Asia Pac ECM and Index Rebal, Shenton Research

Ke Yan, CFA, FRM

Asia Pac ECM and Index Rebal

Asia Pac IPO & Placement Research, China Biotech

DZT Research

DZT Research is an independent Asia Pacific equity specialist. Our quantitative research covers index rebalancing flows, alongside exchange data analytics accross Asia Pacific. On the equity capital markets side, we focus on Asia Pacific ECM, especially biotech and TMT. Our lead analyst is frequently cited by international media.

Quantitative Analysis

<ul>
<li>We analyzed the latest HK SFC report for aggregate short position as of Mar 6th.</li>
<li>Top short increases and decreases were tabulated for one week and four week period.</li>
<li>We highlight short changes in Meituan, Tencent, Alibaba, HSBC, China Life, Petrochina, Laopu Gold, AIA, Techtronic, China Hongqiao.</li>
</ul>


We analyzed the latest HK SFC report for aggregate short position as of Mar 6th.
Top short increases and decreases were tabulated for one week and four week period.
We highlight short changes in Meituan, Tencent, Alibaba, HSBC, China Life, Petrochina, Laopu Gold, AIA, Techtronic, China Hongqiao.


HK Short Interest Weekly: Meituan, Tencent, Alibaba, HSBC, China Life, Petrochina, Laopu Gold, AIA

Pan-Asia Catalysts/Events, Quiddity Advisors

Travis Lundy

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>HK$120bn+/Day of gross SOUTHBOUND activity last two weeks, and net buying of HK$59bn. Tencent very strongly bought. China Mobile sell streak ended with strong buying last Tues-Fri.</li>
<li>There are upcoming index rebals for HK/China. Our predictions for the M Global rebal announced tonight are <a href="https://www.smartkarma.com/insights/quiddity-predictions-for-the-major-global-index-rebal-in-feb-2026" target="_blank" rel="noopener">here</a> and we have <a href="https://www.smartkarma.com/insights/quiddity-leaderboard-hscei-mar26-one-index-change-likely-announcement-soon" target="_blank" rel="noopener">HSCEI</a>, <a href="https://www.smartkarma.com/insights/quiddity-leaderboard-hsiii-mar26-announcement-next-week-4-changes-likely" target="_blank" rel="noopener">HSIII</a>, <a href="https://www.smartkarma.com/insights/quiddity-leaderboard-hstech-mar26-no-changes-likely-us-860mn-one-way-announcement-next-week" target="_blank" rel="noopener">HSTECH</a> as well as <a href="https://www.smartkarma.com/insights/quiddity-leaderboard-star-50-100-mar26-us-3-8bn-total-one-way-flows-some-signs-of-pre-positioning" target="_blank" rel="noopener">Star50/100</a> coming too.</li>
<li>The data tables below update daily in the <a href="https://www.smartkarma.com/tools" target="_blank" rel="noopener">Tools</a> section of Smartkarma. The <a href="https://www.smartkarma.com/tools/quiddity/south-flow-monitor" target="_blank" rel="noopener">Southbound Flow Monitor</a> and <a href="https://www.smartkarma.com/tools/quiddity/ah-shares-monitor" target="_blank" rel="noopener">AH Pairs Monitor</a> are both there - free for all SK readers. Recently used are now sticky.</li>
</ul>


HK$120bn+/Day of gross SOUTHBOUND activity last two weeks, and net buying of HK$59bn. Tencent very strongly bought. China Mobile sell streak ended with strong buying last Tues-Fri.
There are upcoming index rebals for HK/China. Our predictions for the M Global rebal announced tonight are here and we have HSCEI, HSIII, HSTECH as well as Star50/100 coming too.
The data tables below update daily in the Tools section of Smartkarma. The Southbound Flow Monitor and AH Pairs Monitor are both there - free for all SK readers. Recently used are now sticky.


HK Connect SOUTHBOUND Flows (2Wks To 6Feb26) -  Tencent Bought Bigly, China Mobile Sell Streak Ends

<ul>
<li>We analyze the weekly Hong Kong Connect flows with our data engine for holding position as of February 6th.</li>
<li>The top stocks by inflows and outflows were tabulated for all market, HSCEI, mid cap and s/mid cap groups.</li>
<li>We highlight flows for Tencent, Xiaomi, SMIC, Pop Mart Intl, Ke, ICBC, Zijin Gold International, Zijin Mining, Hua Hong Semiconductor, Zhaojin Mining Industry.</li>
</ul>


We analyze the weekly Hong Kong Connect flows with our data engine for holding position as of February 6th.
The top stocks by inflows and outflows were tabulated for all market, HSCEI, mid cap and s/mid cap groups.
We highlight flows for Tencent, Xiaomi, SMIC, Pop Mart Intl, Ke, ICBC, Zijin Gold International, Zijin Mining, Hua Hong Semiconductor, Zhaojin Mining Industry.


HK Connect Flows Weekly (Feb 6th): Tencent, Xiaomi, SMIC, Pop Mart Intl, Ke, ICBC

Index Rebal/Special Situations, Quiddity Advisors

Janaghan Jeyakumar, CFA

Index Rebal/Special Situations

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>In this insight, we take a look at the potential index changes and capping flows for HSCEI index rebal event in March 2026.</li>
<li>We expect one index change for March 2026 and we estimate there to be capping flows of around US$96mn one-way.</li>
</ul>


The HSCEI serves as a benchmark to reflect the overall performance of the top 50 "Mainland China" securities listed in Hong Kong.
In this insight, we take a look at the potential index changes and capping flows for HSCEI index rebal event in March 2026.
We expect one index change for March 2026 and we estimate there to be capping flows of around US$96mn one-way.


Quiddity Leaderboard HSCEI Mar26: Final Ranks; One Change Likely

HK/China Equity Long-Short

Osbert Tang, CFA

Equity Bottom-Up

<ul>
<li>Despite an overwhelming response and a 26-30% surge in the grey market, at 8.3x FY26 PER,  <a href="https://www.smartkarma.com/entities/chuangxin-industries" target="_blank" data-smartkarma-citation="entities:45636:1" rel="noopener">Chuangxin Industries (2788 HK)</a>'s IPO price does not generate much excitement for us. </li>
<li>Heavy reliance on connected transactions with the controlling shareholder, pressure on margins in the future, and a highly leveraged balance sheet are concerns. </li>
<li>We do not think it justifies trading at a premium to peers, hence, limited upside from now. The small free float, however, will increase the share price volatility.</li>
</ul>


Despite an overwhelming response and a 26-30% surge in the grey market, at 8.3x FY26 PER,  Chuangxin Industries (2788 HK)'s IPO price does not generate much excitement for us. 
Heavy reliance on connected transactions with the controlling shareholder, pressure on margins in the future, and a highly leveraged balance sheet are concerns. 
We do not think it justifies trading at a premium to peers, hence, limited upside from now. The small free float, however, will increase the share price volatility.


Chuangxin Industries (2788 HK): It Doesn't Pay to Be Aggressive

China

Zhaojin Mining Industry Co., Ltd. is a leading gold mining enterprise primarily engaged in gold exploration, mining, processing, refining, and smelting activities, offering products like Au9999 and Au9995 gold bullions. The company also has operations in copper mining and smelting. It was incorporated in 2004 and is headquartered in Zhaoyuan, Shandong Province, People's Republic of China.

Price Gauge
52-week Range	0.00 - 0.00
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Zhaojin Mining (1818 HK)

HK Short Interest Weekly: Meituan, Tencent, Alibaba, HSBC, China Life, Petrochina, Laopu Gold, AIA

We analyzed the latest HK SFC report for aggregate short position as of Mar 6th and highlight short interest changes in Meituan (3690 HK), Tencent...

Ke Yan, CFA, FRM

HK Connect SOUTHBOUND Flows (2Wks To 6Feb26) - Tencent Bought Bigly, China Mobile Sell Streak Ends

A soft week then a big week in HK Southbound. ETF flows abated in the week to 30 Jan, then Tech BOOMED in the week to 6 Feb. Tencent saw huge...

Travis Lundy

HK Connect Flows Weekly (Feb 6th): Tencent, Xiaomi, SMIC, Pop Mart Intl, Ke, ICBC

We analyzed southbound Hong Kong connect flows in the past week and highlighted flows for Tencent (700 HK), Xiaomi (1810 HK), SMIC (981 HK), Pop...

Ke Yan, CFA, FRM

Quiddity Leaderboard HSCEI Mar26: Final Ranks; One Change Likely

These are our final expectations for HSCEI for the March 2026 index review. We expect the ADDs/DELs and indicative weights for HSCEI to be publicly...

Janaghan Jeyakumar, CFA

Chuangxin Industries (2788 HK): It Doesn't Pay to Be Aggressive

Chuangxin's IPO fails to excite despite a grey market surge, with concerns over connected transactions, margin pressure, and leverage. Limited...

Osbert Tang, CFA

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

HK Short Interest Weekly: Meituan, Tencent, Alibaba, HSBC, China Life, Petrochina, Laopu Gold, AIA

We analyzed the latest HK SFC report for aggregate short position as of Mar 6th and highlight short interest changes in Meituan (3690 HK), Tencent...

Ke Yan, CFA, FRM

HK Connect SOUTHBOUND Flows (2Wks To 6Feb26) - Tencent Bought Bigly, China Mobile Sell Streak Ends

A soft week then a big week in HK Southbound. ETF flows abated in the week to 30 Jan, then Tech BOOMED in the week to 6 Feb. Tencent saw huge...

Travis Lundy

HK Connect Flows Weekly (Feb 6th): Tencent, Xiaomi, SMIC, Pop Mart Intl, Ke, ICBC

We analyzed southbound Hong Kong connect flows in the past week and highlighted flows for Tencent (700 HK), Xiaomi (1810 HK), SMIC (981 HK), Pop...

Ke Yan, CFA, FRM

Quiddity Leaderboard HSCEI Mar26: Final Ranks; One Change Likely

These are our final expectations for HSCEI for the March 2026 index review. We expect the ADDs/DELs and indicative weights for HSCEI to be publicly...

Janaghan Jeyakumar, CFA

Chuangxin Industries (2788 HK): It Doesn't Pay to Be Aggressive

​Chuangxin's IPO fails to excite despite a grey market surge, with concerns over connected transactions, margin pressure, and leverage. Limited...

Osbert Tang, CFA

Chuangxin's IPO fails to excite despite a grey market surge, with concerns over connected transactions, margin pressure, and leverage. Limited...