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/advantest-corp" target="_blank" data-smartkarma-citation="entities:18107:1" rel="noopener">Advantest Corp (6857 JP)</a>'s weight in the <a href="https://www.smartkarma.com/entities/nikkei-225" target="_blank" data-smartkarma-citation="entities:22909:1" rel="noopener">Nikkei 225 (NKY INDEX)</a> has crossed 10% and staying there will lead to capping at the March rebalance.</li>
<li>A lot of <a href="https://www.smartkarma.com/entities/advantest-corp" target="_blank" data-smartkarma-citation="entities:18107:1" rel="noopener">Advantest Corp (6857 JP)</a>'s float is held by passive trackers, and the real float is much lower. The capping will increase that float significantly.</li>
<li>
<a href="https://www.smartkarma.com/entities/advantest-corp" target="_blank" data-smartkarma-citation="entities:18107:1" rel="noopener">Advantest Corp (6857 JP)</a> has outperformed its peers significantly and trades at higher valuation metrics compared to its peers.</li>
</ul>



Advantest Corp (6857 JP)'s weight in the Nikkei 225 (NKY INDEX) has crossed 10% and staying there will lead to capping at the March rebalance.
A lot of Advantest Corp (6857 JP)'s float is held by passive trackers, and the real float is much lower. The capping will increase that float significantly.

Advantest Corp (6857 JP) has outperformed its peers significantly and trades at higher valuation metrics compared to its peers.


Advantest (6857 JP): Rally Leads to Potential NKY Capping

Equity/Index & Cross Asset Volatility Specialist, Cameron Design

Jay Cameron

Equity/Index & Cross Asset Volatility Specialist

Cameron Design

We specialize in financial products and volatility. Our strategies balance speed, data, and risk control to capture opportunities across global markets. Our research leverages AI and data analytics to continuously refine our algorithms and adapt to evolving market dynamics.

Equity Derivatives

<ul>
<li>Advantest, a leader in semiconductor testing, is uniquely positioned to capitalize on the AI chip rally, driven by increasing complexity and the critical need for stringent testing in next-generation devices.</li>
<li>Record-Breaking financial performance and strategic capacity expansions signal long-term growth, despite anticipated near-term revenue fluctuations, setting the stage for future market outperformance.</li>
<li>Technological dominance in areas like chiplet architecture and advanced digital solutions further solidifies Advantest's structural advantage, hinting at a compelling opportunity for discerning investors.</li>
</ul>


Advantest, a leader in semiconductor testing, is uniquely positioned to capitalize on the AI chip rally, driven by increasing complexity and the critical need for stringent testing in next-generation devices.
Record-Breaking financial performance and strategic capacity expansions signal long-term growth, despite anticipated near-term revenue fluctuations, setting the stage for future market outperformance.
Technological dominance in areas like chiplet architecture and advanced digital solutions further solidifies Advantest's structural advantage, hinting at a compelling opportunity for discerning investors.


Advantest: Tests Are the Unsung Hero of the AI Chip Rally

<ul>
<li>A compelling investment strategy focused on high-quality Japanese equities, selected for strong financial health and growth prospects. This approach targets companies offering stability and long-term appreciation.</li>
<li>The portfolio emphasizes industrial, automation, pharma, and technology hardware sectors, balanced with a tactical volatility trading approach. This strategy aims to enhance returns while managing short-term market fluctuations.</li>
<li>Otsuka Holdings is highlighted as a core pharma pick. Screen and Hirose Electric are strong value picks in manufacturing and electronic tech, contributing to the portfolio's quality and value focus.</li>
</ul>


A compelling investment strategy focused on high-quality Japanese equities, selected for strong financial health and growth prospects. This approach targets companies offering stability and long-term appreciation.
The portfolio emphasizes industrial, automation, pharma, and technology hardware sectors, balanced with a tactical volatility trading approach. This strategy aims to enhance returns while managing short-term market fluctuations.
Otsuka Holdings is highlighted as a core pharma pick. Screen and Hirose Electric are strong value picks in manufacturing and electronic tech, contributing to the portfolio's quality and value focus.


Otsuka, Hirose Electric, Screen, Advantest: The Value Seeker Portfolio and NK Options

<ul>
<li>Nintendo is poised for a significant growth phase, driven by its new console and an expansive intellectual property ecosystem, promising sustained financial performance.</li>
<li>Strategic capacity expansion and a robust balance sheet position Nintendo to capitalize on strong demand, mitigating risks and reinforcing its market leadership.</li>
<li>Despite potential market volatility and competitive pressures, aggressive production targets and a strong financial foundation suggest a compelling investment opportunity.</li>
</ul>


Nintendo is poised for a significant growth phase, driven by its new console and an expansive intellectual property ecosystem, promising sustained financial performance.
Strategic capacity expansion and a robust balance sheet position Nintendo to capitalize on strong demand, mitigating risks and reinforcing its market leadership.
Despite potential market volatility and competitive pressures, aggressive production targets and a strong financial foundation suggest a compelling investment opportunity.


Nintendo and the Switch 2: An Options Menu

Derivatives and Quantitative Strategist

Gaudenz Schneider

<ul>
<li>
Context: <a href="https://www.smartkarma.com/entities/toyota-motor-corp" target="_blank" data-smartkarma-citation="entities:73:1" rel="noopener">Toyota Motor (7203 JP)</a> rallied 3.2% in Wednesday's morning session. Quantitative models highlight potential for a short-term pull-back.</li>
<li>
Trade Idea: Three actionable option strategies with a bearish tilt are presented, taking advantage of current implied volatility levels and skew.</li>
<li>
Why Read: This Insight combines directional analysis with volatility signals, highlighting a tactical options strategy where high implied volatility and bearish probabilities align, offering investors defined risk/reward.</li>
</ul>



Context: Toyota Motor (7203 JP) rallied 3.2% in Wednesday's morning session. Quantitative models highlight potential for a short-term pull-back.

Trade Idea: Three actionable option strategies with a bearish tilt are presented, taking advantage of current implied volatility levels and skew.

Why Read: This Insight combines directional analysis with volatility signals, highlighting a tactical options strategy where high implied volatility and bearish probabilities align, offering investors defined risk/reward.


Toyota (7203 JP) Up 3.2% Today: Tactical Bearish Option Strategies as Pullback Looms

Japan

The Nikkei-225 Stock Average is a price-weighted average of 225 top-rated Japanese companies listed in the First Section of the Tokyo Stock Exchange. The Nikkei Stock Average was first published on May 16, 1949, where the average price was ¥176.21 with a divisor of 225. 

Nikkei 225 (NKY INDEX)

Advantest (6857 JP): Rally Leads to Potential NKY Capping

Following today's rally, Advantest's weight in the Nikkei225 is ~11.2%. At that level, the stock will be capped in March and then again in...

Brian Freitas

Advantest: Tests Are the Unsung Hero of the AI Chip Rally

US-China meeting to potentially work out a deal on the newly declared 100% tariff on top of previous tariffs on Chinese made goods. No guarantees...

Jay Cameron

Otsuka, Hirose Electric, Screen, Advantest: The Value Seeker Portfolio and NK Options

High quality value portfolio for stability and long-term growth, with focus on industrial, automation, pharma, technology hardware sectors. Otsuka...

Jay Cameron

Nintendo and the Switch 2: An Options Menu

Nintendo's new console and strong IP ecosystem set the stage for significant growth, backed by strategic expansion and a solid financial position.

Jay Cameron

Toyota (7203 JP) Up 3.2% Today: Tactical Bearish Option Strategies as Pullback Looms

Explore three actionable bearish option strategies as Toyota (7203 JP) rallies 3.5%. Capitalize on elevated volatility and flat skew while...

Gaudenz Schneider

Advantest (6857 JP): Rally Leads to Potential NKY Capping

Following today's rally, Advantest's weight in the Nikkei225 is ~11.2%. At that level, the stock will be capped in March and then again in...

Brian Freitas

Advantest: Tests Are the Unsung Hero of the AI Chip Rally

US-China meeting to potentially work out a deal on the newly declared 100% tariff on top of previous tariffs on Chinese made goods. No guarantees...

Jay Cameron

Otsuka, Hirose Electric, Screen, Advantest: The Value Seeker Portfolio and NK Options

High quality value portfolio for stability and long-term growth, with focus on industrial, automation, pharma, technology hardware sectors. Otsuka...

Jay Cameron

Nintendo and the Switch 2: An Options Menu

​Nintendo's new console and strong IP ecosystem set the stage for significant growth, backed by strategic expansion and a solid financial position.

Jay Cameron

Toyota (7203 JP) Up 3.2% Today: Tactical Bearish Option Strategies as Pullback Looms

Explore three actionable bearish option strategies as Toyota (7203 JP) rallies 3.5%. Capitalize on elevated volatility and flat skew while...

Gaudenz Schneider

Nintendo's new console and strong IP ecosystem set the stage for significant growth, backed by strategic expansion and a solid financial position.