Daily Brief Financials: Japan Excellent, Groupe Bruxelles Lambert Sa, Bitcoin, Ethereum, KreditBee, CIFI Holdings and more

• 4.5 months ago I wrote about a possible “Sustained Flow Event” on Japan Excellent (8987 JP). Since then, the stock has outperformed every other Office REIT. It’s up since then.
• Outperformance within Office REITs has been a minimum of 3.5%, and a maximum of ~20.8% vs the biggest peer, with an average and median outperformance of 11.7% and 13.4% respectively.
• This idiosyncratic story has come to an end. It may be a temporary end, but I don’t see the next catalyst.

• Discounts to NAV of covered holdcos have generally widened since mid-December.
• Discounts to NAV (11 January): C.F.Alba, 48.9%; GBL, 36.3%; Heineken Holding, 19.5%; Industrivärden C, 14.3%; Investor B, 15.9%; Porsche Automobile Holding, 45%. The spread of Rio Tinto DLC tightened to 10.8%.
• Spreads tend to widen in bear markets but short-term recoveries provide opportunities on tightening discounts. Recommended trades are: GBL, Porsche Automobile Holding, Rio Tinto (DLC), CF Alba (long position).

• Today we step away from our ST / tactical TSS strategy and focus on definitive MT momentum confirmation.
• The uptrends that have evolved since the November lows in Bitcoin and Ethereum are small relative to the 2022 declines.
• This week is in the process of delivering definitive bullish MT momentum confirmation in both Bitcoin and Ethereum. Such an outcome will confirm a high probability multi-month uptrend bias.

• As a proof of stake network, Ethereum rewards stakers with block rewards and user fees.
• However, the 32 ETH minimum required to stake your ETH directly on the network prohibits the vast majority of users from doing so. Enter liquid staking derivatives, or LSDs.
• LSDs refer to the tokens created by DeFi protocols or centralized services designed to reward users who stake ETH on their platform.

• India-based KreditBee has added another US$100 million to its series D, with primary funding from equity investor Advent International.

• Founded in 2018 by Madhusudan Ekambaram, Karthikeyan Krishnaswamy, and Wan Hong, the startup offers tech-enabled personal loans to working professionals.
• KreditBee finances the loan through partnerships with banks and non-bank financial companies.

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar.

• China SCE
• China Vanke
• CIFI Holdings
• Lippo Karawaci