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

Guotai Junan Securities   / Index Rebalance

<ul>
<li>There could be 23 changes for the CSI A500 Index at the December rebalance. Turnover is estimated at 2.9% and the round-trip trade is around US$1.6bn.</li>
<li>There is a fair amount of balance between sectors with Consumer Discretionary and Health Care expected to lose index spots to Industrials, Information Technology and Materials.</li>
<li>The forecast adds outperformed the forecast deletes from June-September but have given up gains since then. Position in stocks that will have same-way flows from passive trackers of other indices.</li>
</ul>


There could be 23 changes for the CSI A500 Index at the December rebalance. Turnover is estimated at 2.9% and the round-trip trade is around US$1.6bn.
There is a fair amount of balance between sectors with Consumer Discretionary and Health Care expected to lose index spots to Industrials, Information Technology and Materials.
The forecast adds outperformed the forecast deletes from June-September but have given up gains since then. Position in stocks that will have same-way flows from passive trackers of other indices.


CSI A500 Index Rebalance Preview: Bunch of Changes to Lead to US$1.6bn Trade

Shandong Himile Mechanical Science & Technology / Index Rebalance

Shandong Himile Mechanical Science & Technology

<ul>
<li>There could be 18 changes for the CSI A500 Index at the June rebalance. Turnover is estimated at 1.7% and the round-trip trade is around US$1bn.</li>
<li>The index was launched in September 2024, and the passive trackers have taken in a chunk of money since then. The flows to the stocks add to other index flows.</li>
<li>A long add/short deletes trade has been stable over the last few months. The forecast adds could outperform following announcement of the index changes on Friday.</li>
</ul>


There could be 18 changes for the CSI A500 Index at the June rebalance. Turnover is estimated at 1.7% and the round-trip trade is around US$1bn.
The index was launched in September 2024, and the passive trackers have taken in a chunk of money since then. The flows to the stocks add to other index flows.
A long add/short deletes trade has been stable over the last few months. The forecast adds could outperform following announcement of the index changes on Friday.


CSI A500 Index Rebalance Preview: Many Changes Expected; US$1bn Trade

Articles from Caixin Global, Caixin Global

Caixin Global

Articles from Caixin Global

Caixin is a media group dedicated to providing financial and business news through periodicals, online content, mobile apps, conferences, books and TV/video programs. Caixin aims to blaze a trail that helps traditional media prosper in the new media age through integrated multimedia platforms.

News from Caixin

Cross Asset Strategy

<ul><li>Cover Story: The Covid-fighting struggle of China’s nursing homes</li><li>Beijing probes whether hospital Covid protocols contributed to man’s death</li><li>China draws from next year’s budget for local government handouts</li></ul>

Cover Story: The Covid-fighting struggle of China’s nursing homesBeijing probes whether hospital Covid protocols contributed to man’s deathChina draws from next year’s budget for local government handouts

CX Daily: The Covid-Fighting Struggle of China’s Nursing Homes

Forensic Analyst

Jason Yap, CFA

Forensic Accounting

<ul>
<li>A balance sheet is also known as a "statement of financial position", it provides a snapshot of a company's assets and liabilities at a certain point in time</li>
<li>Given its relative significance as a barometer of a company's financial and operating efficiencies, the balance sheet is susceptible to fraudulent misstatements </li>
<li>In the 3rd and final part of this series, we discuss the Balance Sheet Shenanigans Key Metrics</li>
</ul>


A balance sheet is also known as a "statement of financial position", it provides a snapshot of a company's assets and liabilities at a certain point in time
Given its relative significance as a barometer of a company's financial and operating efficiencies, the balance sheet is susceptible to fraudulent misstatements 
In the 3rd and final part of this series, we discuss the Balance Sheet Shenanigans Key Metrics


Forensics 101 - Balance Sheet Shenanigans and Key Detection Metrics

Kangmei Pharmaceutical Co Ltd / Forensic Accounting

<ul>
<li>Kangmei Pharmaceutical is a large drugmaker listed on the Shanghai Stock Exchange and was embroiled in a USD4 billion accounting fraud in 2019</li>
<li>On 12 November 2021, the Guangzhou court made a landmark ruling on Class Action Lawsuit against Kangmei Pharmaceutical </li>
<li>This increases the costs of fraud (including potential criminal charges) for delinquent issuers and should reduce fraud occurrences and boost investor confidence in China's capital markets  </li>
</ul>


Kangmei Pharmaceutical is a large drugmaker listed on the Shanghai Stock Exchange and was embroiled in a USD4 billion accounting fraud in 2019
On 12 November 2021, the Guangzhou court made a landmark ruling on Class Action Lawsuit against Kangmei Pharmaceutical 
This increases the costs of fraud (including potential criminal charges) for delinquent issuers and should reduce fraud occurrences and boost investor confidence in China's capital markets  


Kangmei Pharmaceutical (600518 CH) - First Class Action Lawsuit in China and Its Implications

China

Kangmei Pharmaceutical Co., Ltd. develops, produces, and sells medicines that are used for the treatment of high blood pressure and cold.  The Company also pr oduces antibiotic drugs and health care products. Kangmei also sells other manufacturers' medical products through its wholesale and retail chain.

Kangmei Pharmaceutical Co Ltd (600518 CH)

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Kangmei Pharmaceutical Co Ltd (600518 CH)

CSI A500 Index Rebalance Preview: Bunch of Changes to Lead to US$1.6bn Trade

There could be 23 changes for the CSI A500 Index at the Dec rebal. Estimated turnover is 2.9% and round-trip trade is US$1.6bn. Adds outperformed...

Brian Freitas

CSI A500 Index Rebalance Preview: Many Changes Expected; US$1bn Trade

We identify 18 potential changes for the CSI A500 Index. The index was launched in Sep 24 and has taken in a lot of AUM very quickly. The flows to...

Brian Freitas

CX Daily: The Covid-Fighting Struggle of China’s Nursing Homes

Cover Story: The Covid-fighting struggle of China’s nursing homes. Beijing probes whether hospital Covid protocols contributed to man’s death

Caixin Global

Forensics 101 - Balance Sheet Shenanigans and Key Detection Metrics

A balance sheet provides a snapshot of a company's assets and liabilities. Given its significance as barometer of financial strength, it is...

Jason Yap, CFA

Kangmei Pharmaceutical (600518 CH) - First Class Action Lawsuit in China and Its Implications

Guangzhou courts made a landmark ruling on a Class Action Lawsuit against Kangmei Pharmaceutical This increases the costs of fraud and would boost...

Jason Yap, CFA

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)