In today’s briefing:
- MVIS Australia A-REITs Index Rebalance: Abacus Group Deletion Means More Outflow
- MarketVector Vietnam Local Index Rebalance: Some Big Impact Changes
- Royal Bank of Canada: Exploring the Global Markets for Rapid Expansion! – Major Drivers
- The Toronto-Dominion Bank: Redefining Banking with Strategic Investments! – Major Drivers
- Quiddity A/H Premium Weekly (Sep 8): ICBC, ABC, CCB, BOC, Vanke, NCL, Rails
MVIS Australia A-REITs Index Rebalance: Abacus Group Deletion Means More Outflow
- As expected, Abacus Group (ABG AU) will be deleted from the MVIS Australia A-REIT Index at the close on 15 September.
- Abacus Group (ABG AU) will also be deleted from the S&P/ASX 200 (AS51 INDEX) on the same day, so this increases the sell flow on the stock.
- Estimated one-way turnover at the rebalance is 3.8% resulting in a one-way trade of A$23.8m. There are a few stocks with over 1x ADV to trade from passive trackers.
MarketVector Vietnam Local Index Rebalance: Some Big Impact Changes
- There are no constituent changes for the index but there are float and capping changes that will be implemented at the close on 15 September.
- Estimated one-way turnover is 3.3% and the one-way trade is US$21.5m. There are eight stocks where passive trackers need to trade over 1 day of ADV.
- After large creations for Market Vectors Vietnam ETF (VNM US) at the start of the year, there has not been a lot of follow-on activity as the market moves higher.
Royal Bank of Canada: Exploring the Global Markets for Rapid Expansion! – Major Drivers
- Royal Bank of Canada managed to exceed analyst expectations in terms of revenue and earnings.
- Revenue increased by 19% to $14.5 billion because of the strength of their diversified business strategy, which delivered revenue growth across all of their businesses.
- In Corporate Banking and Investment Banking, the Royal Bank of Canada kept moving its operations toward globalization and expanded the range of industries and products it served.
The Toronto-Dominion Bank: Redefining Banking with Strategic Investments! – Major Drivers
- The Toronto-Dominion Bank delivered a mixed result in the recent quarter, with revenues above market expectations but failed to surpass the analyst consensus regarding earnings.
- Revenue increased yearly, mostly due to margin improvement in the company’s retail sectors.
- Earnings in the Canadian Personal and Commercial Banking division were $1.7 billion, with revenue increasing by 7% and operating leverage significantly improving.
Quiddity A/H Premium Weekly (Sep 8): ICBC, ABC, CCB, BOC, Vanke, NCL, Rails
- The Brand-Spanking New (three weeks old) A-H Monitor has tables, charts, measures galore.
- New stimulus measures appear to be triggering FOMO on real estate stocks, but a foreshortened week, yet again, makes one wonder. There IS money being applied though.
- I expect more measures and more buying. I am not sure I would want to be short any Hs with a deep discount to the A the next few months.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Data and News
- ✓ Events & Webinars
