Daily Brief Financials: Euro Stoxx Banks Index, Korea Stock Exchange Kospi 200 Index, Lippo Karawaci, Picton Property Income, BNP Paribas SA and more

• SX7E broke out of its range and has rallied 15% this year alone
• ECB are close to the end of their hiking cycle and a lot of good news is already priced
• Recessionary fears still remain in Europe and we see an opportunity to hedge recent gains whilst vols are low

• The new rules allow investors to decide whether to hold the stock until the dividend record date after knowing the dividend amount in advance.
• The new rules will be applied starting with the annual dividends for this fiscal year. We will know this year’s yearend dividend amount before deciding whether to receive it.
• From a trading perspective, the yearend dividend arb targeting ex-date mispricing will no longer be effective, which will likely change the swing trading strategy at the beginning of the year.

Lucror Analytics Weekly Wraps provide an overview of all Morning Views comments and reports published by our analyst team in the past week, and also showcase a list of the most-read reports.

In this Insight:

1. China Jinmao Holdings
2. Lifestyle International Holdings
3. Geely Auto
4. First Pacific Co
5. Tata Motors Ltd

and more…

Picton Property Income’s (PCTN’s) Q323 report shows asset management and leasing activity continuing to grow rental income. This provided a partial offset to strong market-wide pressure on property valuations in response to higher interest rates, while moderate gearing mitigated the impact on NAV. Although the NAV total return was a negative 11.7%, PCTN appears to have delivered strong outperformance relative to MSCI indices and those immediate peers that have so far reported.

• Key variables suggest BNP Paribas’ Q4 report could surprise the market, with its held-for-trading securities leading the way.
• The bank’s balance sheet possesses little maturity mismatch, but its Value-at-Risk could remain elevated amid sustained volatility in the FX and Bond markets.
• BNP Paribas (OTCQX:BNPQF) is scheduled to release earnings on Tuesday, the 7th.