Index Rebal Trades & Special Situations, Quiddity Advisors

Janaghan Jeyakumar, CFA

Index Rebal Trades & Special Situations

Quiddity Advisors

Pan-Asia Catalysts/Events

Index Rebalance

<ul>
<li>The HSCEI serves as a benchmark to reflect the overall performance of the top 50 "Mainland China" securities listed in Hong Kong.</li>
<li>The official index changes and indicative weights for the September 2025 index rebal event will be publicly announced after the close on Friday 22nd August 2025.</li>
<li>We continue to expect <a href="https://www.smartkarma.com/entities/pop-mart-international-group-l" target="_blank" data-smartkarma-citation="entities:29016:1" rel="noopener">Pop Mart (9992 HK)</a> to be an ADD and <a href="https://www.smartkarma.com/entities/j-t-global-express-ltd" target="_blank" data-smartkarma-citation="entities:36819:1" rel="noopener">J&amp;T Global Express (1519 HK)</a> to be a DEL in HSCEI in September 2025.</li>
</ul>


The HSCEI serves as a benchmark to reflect the overall performance of the top 50 "Mainland China" securities listed in Hong Kong.
The official index changes and indicative weights for the September 2025 index rebal event will be publicly announced after the close on Friday 22nd August 2025.
We continue to expect Pop Mart (9992 HK) to be an ADD and J&amp;T Global Express (1519 HK) to be a DEL in HSCEI in September 2025.


Quiddity Leaderboard HSCEI Sep25: One Index Change Possible; ~US$180mn One-Way; Announcement Soon

<ul>
<li>The HSTECH Index tracks the performance of the top 30 technology companies listed in Hong Kong that have high business exposure to certain technology themes.</li>
<li>The official index changes and indicative weights for the September 2025 index rebal event will be announced after the close on Friday 22nd August 2025.</li>
<li>We continue to expect one low-conviction index change for September 2025 and we estimate there to be capping flows of ~US$2.2bn one-way.</li>
</ul>


The HSTECH Index tracks the performance of the top 30 technology companies listed in Hong Kong that have high business exposure to certain technology themes.
The official index changes and indicative weights for the September 2025 index rebal event will be announced after the close on Friday 22nd August 2025.
We continue to expect one low-conviction index change for September 2025 and we estimate there to be capping flows of ~US$2.2bn one-way.


Quiddity Leaderboard HSTECH Sep25: GEELY up 15% Vs Peers; ~US$2.2bn One-Way; Announcement Soon

Derivatives and Quantitative Strategist

Gaudenz Schneider

Equity Derivatives

<ul>
<li>
Context:<a href="https://www.smartkarma.com/entities/tencent-holdings-ltd" target="_blank" data-smartkarma-citation="entities:26:1" rel="noopener">Tencent (700 HK)</a> reported 2Q25 results last week, beating expectations and fueling a 5.5% move in the stock.</li>
<li>
Market Reaction: Shares rallied while front-end options saw a pronounced volatility crush, rotating the term structure back into contango.</li>
<li>
Why Read: This note unpacks Tencent’s price action and the evolving volatility setup.</li>
</ul>



Context:Tencent (700 HK) reported 2Q25 results last week, beating expectations and fueling a 5.5% move in the stock.

Market Reaction: Shares rallied while front-end options saw a pronounced volatility crush, rotating the term structure back into contango.

Why Read: This note unpacks Tencent’s price action and the evolving volatility setup.


Tencent (700 HK): Rally Before Results, Options Market Repricing After

Head of Research, IPOs & Placements, Aequitas Research

Sumeet Singh

Head of Research, IPOs & Placements

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 Capital Markets

<ul>
<li>Aequitas Research's weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.</li>
<li>On the IPO front,  a number of companies are lining up to start 2H listing season, which is likely to be one of the busiest over the past few years.</li>
<li>On the placements front as well, given ongoing earnings annoucement there were only one large placement last week.</li>
</ul>


Aequitas Research's weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.
On the IPO front,  a number of companies are lining up to start 2H listing season, which is likely to be one of the busiest over the past few years.
On the placements front as well, given ongoing earnings annoucement there were only one large placement last week.


ECM Weekly (18 August 2025)- Eve Energy, CNGR, Will Semi, 52 Toys, JSW, Bluestone, Tuas, Hexaware

Chief Executive Officer, Emmer Capital Partners Limited

Manishi Raychaudhuri

Chief Executive Officer

Emmer Capital Partners Limited

Emmer Capital Partners is an Asia Pacific focused financial advisory firm engaging in strategic financial asset allocation advice, bespoke thematic research and advising early-stage companies and connecting them to investors. Emmer Capital provides macro-economic and multi-asset investment strategy inputs to institutions, family offices, private wealth managers, private equity, and corporate boards directly and through independent research platforms. Emmer Capital also advises a wide range of startup companies on fund raising and business strategy. Emmer Capital's active engagement with the print and electronic media reaches a broad spectrum of investors across the globe.

Macroeconomics

<ul>
<li>Rapid decline in Asian inflation is opening up space for central banks to cut rates further. India's real policy rate is almost at record high and so's China's.</li>
<li>Fiscal space exists in economies with low public debt and low fiscal deficit - Korea, Indonesia, Thailand. China and India have implemented and articulated fiscal expansion intentions.</li>
<li>Monetary policy easing supports consumption/investments through lower cost of capital and drives funds into risk assets. In last twenty years, rate cut episodes in Asia unfailingly led to equity booms.</li>
</ul>


Rapid decline in Asian inflation is opening up space for central banks to cut rates further. India's real policy rate is almost at record high and so's China's.
Fiscal space exists in economies with low public debt and low fiscal deficit - Korea, Indonesia, Thailand. China and India have implemented and articulated fiscal expansion intentions.
Monetary policy easing supports consumption/investments through lower cost of capital and drives funds into risk assets. In last twenty years, rate cut episodes in Asia unfailingly led to equity booms.


Nosediving Inflation, More Rate Cuts, Selective Fiscal Stimuli – Asian Equities to Gallop Along

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.

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Tencent (700 HK)

Quiddity Leaderboard HSCEI Sep25: One Index Change Possible; ~US$180mn One-Way; Announcement Soon

Both the expected ADD and DEL are high-conviction calls. They have been well-flagged for a long time now. It might be reasonable to assume there is...

Janaghan Jeyakumar, CFA

Quiddity Leaderboard HSTECH Sep25: GEELY up 15% Vs Peers; ~US$2.2bn One-Way; Announcement Soon

Our expected ADD Geely has outperformed peers by nearly 15% in two months. We continue to see this as a low-conviction expected ADD and we expect...

Janaghan Jeyakumar, CFA

Tencent (700 HK): Rally Before Results, Options Market Repricing After

Tencent’s 2Q25 earnings beat driving a 5.5% stock increase and a volatility reset after the event, offering fresh insights into valuation and...

Gaudenz Schneider

ECM Weekly (18 August 2025)- Eve Energy, CNGR, Will Semi, 52 Toys, JSW, Bluestone, Tuas, Hexaware

Aequitas Research's weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.

Sumeet Singh

Nosediving Inflation, More Rate Cuts, Selective Fiscal Stimuli – Asian Equities to Gallop Along

Asian central banks have room to cut rates further as inflation plunges, with fiscal space in some economies. Rate cut episodes over last 20 yrs...

Manishi Raychaudhuri

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Quiddity Leaderboard HSCEI Sep25: One Index Change Possible; ~US$180mn One-Way; Announcement Soon

Both the expected ADD and DEL are high-conviction calls. They have been well-flagged for a long time now. It might be reasonable to assume there is...

Janaghan Jeyakumar, CFA

Quiddity Leaderboard HSTECH Sep25: GEELY up 15% Vs Peers; ~US$2.2bn One-Way; Announcement Soon

Our expected ADD Geely has outperformed peers by nearly 15% in two months. We continue to see this as a low-conviction expected ADD and we expect...

Janaghan Jeyakumar, CFA

Tencent (700 HK): Rally Before Results, Options Market Repricing After

Tencent’s 2Q25 earnings beat driving a 5.5% stock increase and a volatility reset after the event, offering fresh insights into valuation and...

Gaudenz Schneider

ECM Weekly (18 August 2025)- Eve Energy, CNGR, Will Semi, 52 Toys, JSW, Bluestone, Tuas, Hexaware

Aequitas Research's weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.

Sumeet Singh

Nosediving Inflation, More Rate Cuts, Selective Fiscal Stimuli – Asian Equities to Gallop Along

​Asian central banks have room to cut rates further as inflation plunges, with fiscal space in some economies. Rate cut episodes over last 20 yrs...

Manishi Raychaudhuri

Asian central banks have room to cut rates further as inflation plunges, with fiscal space in some economies. Rate cut episodes over last 20 yrs...