Metals, Ores, and Mining Firms, Mint Finance

Pranay Yadav

Metals, Ores, and Mining Firms

Deep Fundamental Analysis

Mint Finance

Mint Finance's investment research blends deep fundamental analysis with technical & quant insights. Investment strategies straddle across multiple asset classes with risk management embedded into every trade to deliver an outsized reward-to-risk ratio.

Mint Finance's research is centered around three key themes. First, energy transition and climate change. Second, artificial intelligence. Third, shifting world order with its impact across politics and monetary economics.

Cross Asset Strategy

<ul>
<li>TSE market reforms are helping underperforming Japanese firms improve profitability. </li>
<li>Japanese equities remain undervalued relative to the US with lower P/E and PEG ratios. While Japanese firms still lag on CAPEX growth, dividend growth has been higher than the US.</li>
<li>Nikkei faces headwinds from the potential strengthening of the Yen as BoJ shifts towards less accommodative policy. For now, the impact is minimal. </li>
</ul>


TSE market reforms are helping underperforming Japanese firms improve profitability. 
Japanese equities remain undervalued relative to the US with lower P/E and PEG ratios. While Japanese firms still lag on CAPEX growth, dividend growth has been higher than the US.
Nikkei faces headwinds from the potential strengthening of the Yen as BoJ shifts towards less accommodative policy. For now, the impact is minimal. 


Despite Record Crushing Ascent, Japanese Stocks Remain Bullish

Head of Research and Global Chief Strategist, Steno Research

Andreas Steno

Head of Research and Global Chief Strategist

Macro and Geopolitical Research House

Steno Research

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>Welcome to our Monthly Macro Regime monitor.</li><li>Coming into March, we wrote that “We see little change to the optimistic and risk-favoring sentiment for March, and we thus remain in the goldilocks ‘Gung Ho’ regime.</li><li>With tailwinds from both liquidity and growth, we continue to see a great case for continuing to move/stay further out of the risk curve when it comes to allocation.</li></ul>

Welcome to our Monthly Macro Regime monitor.Coming into March, we wrote that “We see little change to the optimistic and risk-favoring sentiment for March, and we thus remain in the goldilocks ‘Gung Ho’ regime.With tailwinds from both liquidity and growth, we continue to see a great case for continuing to move/stay further out of the risk curve when it comes to allocation.

Macro Regime Indicator:  From Stealth QE to Stealth QT

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/disco-corp" target="_blank" data-smartkarma-citation="entities:15817:1" rel="noopener">DISCO (6146 JP)</a>, <a href="https://www.smartkarma.com/entities/socionext-inc" target="_blank" data-smartkarma-citation="entities:36351:1" rel="noopener">Socionext (6526 JP)</a> and <a href="https://www.smartkarma.com/entities/zozo-inc" target="_blank" data-smartkarma-citation="entities:18379:1" rel="noopener">ZOZO (3092 JP)</a> will replace <a href="https://www.smartkarma.com/entities/takara-holdings-inc" target="_blank" data-smartkarma-citation="entities:11074:1" rel="noopener">Takara Holdings (2531 JP)</a>, <a href="https://www.smartkarma.com/entities/sumitomo-osaka-cement-co-ltd" target="_blank" data-smartkarma-citation="entities:20460:1" rel="noopener">Sumitomo Osaka Cement (5232 JP)</a> and <a href="https://www.smartkarma.com/entities/pacific-metals-co-ltd" target="_blank" data-smartkarma-citation="entities:3439:1" rel="noopener">Pacific Metals (5541 JP)</a> in the <a href="https://www.smartkarma.com/entities/nikkei-225" target="_blank" data-smartkarma-citation="entities:22909:1" rel="noopener">Nikkei 225</a>.</li>
<li>
<a href="https://www.smartkarma.com/entities/nitori-holdings-co-ltd" target="_blank" data-smartkarma-citation="entities:20386:1" rel="noopener">Nitori Holdings (9843 JP)</a>'s PAF will increase from 0.3 to 0.5, and surprisingly there is no PAF adjustment for <a href="https://www.smartkarma.com/entities/zozo-inc" target="_blank" data-smartkarma-citation="entities:18379:1" rel="noopener">ZOZO Inc (3092 JP)</a>. </li>
<li>Passive trackers need to buy between 1-18 days of ADV on the adds while selling between 2.7-28 days of ADV on the deletes. There is a big funding trade too.</li>
</ul>



DISCO (6146 JP), Socionext (6526 JP) and ZOZO (3092 JP) will replace Takara Holdings (2531 JP), Sumitomo Osaka Cement (5232 JP) and Pacific Metals (5541 JP) in the Nikkei 225.

Nitori Holdings (9843 JP)'s PAF will increase from 0.3 to 0.5, and surprisingly there is no PAF adjustment for ZOZO Inc (3092 JP). 
Passive trackers need to buy between 1-18 days of ADV on the adds while selling between 2.7-28 days of ADV on the deletes. There is a big funding trade too.


Nikkei 225 Index Rebalance: DISCO, Socionext, ZOZO In; PacMetals, Sumitomo Osaka, Takara Holding Out

Quantitative Researcher, MRM Research

Nico Rosti

Quantitative Researcher

MRM Research

Quantitative Research

Equity Derivatives

<ul>
<li>The <a href="https://www.smartkarma.com/entities/nikkei-225" target="_blank" data-smartkarma-citation="entities:22909:1" rel="noopener">Nikkei 225 INDEX</a> has been rallying for &gt;3 months, rising more than 28%. Is it too much, too fast?</li>
<li>Short-Term, if we look at the Market Reversal Matrix's SHORT WEEKLY model for the index, it looks like it could either reverse within a couple of weeks, or stall.</li>
<li>Look for the ~41000 resistance area to place SHORT or hedge your LONG positions.</li>
</ul>


The Nikkei 225 INDEX has been rallying for &gt;3 months, rising more than 28%. Is it too much, too fast?
Short-Term, if we look at the Market Reversal Matrix's SHORT WEEKLY model for the index, it looks like it could either reverse within a couple of weeks, or stall.
Look for the ~41000 resistance area to place SHORT or hedge your LONG positions.


EQD | Nikkei 225 Flying High, Don't Burn Your Wings....

Junior Finance Analyst, Steno Research

Ulrik Simmelholt

Junior Finance Analyst

<ul><li>This week we are looking at the BoJ hiking rates for the first time since 2007 and its effects on the Japanese economy.</li><li>Afterwards we will have a look at the improving sentiment in Germany and then at a dive into the commodity rally currently underway.</li><li>The we’ll talk about Canada where rates finally look to be impacting the economy and then we’ll end up with a short look at US inflation expectations.</li></ul>

This week we are looking at the BoJ hiking rates for the first time since 2007 and its effects on the Japanese economy.Afterwards we will have a look at the improving sentiment in Germany and then at a dive into the commodity rally currently underway.The we’ll talk about Canada where rates finally look to be impacting the economy and then we’ll end up with a short look at US inflation expectations.

5 Things We Watch: BoJ, Germany, Commodities, Canada, Inflation

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)

Despite Record Crushing Ascent, Japanese Stocks Remain Bullish

TSE market reforms boost profitability for Japanese firms, undervalued compared to US equities. Nikkei faces potential headwinds from stronger Yen...

Mint Finance

Macro Regime Indicator: From Stealth QE to Stealth QT

Welcome to our Monthly Macro Regime monitor. Coming into March, we wrote that “We see little change to the optimistic and risk-favoring sentiment...

Steno Research

Nikkei 225 Index Rebalance: DISCO, Socionext, ZOZO In; PacMetals, Sumitomo Osaka, Takara Holding Out

The adds are all up since announcement, led by Zozo. Nitori is up too even though the upweight was knows. Two of the three deletes are lower....

Brian Freitas

EQD | Nikkei 225 Flying High, Don't Burn Your Wings....

The Nikkei 225 has surged over 28% in 3 months, prompting questions of whether it's too much too soon. Watch for a potential reversal within 2...

Nico Rosti

5 Things We Watch: BoJ, Germany, Commodities, Canada, Inflation

This week we are looking at the BoJ hiking rates for the first time since 2007 and its effects on the Japanese economy. Afterwards we will have a...

Steno Research

Despite Record Crushing Ascent, Japanese Stocks Remain Bullish

​TSE market reforms boost profitability for Japanese firms, undervalued compared to US equities. Nikkei faces potential headwinds from stronger Yen...

Mint Finance

Macro Regime Indicator: From Stealth QE to Stealth QT

Welcome to our Monthly Macro Regime monitor. Coming into March, we wrote that “We see little change to the optimistic and risk-favoring sentiment...

Steno Research

Nikkei 225 Index Rebalance: DISCO, Socionext, ZOZO In; PacMetals, Sumitomo Osaka, Takara Holding Out

The adds are all up since announcement, led by Zozo. Nitori is up too even though the upweight was knows. Two of the three deletes are lower....

Brian Freitas

EQD | Nikkei 225 Flying High, Don't Burn Your Wings....

​The Nikkei 225 has surged over 28% in 3 months, prompting questions of whether it's too much too soon. Watch for a potential reversal within 2...

Nico Rosti

5 Things We Watch: BoJ, Germany, Commodities, Canada, Inflation

This week we are looking at the BoJ hiking rates for the first time since 2007 and its effects on the Japanese economy. Afterwards we will have a...

Steno Research

TSE market reforms boost profitability for Japanese firms, undervalued compared to US equities. Nikkei faces potential headwinds from stronger Yen...

The Nikkei 225 has surged over 28% in 3 months, prompting questions of whether it's too much too soon. Watch for a potential reversal within 2...