rel="noopener">Bullish US (BLSH US)</a> are close to the float cap threshold due to their low IPO floats, therefore their inclusion is uncertain.</li>
<li>
<a href="https://www.smartkarma.com/entities/solstice-advanced-materials" target="_blank" data-smartkarma-citation="entities:45953:1" rel="noopener">Solstice Advanced Materials (SOLS US)</a> is projected to migrate from All-World to SmallCap following its <a href="https://www.smartkarma.com/entities/honeywell-international-inc" target="_blank" data-smartkarma-citation="entities:16765:1" rel="noopener">Honeywell</a> spinoff in October 2025.</li>
</ul>



CoreWeave (CRWV US) and Chime (CHYM US) are expected inclusions in All-World and SmallCap, respectively, following lock-up expiry which increases public voting rights above 5%.

Figure Technology Solutions (FIGR US) and Bullish US (BLSH US) are close to the float cap threshold due to their low IPO floats, therefore their inclusion is uncertain.

Solstice Advanced Materials (SOLS US) is projected to migrate from All-World to SmallCap following its Honeywell spinoff in October 2025.


Global Index IPO Forecasts - Mar26: CoreWeave & Chime Among Candidates

<ul>
<li>
<a href="https://www.smartkarma.com/entities/verisure-holding-ab" target="_blank" data-smartkarma-citation="entities:43889:1" rel="noopener">Verisure Holding (VSURE SS)</a> is forecasted to be added to Global Standard following its IPO in October 2025, provided its index nationality is assigned to Sweden.</li>
<li>
<a href="https://www.smartkarma.com/entities/servicetitan-inc" target="_blank" data-smartkarma-citation="entities:44109:1" rel="noopener">ServiceTitan (TTAN US)</a> is expected to be added to Global SmallCap following its IPO lock-up.</li>
<li>
<a href="https://www.smartkarma.com/entities/innoscience-suzhou-technology" target="_blank" data-smartkarma-citation="entities:44185:1" rel="noopener">InnoScience (2577 HK)</a> and <a href="https://www.smartkarma.com/entities/bloks-group-limited" target="_blank" data-smartkarma-citation="entities:43648:1" rel="noopener">Bloks (325 HK)</a> are projected IPO additions following their 12-month IPO lock-up expiry.</li>
</ul>



Verisure Holding (VSURE SS) is forecasted to be added to Global Standard following its IPO in October 2025, provided its index nationality is assigned to Sweden.

ServiceTitan (TTAN US) is expected to be added to Global SmallCap following its IPO lock-up.

InnoScience (2577 HK) and Bloks (325 HK) are projected IPO additions following their 12-month IPO lock-up expiry.


Global Index IPO Forecasts - Feb26: InnoScience, Bloks, Verisure, ServiceTitan Among Candidates

Pan-Asia Catalysts/Events, Quiddity Advisors

Travis Lundy

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>HK$101bn+/Day of gross SOUTHBOUND activity last week, and net buying of HK$23+bn. The gross volumes are down a bit but net continues strongly.</li>
<li>China Mobile was shellacked with net selling every day last week (actually net sold every day since 11 Dec). The numbers are very impressive.</li>
<li>ETFs were net purchased in some size last week which usually means a swing to stocks and sale of ETFs this week.</li>
</ul>


HK$101bn+/Day of gross SOUTHBOUND activity last week, and net buying of HK$23+bn. The gross volumes are down a bit but net continues strongly.
China Mobile was shellacked with net selling every day last week (actually net sold every day since 11 Dec). The numbers are very impressive.
ETFs were net purchased in some size last week which usually means a swing to stocks and sale of ETFs this week.


HK Connect SOUTHBOUND Flows (Week To 23 Jan 2026) - China Mobile Shellacked Again. Tech Bought Again

Hong Kong

Innoscience is the largest 8-inch Integrated Device Manufacture (IDM) fully focused on GaN technology in the world.

Price Gauge
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InnoScience Suzhou Technology (2577 HK)

HS TECH Index Consultation: Rules and Beneficiary Analysis

HSIL announced HS TECH consultation on proposed rule changes. In this note, we analysis the proposed new rules changes and preview the potential...

Ke Yan, CFA, FRM

EpiWorld Intl (2726 HK) IPO: A Pricy (And Risky) Choice

EpiWorld International is a global leader in SiC epitaxy but has a weak profit record, with a demanding IPO price and an uncertain industry...

Osbert Tang, CFA

Global Index IPO Forecasts - Mar26: CoreWeave & Chime Among Candidates

CoreWeave and Chime are expected to be included in All‑World and SmallCap in March 2026, respectively, following their lock‑up expiries, which...

Dimitris Ioannidis

Global Index IPO Forecasts - Feb26: InnoScience, Bloks, Verisure, ServiceTitan Among Candidates

Forecasted inclusions for the Feb26 Global Index review from IPOs within the past year include Verisure, ServiceTitan, InnoScience and Bloks.

Dimitris Ioannidis

HK Connect SOUTHBOUND Flows (Week To 23 Jan 2026) - China Mobile Shellacked Again. Tech Bought Again

SOUTHBOUND investors continued net buying HK stocks last week at a similar pace to the previous two weeks. They sold China Mobile at an even faster...

Travis Lundy

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

HS TECH Index Consultation: Rules and Beneficiary Analysis

HSIL announced HS TECH consultation on proposed rule changes. In this note, we analysis the proposed new rules changes and preview the potential...

Ke Yan, CFA, FRM

EpiWorld Intl (2726 HK) IPO: A Pricy (And Risky) Choice

​EpiWorld International is a global leader in SiC epitaxy but has a weak profit record, with a demanding IPO price and an uncertain industry...

Osbert Tang, CFA

Global Index IPO Forecasts - Mar26: CoreWeave & Chime Among Candidates

CoreWeave and Chime are expected to be included in All‑World and SmallCap in March 2026, respectively, following their lock‑up expiries, which...

Dimitris Ioannidis

Global Index IPO Forecasts - Feb26: InnoScience, Bloks, Verisure, ServiceTitan Among Candidates

Forecasted inclusions for the Feb26 Global Index review from IPOs within the past year include Verisure, ServiceTitan, InnoScience and Bloks.

Dimitris Ioannidis

HK Connect SOUTHBOUND Flows (Week To 23 Jan 2026) - China Mobile Shellacked Again. Tech Bought Again

SOUTHBOUND investors continued net buying HK stocks last week at a similar pace to the previous two weeks. They sold China Mobile at an even faster...

Travis Lundy

EpiWorld International is a global leader in SiC epitaxy but has a weak profit record, with a demanding IPO price and an uncertain industry...