China and US Equity Analyst

Roger Xie

10 year investment experience on public and private equity. Deep-dive fundamental research. Specialize in China and US market.

Cross Asset Strategy

<p>Investors might have overlooked the potential of new equity financing rule announced in mid-February. Our past experience shows the latest revision has paved the path to stimulate M&amp;A appetite for Chinese corporates. In 2015, the similar regulation change has driven 106% year-over-year increase in follow-on equity offering in A-share market. That also led to a sharp jump in M&amp;A deals and a bull run in A-share market. This will benefit tech-focus and high growth companies. </p>

Investors might have overlooked the potential of new equity financing rule announced in mid-February. Our past experience shows the latest revision has paved the path to stimulate M&amp;A appetite for Chinese corporates. In 2015, the similar regulation change has driven 106% year-over-year increase in follow-on equity offering in A-share market. That also led to a sharp jump in M&amp;A deals and a bull run in A-share market. This will benefit tech-focus and high growth companies. 

Shanghai Shenzhen CSI 300 Index (SHSZ300 INDEX EQUITY)

China A-Share Strategy: New Equity Financing Rule, A Catalyst for Market Upside (SHSZ300 Index)