Pan-Asia Catalysts/Events, Quiddity Advisors

Travis Lundy

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>Q1 saw record quarterly inflows by SOUTHBOUND investors at HK$435bn, beating the previous record of Q1 2021 by more than HK$100bn. The first three weeks in April were HK$168bn.</li>
<li>The fourth week (this past week) saw net outflows on low volume as SOUTHBOUND investors sold SOEs quite heavily. </li>
<li>9 of the top 10 Net Sells as % of Volume this past week had China, Beijing, or Shanghai as the first word in their name.</li>
</ul>


Q1 saw record quarterly inflows by SOUTHBOUND investors at HK$435bn, beating the previous record of Q1 2021 by more than HK$100bn. The first three weeks in April were HK$168bn.
The fourth week (this past week) saw net outflows on low volume as SOUTHBOUND investors sold SOEs quite heavily. 
9 of the top 10 Net Sells as % of Volume this past week had China, Beijing, or Shanghai as the first word in their name.


HK Connect SOUTHBOUND Flows (To 25 Apr 2025); First Net Sell in Ages, Led by Heavy SOE Selling

<ul>
<li>Q1 saw record quarterly inflows by SOUTHBOUND investors at HK$435bn, beating the previous record of Q1 2021 by more than HK$100bn. The first two weeks in April were HK$145bn. </li>
<li>The first two weeks in April were HK$145bn as what appeared to be national team, or equally patriotic buyers, showed up droves to buy financials, energy, telecoms, and big techs.</li>
<li>Included is a summary of important China Stocks-relevant news as I saw it this week, but frankly, the only thing that matters is the back and forth by the Donald.</li>
</ul>


Q1 saw record quarterly inflows by SOUTHBOUND investors at HK$435bn, beating the previous record of Q1 2021 by more than HK$100bn. The first two weeks in April were HK$145bn. 
The first two weeks in April were HK$145bn as what appeared to be national team, or equally patriotic buyers, showed up droves to buy financials, energy, telecoms, and big techs.
Included is a summary of important China Stocks-relevant news as I saw it this week, but frankly, the only thing that matters is the back and forth by the Donald.


HK Connect SOUTHBOUND Flows (To 11 Apr 2025); Record Net Buying

Derivatives and Quantitative Strategist

Gaudenz Schneider

Equity Derivatives

<ul>
<li>
<a href="https://www.smartkarma.com/entities/tencent-holdings-ltd" target="_blank" data-smartkarma-citation="entities:26:1" rel="noopener">Tencent (700 HK)</a> has surged 33.5% over the past 30 days, with its spot price outpacing the slow adjustment of call option strikes, shifting most contracts from out-of-the-money to in-the-money.</li>
<li>The current concentration of in-the-money calls hints at active trading and potential strike adjustments ahead, amplified by upcoming events like the 19 March earnings.</li>
<li>This analysis features a novel animated chart of option open interest distribution offering a dynamic visual of market behavior.</li>
</ul>



Tencent (700 HK) has surged 33.5% over the past 30 days, with its spot price outpacing the slow adjustment of call option strikes, shifting most contracts from out-of-the-money to in-the-money.
The current concentration of in-the-money calls hints at active trading and potential strike adjustments ahead, amplified by upcoming events like the 19 March earnings.
This analysis features a novel animated chart of option open interest distribution offering a dynamic visual of market behavior.


Tencent (700 HK) - Surging Price, Strikes, and Volatility. A Novel Look with an Animated Chart

<ul>
<li>Over the past five trading days, <a href="https://www.smartkarma.com/entities/tencent-holdings-ltd" target="_blank" data-smartkarma-citation="entities:26:1" rel="noopener">Tencent (700 HK)</a> multi-leg option strategies showcased a variety of approaches. Strategy highlights and volatility context are provided.</li>
<li>With short-term implied volatility below its median, long volatility strategies dominate, with a balanced mix of bullish and bearish positions. </li>
<li>Open interest spread across monthly and quarterly expiries, with some notable strategies taking advantage of longer expiration dates, and a steep negatively sloped skew $475.</li>
</ul>


Over the past five trading days, Tencent (700 HK) multi-leg option strategies showcased a variety of approaches. Strategy highlights and volatility context are provided.
With short-term implied volatility below its median, long volatility strategies dominate, with a balanced mix of bullish and bearish positions. 
Open interest spread across monthly and quarterly expiries, with some notable strategies taking advantage of longer expiration dates, and a steep negatively sloped skew $475.


Tencent (700 HK): Volatility Plays and Skew Top Trades

Asia Pac IPO & Placement Research, China biotech, Aequitas Research

Ke Yan, CFA, FRM

Asia Pac IPO & Placement Research, China biotech

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Equity Bottom-Up

<ul>
<li>China announced game approval for the March batch. The number of games approved remained at a higher level than 2023.</li>
<li>The pace of China game approval appears to have accelerated to the same level as pre-tightening. We see pick up in approval rate this month.</li>
<li>Both Tencent and Netease received approval for one game. In addition, Kingsoft received approval for its legendary Sword Heroes series.</li>
</ul>


China announced game approval for the March batch. The number of games approved remained at a higher level than 2023.
The pace of China game approval appears to have accelerated to the same level as pre-tightening. We see pick up in approval rate this month.
Both Tencent and Netease received approval for one game. In addition, Kingsoft received approval for its legendary Sword Heroes series.


Tencent/Netease: One Game Approved Each in March

China

Tencent Holdings Limited operates as an investment holding company. The Company, through its subsidiaries, provides Internet and mobile value-added services (VAS), online advertising, and e-commerce transactions. Tencent Holdings offers services to users worldwide.

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

Tencent (700 HK)

HK Connect SOUTHBOUND Flows (To 25 Apr 2025); First Net Sell in Ages, Led by Heavy SOE Selling

SOUTHBOUND activity low again this 4-day week. Trade tantrums not helping, but markets up despite SOUTHBOUND net selling for the first time in a...

Travis Lundy

HK Connect SOUTHBOUND Flows (To 11 Apr 2025); Record Net Buying

SOUTHBOUND saw a record week of net buying of HK at +82.25bn. Tech (including Consumer Disc name Alibaba) were the big net buys. SOE banks, tech,...

Travis Lundy

Tencent (700 HK) - Surging Price, Strikes, and Volatility. A Novel Look with an Animated Chart

Tencent's stock surge has led to a slow adjustment of call option strikes, shifting most contracts from out-of-the-money to in-the-money. A novel...

Gaudenz Schneider

Tencent (700 HK): Volatility Plays and Skew Top Trades

Strategies show dominance of long volatility approaches with a mix of bullish and bearish positions, taking advantage of longer expiration dates...

Gaudenz Schneider

Tencent/Netease: One Game Approved Each in March

We analyzed the game approval issued by NPPA for Chinese online game players for the month of March. Game approvals for large players are slow so...

Ke Yan, CFA, FRM

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

HK Connect SOUTHBOUND Flows (To 25 Apr 2025); First Net Sell in Ages, Led by Heavy SOE Selling

SOUTHBOUND activity low again this 4-day week. Trade tantrums not helping, but markets up despite SOUTHBOUND net selling for the first time in a...

Travis Lundy

HK Connect SOUTHBOUND Flows (To 11 Apr 2025); Record Net Buying

SOUTHBOUND saw a record week of net buying of HK at +82.25bn. Tech (including Consumer Disc name Alibaba) were the big net buys. SOE banks, tech,...

Travis Lundy

Tencent (700 HK) - Surging Price, Strikes, and Volatility. A Novel Look with an Animated Chart

​Tencent's stock surge has led to a slow adjustment of call option strikes, shifting most contracts from out-of-the-money to in-the-money. A novel...

Gaudenz Schneider

Tencent (700 HK): Volatility Plays and Skew Top Trades

Strategies show dominance of long volatility approaches with a mix of bullish and bearish positions, taking advantage of longer expiration dates...

Gaudenz Schneider

Tencent/Netease: One Game Approved Each in March

We analyzed the game approval issued by NPPA for Chinese online game players for the month of March. Game approvals for large players are slow so...

Ke Yan, CFA, FRM

Tencent's stock surge has led to a slow adjustment of call option strikes, shifting most contracts from out-of-the-money to in-the-money. A novel...