Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Korea/Asia, Events, IPOs

Cross Asset Strategy

<ul>
<li>In this insight, we discuss numerous gap trades involving Korean preferred and common shares in 1Q 2023. </li>
<li>The pref/common shares ratio of the 28 companies in this insight declined from 68.9% on 16 July 2022 to 65% on 16 January 2023, which is a short term reversal.</li>
<li>We see some attractive longer-term opportunities for Amorepacific Corp, Doosan Fuel Cell, LG H&amp;H, and LG Chem, which have high discounts for the preferred shares versus their counterpart common shares.</li>
</ul>


In this insight, we discuss numerous gap trades involving Korean preferred and common shares in 1Q 2023. 
The pref/common shares ratio of the 28 companies in this insight declined from 68.9% on 16 July 2022 to 65% on 16 January 2023, which is a short term reversal.
We see some attractive longer-term opportunities for Amorepacific Corp, Doosan Fuel Cell, LG H&amp;H, and LG Chem, which have high discounts for the preferred shares versus their counterpart common shares.


Gap Trades in Korean Prefs Vs Common Share Pairs in 1Q 2023

CEO, Helixtap

Farah Miller

Global Commodities Alternative Data and Insights

Helixtap

Helixtap collects, processes and distributes proprietary data, analyses and forecasts for the rubber, latex and automotive markets

Commodities

<ul><li>DGTR posed ADD of $266 & $243 per ton on EU, Thai suppliers </li><li>Kumho faced $33.95/ton, other Korean suppliers $64.00/ton</li><li>Indian Finance Ministry rejects DGTR recommendations</li></ul>

DGTR posed ADD of $266 & $243 per ton on EU, Thai suppliers Kumho faced $33.95/ton, other Korean suppliers $64.00/tonIndian Finance Ministry rejects DGTR recommendations

India Rejects Plea For SBR ADD On EU, Korea, Thai Suppliers

<ul>
<li>In this insight, we provide a ranking of all the KOSPI 200 stocks, in terms of their treasury shares as a percentage of total outstanding shares.</li>
<li>We highlight 29 companies whose treasury shares/outstanding shares are more than 10%. These companies' values could be improved significantly if treasury shares are cancelled. </li>
<li>The potential implementation of compulsory tender offer in the next 2-3 years is likely to put increased focus on Korean companies with especially large levels of treasury shares/total outstanding shares. </li>
</ul>


In this insight, we provide a ranking of all the KOSPI 200 stocks, in terms of their treasury shares as a percentage of total outstanding shares.
We highlight 29 companies whose treasury shares/outstanding shares are more than 10%. These companies' values could be improved significantly if treasury shares are cancelled. 
The potential implementation of compulsory tender offer in the next 2-3 years is likely to put increased focus on Korean companies with especially large levels of treasury shares/total outstanding shares. 


Treasury Shares as % of Total Outstanding Shares: Screening for Potential Activist Candidates

<div class="content-highlight">
<p>On 28 May, Korea's National Pension Fund (NPS) announced its new <a href="https://news.mt.co.kr/mtview.php?no=2021052820172973220" target="_blank" rel="noopener">5 year plan</a> to reduce the asset allocation of Korean equities to 14.5% of total assets at the end of 2026, down from the current target of 16.8% of total assets at the end of 2021. NPS now is targeting overseas equity asset allocation targets to increase from 25.1% at the end of 2021 to 35.5% at the end of 2026.</p>
<p>NPS is targeting equity, fixed income and alternative assets to account for 50%, 35%, and 15% of total assets by the end of 2026. NPS has set an annual expected return of 5.1% for its total invested assets from 2021 to 2026.</p>
</div>


On 28 May, Korea's National Pension Fund (NPS) announced its new 5 year plan to reduce the asset allocation of Korean equities to 14.5% of total assets at the end of 2026, down from the current target of 16.8% of total assets at the end of 2021. NPS now is targeting overseas equity asset allocation targets to increase from 25.1% at the end of 2021 to 35.5% at the end of 2026.
NPS is targeting equity, fixed income and alternative assets to account for 50%, 35%, and 15% of total assets by the end of 2026. NPS has set an annual expected return of 5.1% for its total invested assets from 2021 to 2026.


NPS Announces A Reduction in Asset Allocation in Korean Equities to 14.5% of Assets by 2026

<div class="content-highlight"><p>In this insight, we discuss about the winners and losers among the top 100 stocks in KOSPI, especially in the most recent <strong>"KOSPI Box trading range"</strong> lasting from 8 January to 10 February 2021 (see chart below). Sometimes, finding out what stocks and sectors outperform in a box trading range could lead to some<strong> clues</strong> in helping to understand what stocks and sectors could outperform in the coming weeks. From 8 January to 10 February, KOSPI has been trading in a box range and its is down slightly (1.6%) in this period. </p></div>

In this insight, we discuss about the winners and losers among the top 100 stocks in KOSPI, especially in the most recent "KOSPI Box trading range" lasting from 8 January to 10 February 2021 (see chart below). Sometimes, finding out what stocks and sectors outperform in a box trading range could lead to some clues in helping to understand what stocks and sectors could outperform in the coming weeks. From 8 January to 10 February, KOSPI has been trading in a box range and its is down slightly (1.6%) in this period. 

Winners & Losers in the KOSPI Box Trading Range & Return of Money Velocity Post End of Lock Down?

South Korea

Kumho Petrochemical Co., Ltd. manufactures synthetic rubbers, synthetic resins, and rubber chemicals.  The Company's products include styrene butadiene, acrylonitrile butadiene, polystyrene, expandable polystyrene, and antioxidant.  Kumho Petrochemical provides construction, transportation, and financial services through its subsidiaries.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Kumho Petro Chemical (011780 KS)

India Rejects Plea For SBR ADD On EU, Korea, Thai Suppliers

The Indian Government has rejected the recommendation of the Director General of Trade Remedies (DGTR) under the Indian Department of Commerce to...

Helixtap

Treasury Shares as % of Total Outstanding Shares: Screening for Potential Activist Candidates

In this insight, we provide a ranking of all the KOSPI 200 stocks, in terms of their treasury shares as a percentage of total outstanding shares.

Douglas Kim

NPS Announces A Reduction in Asset Allocation in Korean Equities to 14.5% of Assets by 2026

On 28 May, NPS announced its new 5 year plan to reduce the asset allocation of Korean equities to 14.5% of total assets at the end of 2026, down...

Douglas Kim

Winners & Losers in the KOSPI Box Trading Range & Return of Money Velocity Post End of Lock Down?

In this insight, we discuss about the winners and losers among the top 100 stocks in KOSPI, especially in the most recent "KOSPI Box trading range"...

Douglas Kim

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Gap Trades in Korean Prefs Vs Common Share Pairs in 1Q 2023

We see some attractive longer-term opportunities for Amorepacific Corp, Doosan Fuel Cell, LG H&H, and LG Chem, which have high discounts for...

Douglas Kim

India Rejects Plea For SBR ADD On EU, Korea, Thai Suppliers

The Indian Government has rejected the recommendation of the Director General of Trade Remedies (DGTR) under the Indian Department of Commerce to...

Helixtap

Treasury Shares as % of Total Outstanding Shares: Screening for Potential Activist Candidates

In this insight, we provide a ranking of all the KOSPI 200 stocks, in terms of their treasury shares as a percentage of total outstanding shares.

Douglas Kim

NPS Announces A Reduction in Asset Allocation in Korean Equities to 14.5% of Assets by 2026

On 28 May, NPS announced its new 5 year plan to reduce the asset allocation of Korean equities to 14.5% of total assets at the end of 2026, down...

Douglas Kim

Winners & Losers in the KOSPI Box Trading Range & Return of Money Velocity Post End of Lock Down?

In this insight, we discuss about the winners and losers among the top 100 stocks in KOSPI, especially in the most recent "KOSPI Box trading range"...

Douglas Kim