The main reason for the recent large purchase of northbound funds at no cost is that MSCI will face the largest single expansion in history. The final expansion plan of MSCI in the year is expected to take effect before the end of November 2019. After the implementation of the expansion plan, MSCI global index and MSCI Emerging Market Index will increase 0.22% and 1.44% respectively. According to conservative estimates, the expansion will lead to tracking funds totaling about $31.5 billion, or about RMB220 billion.
As foreign investors continue to buy a shares, the scale of domestic shares held by overseas institutions and individuals has also reached a record high. According to the data released by the central bank on October 31, as of the end of the three quarters, the scale of domestic stocks and bond assets held by overseas institutions and individuals reached 1768.554 billion yuan and 2184.075 billion yuan respectively, with a total holding scale of 3952.629 billion yuan, climbing for four consecutive months and reaching a record high.
Transferred white horse stock
Since October, Beishang capital has continuously increased its positions in Meimei group, only one transaction has been sold net, with a cumulative net purchase of 2.587 billion yuan, which is the only individual stock with a net purchase amount of more than 2 billion yuan for Beishang capital in October.
Midea Group has also lived up to the love of Beishang capital. According to the third quarter report released on the evening of the 30th, its revenue in the first three quarters was 220.918 billion yuan, up 7.37% year-on-year; its net profit was 21.116 billion yuan, up 19.08% year-on-year; its net profit in the third quarter was 6.129 billion yuan, up 23.48% year-on-year, with a trend of quarterly acceleration.
On the 31st, Midea Group bucked the trend and opened higher, approaching the highest price of the year. With the continuous increase of holdings and the rise of share price, Midea Groups market value held by Beishang capital has reached a historical peak of more than 58 billion yuan, which is the third heavy position of Beishang capital.
Brokerage stocks fell sharply in October, while funds from the North took the opportunity to copy the bottom. In October, Huatai Securities was net bought by Beijing capital of RMB 1.615 billion, which was the second largest individual stock. Among them, when Huatai Securities fell 5.7% on the 21st, Beishang capital bought 49.66 million shares, 32.19 million shares on the 22nd, 15.43 million shares on the 23rd, and over 10 million shares for three consecutive trading days.
The third quarter report released by Huatai Securities on the 30th was also excellent, with operating revenue of 17.75 billion yuan, a year-on-year increase of 41.78%; net profit of 6.441 billion yuan, a year-on-year increase of 43.77%. Beishang capitals shareholding increased more than doubled from 90.15 million shares at the beginning of October to a record high of 188 million shares.
The third quarter report growth of Yanghe shares is not ideal, with net profit only increasing by 1.53% year-on-year. The growth rate has been declining for several consecutive quarters, and the stock price also shows a weak decline trend in October. However, the northern capital still bought 1.442 billion yuan in October, which is one of the three stocks that bought more than 1 billion yuan net in October, and the number of shares also reached the highest in history.
In October, 109 shares of Gree Electric, China Ping An, focus media, Lixun precision, etc. were also purchased by Beishang capital net of more than 100 million yuan.
Shanghai airport is one of the most favored stocks of Beishang capital. Its holding ratio once exceeded 30% of the circulating share capital of Shanghai airport, with a maximum holding of more than 358 million shares. However, with the stock price rising continuously in recent years, northbound capital continued to sell Shanghai airport substantially since April. In October, Beishang capital sold 861 million yuan of Shanghai airport, the largest number of shares sold, and its shareholding dropped to about 248 million shares, the lowest since the data was released.
In October, 48 shares, including Ping An Bank, Sany Heavy Industry, CITS, and muyuan, were also sold by Beishang capital for more than 100 million yuan.
In October, the biggest hot spot in the market is undoubtedly the speculation of the concept of blockchain, in which northbound capital also actively participated and was very successful.
Hailian Jinhui is one of the strongest blockchain concept stocks in the near future with three consecutive trading limits. On October 15, Beishang capital only held less than 1.6 million shares of Hailian Jinhui. With the sharp decline of Hailian Jinhuis share price, Beishang capital copied the bottom in a large amount, among which, on October 1, it bought more than 4.57 million shares net, and the total holding increased to more than 7.6 million shares.
With the rise of the concept of blockchain, Hailian Jinhui continued to rise, while northbound funds sold sharply, including the third trading limit board of Hailian Jinhui on the 30th, with 2.66 million shares sold by northbound funds, and the total position dropped to 2.23 million shares. Hailian Jinhui opened sharply and closed at a low price yesterday.
Changshan Beiming, Xuanji information, the great wall of China and other blockchain concept stocks, all of which are participated by northbound capital, have also obtained good earnings.
In October, there was also a time when the northern capital failed. There were 1.835 billion restricted shares of Tianfeng securities released from the stock market on the 21st, all of which were restricted shareholders before IPO, with a market value of 12.8 billion yuan. The circulating share capital of Tianfeng securities increased from 518 million shares to 2.353 billion shares.
However, the issuing price of Tianfeng securities is only 1.79 yuan, and the investors who have lifted the ban have made multiple profits and are willing to reduce their holdings. This resulted in two consecutive one word drop of Tianfeng securities. Beishang capital holds nearly 9 million shares of Tianfeng securities, and most of these shares were bought in September. The unexpected stop and fall caused heavy losses to Beishang capital.
Source: responsible editor of Securities Times: Yang bin_nf4368