Yesterday was the end of trading in October, and A-share market as a whole showed a trend of rising and falling back. However, northern capital was not afraid of market adjustment and net purchase was 7.39 billion yuan, reaching a new high in more than one month. In fact, since the buy and buy mode was launched in September, Beishang capital has been firmly buying a shares no matter how the market goes. In the whole October, it only sold net in three trading days, and the rest trading days were all net purchases, totaling 32.05 billion yuan. At the end of yesterdays trading day, the capital from the North swept up billions of goods, and the buying strength was unprecedented!
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.