Korea / Special Sits, Pairs, Index Rebalancing, Clepsydra Capital

Sanghyun Park

Korea / Special Sits, Pairs, Index Rebalancing

Clepsydra Capital

Investigate special situations, pairs, and index rebalancing trades in Korea.

Event-Driven

KRX BBIG IndexThe KRX BBIG K-New Deal Index contains 12 stocks, listed either on the KOSPI or KOSDAQ market, three leading companies in each of the four industries. Each of the four industries also has its own index containing 10 constituents. So, we have one mother index (BBIG) and four sub-indices representing each of the four industries.
Secondary Battery

Bio

Internet

Game
Rebalancing: The top-three largest full market cap stocks from the Secondary Battery, Bio, Internet, and Game are selected for rebalancing in March and September. It is biannually reconstituted. Rebalancing occurs on the trading day following the last trading day of the March and September delivery month for KOSPI 200 futures contracts.





Rebalancing schedule

Rebalancing cycle
Semi-annually


Rebalancing month
March and September


Implementation date
The trading day following the last trading day for KOSPI 200 futures contracts


Next implementation date
September 10, 2021


Rebalancing trading
At the close on September 9, 2021


Screening base date
The last trading day of the month preceding the date of regular rebalancing


Screening period
The three months preceding the screening base date

Source: KRX &amp; WISE Index

Index weight: The BBIG Index is an equal-weight index in which each index constituent is allocated the same weight (8.33%) at each rebalancing. As for the four sub-indices, the top-three largest full market cap stocks are given the weight of 75%, in which each stock is allocated the same weight of 25% at each rebalancing. In contrast, the remaining seven constituents are given the remaining weight of 25%, where their float-adjusted market cap weights them.







Index calculations
BBIG
Four sub-indices


Number of constituents
12
10


Index weight
Equal-weighted at 8.33%

Top 3 (by full market cap): Equal-weighted at 25% The remaining 7: float-adjusted market cap-weighted totaling 25%



Source: KRX &amp; WISE Index

The mother index and battery sub-index have an AUM that is not small considering the number of constituents. BBIG has an AUM of ₩520B as of today, and its battery is ₩760B. Bio is about ₩100B. However, Internet and Game do not have meaningful AUMs.








ETFs tracking BBIG indices
Index
Ticker
AUM


Mirae Asset TIGER KRX BBIG K-New Deal ETF
BBIG
364960
₩480.9B


Hana Financial Investment Hana KRX BBIG K-New Deal ETN 3
700003
₩10.5B


TIMEFOLIO TIMEFOLIO BBIG Active ETF
385710
₩26.9B


- Total
-
₩518.3B


Mirae Asset TIGER KRX Second Battery K-NewDeal ETF
Secondary Battery
364980
₩759.7B


Mirae Asset TIGER KRX BIO K-New Deal ETF
Bio
364970
₩97.6B


Mirae Asset TIGER KRX Internet K-New Deal ETF
Internet
365000
₩49.2B


Mirae Asset TIGER KRX Game K-New Deal ETF
Game
364990
₩35.7B

Source: KRX

The screening period is the three months preceding the screening base date. So, the screening period this time is June 1 to August 31. Below is the daily average market cap from June 1 to July 19 and the index weight as of July 19.








BBIG
Weight, as of July 19
Average daily full market cap (June 1~July 19)
30-day average daily trade value


Kakao Corp
12.34%
₩66,478.6B
₩846.3B


Kakao Games Corp
11.59%
₩4,805.8B
₩244.2B


Naver Corp
8.96%
₩65,954.1B
₩388.6B


Samsung Biologics Co Ltd
9.13%
₩56,359.3B
₩77.4B


Samsung SDI Co Ltd
8.15%
₩46,995.6B
₩216.7B


Netmarble Corp
8.18%
₩11,730.2B
₩52.7B


SK Biopharmaceuticals
7.70%
₩9,681.8B
₩55.4B


SK Innovation Co Ltd
7.38%
₩25,451.8B
₩256.9B


LG Chem Ltd
7.11%
₩58,759.0B
₩197.2B


Celltrion, Inc.
6.61%
₩33,438.9B
₩149.8B


Douzone Bizon Co Ltd
6.22%
₩2,600.1B
₩21.1B


NCSoft Corp
6.57%
₩18,199.9B
₩70.1B

Source: KRX &amp; TIGER ETF











Sub-indices
Weight, as of July 19
Average daily full market cap (June 1~July 19
Float-adjusted market cap
30-day average daily trade value

Battery

LG Chem Ltd
21.89%
₩58,759.0B
₩38,763.3B
₩197.2B


Samsung SDI Co Ltd
25.07%
₩46,995.6B
₩34,335.0B
₩216.7B


SK Innovation Co Ltd
22.75%
₩25,451.8B
₩14,161.4B
₩256.9B


Posco Chemical Co Ltd
8.25%
₩9,112.5B
₩3,413.5B
₩63.8B


SKC Co Ltd
6.00%
₩5,640.2B
₩3,014.7B
₩57.0B


Ecopro BM Co Ltd
5.13%
₩4,604.0B
₩3,037.2B
₩71.4B


Iljin Materials Co Ltd
2.93%
₩3,269.7B
₩1,518.1B
₩24.5B


L&amp;F Co., Ltd.
3.52%
₩2,639.3B
₩1,564.8B
₩75.3B


SoulBrain Co Ltd
2.49%
₩2,539.3B
₩1,358.8B
₩10.2B


Chunbo Co Ltd
1.87%
₩1,929.2B
₩799.1B
₩30.8B

Bio

Samsung Biologics Co Ltd
29.94%
₩56,359.3B
₩13,954.6B
₩77.4B


Celltrion, Inc.
21.64%
₩37,030.6B
₩28,069.2B
₩149.8B


Celltrion HealthCare Co Ltd
10.06%
₩18,089.2B
₩10,956.6B
₩91.0B


SK Biopharmaceuticals Co Ltd
25.20%
₩9,681.8B
₩3,291.8B
₩55.4B


Celltrion Pharm Inc
2.35%
₩5,629.5B
₩2,512.4B
₩76.2B


Hanmi Science Co Ltd
1.56%
₩5,073.4B
₩1,610.3B
₩34.6B


Yuhan Corp
3.00%
₩4,454.7B
₩3,331.2B
₩14.6B


Shinpoong Pharmaceutical Co Ltd
2.07%
₩3,919.5B
₩2,390.5B
₩395.7B


Green Cross Corp
1.61%
₩3,808.6B
₩1,754.3B
₩23.1B


Seegene Inc
2.53%
₩3,927.5B
₩2,664.4B
₩289.6B

Internet

Kakao Corp
34.95%
₩66,478.6B
₩48,502.8B
₩846.3B


Naver Corp
25.47%
₩65,954.1B
₩53,106.2B
₩388.6B


Douzone Bizon Co Ltd
17.72%
₩2,600.1B
₩1,613.4B
₩21.1B


KMW Co Ltd
6.08%
₩2,144.3B
₩1,353.5B
₩13.0B


NHN KCP Corp
3.21%
₩1,365.8B
₩730.7B
₩9.5B


AfreecaTV Co Ltd
4.68%
₩1,294.1B
₩891.0B
₩16.8B


Ace Technologies Corp.
2.45%
₩786.2B
₩600.2B
₩11.5B


Seojin System Co Ltd
2.31%
₩811.4B
₩544.8B
₩11.1B


Ahnlab Inc
1.77%
₩703.2B
₩409.1B
₩7.2B


Rsupport Co Ltd
1.34%
₩497.3B
₩261.1B
₩29.1B

Game

NCSoft Corp
18.73%
₩18,199.9B
₩7,753.2B
₩70.1B


Netmarble Corp
23.34%
₩11,730.2B
₩3,657.5B
₩52.7B


PearlAbyss Corp
9.46%
₩4,587.3B
₩3,755.6B
₩45.2B


Kakao Games Corp
33.10%
₩4,805.8B
₩2,047.3B
₩244.2B


Com2uS Corp
3.91%
₩1,627.3B
₩1,022.8B
₩19.8B


NHN Corp
3.08%
₩1,552.2B
₩708.1B
₩9.6B


Doubleu Games Co Ltd
2.06%
₩1,160.4B
₩567.4B
₩7.6B


Webzen Inc
2.48%
₩1,094.4B
₩641.6B
₩9.5B


Wemade Co Ltd
2.00%
₩949.2B
₩505.4B
₩16.0B


Neptune Co
1.76%
₩815.4B
₩420.4B
₩6.5B

Source: KRX &amp; TIGER ETF



KRX BBIG Rebalancing Complete Preview: SK Bioscience, SK IE Tech, Krafton, Kakao Games, & Kakao Pay

Pan-Asia Index Rebalances/ Events/ Delta One, Periscope Analytics

Brian Freitas

Pan-Asia Index Rebalances/ Events/ Delta One

Quantitative Analysis

<div><p>The Asia Short Interest weekly looks at moves in market wide short interest and highlights movements in stock specific short interest across Hong Kong, Japan, Korea and Taiwan using the last available data published by the relevant authorities.</p></div><div><p>Hong Kong saw shorts rise on <a href="https://www.smartkarma.com/entities/china-cosco-holdings-h" target="_blank" data-smartkarma-citation="entities:286:1" rel="noopener">COSCO Shipping Holdings (1919 HK)</a>, <a href="https://www.smartkarma.com/entities/alibaba-group" target="_blank" data-smartkarma-citation="entities:28434:1" rel="noopener">Alibaba Group (9988 HK)</a>, <a href="https://www.smartkarma.com/entities/china-merchants-bank-co-ltd-3388a037-4214-4997-b45d-520518cfdb57" target="_blank" data-smartkarma-citation="entities:10987:1" rel="noopener">China Merchants Bank H (3968 HK)</a>, <a href="https://www.smartkarma.com/entities/beijing-kuaishou-technology-co-ltd" target="_blank" data-smartkarma-citation="entities:29725:1" rel="noopener">Kuaishou Technology (1024 HK)</a> and <a href="https://www.smartkarma.com/entities/china-life-insurance-co-ltd-9f877d22-7cf7-4b00-b525-cec71139f369" target="_blank" data-smartkarma-citation="entities:5794:1" rel="noopener">China Life Insurance Co H (2628 HK)</a> while there was short covering on <a href="https://www.smartkarma.com/entities/byd-co-ltd-h" target="_blank" data-smartkarma-citation="entities:20962:1" rel="noopener">BYD (1211 HK)</a>, <a href="https://www.smartkarma.com/entities/weimob-inc" target="_blank" data-smartkarma-citation="entities:27394:1" rel="noopener">Weimob Inc. (2013 HK)</a>, <a href="https://www.smartkarma.com/entities/wuxi-apptec-co-ltd-bf4a1265-beef-48b6-b82d-29308426030f" target="_blank" data-smartkarma-citation="entities:27795:1" rel="noopener">WuXi AppTec Co. Ltd. (2359 HK)</a>, <a href="https://www.smartkarma.com/entities/pop-mart-international-group-limited" target="_blank" data-smartkarma-citation="entities:29016:1" rel="noopener">Pop Mart International Group Limited (9992 HK)</a> and <a href="https://www.smartkarma.com/entities/country-garden-services-holdings-company-limited" target="_blank" data-smartkarma-citation="entities:27343:1" rel="noopener">Country Garden Services Holdings (6098 HK)</a>. Shorts increased in the Financials, Industrials, Communication Services, Consumer Discretionary, Health Care, Consumer Staples and Real Estate sectors, while decreasing in the Information Technology sector.</p></div><div><p>In Japan, stocks increased on <a href="https://www.smartkarma.com/entities/takeda-pharmaceutical-co-ltd" target="_blank" data-smartkarma-citation="entities:11747:1" rel="noopener">Takeda Pharmaceutical (4502 JP)</a>, <a href="https://www.smartkarma.com/entities/ryohin-keikaku-co-ltd" target="_blank" data-smartkarma-citation="entities:2765:1" rel="noopener">Ryohin Keikaku (7453 JP)</a>, <a href="https://www.smartkarma.com/entities/sbi-holdings-inc" target="_blank" data-smartkarma-citation="entities:10928:1" rel="noopener">SBI Holdings (8473 JP)</a>, <a href="https://www.smartkarma.com/entities/tokyo-electric-power-co-inc" target="_blank" data-smartkarma-citation="entities:15457:1" rel="noopener">Tokyo Electric Power Co (9501 JP)</a> and <a href="https://www.smartkarma.com/entities/renova-inc" target="_blank" data-smartkarma-citation="entities:26753:1" rel="noopener">RENOVA Inc (9519 JP)</a> while there was short covering on <a href="https://www.smartkarma.com/entities/kirin-holdings-co-ltd" target="_blank" data-smartkarma-citation="entities:16977:1" rel="noopener">Kirin Holdings (2503 JP)</a>, <a href="https://www.smartkarma.com/entities/rakuten-inc" target="_blank" data-smartkarma-citation="entities:31:1" rel="noopener">Rakuten Inc (4755 JP)</a>, <a href="https://www.smartkarma.com/entities/agc-inc" target="_blank" data-smartkarma-citation="entities:2167:1" rel="noopener">AGC Inc (5201 JP)</a>, <a href="https://www.smartkarma.com/entities/monex-group-inc" target="_blank" data-smartkarma-citation="entities:14211:1" rel="noopener">Monex Group Inc (8698 JP)</a> and <a href="https://www.smartkarma.com/entities/shimizu-corp" target="_blank" data-smartkarma-citation="entities:8530:1" rel="noopener">Shimizu Corp (1803 JP)</a>. Shorts increased in the Health Care, Utilities and  Information Technology sectors while decreasing in the Consumer Staples, Industrials and Consumer Discretionary sectors.</p></div><div><p>In Korea, shorts increased on <a href="https://www.smartkarma.com/entities/hmm-co-ltd" target="_blank" data-smartkarma-citation="entities:13494:1" rel="noopener">HMM Co., Ltd. (011200 KS)</a>, <a href="https://www.smartkarma.com/entities/ncsoft-corp" target="_blank" data-smartkarma-citation="entities:5169:1" rel="noopener">NCSOFT Corp (036570 KS)</a>, <a href="https://www.smartkarma.com/entities/lg-electronics-inc" target="_blank" data-smartkarma-citation="entities:8814:1" rel="noopener">LG Electronics (066570 KS)</a>, <a href="https://www.smartkarma.com/entities/celltrion-inc" target="_blank" data-smartkarma-citation="entities:991:1" rel="noopener">Celltrion Inc (068270 KS)</a> and <a href="https://www.smartkarma.com/entities/lg-display-co-ltd" target="_blank" data-smartkarma-citation="entities:7145:1" rel="noopener">LG Display (034220 KS)</a> while shorts were covered on <a href="https://www.smartkarma.com/entities/posco-chemical-co-ltd" target="_blank" data-smartkarma-citation="entities:12421:1" rel="noopener">Posco Chemical Co Ltd (003670 KS)</a>, <a href="https://www.smartkarma.com/entities/samsung-electronics-co-ltd" target="_blank" data-smartkarma-citation="entities:191:1" rel="noopener">Samsung Electronics (005930 KS)</a>, <a href="https://www.smartkarma.com/entities/lotte-chemical-corp" target="_blank" data-smartkarma-citation="entities:8757:1" rel="noopener">Lotte Chemical (011170 KS)</a>, <a href="https://www.smartkarma.com/entities/db-hitek-co-ltd" target="_blank" data-smartkarma-citation="entities:18926:1" rel="noopener">DB Hitek Co., Ltd. (000990 KS)</a> and <a href="https://www.smartkarma.com/entities/naver-corp" target="_blank" data-smartkarma-citation="entities:16029:1" rel="noopener">Naver Corp (035420 KS)</a>. </p></div><div><p>In Taiwan, shorts increased on <a href="https://www.smartkarma.com/entities/yang-ming-marine-transport" target="_blank" data-smartkarma-citation="entities:8502:1" rel="noopener">Yang Ming Marine Transport (2609 TT)</a>, <a href="https://www.smartkarma.com/entities/nanya-technology-corp" target="_blank" data-smartkarma-citation="entities:3269:1" rel="noopener">Nanya Technology (2408 TT)</a>, <a href="https://www.smartkarma.com/entities/winbond-electronics-corp" target="_blank" data-smartkarma-citation="entities:9177:1" rel="noopener">Winbond Electronics (2344 TT)</a>, <a href="https://www.smartkarma.com/entities/novatek-microelectronics-corp" target="_blank" data-smartkarma-citation="entities:10904:1" rel="noopener">Novatek Microelectronics Corp (3034 TT)</a> and <a href="https://www.smartkarma.com/entities/au-optronics-corp" target="_blank" data-smartkarma-citation="entities:6704:1" rel="noopener">AU Optronics (2409 TT)</a> while shorts covered on <a href="https://www.smartkarma.com/entities/evergreen-marine-corp-ltd" target="_blank" data-smartkarma-citation="entities:15428:1" rel="noopener">Evergreen Marine Corp (2603 TT)</a>, <a href="https://www.smartkarma.com/entities/yageo-corporation" target="_blank" data-smartkarma-citation="entities:13212:1" rel="noopener">Yageo Corporation (2327 TT)</a>, <a href="https://www.smartkarma.com/entities/yuanta-financial-holding-co" target="_blank" data-smartkarma-citation="entities:685:1" rel="noopener">Yuanta Financial Holding Co (2885 TT)</a>, <a href="https://www.smartkarma.com/entities/united-microelectronics-corp" target="_blank" data-smartkarma-citation="entities:6450:1" rel="noopener">United Microelectronics Corp (2303 TT)</a> and <a href="https://www.smartkarma.com/entities/alchip-technologies-ltd" target="_blank" data-smartkarma-citation="entities:20219:1" rel="noopener">Alchip Technologies (3661 TT)</a>. </p></div>

The Asia Short Interest weekly looks at moves in market wide short interest and highlights movements in stock specific short interest across Hong Kong, Japan, Korea and Taiwan using the last available data published by the relevant authorities.Hong Kong saw shorts rise on COSCO Shipping Holdings (1919 HK), Alibaba Group (9988 HK), China Merchants Bank H (3968 HK), Kuaishou Technology (1024 HK) and China Life Insurance Co H (2628 HK) while there was short covering on BYD (1211 HK), Weimob Inc. (2013 HK), WuXi AppTec Co. Ltd. (2359 HK), Pop Mart International Group Limited (9992 HK) and Country Garden Services Holdings (6098 HK). Shorts increased in the Financials, Industrials, Communication Services, Consumer Discretionary, Health Care, Consumer Staples and Real Estate sectors, while decreasing in the Information Technology sector.In Japan, stocks increased on Takeda Pharmaceutical (4502 JP), Ryohin Keikaku (7453 JP), SBI Holdings (8473 JP), Tokyo Electric Power Co (9501 JP) and RENOVA Inc (9519 JP) while there was short covering on Kirin Holdings (2503 JP), Rakuten Inc (4755 JP), AGC Inc (5201 JP), Monex Group Inc (8698 JP) and Shimizu Corp (1803 JP). Shorts increased in the Health Care, Utilities and  Information Technology sectors while decreasing in the Consumer Staples, Industrials and Consumer Discretionary sectors.In Korea, shorts increased on HMM Co., Ltd. (011200 KS), NCSOFT Corp (036570 KS), LG Electronics (066570 KS), Celltrion Inc (068270 KS) and LG Display (034220 KS) while shorts were covered on Posco Chemical Co Ltd (003670 KS), Samsung Electronics (005930 KS), Lotte Chemical (011170 KS), DB Hitek Co., Ltd. (000990 KS) and Naver Corp (035420 KS). In Taiwan, shorts increased on Yang Ming Marine Transport (2609 TT), Nanya Technology (2408 TT), Winbond Electronics (2344 TT), Novatek Microelectronics Corp (3034 TT) and AU Optronics (2409 TT) while shorts covered on Evergreen Marine Corp (2603 TT), Yageo Corporation (2327 TT), Yuanta Financial Holding Co (2885 TT), United Microelectronics Corp (2303 TT) and Alchip Technologies (3661 TT). 

Asia Shorts: Cosco Ship, Kuaishou, Pop Mart, WuXi, Takeda, Kirin, Monex, HMM, NC Soft, Yang Ming

<p>As expected, the WISE Secondary Cell Index rebalancing had only one addition (SK IE Technology) and one deletion (Ecopro HN).</p><table class="table table-striped">
<colgroup>
<col width="100">
<col width="100">
<col width="100">
<col width="100">
<col width="100">
<col width="100">
</colgroup>
<tbody>
<tr>
<td style="width: 185.739px;" data-sheets-value='{"1":2,"2":"WISE Secondary Cell Index tracking ETFs"}'>WISE Secondary Cell Index tracking ETFs</td>
<td style="text-align: right; width: 102.401px;" data-sheets-value='{"1":2,"2":"Index weight on July 8"}'>Index weight on July 8</td>
<td style="text-align: right; width: 108.423px;" data-sheets-value='{"1":2,"2":"Index weight on July 9"}'>Index weight on July 9</td>
<td style="text-align: right; width: 117.457px;" data-sheets-value='{"1":2,"2":"Weight change"}'>Rebalancing weight change</td>
<td style="text-align: right; width: 116.463px;" data-sheets-value='{"1":2,"2":"Passive flow impact over 30-day ADTV"}'>Passive flow impact over 30-day ADTV</td>
<td style="text-align: right; width: 115.526px;" data-sheets-value='{"1":2,"2":"Note"}'>Note</td>
</tr>
<tr>
<td style="width: 185.739px;" data-sheets-value='{"1":2,"2":"SK IE Technology Co Ltd"}'><strong>SK IE Technology Co Ltd</strong></td>
<td style="text-align: right; width: 102.401px;" data-sheets-value='{"1":3,"3":0}' data-sheets-numberformat='[null,3,"0.00%",1]'>0.00%</td>
<td style="text-align: right; width: 108.423px;" data-sheets-value='{"1":3,"3":0.103}' data-sheets-numberformat='[null,3,"0.00%",1]'><strong>10.30%</strong></td>
<td style="text-align: right; width: 117.457px;" data-sheets-value='{"1":3,"3":0.103}' data-sheets-numberformat='[null,3,"0.00%p",1]'><strong>10.30%p</strong></td>
<td style="text-align: right; width: 116.463px;" data-sheets-value='{"1":3,"3":0.8322826815876188}' data-sheets-numberformat='[null,2,"#,##0.00x",1]'>0.83x</td>
<td style="text-align: right; width: 115.526px;" data-sheets-value='{"1":2,"2":"Add"}'>Add</td>
</tr>
<tr>
<td style="width: 185.739px;" data-sheets-value='{"1":2,"2":"Ecopro HN Co Ltd"}'><strong>Ecopro HN Co Ltd</strong></td>
<td style="text-align: right; width: 102.401px;" data-sheets-value='{"1":3,"3":0.0192}' data-sheets-numberformat='[null,3,"0.00%",1]'>1.92%</td>
<td style="text-align: right; width: 108.423px;" data-sheets-value='{"1":3,"3":0}' data-sheets-numberformat='[null,3,"0.00%",1]'><strong>0.00%</strong></td>
<td style="text-align: right; width: 117.457px;" data-sheets-value='{"1":3,"3":-0.0192}' data-sheets-numberformat='[null,3,"0.00%p",1]'><strong>-1.92%p</strong></td>
<td style="text-align: right; width: 116.463px;" data-sheets-value='{"1":3,"3":-1.410787207953604}' data-sheets-numberformat='[null,2,"#,##0.00x",1]'>-1.41x</td>
<td style="text-align: right; width: 115.526px;" data-sheets-value='{"1":2,"2":"Delete"}'>Delete</td>
</tr>
<tr><td colspan="6" rowspan="1" style="width: 746.008px;" data-sheets-value='{"1":2,"2":"Source: KRX &amp; WISE Index"}' data-sheets-numberformat='[null,2,"₩#,##0.0B"]'>Source: KRX &amp; WISE Index</td></tr>
</tbody>
</table><p>The WISE rechargeable battery theme index is calculated using a market capitalization-weighted method using AI keyword analysis for stocks published by securities companies. If the stock has a market cap of 10% or more, the weight is reset at the 10% ceiling in the quarterly rebalancing, which is the day after the option expiration date in January, April, July, and October.</p><p>Unlike the FnGuide Secondary Battery Industry Index, which uses a scoring system to take a more active approach to change constituent stocks, the WISE Secondary Cell Index adopts a comprehensive selection method. So, the selection of excluded stocks is not as flexible.</p><p><strong>There is currently one ETF tracking the index, with an AUM of ₩853.8B as of last Friday's close.</strong></p><table class="table table-striped">
<colgroup>
<col width="100">
<col width="100">
</colgroup>
<tbody>
<tr><td colspan="2" style="width: 746.008px;" data-sheets-value='{"1":2,"2":"Rebalancing schedule"}'>Index &amp; ETF summary</td></tr>
<tr>
<td style="width: 255px;" data-sheets-value='{"1":2,"2":"Rebalancing cycle"}'>Rebalancing cycle</td>
<td style="width: 491.009px;" data-sheets-value='{"1":2,"2":"Quarterly"}' data-sheets-numberformat='[null,2,"₩#,##0.0B"]'>Quarterly</td>
</tr>
<tr>
<td style="width: 255px;" data-sheets-value='{"1":2,"2":"Rebalancing month"}'>Rebalancing month</td>
<td style="width: 491.009px;" data-sheets-value='{"1":2,"2":"January, April, July, and October"}' data-sheets-numberformat='[null,2,"₩#,##0.0B"]'><div><div>January, April, July, and October</div></div></td>
</tr>
<tr>
<td style="width: 255px;" data-sheets-value='{"1":2,"2":"Implementation date"}'>Implementation date</td>
<td style="width: 491.009px;" data-sheets-value='{"1":2,"2":"The trading day following the option expiration dates"}' data-sheets-numberformat='[null,2,"₩#,##0.0B"]'><div><div>The trading day following the option expiration dates</div></div></td>
</tr>
<tr>
<td style="width: 255px;" data-sheets-value='{"1":2,"2":"Screening base date"}'>Screening base date</td>
<td style="width: 491.009px;" data-sheets-value='{"1":2,"2":"The last trading day of the month preceding the date of regular rebalancing"}' data-sheets-numberformat='[null,2,"₩#,##0.0B"]'><div><div>The last trading day of the month preceding the date of regular rebalancing</div></div></td>
</tr>
<tr>
<td style="width: 255px;" data-sheets-value='{"1":2,"2":"ETF"}'><strong>ETF</strong></td>
<td style="width: 491.009px;" data-sheets-value='{"1":2,"2":"Mirae Asset TIGER Secondary Cell ETF"}' data-sheets-numberformat='[null,2,"₩#,##0.0B"]' data-sheets-formula="=R[6]C[-1]"><div><div><strong>Mirae Asset TIGER Secondary Cell ETF</strong></div></div></td>
</tr>
<tr>
<td style="width: 255px;" data-sheets-value='{"1":2,"2":"Ticker"}'><strong>Ticker</strong></td>
<td style="width: 491.009px;" data-sheets-value='{"1":3,"3":305540}' data-sheets-numberformat='[null,2,"₩#,##0.0B"]' data-sheets-formula="=R[5]C[0]"><strong>305540</strong></td>
</tr>
<tr>
<td style="width: 255px;" data-sheets-value='{"1":2,"2":"AUM"}'><strong>AUM</strong></td>
<td style="width: 491.009px;" data-sheets-value='{"1":3,"3":853.828}' data-sheets-numberformat='[null,2,"₩#,##0.0B"]' data-sheets-formula="=R[4]C[1]"><strong>₩853.8B</strong></td>
</tr>
<tr><td colspan="2" style="width: 746.008px;" data-sheets-value='{"1":2,"2":"Source: KRX &amp; WISE Index"}' data-sheets-numberformat='[null,2,"₩#,##0.0B"]'>Source: KRX &amp; WISE Index</td></tr>
</tbody>
</table>

As expected, the WISE Secondary Cell Index rebalancing had only one addition (SK IE Technology) and one deletion (Ecopro HN).










WISE Secondary Cell Index tracking ETFs
Index weight on July 8
Index weight on July 9
Rebalancing weight change
Passive flow impact over 30-day ADTV
Note


SK IE Technology Co Ltd
0.00%
10.30%
10.30%p
0.83x
Add


Ecopro HN Co Ltd
1.92%
0.00%
-1.92%p
-1.41x
Delete

Source: KRX &amp; WISE Index

The WISE rechargeable battery theme index is calculated using a market capitalization-weighted method using AI keyword analysis for stocks published by securities companies. If the stock has a market cap of 10% or more, the weight is reset at the 10% ceiling in the quarterly rebalancing, which is the day after the option expiration date in January, April, July, and October.Unlike the FnGuide Secondary Battery Industry Index, which uses a scoring system to take a more active approach to change constituent stocks, the WISE Secondary Cell Index adopts a comprehensive selection method. So, the selection of excluded stocks is not as flexible.There is currently one ETF tracking the index, with an AUM of ₩853.8B as of last Friday's close.





Index &amp; ETF summary

Rebalancing cycle
Quarterly


Rebalancing month
January, April, July, and October


Implementation date
The trading day following the option expiration dates


Screening base date
The last trading day of the month preceding the date of regular rebalancing


ETF
Mirae Asset TIGER Secondary Cell ETF


Ticker
305540


AUM
₩853.8B

Source: KRX &amp; WISE Index



WISE Battery Index Rebalancing Results & What's Next in the Upcoming Rebalancing

<p>It seems that the rebalancing trading of the WISE Battery Index has been active since the morning. The trading volume of all target stocks is already surpassing or nearing ADTV. In the case of POSCO Chemical, today's trading volume is more than four times that of ADTV.</p><p>As expected, stocks with passive inflows are rising, and stocks with passive outflows are falling. </p><p>In the case of Ecopro HN, the stock price has risen sharply this morning. Late yesterday, the company disclosed in a regulatory filing that it would proceed with a bonus issue. This morning's price gain seems to be affected by this very timely regulatory filing. However, the stock, which rose more than 5% in the early morning, is being adjusted to the low 2% level in the afternoon.</p><table class="table table-striped">
<colgroup>
<col width="100">
<col width="100">
<col width="100">
<col width="100">
<col width="100">
<col width="100">
<col width="100">
</colgroup>
<tbody>
<tr>
<td style="width: 149.403px;" data-sheets-value='{"1":2,"2":"Constituents"}'>Constituents</td>
<td style="text-align: right; width: 106.264px;" data-sheets-value='{"1":2,"2":"Weight change between July 8 and July 9"}'>Weight change between July 8 and July 9</td>
<td style="text-align: right; width: 96.804px;" data-sheets-value='{"1":2,"2":"Passive flow impact"}'>Passive flow impact</td>
<td style="text-align: right; width: 96.804px;" data-sheets-value='{"1":2,"2":"Passive flow impact over 30-day ADTV"}'>Passive flow impact over 30-day ADTV</td>
<td style="text-align: right; width: 96.5767px;" data-sheets-value='{"1":2,"2":"Price change today"}'>Price change today</td>
<td style="text-align: right; width: 103.395px;" data-sheets-value='{"1":2,"2":"Volume/ADTV"}'>Today volume/ADTV</td>
<td style="text-align: right; width: 96.7614px;" data-sheets-value='{"1":2,"2":"Note"}'>Note</td>
</tr>
<tr>
<td style="width: 149.403px;" data-sheets-value='{"1":2,"2":"SK IE Technology"}'>SK IE Technology</td>
<td style="text-align: right; width: 106.264px;" data-sheets-value='{"1":2,"2":"10.00%p"}'>10.00%p</td>
<td style="text-align: right; width: 96.804px;" data-sheets-value='{"1":3,"3":89.3}' data-sheets-numberformat='{"1":2,"2":"₩#,##0.0B","3":1}'>₩89.3B</td>
<td style="text-align: right; width: 96.804px;" data-sheets-value='{"1":3,"3":0.8608781040853556}' data-sheets-numberformat='{"1":2,"2":"0.00x","3":1}' data-sheets-formula="=R[0]C[-1]/R[0]C[7]">0.86x</td>
<td style="text-align: right; width: 96.5767px;" data-sheets-value='{"1":3,"3":0.02512562814070352}' data-sheets-numberformat='{"1":3,"2":"0.00%","3":1}' data-sheets-formula="=(R[0]C[5]-R[0]C[4])/R[0]C[4]"><strong>+2.51%</strong></td>
<td style="text-align: right; width: 103.395px;" data-sheets-value='{"1":3,"3":1.5356404177777492}' data-sheets-numberformat='{"1":2,"2":"0.00x","3":1}' data-sheets-formula='=googlefinance(R[0]C[2], "volume")/googlefinance(R[0]C[2], "volumeavg")'><strong>1.54x</strong></td>
<td style="text-align: right; width: 96.7614px;" data-sheets-value='{"1":2,"2":"Add"}'>Add</td>
</tr>
<tr>
<td style="width: 149.403px;" data-sheets-value='{"1":2,"2":"Ecopro HN"}'>Ecopro HN</td>
<td style="text-align: right; width: 106.264px;" data-sheets-value='{"1":2,"2":"-1.82%p"}'>-1.82%p</td>
<td style="text-align: right; width: 96.804px;" data-sheets-value='{"1":3,"3":-16.3}' data-sheets-numberformat='{"1":2,"2":"₩#,##0.0B","3":1}'>-₩16.3B</td>
<td style="text-align: right; width: 96.804px;" data-sheets-value='{"1":3,"3":-1.347107438016529}' data-sheets-numberformat='{"1":2,"2":"0.00x","3":1}' data-sheets-formula="=R[0]C[-1]/R[0]C[7]">-1.35x</td>
<td style="text-align: right; width: 96.5767px;" data-sheets-value='{"1":3,"3":0.022639068564036222}' data-sheets-numberformat='{"1":3,"2":"0.00%","3":1}' data-sheets-formula="=(R[0]C[5]-R[0]C[4])/R[0]C[4]"><strong>+2.26%</strong></td>
<td style="text-align: right; width: 103.395px;" data-sheets-value='{"1":3,"3":1.3609487018031334}' data-sheets-numberformat='{"1":2,"2":"0.00x","3":1}' data-sheets-formula='=googlefinance(R[0]C[2], "volume")/R[8]C[0]'><strong>1.36x</strong></td>
<td style="text-align: right; width: 96.7614px;" data-sheets-value='{"1":2,"2":"Delete"}'>Delete</td>
</tr>
<tr>
<td style="width: 149.403px;" data-sheets-value='{"1":2,"2":"Posco Chemical Co Ltd"}'>Posco Chemical Co Ltd</td>
<td style="text-align: right; width: 106.264px;" data-sheets-value='{"1":2,"2":"1.37%p"}'>1.37%p</td>
<td style="text-align: right; width: 96.804px;" data-sheets-value='{"1":3,"3":12.2}' data-sheets-numberformat='{"1":2,"2":"₩#,##0.0B","3":1}'>₩12.2B</td>
<td style="text-align: right; width: 96.804px;" data-sheets-value='{"1":3,"3":0.3056320776998911}' data-sheets-numberformat='{"1":2,"2":"0.00x","3":1}' data-sheets-formula="=R[0]C[-1]/R[0]C[7]">0.31x</td>
<td style="text-align: right; width: 96.5767px;" data-sheets-value='{"1":3,"3":0.050335570469798654}' data-sheets-numberformat='{"1":3,"2":"0.00%","3":1}' data-sheets-formula="=(R[0]C[5]-R[0]C[4])/R[0]C[4]"><strong>+5.03%</strong></td>
<td style="text-align: right; width: 103.395px;" data-sheets-value='{"1":3,"3":4.33299196067387}' data-sheets-numberformat='{"1":2,"2":"0.00x","3":1}' data-sheets-formula='=googlefinance(R[0]C[2], "volume")/googlefinance(R[0]C[2], "volumeavg")'><strong>4.33x</strong></td>
<td style="text-align: right; width: 96.7614px;" data-sheets-value='{"1":2,"2":"Remain"}'>Remain</td>
</tr>
<tr>
<td style="width: 149.403px;" data-sheets-value='{"1":2,"2":"Iljin Materials Co Ltd"}'>Iljin Materials Co Ltd</td>
<td style="text-align: right; width: 106.264px;" data-sheets-value='{"1":2,"2":"-0.65%p"}'>-0.65%p</td>
<td style="text-align: right; width: 96.804px;" data-sheets-value='{"1":3,"3":-5.8}' data-sheets-numberformat='{"1":2,"2":"₩#,##0.0B","3":1}'>-₩5.8B</td>
<td style="text-align: right; width: 96.804px;" data-sheets-value='{"1":3,"3":-0.3145407586970239}' data-sheets-numberformat='{"1":2,"2":"0.00x","3":1}' data-sheets-formula="=R[0]C[-1]/R[0]C[7]">-0.31x</td>
<td style="text-align: right; width: 96.5767px;" data-sheets-value='{"1":3,"3":-0.040160642570281124}' data-sheets-numberformat='{"1":3,"2":"0.00%","3":1}' data-sheets-formula="=(R[0]C[5]-R[0]C[4])/R[0]C[4]"><strong>-4.02%</strong></td>
<td style="text-align: right; width: 103.395px;" data-sheets-value='{"1":3,"3":0.9280617647625099}' data-sheets-numberformat='{"1":2,"2":"0.00x","3":1}' data-sheets-formula='=googlefinance(R[0]C[2], "volume")/googlefinance(R[0]C[2], "volumeavg")'><strong>0.93x</strong></td>
<td style="text-align: right; width: 96.7614px;" data-sheets-value='{"1":2,"2":"Remain"}'>Remain</td>
</tr>
<tr>
<td style="width: 149.403px;" data-sheets-value='{"1":2,"2":"SoulBrain Co Ltd"}'>SoulBrain Co Ltd</td>
<td style="text-align: right; width: 106.264px;" data-sheets-value='{"1":2,"2":"-0.52%p"}'>-0.52%p</td>
<td style="text-align: right; width: 96.804px;" data-sheets-value='{"1":3,"3":-4.7}' data-sheets-numberformat='{"1":2,"2":"₩#,##0.0B","3":1}'>-₩4.7B</td>
<td style="text-align: right; width: 96.804px;" data-sheets-value='{"1":3,"3":-0.5533284586535042}' data-sheets-numberformat='{"1":2,"2":"0.00x","3":1}' data-sheets-formula="=R[0]C[-1]/R[0]C[7]">-0.55x</td>
<td style="text-align: right; width: 96.5767px;" data-sheets-value='{"1":3,"3":-0.019026824703680598}' data-sheets-numberformat='{"1":3,"2":"0.00%","3":1}' data-sheets-formula="=(R[0]C[5]-R[0]C[4])/R[0]C[4]"><strong>-1.90%</strong></td>
<td style="text-align: right; width: 103.395px;" data-sheets-value='{"1":3,"3":0.8003608860905287}' data-sheets-numberformat='{"1":2,"2":"0.00x","3":1}' data-sheets-formula='=googlefinance(R[0]C[2], "volume")/googlefinance(R[0]C[2], "volumeavg")'><strong>0.80x</strong></td>
<td style="text-align: right; width: 96.7614px;" data-sheets-value='{"1":2,"2":"Remain"}'>Remain</td>
</tr>
<tr><td colspan="7" rowspan="1" style="width: 746.008px;" data-sheets-value='{"1":2,"2":"Source: Mirae Asset TIGER &amp; FnGuide Index"}'>Source: Mirae Asset TIGER &amp; FnGuide Index</td></tr>
</tbody>
</table>

It seems that the rebalancing trading of the WISE Battery Index has been active since the morning. The trading volume of all target stocks is already surpassing or nearing ADTV. In the case of POSCO Chemical, today's trading volume is more than four times that of ADTV.As expected, stocks with passive inflows are rising, and stocks with passive outflows are falling. In the case of Ecopro HN, the stock price has risen sharply this morning. Late yesterday, the company disclosed in a regulatory filing that it would proceed with a bonus issue. This morning's price gain seems to be affected by this very timely regulatory filing. However, the stock, which rose more than 5% in the early morning, is being adjusted to the low 2% level in the afternoon.











Constituents
Weight change between July 8 and July 9
Passive flow impact
Passive flow impact over 30-day ADTV
Price change today
Today volume/ADTV
Note


SK IE Technology
10.00%p
₩89.3B
0.86x
+2.51%
1.54x
Add


Ecopro HN
-1.82%p
-₩16.3B
-1.35x
+2.26%
1.36x
Delete


Posco Chemical Co Ltd
1.37%p
₩12.2B
0.31x
+5.03%
4.33x
Remain


Iljin Materials Co Ltd
-0.65%p
-₩5.8B
-0.31x
-4.02%
0.93x
Remain


SoulBrain Co Ltd
-0.52%p
-₩4.7B
-0.55x
-1.90%
0.80x
Remain

Source: Mirae Asset TIGER &amp; FnGuide Index



WISE Battery Index Rebalancing: Today Status & Reverse Trading Timing for Tomorrow

WISE Battery Index is a 10%-capped theme index operated by WISEfn, a local index operator. Among the secondary battery theme indices, it is the index that attracted the most funds, along with KRX BBIG and FnGuide Secondary Batteries.Currently, one ETF tracks this index. The current AUM is ₩872.6B.









WISE Secondary Cell Index tracking ETFs
Ticker
AUM
Price
SO


Mirae Asset TIGER Secondary Cell ETF
305540
₩872.6B
₩18,585
46,950,000

Source: KRX

Index rebalancing takes place four times a year, in the first month of the quarter. The implementation date is the trading day following the option expiration date. So, it is Friday of the second week.This time, July 9 is the implementation date, so the rebalancing trading of the ETF takes place at the simultaneous quote trading time of the market closing on July 8, which is the last 10 minutes into the closing time, 3:30 PM.





Rebalancing schedule

Rebalancing cycle
Quarterly


Rebalancing month
January, April, July, and October


Implementation date
The trading day following the option expiration dates


Next implementation date
July 9, 2021


Rebalancing trading
At the close on July 8, 2021


Screening base date
The last trading day of the month preceding the date of regular rebalancing

Source: KRX &amp; WISE Index

The WISE Secondary Battery Theme Index adopts a comprehensive selection method. That is, the selection of excluded stocks is not flexible. In the previous rebalancing, only one stock was added, and one stock was excluded.As of July 5, there are 26 constituents, and the index weight of each constituent is as follows.









Constituents, as of July 5, 2021
Ticker
Weight
Market cap
30-day average daily trade value


SK Innovation Co Ltd
096770
10.76%
₩25,566.7B
₩277.0B


SKC Co Ltd
011790
10.78%
₩5,888.5B
₩56.3B


Samsung SDI Co Ltd
006400
10.25%
₩51,229.6B
₩197.1B


LG Chem Ltd
051910
9.72%
₩61,556.5B
₩237.4B


Posco Chemical Co Ltd
003670
8.30%
₩8,965.3B
₩39.8B


Ecopro BM Co Ltd
247540
7.47%
₩4,717.1B
₩37.5B


Iljin Materials Co Ltd
020150
6.25%
₩3,449.1B
₩17.6B


L&amp;F Co., Ltd.
066970
6.05%
₩2,515.9B
₩39.0B


SoulBrain Co Ltd
357780
5.39%
₩2,500.8B
₩8.8B


Chunbo Co Ltd
278280
3.05%
₩1,894.0B
₩10.4B


Ecopro Co., Ltd.
086520
2.83%
₩861.2B
₩17.2B


Cosmo Advanced Materials&amp;Technlgy Co Ltd
005070
2.39%
₩889.1B
₩19.2B


Creative &amp; Innovative System Corp
222080
2.18%
₩672.7B
₩10.0B


Foosung Co Ltd
093370
2.04%
₩1,000.2B
₩7.2B


Ecopro HN Co Ltd
383310
2.05%
₩615.3B
#N/A


Solus Advanced Materials Co Ltd
336370
1.97%
₩1,550.9B
₩17.7B


Daejoo Electronic Materials Co Ltd
078600
1.95%
₩749.4B
₩12.1B


People &amp; Technology Inc
137400
1.66%
₩546.9B
₩4.8B


Dongwha Enterprise Co Ltd
025900
0.94%
₩1,496.9B
₩8.7B


Wonik PNE Co Ltd
131390
0.83%
₩333.4B
₩3.9B


Youlchon Chemical Co. Ltd.
008730
0.78%
₩555.5B
₩1.5B


CowinTech Co Ltd
282880
0.65%
₩218.9B
₩1.1B


Shin Heung Energy &amp; Electronics Co Ltd
243840
0.53%
₩418.3B
₩4.6B


mPlus Corp
259630
0.47%
₩172.2B
₩3.4B


Innometry Co Ltd
302430
0.40%
₩172.0B
₩0.5B


Daebo Magnetic Co Ltd
290670
0.27%
₩257.5B
₩1.1B

Source: KRX



WISE Battery Index Rebalancing Trading Update (July 8)

South Korea

Posco Future M Co., Ltd. manufactures and distributes energy materials. The Company produces battery materials, advanced chemical materials, basic industrial materials, and other related products. Posco Future M also produces lime chemical and refractory products.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Posco Future M (003670 KS)

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Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)