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

Brian Freitas

Pan-Asia Index Rebalances/ Events/ Delta One

Periscope Analytics

Periscope Analytics focuses on event-driven trades across Asia Pacific and provides comprehensive, timely and systematic coverage of index changes to major Asia Pacific indices in a structured manner.

The analysis includes forecasted inclusions and exclusions to all major Asian indices that have significant amount of tracking assets, including estimates of passive buy/sell flow on the stocks. The service also provides commentary and impact of market consultations, ground rule changes, and other events (IPOs, spin-offs, M&A) that could lead to index changes and passive flow.

Periscope Analytics works with multi-strategy hedge funds, proprietary trading firms, stat arb trading groups and long-only investors that invest and trade in the Asia Pacific region with the data being used to trade index rebalances, avoid pre-positioning and passive flow, and to time entry into and exit from stocks.

Event-Driven Trades Across Asia Pacific

Event-Driven

<ul>
<li>There are 15 stocks in Japan that will be sold by passive trackers at the close on 31 May.</li>
<li>Short interest has been increasing in these stocks over the last few months and there will be covering on implementation date.</li>
<li>Cumulative excess volume on all stocks has risen in the last couple of months though the pace of the increase has varied.</li>
</ul>


There are 15 stocks in Japan that will be sold by passive trackers at the close on 31 May.
Short interest has been increasing in these stocks over the last few months and there will be covering on implementation date.
Cumulative excess volume on all stocks has risen in the last couple of months though the pace of the increase has varied.


Japan - Another Big Round of Passive Selling

Managing Director, Zero One, Zero One

Vincent Fernando, CFA

Managing Director, Zero One

Equity Bottom-Up

Hon Hai Precision Industry / Equity Bottom-Up

<ul>
<li>U.S. chip restrictions have hobbled Hon Hai's China EV competition.</li>
<li>AI and advanced semiconductors will become a necessity for a globally competitive EV platform and Hon Hai appears to be moving aggressively to capture this opportunity.</li>
<li>The shares should see topline growth and major margin expansion into 2025, and the market appears to have not yet priced-in Hon Hai's latest advantageous position.</li>
</ul>


U.S. chip restrictions have hobbled Hon Hai's China EV competition.
AI and advanced semiconductors will become a necessity for a globally competitive EV platform and Hon Hai appears to be moving aggressively to capture this opportunity.
The shares should see topline growth and major margin expansion into 2025, and the market appears to have not yet priced-in Hon Hai's latest advantageous position.


Hon Hai: U.S. Chip Restrictions Vs. China Have Put Hon Hai in a Stronger Than Ever Position

IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

IPOs and Catalysts/Events

Uncompromised, Independent, Conflict-Free Research

Global Equity Research Ltd

Global Equity Research was started in 2017 by a group of experienced research professionals. It was founded on a passionate belief in the importance and the need for uncompromised, independent, conflict-free research. We aim to provide differentiated and actionable primary and bottom up fundamental research.

<ul>
<li>
<a href="https://www.smartkarma.com/entities/fujitsu-general-ltd" target="_blank" data-smartkarma-citation="entities:2025:1" rel="noopener">Fujitsu General (6755 JP)</a> announced a preconditional tender offer from Paloma Rheem Holdings Co at JPY2,808 per share, a 23.5% premium to the last close.</li>
<li>The offer, which is preconditional on regulatory approvals and will open in early July, is attractive compared to historical trading ranges and peer multiples.</li>
<li>The process is lacking as Fujitsu declined to conduct an auction. The offer is below the midpoint of the IFA DCF valuation range, and the Board requested price.</li>
</ul>



Fujitsu General (6755 JP) announced a preconditional tender offer from Paloma Rheem Holdings Co at JPY2,808 per share, a 23.5% premium to the last close.
The offer, which is preconditional on regulatory approvals and will open in early July, is attractive compared to historical trading ranges and peer multiples.
The process is lacking as Fujitsu declined to conduct an auction. The offer is below the midpoint of the IFA DCF valuation range, and the Board requested price.


Fujitsu General (6755 JP): Fujitsu (6702 JP) Supports a Light Tender Offer

Blue Lotus China New Economy Research, Blue Lotus Research Institute

Eric Wen

Blue Lotus China New Economy Research

China growth and global non-US Internet equities

Blue Lotus Research Institute

Blue Lotus Research is a Hong Kong Type 4 Licensed investment advisory firm focusing on Chinese growth equities and global non-US Internet equities

Thematic (Sector/Industry)

<ul>
<li>TSLA/1211 HK/LI/1810 HK/NIO/XPEV: The General Manager of Tesla's Shanghai factory resigned to join an electric car company facing production capacity bottlenecks, possibly because FSD had no hope of entering China.(///////////)</li>
<li>1211HK/LI/NIO/XPEV:In the 50th week of 2024, the market generally rose and sprint towards the end of the year.It will be difficult for NIO to achieve its guidance in the Q4(///////)</li>
<li>1810 HK/AAPL US/6753 JP: Xiaomi to expand offline network in Japan (+/-/-)</li>
</ul>


TSLA/1211 HK/LI/1810 HK/NIO/XPEV: The General Manager of Tesla's Shanghai factory resigned to join an electric car company facing production capacity bottlenecks, possibly because FSD had no hope of entering China.(///////////)
1211HK/LI/NIO/XPEV:In the 50th week of 2024, the market generally rose and sprint towards the end of the year.It will be difficult for NIO to achieve its guidance in the Q4(///////)
1810 HK/AAPL US/6753 JP: Xiaomi to expand offline network in Japan (+/-/-)


[Blue Lotus Daily]:TSLA US/1211 HK/LI US/1810 HK/NIO US/XPEV US/1810 HK/AAPL US/6753 JP

Zero One

Founded in 2015, Zero One produces independent investment research and provides corporate finance advisory services with a focus on both listed and private technology companies. Founder Vincent Fernando has over 20 years of experience in US and Asia capital markets.

Independent Investment Research

Taiwan Semiconductor (TSMC) - ADR / Equity Bottom-Up

<ul>
<li>TSMC’s N2 Progress Sparks Buzz Amid Yield Improvement Rumors; If True Then 2nm Will Become Even More Successful Than 3nm</li>
<li>Hon Hai &amp; TASA Showcase Homegrown Space Technologies Including an Alternative to Starlink</li>
<li>Himax: Buyback Program Lifts Shares; Auto Display Controllers, AR Displays &amp; WLO for AI Progressing </li>
</ul>


TSMC’s N2 Progress Sparks Buzz Amid Yield Improvement Rumors; If True Then 2nm Will Become Even More Successful Than 3nm
Hon Hai &amp; TASA Showcase Homegrown Space Technologies Including an Alternative to Starlink
Himax: Buyback Program Lifts Shares; Auto Display Controllers, AR Displays &amp; WLO for AI Progressing 


Taiwan Tech Weekly: TSMC 2NM Yield Jump Rumors; Seeing Taiwan's Starlink Alternative Firsthand in KS

Japan

Sharp Corporation manufactures consumer and industrial electronics. The Company's products include audio-visual and communication equipment such as LCD TVs and mobile phones, home appliances, and electronic components including solar cells and integrated circuits.  Sharp operates its business worldwide.

Price Gauge
52-week Range	0.00 - 0.00
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Sharp Corp (6753 JP)

Japan - Another Big Round of Passive Selling

The close tomorrow should see huge volumes trade on these stocks. Shorts will be covered and longs will be selectively put on.

Brian Freitas

Hon Hai: U.S. Chip Restrictions Vs. China Have Put Hon Hai in a Stronger Than Ever Position

AI and advanced semiconductors will become a necessity for a globally competitive EV platform -- This means that U.S. chip restricitons for China...

Vincent Fernando, CFA

Fujitsu General (6755 JP): Fujitsu (6702 JP) Supports a Light Tender Offer

Due to the lack of an auction, the offer being below the midpoint of the IFA DCF valuation range, and the Board's requested price, a competing bid...

Arun George

[Blue Lotus Daily]:TSLA US/1211 HK/LI US/1810 HK/NIO US/XPEV US/1810 HK/AAPL US/6753 JP

Tesla's Shanghai factory GM resigns to join electric car company facing production issues, possibly due to FSD's China entry uncertainty. Xiaomi...

Blue Lotus Research Institute

Taiwan Tech Weekly: TSMC 2NM Yield Jump Rumors; Seeing Taiwan's Starlink Alternative Firsthand in KS

Did a TSMC engineer disclose a production yield improvement for the company's 2nm manufacturing? In Kaohsiong, the development of Taiwan's upcoming...

Vincent Fernando, CFA

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Japan - Another Big Round of Passive Selling

The close tomorrow should see huge volumes trade on these stocks. Shorts will be covered and longs will be selectively put on.

Brian Freitas

Hon Hai: U.S. Chip Restrictions Vs. China Have Put Hon Hai in a Stronger Than Ever Position

AI and advanced semiconductors will become a necessity for a globally competitive EV platform -- This means that U.S. chip restricitons for China...

Vincent Fernando, CFA

Fujitsu General (6755 JP): Fujitsu (6702 JP) Supports a Light Tender Offer

Due to the lack of an auction, the offer being below the midpoint of the IFA DCF valuation range, and the Board's requested price, a competing bid...

Arun George

[Blue Lotus Daily]:TSLA US/1211 HK/LI US/1810 HK/NIO US/XPEV US/1810 HK/AAPL US/6753 JP

​Tesla's Shanghai factory GM resigns to join electric car company facing production issues, possibly due to FSD's China entry uncertainty. Xiaomi...

Blue Lotus Research Institute

Taiwan Tech Weekly: TSMC 2NM Yield Jump Rumors; Seeing Taiwan's Starlink Alternative Firsthand in KS

Did a TSMC engineer disclose a production yield improvement for the company's 2nm manufacturing? In Kaohsiong, the development of Taiwan's upcoming...

Vincent Fernando, CFA

Tesla's Shanghai factory GM resigns to join electric car company facing production issues, possibly due to FSD's China entry uncertainty. Xiaomi...