Daily Brief Financials: Korea Stock Exchange Kospi Index, Mitsubishi UFJ Financial (MUFG), Amman Mineral Internasional, Cons Tomoka Land Co Florida, Country Garden Holdings Co and more

• The abolition of the foreign investor registration system was approved in a Cabinet meeting. They will be promulgated on June 13th and implemented starting December 14th of this year.
• This change is not just about reducing administrative tasks, as it also eliminates the reporting obligations of foreign investors, thereby reducing their position exposure risk.
• This could improve event outcome and price prediction accuracy. Therefore, it is crucial to keep a close eye on event trading when this measure takes effect in December.

• There may be no imminent yield curve control relief in Japan
• MUFG market capitalization is up 2-3x and at a near decade peak level
• Without YCC relief maybe the bank’s 60% rise in NPLs in the past 4 years is better noticed

• Amman Mineral Internasional (1416286D IJ), an Indonesian copper-gold producer, has launched an IDX IPO to raise US$870 million. Bookbuilding runs from 31 May to 16 June.
• We previously discussed the IPO in Amman Mineral Internasional IPO: The Investment Case. 
• In this note, we discuss valuation. Our analysis suggests that the IPO price range of IDR1,650-1,775 per share is attractive. We would participate in the IPO.

• CTO Realty Growth, Inc. possesses the necessary characteristics to outperform the market.
• Diminishing credit spreads and more predictable inflation could result in tailwinds for best-in-class cyclical REITs such as CTO.
• Real Estate Investment Trusts (“REITs”) situated in the United States have underperformed the S&P 500 (SP500) by approximately 10% during the past year, which should not be a surprise as factors such as rising credit spreads, an unstable interest rate environment, and softening consumer sentiment have all dented the hopes of many cyclical assets.

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.

• Country Garden Holdings Co
• Yuexiu Property