Daily Briefs

Context: This Insight follows up on previously highlighted relative value opportunities, using a statistical methodology based on mean-reversion to identify opportunities in paired securities.
Highlight: Currently nine pair trade opportunities across three markets and five sectors persist.
Why read: Statistical analysis offers a unique perspective on relative value. Gain insights into actionable statistical pair trade opportunities and monitor performance of previously highlighted pairs.

COSCO Shipping Ports (1199 HK): Potential Involvement in CKH’s Port Sale

By Osbert Tang, CFA

Cosco Shipping Ports (1199 HK) is a major beneficiary of its parent’s potential 20-30% stake in the consortium to acquire CK Hutchison Holdings (1 HK)‘s port portfolio.
A potential injection of such assets from its parent will enhance its profitability, diversify its throughput mix, and expand its geographical coverage in the future.
Its 8.3x PER and 0.43x P/B are not expensive relative to earnings outlook and ROE. The strong 1Q25 and upcoming 1H25 results mean earnings upgrade potential.

Case Study: Time-Based Exit in Two Long-Running Pair Trades

Context: This Insight is an update on two previously published relative value pairs.
Highlight: The trades provide a case study illustrating how mean-reversion trades can fail to revert or hit stop-losses within extended timeframes.
Why Read: Gain insights into timing-related challenges in mean-reversion strategies and time-based exit as a risk management choice.

Apple. A Master Class On How To Win Friends & Influence People

By William Keating

Apple CEO Tim Cook visited the White House announcing an additional $100 billion investment in the US over the next four years, on top of the $500 billion already committed.
He launched the American Manufacturing Program with nine initial members seven of which are already long terms partners and two of which have no direct relationship with Apple at all
Samsung with its image sensor deal (presumably) and MP Materials with its rare earth magnets deal are two clear winners from the Apple announcement. Overall, successful mission by Mr. Cook.

Champion Iron (CIA AU) Vs. Stanmore (SMR AU): Coal–Steel Mean Reversion Targeting 12%

Context: The Champion Iron (CIA AU) vs. Stanmore Resources (SMR AU) price-ratio has deviated more than two standard deviations from its one-year average, presenting a potential relative value opportunity.
Highlights: The trade targets ~12% return to the one-standard-deviation line.
Why Read: Essential for quantitative traders seeking mean-reversion opportunities, with detailed execution framework, risk management protocols, and historical simulation showing the statistical basis for this relative value play.

UCO Bank (UCO IN) Vs. Central Bank Of India (CBOI IN): Statistical Edge in India Bank Pair Trade

Context: The UCO Bank (UCO IN) vs. Central Bank Of India (CBOI IN) price-ratio has deviated two standard deviations from its one-year average, presenting a potential relative value opportunity.
Highlights: Both stocks are trading near 52-week lows, opening a window for a statistically supported mean-reversion setup.
Why Read: Essential for quantitative traders seeking mean-reversion opportunities, with detailed execution framework, risk management protocols, and historical simulation showing the statistical basis for this relative value play.

VEON 2Q25: Solid Digital Non-Telco Products Uplift, Kyivstar Listing in Focus

By Vincent Fernando, CFA

Digital Growth & Guidance Up: 2Q25 revenue +11.2% YoY (LCY), EBITDA margin 47.8%; digital revenue share hits 16.5%; Group FY25 guidance raised to +13–15% revenue, 14–16% EBITDA growth (LCY).
Uklon Boost: First consolidation of Uklon ridesharing acquisition added US$21.7m revenue, US$9.3m EBITDA to the quarter; expansion in Uzbekistan underway, Kazakhstan a likely future market.
Fintech Momentum: JazzCash +47% revenue; Banglalink digital bank license pending; Ukraine fintech optionality via Kyivstar, Helsi, and Uklon integration. We maintain our Structural Long rating for the shares.

BeiGene (6160.HK/ONC US) 25Q2 – The High Growth of BRUKINSA May Not Bring High Valuation

By Xinyao (Criss) Wang

BeiGene’s 25Q2 performance beat expectations. The main driver was still BRUKINSA. The growth rate of tislelizumab was surprising.Sales of tislelizumab in international market is expected to be reflected in 25H2.
BeiGene’s turnaround from losses to profits has entered the countdown.However, investors may not be happy with the net profit margin brought by single revenue driver Brukinsa based on our calculation.
There’s no next blockbuster that can drive BeiGene to a big step forward.This is why the market is reluctant to offer higher valuation, despite current high growth in product revenue.

Haier D-Share (690D GR) — 2025 Update

By Michael Fritzell

Haier is the world’s largest home appliances company, with particular strength in refrigerators and washing machines. It’s got multiple world-renowned brands, including Haier, GE Appliance, Fisher & Paykel, Candy and more.
The company was largely built by visionary entrepreneur Zhang Ruimin, who created a corporate culture unique in China and beyond. He spearheaded Haier’s international expansion, acquiring companies such as America’s GE Appliances and Italy’s Candy, giving it local distribution networks for its lower-priced Haier offering.
In late 2020, Haier Smart Home merged with its separately-listed distribution subsidiary Haier Electronics. Following this complex transaction, Haier was left with three separate share classes: A-shares listed in Shanghai, H-shares listed in Hong Kong and D-shares listed in Frankfurt.

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Aug 11

Daily Brief Macro: Poised for a Volatility Spike and more

By Smartkarma Daily Briefs | Daily Briefs, Macro

In today’s briefing:

Poised for a Volatility Spike
Another View of American Exceptionalism
COMEX Spread Destroyed By Trump, Long-Term Copper Still Great
Iron Ore: Pullback From 102 USD/Ton to 95 USD/Ton
Tradesmen’s Collective: Fixing the Trades with Tech, Transparency & Boots-on-the-Ground

Poised for a Volatility Spike

By Cam Hui

We remain long-term bullish on equities. In the short run, realized volatility declined since the “Liberation Day” panic, but conditions are setting up for a near-term volatility spike.
Uncertainty over Fed policy and government credibility are possible catalysts for a disorderly increase in volatility and market correction.
As well, the signs of narrow leadership, weak breadth and stretched risk sentiment elevates the risks of a pullback.

Another View of American Exceptionalism

By Cam Hui

We believe global equity investors should adopt a barbell strategy of overweighting U.S. large cap growth and non-U.S. value stocks in their global equity portfolios
The trend is your friend: Both are undergoing multi-year uptrends in relative performance.
The key question is the length and sustainability of U.S. AI leadership.

COMEX Spread Destroyed By Trump, Long-Term Copper Still Great

By restricting the announcement of a 50% tariff on copper pipes/wiring and leaving out ores, concentrates, and cathodes, the Trump administration destroyed the COMEX-LME spread in one fell swoop.
COMEX prices have plunged, and the spread now is 150 USD/ton from the highs of almost 3000 USD/ton, with high inventories on the COMEX probably needing to be dumped.
Short term copper prices may face pressure, but we see an excellent outlook for the longer term, given the elevated China copper imports, which rose 18% YoY in July.

Iron Ore: Pullback From 102 USD/Ton to 95 USD/Ton

Following our bullish call on iron ore, Iron Ore: Small Bounce to 100 USD/Ton On Oversold Levels, we are now less excited on iron ore and see it drift lower.
We expected iron ore to test the lower-end of the long-term band of 95-110 USD/ton (vs current spot of 102 USD/ton).
While iron ore inventories/stocks at ports drift lower, mill margins have capped out and are not rising any further, leading us to call for a short-term decline in ore prices.

Tradesmen’s Collective: Fixing the Trades with Tech, Transparency & Boots-on-the-Ground

By William Mann

Discussion between Jonathan, CEO of Tradesmen Collective, and Ed, Director of Investor Relations, on tech startups and market trends
TTC USA’s integrated platform addresses industry inefficiencies with cutting edge software, escrow services, and legal support
Insight on leading assets like gold, Bitcoin, and Nvidia; mentions of success stories like MicroStrategy integrating Bitcoin and Nvidia integrating software for business growth

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

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Aug 11

Daily Brief Australia: Mayne Pharma, Toyota Motor, Champion Iron, Intermin Resources, Iron Ore and more

By Smartkarma Daily Briefs | Australia, Daily Briefs

In today’s briefing:

Merger Arb Mondays (11 Aug) – Mayne, PointsBet, Infomedia, Ashimori, Toyo Const, HKBN, Joy City
Relative Value Opportunities in Asia-Pac, Pair Trade Roundup (11 Aug)
SSI Weekly Newsletter: Key Updates on Mergers, Legal Disputes, Asset Sales, and Shareholder Votes
Champion Iron (CIA AU) Vs. Stanmore (SMR AU): Coal–Steel Mean Reversion Targeting 12%
Horizon Minerals Ltd – Digging and dealing
Iron Ore: Pullback From 102 USD/Ton to 95 USD/Ton

Merger Arb Mondays (11 Aug) – Mayne, PointsBet, Infomedia, Ashimori, Toyo Const, HKBN, Joy City

By Arun George

I summarise the latest spreads and newsflow of merger arb situations we cover across Hong Kong, Australia, New Zealand, Singapore, Japan, Indonesia, Malaysia, Philippines, Thailand and Chinese ADRs.
Highest spreads: Mayne Pharma (MYX AU), Ashimori Industry (3526 JP), ENN Energy (2688 HK), Ci Medical (3540 JP), Joy City Property (207 HK), Santos Ltd (STO AU).
Lowest spreads: Bright Smart Securities (1428 HK), Pacific Industrial (7250 JP), Ainsworth Game Technology (AGI AU), Welcia Holdings (3141 JP), ZEEKR (ZK US), Soft99 Corp (4464 JP).

Relative Value Opportunities in Asia-Pac, Pair Trade Roundup (11 Aug)

By Special Situation Investments

Context: This Insight follows up on previously highlighted relative value opportunities, using a statistical methodology based on mean-reversion to identify opportunities in paired securities.
Highlight: Currently nine pair trade opportunities across three markets and five sectors persist.
Why read: Statistical analysis offers a unique perspective on relative value. Gain insights into actionable statistical pair trade opportunities and monitor performance of previously highlighted pairs.

SSI Weekly Newsletter: Key Updates on Mergers, Legal Disputes, Asset Sales, and Shareholder Votes

Mayne Pharma faces legal challenges with Cosette over merger termination, maintaining no breach occurred; hearing set for September 9.
OCI N.V. plans $700m shareholder return via capital repayment and extraordinary dividend, with ex-dividend date on August 18.
Banxa’s acquisition vote set for August 28, with regulatory approvals pending; spread narrows from 38% to 25%.

Champion Iron (CIA AU) Vs. Stanmore (SMR AU): Coal–Steel Mean Reversion Targeting 12%

By Research as a Service (RaaS)

Context: The Champion Iron (CIA AU) vs. Stanmore Resources (SMR AU) price-ratio has deviated more than two standard deviations from its one-year average, presenting a potential relative value opportunity.
Highlights: The trade targets ~12% return to the one-standard-deviation line.
Why Read: Essential for quantitative traders seeking mean-reversion opportunities, with detailed execution framework, risk management protocols, and historical simulation showing the statistical basis for this relative value play.

Horizon Minerals Ltd – Digging and dealing

Horizon Minerals Limited (ASX:HRZ) is an emerging junior gold producer with 1.8moz of gold resources located around the Kalgoorlie and Coolgardie regions of Western Australia.
HRZ has released its June 2025 quarterly report which provides a progress update on mining, exploration and development activities.
Revenue of $33.0m was generated from gold sales at Boorara with another $1.52m received as an early release from the Phillips Find JV.

Iron Ore: Pullback From 102 USD/Ton to 95 USD/Ton

Following our bullish call on iron ore, Iron Ore: Small Bounce to 100 USD/Ton On Oversold Levels, we are now less excited on iron ore and see it drift lower.
We expected iron ore to test the lower-end of the long-term band of 95-110 USD/ton (vs current spot of 102 USD/ton).
While iron ore inventories/stocks at ports drift lower, mill margins have capped out and are not rising any further, leading us to call for a short-term decline in ore prices.

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Aug 11

Daily Brief United States: Bullish US, Apple , Copper, VEON and more

By Smartkarma Daily Briefs | Daily Briefs, United States

In today’s briefing:

Bullish (BLSH US): Split Inclusion Across Global & US Indices
Apple. A Master Class On How To Win Friends & Influence People
COMEX Spread Destroyed By Trump, Long-Term Copper Still Great
VEON 2Q25: Solid Digital Non-Telco Products Uplift, Kyivstar Listing in Focus

Bullish (BLSH US): Split Inclusion Across Global & US Indices

By Dimitris Ioannidis

Bullish US (BLSH US) will be excluded from the one US index due to foreign SEC filings.
Bullish US (BLSH US) will be excluded from the one Global index due to insufficient float cap.
Bullish US (BLSH US) is expected to be added to Global SmallCap in November 2025 and to US-R1000 in December 2025 despite its foreign filings.

Apple. A Master Class On How To Win Friends & Influence People

By William Keating

Apple CEO Tim Cook visited the White House announcing an additional $100 billion investment in the US over the next four years, on top of the $500 billion already committed.
He launched the American Manufacturing Program with nine initial members seven of which are already long terms partners and two of which have no direct relationship with Apple at all
Samsung with its image sensor deal (presumably) and MP Materials with its rare earth magnets deal are two clear winners from the Apple announcement. Overall, successful mission by Mr. Cook.

COMEX Spread Destroyed By Trump, Long-Term Copper Still Great

By restricting the announcement of a 50% tariff on copper pipes/wiring and leaving out ores, concentrates, and cathodes, the Trump administration destroyed the COMEX-LME spread in one fell swoop.
COMEX prices have plunged, and the spread now is 150 USD/ton from the highs of almost 3000 USD/ton, with high inventories on the COMEX probably needing to be dumped.
Short term copper prices may face pressure, but we see an excellent outlook for the longer term, given the elevated China copper imports, which rose 18% YoY in July.

VEON 2Q25: Solid Digital Non-Telco Products Uplift, Kyivstar Listing in Focus

By Vincent Fernando, CFA

Digital Growth & Guidance Up: 2Q25 revenue +11.2% YoY (LCY), EBITDA margin 47.8%; digital revenue share hits 16.5%; Group FY25 guidance raised to +13–15% revenue, 14–16% EBITDA growth (LCY).
Uklon Boost: First consolidation of Uklon ridesharing acquisition added US$21.7m revenue, US$9.3m EBITDA to the quarter; expansion in Uzbekistan underway, Kazakhstan a likely future market.
Fintech Momentum: JazzCash +47% revenue; Banglalink digital bank license pending; Ukraine fintech optionality via Kyivstar, Helsi, and Uklon integration. We maintain our Structural Long rating for the shares.

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Aug 11

Daily Brief China: Horizon Robotics, Consun Pharmaceutical, Alibaba, Cosco Shipping Ports, Guangzhou Innogen Pharmaceutical Group, Haier Smart Home , BeiGene and more

By Smartkarma Daily Briefs | China, Daily Briefs

In today’s briefing:

Hang Seng Internet & IT Index (HSIII) Rebalance Preview: Constituent, FAF & Capping Changes
Hang Seng Biotech Index Rebalance Preview: Methodology Change Leads to 20 Deletions
ECM Weekly (11 August 2025)-Bharti, Eternal, Paytm, LG CNS, Guming, JSW, Bluestone, SICC, Roborock
COSCO Shipping Ports (1199 HK): Potential Involvement in CKH’s Port Sale
Innogen IPO: Competition Mars Outlook, Long Way To Go, Listing Gain Only Incentive For Now
Haier D-Share (690D GR) — 2025 Update
BeiGene (6160.HK/ONC US) 25Q2 – The High Growth of BRUKINSA May Not Bring High Valuation

Hang Seng Internet & IT Index (HSIII) Rebalance Preview: Constituent, FAF & Capping Changes

By Brian Freitas

There are 3 potential changes for the HSIII Index in September. There are couple of names that are close to the inclusion/ deletion thresholds.
The largest inflows will go to Horizon Robotics (9660 HK) following lock-up expiry that increases the Free-Float Adjusted Factor (FAF) by a factor of 7-8x.
There are large capping changes too and the estimated one-way turnover is 9.8% resulting in a round-trip trade of HK$5.65bn (US$720m).

Hang Seng Biotech Index Rebalance Preview: Methodology Change Leads to 20 Deletions

By Brian Freitas

A methodology change for the Hang Seng Biotech Index (HSHKBIO Index) will result in 20 deletions at the close of trading on 5 September.
Estimated one-way turnover at the rebalance is 9.5% resulting in a round-trip trade of HK$1.3bn (US$162m). Passive trackers need to sell between 0.05-1x ADV in the deletes.
The forecast deletes have underperformed the other index constituents since the start of the year but there has been little movement since the announcement of the methodology change.

ECM Weekly (11 August 2025)-Bharti, Eternal, Paytm, LG CNS, Guming, JSW, Bluestone, SICC, Roborock

By Sumeet Singh

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, Inida ECM flows continued unabated with more deals being launched.
On the placements front as well, India saw over US$2bn worth of deals during the week.

COSCO Shipping Ports (1199 HK): Potential Involvement in CKH’s Port Sale

By Osbert Tang, CFA

Cosco Shipping Ports (1199 HK) is a major beneficiary of its parent’s potential 20-30% stake in the consortium to acquire CK Hutchison Holdings (1 HK)‘s port portfolio.
A potential injection of such assets from its parent will enhance its profitability, diversify its throughput mix, and expand its geographical coverage in the future.
Its 8.3x PER and 0.43x P/B are not expensive relative to earnings outlook and ROE. The strong 1Q25 and upcoming 1H25 results mean earnings upgrade potential.

Innogen IPO: Competition Mars Outlook, Long Way To Go, Listing Gain Only Incentive For Now

By Tina Banerjee

Guangzhou Innogen Pharmaceutical Group launched its Hongkong IPO aiming to raise up to HK$683M. The company plans to sell 36.6M shares at HK$18.68 per share.
Innogen discovers, develops, and commercializes innovative therapies for diabetes and other metabolic diseases. Their portfolio currently comprises of one core product, Efsubaglutide Alfa, for treatment of type 2 diabetes.
The GLP-1 drug market is slowly tending towards an overheated zone with upcoming Ozempic’s patent expiry in 2026.

Haier D-Share (690D GR) — 2025 Update

By Michael Fritzell

Haier is the world’s largest home appliances company, with particular strength in refrigerators and washing machines. It’s got multiple world-renowned brands, including Haier, GE Appliance, Fisher & Paykel, Candy and more.
The company was largely built by visionary entrepreneur Zhang Ruimin, who created a corporate culture unique in China and beyond. He spearheaded Haier’s international expansion, acquiring companies such as America’s GE Appliances and Italy’s Candy, giving it local distribution networks for its lower-priced Haier offering.
In late 2020, Haier Smart Home merged with its separately-listed distribution subsidiary Haier Electronics. Following this complex transaction, Haier was left with three separate share classes: A-shares listed in Shanghai, H-shares listed in Hong Kong and D-shares listed in Frankfurt.

BeiGene (6160.HK/ONC US) 25Q2 – The High Growth of BRUKINSA May Not Bring High Valuation

By Xinyao (Criss) Wang

BeiGene’s 25Q2 performance beat expectations. The main driver was still BRUKINSA. The growth rate of tislelizumab was surprising.Sales of tislelizumab in international market is expected to be reflected in 25H2.
BeiGene’s turnaround from losses to profits has entered the countdown.However, investors may not be happy with the net profit margin brought by single revenue driver Brukinsa based on our calculation.
There’s no next blockbuster that can drive BeiGene to a big step forward.This is why the market is reluctant to offer higher valuation, despite current high growth in product revenue.

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Aug 11

Daily Brief Japan: Toyo Construction, MS&AD Insurance, Shibaura Electronics, Sony Corp, Terumo Corp and more

By Smartkarma Daily Briefs | Daily Briefs, Japan

In today’s briefing:

[Japan M&A] Taisei Corp To Take Toyo Construction (1890 JP) Private – Governance Torture Ends
[Japan CorpGov] TSE “Mgmt Conscious” Reports (Aug25), Changes to Code of Corporate Conduct
Weekly Deals Digest (10 Aug) – Shibaura, Toyo Construction, Technopro, Ashimori, HKBN, Iress
Weekly Update (LION, MAGN, NLOP, SONY)
Terumo Corp (4543 JP): Record High Profits in Q1FY26; Tariff Impact Lowered; FY Guidance Reiterated

[Japan M&A] Taisei Corp To Take Toyo Construction (1890 JP) Private – Governance Torture Ends

By Travis Lundy

In March 2022, Infroneer bid ¥770. The Board said “too low” but then accepted. A month later, YFO offered ¥1,000. Too high, bad owner, not accepted.
Summer 2023 after a year of palm to the face for YFO, the Board was partly spilled. YFO bid ¥1,255/share and the Board said the premium was too low.
Now, the Board has accepted a bid from Taisei at a roughly similar premium. But the price is ¥1,850/share. Infroneer and YFO have agreed to sell. Minorities win… -ish

[Japan CorpGov] TSE “Mgmt Conscious” Reports (Aug25), Changes to Code of Corporate Conduct

By Travis Lundy

TSE-Listed companies are asked to file “Management Conscious of Capital Cost/Stock Price” awareness reports/policies. Many have. Some are still working on it. And policies change, and CGR reports are updated.
783 new CGRs filed in July 2025 (after 1,389 in June). Our tools show every report, links to every document, and a diff-file tool. Input a name, see the changes.
The JPX Council of Experts met on 9 July. The parent-sub changes are slow to come.

Weekly Deals Digest (10 Aug) – Shibaura, Toyo Construction, Technopro, Ashimori, HKBN, Iress

By Arun George

A weekly summary of key developments across ECM and Event-Driven names tracked by us across Hong Kong, Australia, New Zealand, Singapore, Japan, Indonesia, Malaysia, Thailand, Korea, India and Chinese ADRs.
ECM developments: I have not covered anything notable this week.
Event-Driven developments:Shibaura Electronics (6957 JP), Toyo Construction (1890 JP), Technopro Holdings (6028 JP), Ashimori Industry (3526 JP), HKBN Ltd (1310 HK), Iress Ltd (IRE AU), Infomedia Ltd (IFM AU).

Weekly Update (LION, MAGN, NLOP, SONY)

By Richard Howe

Sony Group Corporation (SONY) is planning to partially spin off its financial services division, Sony Financial Group Inc. (SFGI), in what would be Japan’s first major spin‑off with a direct listing in over two decades.
The company will divest 80% of its stake while retaining the remaining 20%, and the spin‑off is scheduled for September 29, 2025.
This looks interesting to me as I see potential for indiscriminate selling. Sony Financial Service Group contributes ~13% of Company Net Income (¥1,067.4B).

Terumo Corp (4543 JP): Record High Profits in Q1FY26; Tariff Impact Lowered; FY Guidance Reiterated

By Tina Banerjee

Terumo Corp (4543 JP) reported strong Q1FY26 result, with better-than-expected profitability. Despite of flat revenue, Q1FY26 operating and net profit increased 20%+, through pricing measures and continuous cost control.
The company lowered FY26 tariff impact to ¥10B from ¥17B. Impact now is primarily expected in the second half (¥4 each for Q3 and Q4).
Terumo reiterated FY26 guidance. Q1FY26 revenue, operating profit, and net profit represent progress rate of 25%, 29%, and 29%, respectively.

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Aug 11

Daily Brief India: HDFC Bank, Bluestone Jewellery and Lifestyle Ltd Ltd (BJL), Canara Bank, Uco Bank and more

By Smartkarma Daily Briefs | Daily Briefs, India

In today’s briefing:

NIFTY Bank Index: Big Flows & The Upcoming Methodology Change
Bluestone Jewellery and Lifestyle IPO – All That Glitters Is Not Gold
Case Study: Time-Based Exit in Two Long-Running Pair Trades
UCO Bank (UCO IN) Vs. Central Bank Of India (CBOI IN): Statistical Edge in India Bank Pair Trade

NIFTY Bank Index: Big Flows & The Upcoming Methodology Change

By Brian Freitas

In May, SEBI recommended changes to the minimum number of constituents for non-benchmark indices and the capping for those indices. The recommendations have to be implemented by 3 November.
There is a high probability that NSE Indices implements the changes for the NSE Nifty Bank Index (NSEBANK INDEX) at the September rebalance. Nothing has been announced yet though.
If implemented in September, Yes Bank and Union Bank Of India could be added to the index. Estimated one-way turnover is 22.35% and the round-trip trade is INR 149bn (US$1.7bn).

Bluestone Jewellery and Lifestyle IPO – All That Glitters Is Not Gold

By Sreemant Dudhoria,CFA

Founded by Gaurav Singh Kushwaha, who holds 18% stake (Pre-IPO), Bluestone Jewellery and Lifestyle Ltd Ltd (BJL) (0124165D IN) is an omni-channel jewellery brand in India.
Company experienced losses since its inception, which is attributed to its growth and expansion strategy. As of March 31, 2025, the company had accumulated losses amounting to INR 24,583.31 million.
Bluestone is valued at market cap of INR 78230 million,which is 4.4x FY25 revenue.Given ongoing losses, negative cash flows,promoter share pledge, and aggressive expansion, we believe it’s a steep ask.

Case Study: Time-Based Exit in Two Long-Running Pair Trades

Context: This Insight is an update on two previously published relative value pairs.
Highlight: The trades provide a case study illustrating how mean-reversion trades can fail to revert or hit stop-losses within extended timeframes.
Why Read: Gain insights into timing-related challenges in mean-reversion strategies and time-based exit as a risk management choice.

UCO Bank (UCO IN) Vs. Central Bank Of India (CBOI IN): Statistical Edge in India Bank Pair Trade

Context: The UCO Bank (UCO IN) vs. Central Bank Of India (CBOI IN) price-ratio has deviated two standard deviations from its one-year average, presenting a potential relative value opportunity.
Highlights: Both stocks are trading near 52-week lows, opening a window for a statistically supported mean-reversion setup.
Why Read: Essential for quantitative traders seeking mean-reversion opportunities, with detailed execution framework, risk management protocols, and historical simulation showing the statistical basis for this relative value play.

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Aug 10

Daily Brief Utilities: Korea District Heating, Exelon Corp, Xcel Energy Inc and more

By Smartkarma Daily Briefs | Daily Briefs, Utilities Sector

In today’s briefing:

Asian Dividend Gems: Korea District Heating Corp (KDHC)
Exelon Corporation: Transmission Expansion
Xcel Energy: A Tale Of Renewable Energy Transition & Data Centre Expansion!

Asian Dividend Gems: Korea District Heating Corp (KDHC)

By Douglas Kim

There are three major reasons why we like Korea District Heating (071320 KS). First, the company has been sharply improving its shareholder return program (especially for dividends).
The BOD members of KDHC and other major Korean utility companies are increasingly likely to focus on improving shareholder value by raising prices.
Its valuations remain attractive. It is trading at P/E of 3.2x, P/B of 0.4x, and EV/EBITDA of 6.8x based on 2025 consensus estimates.

Exelon Corporation: Transmission Expansion

Exelon Corporation recently announced its financial performance for the second quarter of 2025.
The company reported operating earnings of $0.39 per share, slightly exceeding expectations, primarily due to favorable timing and cost management at its utilities.
Despite these improvements, earnings were lower compared to the same period last year, impacted by several factors including heightened storm costs at PECO and higher distribution and transmission rates.

Xcel Energy: A Tale Of Renewable Energy Transition & Data Centre Expansion!

Xcel Energy’s second quarter 2025 earnings presented a mixed yet insightful picture of the company’s current standing and future outlook.
The company reported earnings of $0.75 per share for the second quarter, a significant increase from $0.54 per share in the same quarter the previous year.
This surge in earnings was largely driven by higher revenue from electric and natural gas services, rate case outcomes, and increased sales growth.

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Aug 10

Daily Brief Energy/Materials: Washington H. Soul Pattinson and Co. Ltd, Axalta Coating Systems, Fmc Corp, Magnolia Oil & Gas , Royal Dutch Shell Plc (Adr), Vulcan Materials Co, Air Products & Chemicals, Inc, Western Midstream Partners LP, Element Solutions and more

By Smartkarma Daily Briefs | Daily Briefs, Energy & Materials Sector

In today’s briefing:

Last Week In Event SPACE: Soul Patts/Brickworks, Furukawa Battery, PCCW, TPG Telecom
Axalta Coating Systems Taps China & Latin America: Can They Build Volumes & Enable Global Mobility Expansion?
FMC Corporation’s Cost-Cutting Blitz Paying Off? What Is The Expected Impact On Margins in 2025?
Magnolia Oil and Gas: Will Their Giddings Field Expansion Efforts Pay Off?
Shell Strikes Gold With Strategic Partnerships—Is Asset Optimization the Next Big Payoff?
Vulcan Materials: How Are They Leveraging The Public & Private Demand for Infrastructure?
Air Products and Chemicals: Balancing Core Growth & Energy Transition – Is It Poised to Gain Market Share?
Western Midstream’s $1.5 Billion Bet On Aris—What Wall Street Isn’t Telling You
Element Solutions: Shifting Gears from Consumer Tech to High-Performance Computing Supremacy!

Last Week In Event SPACE: Soul Patts/Brickworks, Furukawa Battery, PCCW, TPG Telecom

By David Blennerhassett

There is, or perhaps, was, imbedded value via the cross-holding. However, Soul Patts (SOL AU) & Brickworks (BKW AU)‘s combined market cap has increased 18% or A$3.1bn since announcing their merger.
Furukawa Battery (6937 JP) is a VERY low-priced MBO-like transaction. The pricing process is unacceptable. It is a take-under. It is BAD process. But it’ll get done.
For a company that has consistently spilled red ink at the stub level, there is no justification why PCCW Ltd (8 HK) would/should trade at a NAV premium.

Axalta Coating Systems Taps China & Latin America: Can They Build Volumes & Enable Global Mobility Expansion?

Axalta Coating Systems reported their Q2 2025 financial results, showcasing a mixed picture of performance and challenges in various segments.
The company’s record adjusted EBITDA of $292 million and adjusted diluted EPS underscore their ability to sustain profitability even in a volatile macroeconomic landscape.
Notably, adjusted EBITDA margins remained strong at over 22%, marking the fifth consecutive quarter of hitting or exceeding their 21% target outlined in their A Plan.

FMC Corporation’s Cost-Cutting Blitz Paying Off? What Is The Expected Impact On Margins in 2025?

FMC Corporation’s second quarter 2025 results illustrate a mixed picture of operational outcomes and strategic pivots that impact its investment thesis.
The company reported a slight increase in sales, with a 1% rise from the previous year, driven by a 6% volume growth.
Despite the topline growth, pricing and foreign exchange created headwinds, each accounting for a 1% decline in revenue.

Magnolia Oil and Gas: Will Their Giddings Field Expansion Efforts Pay Off?

Magnolia Oil & Gas Corporation reported a robust second quarter for 2025, demonstrating notable operational efficiencies and solid financial performance.
The company recorded an adjusted net income of $81 million and an adjusted EBITDAX of $223 million.
Capital expenditures for drilling and completions were held at $95 million, representing only 43% reinvestment of EBITDAX, which underscores the capital efficiency achieved during this period.

Shell Strikes Gold With Strategic Partnerships—Is Asset Optimization the Next Big Payoff?

Royal Dutch Shell’s second-quarter 2025 financial results reflect a company grappling with challenging macroeconomic conditions yet demonstrating resilience and strategic focus.
The external environment painted a complex picture, influenced by geopolitical uncertainties and fluctuating commodity prices, which impacted trade flows and margins.
Nevertheless, Shell delivered strong operational performance and significant cost reductions, affirming its commitment to strategic objectives set out at the Capital Markets Day (CMD) in March.

Vulcan Materials: How Are They Leveraging The Public & Private Demand for Infrastructure?

The recent earnings for Vulcan Materials Company reflected mixed results for the second quarter of 2025, providing several insights into the company’s financial performance and operational dynamics.
On the positive side, Vulcan demonstrated strong financial improvements despite facing significant weatherrelated disruptions.
The company reported a 16% increase in adjusted EBITDA, with margins expanding by 260 basis points.

Air Products and Chemicals: Balancing Core Growth & Energy Transition – Is It Poised to Gain Market Share?

Air Products and Chemicals, Inc. reported its fiscal third-quarter results, demonstrating a mix of positive performance and ongoing challenges.
The company’s adjusted earnings per share (EPS) of $3.09 exceeded their own guidance, despite a decrease from the prior year’s comparable results due to the previous sale of its LNG business.
This sale significantly impacted sales volumes, contributing to a 4% decline.

Western Midstream’s $1.5 Billion Bet On Aris—What Wall Street Isn’t Telling You

Western Midstream Partners has recently signaled a major strategic shift by agreeing to acquire Aris Water Solutions in a cash-and-stock deal valued at approximately $1.5 billion.
This announcement follows Western’s strong Q1 2025 performance—highlighted by the successful commissioning of the North Loving plant, net leverage below 3×, and roughly $2.4 billion of liquidity—underscoring its financial resilience amid market volatility.
Under the proposed terms, Aris shareholders may opt for 0.625 WES common units per share or $25 in cash (capped at $415 million), representing a 23 percent premium to Aris’s closing price on August 5.

Element Solutions: Shifting Gears from Consumer Tech to High-Performance Computing Supremacy!