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

<ul>
<li>
<a href="https://www.smartkarma.com/entities/hon-precision-inc" target="_blank" data-smartkarma-citation="entities:44938:1" rel="noopener">Hon Precision (7769 TT)</a> should be added to a global index in February and then to a country index in March.</li>
<li>Following the run-up in the stock, <a href="https://www.smartkarma.com/entities/hon-precision-inc" target="_blank" data-smartkarma-citation="entities:44938:1" rel="noopener">Hon Precision (7769 TT)</a> now trades at a higher forward EV/EBITDA and forward PE compared to the average and median of its peer group.</li>
<li>While there has been an increase in positioning, we see a similar trend in peers. The rally could have legs for a while longer.</li>
</ul>



Hon Precision (7769 TT) should be added to a global index in February and then to a country index in March.
Following the run-up in the stock, Hon Precision (7769 TT) now trades at a higher forward EV/EBITDA and forward PE compared to the average and median of its peer group.
While there has been an increase in positioning, we see a similar trend in peers. The rally could have legs for a while longer.


HonPrecision (7769 TT): TWSE Listing & Stock Run-Up Leads to Double Index Inclusion

Taiwan Tech Focused Senior Analyst

Patrick Liao

Equity Bottom-Up

TSMC (Taiwan Semiconductor Manufacturing) / Equity Bottom-Up

TSMC (Taiwan Semiconductor Manufacturing) (TSM US)

TSMC (Taiwan Semiconductor Manufacturing)

<ul>
<li>1Q26 Outlook:  A. Revenue: 34.6-35.8B (+4% QoQ / +38% YoY)  B. FX: 31.6  C. GM: 63-65%  D. OPM: 54-56%  </li>
<li>Overall UTR to increase slightly; N3 GM to exceed company average at some point this year.  2nm to start diluting GM in 2H26.</li>
<li>Don’t know if semiconductor cycle can sustain 3-5 years, but AI will continue for several years.</li>
</ul>


1Q26 Outlook:  A. Revenue: 34.6-35.8B (+4% QoQ / +38% YoY)  B. FX: 31.6  C. GM: 63-65%  D. OPM: 54-56%  
Overall UTR to increase slightly; N3 GM to exceed company average at some point this year.  2nm to start diluting GM in 2H26.
Don’t know if semiconductor cycle can sustain 3-5 years, but AI will continue for several years.


TSMC (2330.TT; TSM.US): 2026: ~30% YoY Growth Amid Geopolitical & Demand Risks

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

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.

Quantitative Analysis

<ul>
<li>We analyzed the changes in foreign holdings of TWSE Stocks as of Jan 9th. The aggregated holding was USD1,505.7bn.</li>
<li>We estimate that foreign flows to be outflows of USD1,877mln. We tabulate the league tables for top changes by value for 1W/4W/1Y and top stocks held by foreign institutions.</li>
<li>We highlight changes of foreign holdings in TSMC, Hon Hai Precision, Delta Electronics, UMC, MediaTek.</li>
</ul>


We analyzed the changes in foreign holdings of TWSE Stocks as of Jan 9th. The aggregated holding was USD1,505.7bn.
We estimate that foreign flows to be outflows of USD1,877mln. We tabulate the league tables for top changes by value for 1W/4W/1Y and top stocks held by foreign institutions.
We highlight changes of foreign holdings in TSMC, Hon Hai Precision, Delta Electronics, UMC, MediaTek.


TWSE Foreign Holding Weekly (Jan 9th): TSMC, Hon Hai Precision, Delta Electronics, UMC, MediaTek

<ul>
<li>We analyzed the changes in short interest of TWSE Stocks as of Jan 9th. The aggregated short interest was USD28.8bn.</li>
<li>We tabulate league tables for top short by value and short as multiple of ADT, as well as weekly increases &amp; decreases in short value, short as multiple of ADT.</li>
<li>We highlight short interest changes in Chailease, Fortune Electric, Alchip Technologies, Innolux, LARGAN Precision.</li>
</ul>


We analyzed the changes in short interest of TWSE Stocks as of Jan 9th. The aggregated short interest was USD28.8bn.
We tabulate league tables for top short by value and short as multiple of ADT, as well as weekly increases &amp; decreases in short value, short as multiple of ADT.
We highlight short interest changes in Chailease, Fortune Electric, Alchip Technologies, Innolux, LARGAN Precision.


TWSE Short Interest Weekly (Jan 9th): Chailease, Fortune Electric, Alchip Technologies, Innolux

Index Rebal/Special Situations, Quiddity Advisors

Janaghan Jeyakumar, CFA

Index Rebal/Special Situations

Quiddity Advisors

Pan-Asia Catalysts/Events

<ul>
<li>The T50 index represents the top 50 largest stocks by market capitalization in the Taiwan Stock Exchange (TWSE). The T100 index represents the next 100 largest names (51-150 ranks).</li>
<li>In this insight, we take a look at the potential ADDs and DELs for the March 2026 index rebal event.</li>
<li>We expect four changes for T50 including an addition triggered by a change in listing venue. Separately, some of the T100 expected DELs are also expected DELs for TDIV.</li>
</ul>


The T50 index represents the top 50 largest stocks by market capitalization in the Taiwan Stock Exchange (TWSE). The T100 index represents the next 100 largest names (51-150 ranks).
In this insight, we take a look at the potential ADDs and DELs for the March 2026 index rebal event.
We expect four changes for T50 including an addition triggered by a change in listing venue. Separately, some of the T100 expected DELs are also expected DELs for TDIV.


Quiddity Leaderboard T50/​​​100 Mar26: Couple of TDIV Deletions Likely as Things Stand

Taiwan

King Yuan Electronics Co., Ltd. provides integrated circuit (IC) testing services to semiconductor manufacturers.  The Company tests the logic, memory, and burn-in functions of ICs.  King Yuan also specializes in IC reeling, packaging, and wafer grinding.

Price Gauge
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King Yuan Electronics Co, Ltd. (2449 TT)

HonPrecision (7769 TT): TWSE Listing & Stock Run-Up Leads to Double Index Inclusion

HonPrecision should be added to a global index in Feb and a country ETF in March. There will be nearly US$800m to buy in the stock. Price momentum...

Brian Freitas

TSMC (2330.TT; TSM.US): 2026: ~30% YoY Growth Amid Geopolitical & Demand Risks

1Q26 Outlook: Revenue to increase by 4% QoQ and 38% YoY, with GM expected to exceed company average. Uncertainty in semiconductor cycle, but AI...

Patrick Liao

TWSE Foreign Holding Weekly (Jan 9th): TSMC, Hon Hai Precision, Delta Electronics, UMC, MediaTek

We analyzed TWSE foreign holding data for the past week and highlighted foreign holding changes in TSMC, Hon Hai Precision, Delta Electronics, UMC,...

Ke Yan, CFA, FRM

TWSE Short Interest Weekly (Jan 9th): Chailease, Fortune Electric, Alchip Technologies, Innolux

We analyzed TWSE short interest report for the past week and highlighted short interest changes in Chailease, Fortune Electric, Alchip...

Ke Yan, CFA, FRM

Quiddity Leaderboard T50/100 Mar26: Couple of TDIV Deletions Likely as Things Stand

When TDIV members get deleted from the T100 index, they get deleted from the TDIV index too which triggers major index outflows for those stocks....

Janaghan Jeyakumar, CFA

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

HonPrecision (7769 TT): TWSE Listing & Stock Run-Up Leads to Double Index Inclusion

HonPrecision should be added to a global index in Feb and a country ETF in March. There will be nearly US$800m to buy in the stock. Price momentum...

Brian Freitas

TSMC (2330.TT; TSM.US): 2026: ~30% YoY Growth Amid Geopolitical & Demand Risks

​1Q26 Outlook: Revenue to increase by 4% QoQ and 38% YoY, with GM expected to exceed company average. Uncertainty in semiconductor cycle, but AI...

Patrick Liao

TWSE Foreign Holding Weekly (Jan 9th): TSMC, Hon Hai Precision, Delta Electronics, UMC, MediaTek

We analyzed TWSE foreign holding data for the past week and highlighted foreign holding changes in TSMC, Hon Hai Precision, Delta Electronics, UMC,...

Ke Yan, CFA, FRM

TWSE Short Interest Weekly (Jan 9th): Chailease, Fortune Electric, Alchip Technologies, Innolux

We analyzed TWSE short interest report for the past week and highlighted short interest changes in Chailease, Fortune Electric, Alchip...

Ke Yan, CFA, FRM

Quiddity Leaderboard T50/​​​100 Mar26: Couple of TDIV Deletions Likely as Things Stand

When TDIV members get deleted from the T100 index, they get deleted from the TDIV index too which triggers major index outflows for those stocks....

Janaghan Jeyakumar, CFA

1Q26 Outlook: Revenue to increase by 4% QoQ and 38% YoY, with GM expected to exceed company average. Uncertainty in semiconductor cycle, but AI...

Quiddity Leaderboard T50/100 Mar26: Couple of TDIV Deletions Likely as Things Stand