Index Rebal Trades & Special Situations, Quiddity Advisors

Janaghan Jeyakumar, CFA

Equity Analyst with 10+ years experience in fundamental and event-driven research.

On Smartkarma, I mainly publish insights on index flow events. This includes predicting regular and intra-review index changes and formulating market-neutral trading strategies based on flow catalysts. I also cover special situations such as mergers & acquisitions, equity offerings, buybacks, and other corporate restructuring events.

Index Rebal Trades & Special Situations

Historical TOPIX Inclusions:  What Flavor Performs Best?

Nippon Rietec's (1938) Gangbusters TOPIX Inclusion

TOPIX Inclusion: Retail Partners (8167 JP)

Quiddity Advisors

Pan-Asia Catalysts/Events

Event-Driven

Last Friday, Japanese internet services firm <a href="https://www.smartkarma.com/entities/gmo-pepabo-inc" target="_blank" data-smartkarma-citation="entities:4210:1" rel="noopener">GMO Pepabo Inc (3633 JP)</a> announced (<a href="https://pdf.pepabo.com/document/20201120d4.pdf#_ga=2.79974615.199815798.1605860218-43299746.1605860218" target="_blank" rel="noopener">J-only</a>) they had received approval to move from the Second Section to the First Section of the Tokyo Stock Exchange as of 11th December 2020. GMO Pepabo is a subsidiary of internet infrastructure company <a href="https://www.smartkarma.com/entities/gmo-internet-inc" target="_blank" data-smartkarma-citation="entities:13631:1" rel="noopener">GMO Internet (9449 JP)</a>. They provide consumer-targeted Internet services including consumer domain registration, web hosting services,  and e-commerce platform solutions. Furthermore, they also operate a market place for handmade products and an online blog for communication by internet users.TSE1 reassignment triggers inclusion into the TOPIX Index and the Inclusion Event can be expected to be at the close of trading 28th January 2021. In conjunction with the TSE1-reassignment announcement, the company also announced (<a href="https://pdf.pepabo.com/document/20201120d3.pdf#_ga=2.79974615.199815798.1605860218-43299746.1605860218" target="_blank" rel="noopener">J-only</a>) a share sale for a total quantity of 331,800 shares including an over-allotment quantity. In this insight, we take a look at the Index Inclusion Parameters and the Fundamentals of the company to evaluate the upside potential of the TOPIX Inclusion Event.

Last Friday, Japanese internet services firm GMO Pepabo Inc (3633 JP) announced (J-only) they had received approval to move from the Second Section to the First Section of the Tokyo Stock Exchange as of 11th December 2020. GMO Pepabo is a subsidiary of internet infrastructure company GMO Internet (9449 JP). They provide consumer-targeted Internet services including consumer domain registration, web hosting services,  and e-commerce platform solutions. Furthermore, they also operate a market place for handmade products and an online blog for communication by internet users.TSE1 reassignment triggers inclusion into the TOPIX Index and the Inclusion Event can be expected to be at the close of trading 28th January 2021. In conjunction with the TSE1-reassignment announcement, the company also announced (J-only) a share sale for a total quantity of 331,800 shares including an over-allotment quantity. In this insight, we take a look at the Index Inclusion Parameters and the Fundamentals of the company to evaluate the upside potential of the TOPIX Inclusion Event. 

GMO Pepabo Inc

TOPIX Inclusion (3633 JP): GMO Pepabo