Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>Inside is a recap of movements in the last week relating to the Hong Kong Stock Exchange -Shanghai and Shenzhen Northbound Connect facilities, broken down by company and industry.</li>
<li>Overall, net outflow over the past week was ~US$0.15bn, split between Shanghai (+US$0.05bn) and Shenzhen (-US$0.20bn).</li>
<li>The largest inflows were into <a href="https://www.smartkarma.com/entities/kweichow-moutai-co-ltd-a" target="_blank" data-smartkarma-citation="entities:1553:1" rel="noopener">Kweichow Moutai (600519 CH)</a> and <a href="https://www.smartkarma.com/entities/zhejiang-huayou-cobalt-co-ltd" target="_blank" data-smartkarma-citation="entities:25048:1" rel="noopener">Zhejiang Huayou Cobalt (603799 CH)</a>. The largest outflows were in <a href="https://www.smartkarma.com/entities/longi-green-energy-technology-co-ltd" target="_blank" data-smartkarma-citation="entities:12703:1" rel="noopener">LONGi Green Energy Technology (601012 CH)</a> and <a href="https://www.smartkarma.com/entities/contemporary-amperex-techn-a" target="_blank" data-smartkarma-citation="entities:24404:1" rel="noopener">CATL (300750 CH)</a>.</li>
</ul>


Inside is a recap of movements in the last week relating to the Hong Kong Stock Exchange -Shanghai and Shenzhen Northbound Connect facilities, broken down by company and industry.
Overall, net outflow over the past week was ~US$0.15bn, split between Shanghai (+US$0.05bn) and Shenzhen (-US$0.20bn).
The largest inflows were into Kweichow Moutai (600519 CH) and Zhejiang Huayou Cobalt (603799 CH). The largest outflows were in LONGi Green Energy Technology (601012 CH) and CATL (300750 CH).


Shanghai/​​​​​​​​​​​​​​​Shenzhen Northbound Connect: Weekly Moves (7 October 2022)

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 analyze the weekly Shanghai/Shenzhen northbound Connect flows with our data engine for holding as of July 29th. </li>
<li>Inflows into information technology were offset by outflows from industrials and consumer staple.</li>
<li>We highlight weekly flows for Zhejiang Huayou Cobalt, CMB, Zhongtian Tech, TCL, Zhejiang Sanhua, Sungrow Power and SF Holding.</li>
</ul>


We analyze the weekly Shanghai/Shenzhen northbound Connect flows with our data engine for holding as of July 29th. 
Inflows into information technology were offset by outflows from industrials and consumer staple.
We highlight weekly flows for Zhejiang Huayou Cobalt, CMB, Zhongtian Tech, TCL, Zhejiang Sanhua, Sungrow Power and SF Holding.


Northbound Flows: Huayou Cobalt, CMB, Zhongtian Tech, TCL

<ul>
<li>We analyze the weekly Shanghai/Shenzhen northbound Connect flows with our data engine.</li>
<li>Outflows from consumer discretionary and consumer staple were offset by the inflows into material and energy.</li>
<li>We highlight inflows into Yunnan Energy New Material, Zhejiang Huayou Cobalt, BOE Technology and etc.</li>
</ul>


We analyze the weekly Shanghai/Shenzhen northbound Connect flows with our data engine.
Outflows from consumer discretionary and consumer staple were offset by the inflows into material and energy.
We highlight inflows into Yunnan Energy New Material, Zhejiang Huayou Cobalt, BOE Technology and etc.


Northbound Flows: Yunnan Energy New Material, Zhejiang Huayou Cobalt, BOE Technology

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

Shanghai Pudong Development Bank Co. / Index Rebalance

Shanghai Pudong Development Bank Co. (600000 CH)

<ul>
<li>There are 5 changes for the <a href="https://www.smartkarma.com/entities/shanghai-stock-exchange-sse-50-a-share-index" target="_blank" data-smartkarma-citation="entities:31073:1" rel="noopener">SSE50 Index</a> that will be implemented at the close on 9 June. The impact is pretty chunky on a few deletions.</li>
<li>Apart from the passive assets tracking the index, there are some liquid index futures and the impact on the stocks will be larger than just the headline numbers.</li>
<li>The adds underperformed the deletes in March and April but have come roaring back in May. Playing the trade via long/short pairs could provide better risk adjusted returns.</li>
</ul>


There are 5 changes for the SSE50 Index that will be implemented at the close on 9 June. The impact is pretty chunky on a few deletions.
Apart from the passive assets tracking the index, there are some liquid index futures and the impact on the stocks will be larger than just the headline numbers.
The adds underperformed the deletes in March and April but have come roaring back in May. Playing the trade via long/short pairs could provide better risk adjusted returns.


SSE50 Index Rebalance: Some Large Impact Changes

China

Zhejiang Huayou Cobalt Company Ltd. manufactures, processes, and distributes battery materials and new cobalt materials. The Company produces cathode materials, cobalt products, copper products, nickel products, nickel cobalt manganese hydroxide, and lithium products. Zhejiang Huayou Cobalt conducts businesses in China.

Price Gauge
52-week Range	0.00 - 0.00
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Zhejiang Huayou Cobalt (603799 CH)

Shanghai/Shenzhen Northbound Connect: Weekly Moves (7 October 2022)

Overall, net outflow over the past week in the HK -Shanghai-Shenzhen Northbound Connect facilities was ~US$0.15bn, split between Shanghai...

David Blennerhassett

Northbound Flows: Huayou Cobalt, CMB, Zhongtian Tech, TCL

Northbound connect recoreded inflows of USD 217m last week. We highlight weekly flows for Zhejiang Huayou Cobalt, CMB, Zhongtian Tech, TCL,...

Ke Yan, CFA, FRM

Northbound Flows: Yunnan Energy New Material, Zhejiang Huayou Cobalt, BOE Technology

Northbound connect recorded second week of outflows. We highlight inflows into Yunnan Energy New Material, Zhejiang Huayou Cobalt, BOE Technology...

Ke Yan, CFA, FRM

SSE50 Index Rebalance: Some Large Impact Changes

There are 5 changes to the SSE50 Index in June that will have one-way turnover estimated at 3.95% and will result in a one-way trade of CNY 3,187m....

Brian Freitas

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Shanghai/​​​​​​​​​​​​​​​Shenzhen Northbound Connect: Weekly Moves (7 October 2022)

Overall, net outflow over the past week in the HK -Shanghai-Shenzhen Northbound Connect facilities was ~US$0.15bn, split between Shanghai...

David Blennerhassett

Northbound Flows: Huayou Cobalt, CMB, Zhongtian Tech, TCL

Northbound connect recoreded inflows of USD 217m last week. We highlight weekly flows for Zhejiang Huayou Cobalt, CMB, Zhongtian Tech, TCL,...

Ke Yan, CFA, FRM

Northbound Flows: Yunnan Energy New Material, Zhejiang Huayou Cobalt, BOE Technology

Northbound connect recorded second week of outflows. We highlight inflows into Yunnan Energy New Material, Zhejiang Huayou Cobalt, BOE Technology...

Ke Yan, CFA, FRM

SSE50 Index Rebalance: Some Large Impact Changes

There are 5 changes to the SSE50 Index in June that will have one-way turnover estimated at 3.95% and will result in a one-way trade of CNY 3,187m....

Brian Freitas

Shanghai/Shenzhen Northbound Connect: Weekly Moves (7 October 2022)