Steno Research

Elias Lisberg Glistrup

Macro and Geopolitical Research House

Steno Research is a new macro and geopolitical research house. We are based out of Copenhagen, Denmark, but have an international team and a strong network of sources and partners around the world. The team is lead by Andreas Steno, previous global head of strategy at Nordea Bank, and Mikkel Rosenvold, former chief consultant in the Danish Ministry of Finance.

Macroeconomics

<ul><li>The latest Nvidia earnings report was testament to the demand for tech and particularly semis, and it proved the persistent strength of the AI theme.</li><li>Demand for semis is currently outpacing production, and we consequently see declines in inventory (chart 1.b).</li><li>Charting the yearly change in South Korean exports of semis looks almost as ridiculous, but, interestingly, equities haven’t followed as the correlation would suggest – in fact the EWY index is flat YoY (chart 1.a).</li></ul>

The latest Nvidia earnings report was testament to the demand for tech and particularly semis, and it proved the persistent strength of the AI theme.Demand for semis is currently outpacing production, and we consequently see declines in inventory (chart 1.b).Charting the yearly change in South Korean exports of semis looks almost as ridiculous, but, interestingly, equities haven’t followed as the correlation would suggest – in fact the EWY index is flat YoY (chart 1.a).

Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Korea/Asia, Events, IPOs

Cross Asset Strategy

<ul>
<li>FSC Chairman Kim Joo-hyun mentioned that too many companies in Korea are trading below book value and the FSC plans to implement changes to improve upon this issue. </li>
<li>According to Korea Exchange, 1,111 companies out of total listed in KOSPI and KOSDAQ in Korea (2,538) are trading at below 1x book value (PBR) (liquidation value). </li>
<li>According to the Capital Group, about 39% of companies in the TOPIX trade below book value, compared to just 5% for companies in the S&amp;P 500 Index. </li>
</ul>


FSC Chairman Kim Joo-hyun mentioned that too many companies in Korea are trading below book value and the FSC plans to implement changes to improve upon this issue. 
According to Korea Exchange, 1,111 companies out of total listed in KOSPI and KOSDAQ in Korea (2,538) are trading at below 1x book value (PBR) (liquidation value). 
According to the Capital Group, about 39% of companies in the TOPIX trade below book value, compared to just 5% for companies in the S&amp;P 500 Index. 


44% of Korean Stocks Are Trading Below Book Value - FSC Wants to Improve This (Following Japan)

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

Samsung Electronics / Equity Capital Markets

<ul>
<li>KEB Hana Bank, on behalf of the Lee family, is looking to raise up to US$1.6bn via selling 0.5% of <a href="https://www.smartkarma.com/entities/samsung-electronics-co-ltd" target="_blank" data-smartkarma-citation="entities:191:1" rel="noopener">Samsung Electronics (005930 KS)</a> </li>
<li>The deal appears to be somewhat well flagged, however, the timing could have been much better.</li>
<li>In this note, we will run the deal through our ECM framework and talk about the recent updates.</li>
</ul>


KEB Hana Bank, on behalf of the Lee family, is looking to raise up to US$1.6bn via selling 0.5% of Samsung Electronics (005930 KS) 
The deal appears to be somewhat well flagged, however, the timing could have been much better.
In this note, we will run the deal through our ECM framework and talk about the recent updates.


Samsung Electronics Placement - Somewhat Well Flagged but Could Have Timed It Better

Head of Research, Steno Research

Emil Moller

Head of Research

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<div>
<div>
<ul>
<li>Emerging market central banks demonstrated their foresight in 2021, acting ahead of the curve.</li>
<li>However, there is a looming concern that the resurgence in energy prices might pose a challenge for them, much like it did in 2022.</li>
</ul>
</div>
</div>
</div>
<div></div>
<ul>
<li>In our analysis last week, we delved into the situation in Turkey and arrived at the following conclusion: The capable technocratic approach is more likely to succeed than the resurgence of economic populism.</li>
</ul>





Emerging market central banks demonstrated their foresight in 2021, acting ahead of the curve.
However, there is a looming concern that the resurgence in energy prices might pose a challenge for them, much like it did in 2022.






In our analysis last week, we delved into the situation in Turkey and arrived at the following conclusion: The capable technocratic approach is more likely to succeed than the resurgence of economic populism.


EM by EM #20 Another Energy Squeeze in the Cards?

Cross-Asset Strategist & Quantitative Analyst, Pennock Idea Hub

Cam Hui

Cross-Asset Strategist & Quantitative Analyst

Pennock Idea Hub

We are creators of independent equity research. The Pennock Idea Hub team are veterans of the investment industry. Much of our team has spent their careers at Merrill Lynch, Deutsche Bank, RBC Capital Markets and Wood Gundy. We have taken every aspect of research back to the studs and returned to first principles. The Pennock Idea Hub marries the interests of the sell and buy side. 

We offer the best research for institutional investors by:

-Only publishing research from veteran analysts
-Eliminate the inherent conflicts of the traditional sell and buy side relationship
-Ensure our team is always accessible; collaboration with clients nurtures our collective success

Cross-Asset & Quantitative Research

<ul>
<li>The long-term structure of global markets is seeing a loss of leadership by U.S. equities and emerging new leadership in Europe.</li>
<li>The short-run outlook will depend on the results of earnings season.</li>
<li>Our base case calls for a choppy and range-bound market.Wait for the breakout, or breakdown.</li>
</ul>


The long-term structure of global markets is seeing a loss of leadership by U.S. equities and emerging new leadership in Europe.
The short-run outlook will depend on the results of earnings season.
Our base case calls for a choppy and range-bound market.Wait for the breakout, or breakdown.


South Korea

iShares MSCI South Korea ETF is an exchange traded fund incorporated in the USA. The ETF tracks the performance of the MSCI Korea 25-50 USD Index. The fund holds companies of all market caps which are primarily traded on the Korean exchange. The ETF's holdings are primarily focused in the consumer discretionary, financial and information technology sectors.

iShares MSCI South Korea ETF (EWY US)

EM Cycle Watch: South Korea a good buy?

The latest Nvidia earnings report was testament to the demand for tech and particularly semis, and it proved the persistent strength of the AI...

Steno Research

44% of Korean Stocks Are Trading Below Book Value - FSC Wants to Improve This (Following Japan)

A 44% of Korean stocks are trading below book value. FSC wants to improve this, following Japan's "name and shame" policy.

Douglas Kim

Samsung Electronics Placement - Somewhat Well Flagged but Could Have Timed It Better

KEB Hana Bank, on behalf of the Lee family, is looking to raise up to US$1.6bn via selling 0.5% of Samsung Electronics (005930 KS)

Sumeet Singh

EM by EM #20 Another Energy Squeeze in the Cards?

Emerging market central banks demonstrated their foresight in 2021, acting ahead of the curve. However, there is a looming concern that the...

Steno Research

The Market Leaders Hiding in Plain Sight

The long-term structure of global markets is seeing a loss of leadership by U.S. equities and emerging new leadership in Europe.

Cam Hui