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.

China Equity Strategy: Market Set to Rebound and Rotate Back into Growth-Focused Tech

HKEx(388.HK): A Key Exchange to Connect China and the World, New CEO Said

HK Exchange (388): Beneficiary of HK Tech Crack Down

Hong Kong Exchange & Clearing – Making The Connection

Hong Kong Market: Conversion of US ADRs Will Boost HKEx as Global Trading Venue

HKEx(388.HK): Transformational Strategy Should Offset the Higher Stamp Duty Fear

Battle Lines Drawn As BABA Builds Out First/Last-Mile Capacity; But Who Will Fund 75+ Bn CNY CapEx?

Equity Bottom-Up

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<li>
<a href="https://www.smartkarma.com/entities/hong-kong-exchanges-clearing" target="_blank" data-smartkarma-citation="entities:490:1" rel="noopener">HKEX (388 HK)</a> April ADT (Average Daily Turnover) re-accelerated from March metrics, delivering amazing 55% year-over-year growth in the month. The outperformance is helped by the rebound of global equity markets and easy comparable from last year. For first 4 months of year 2021, HKEx ADT has accelerated the year-over-year growth rate to 77%. IPO market remains robust. Total raised fund has reached HK$137 billion in 32 IPO deals. New economy and biotech stocks account 95% of IPO deals.</li>
<li>We maintain our sanguine view on trading activities and IPO pipeline in Hong Kong market in 2021, and believe these are the driver to further lift market activities. HKEx delivered HK$3,840mn profit in 21Q1, up 31% quarter-over-quarter, 70% year-over-year. Total ADT is up 86% year-over-year and reached HK$244 bn. Excluding Southbound Stock Connect, ADT grew 76% year-over-year. Commodity trading volume at LME also rebounded 5% quarter-over-quarter. </li>
<li>We forecast Securities ADT of HK$240bn in FY 21 (excluding Stock Connect Northbound volume) and have TP HKD 550 for <a href="https://www.smartkarma.com/entities/hong-kong-exchanges-clearing" target="_blank" data-smartkarma-citation="entities:490:1" rel="noopener">HKEX (388 HK)</a>. Mr. Nicolas Aguzin will become HKEx new CEO effective next Monday May 24 and will deliver his first public speech as HKEx new CEO at LME Asia2021 Metal Seminar on May 25, 2021.  We expect Mr Aguzin will continue to strengthen HKEx market leading position in China New Economy sector and Stock Connect program.     </li>
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HKEX (388 HK) April ADT (Average Daily Turnover) re-accelerated from March metrics, delivering amazing 55% year-over-year growth in the month. The outperformance is helped by the rebound of global equity markets and easy comparable from last year. For first 4 months of year 2021, HKEx ADT has accelerated the year-over-year growth rate to 77%. IPO market remains robust. Total raised fund has reached HK$137 billion in 32 IPO deals. New economy and biotech stocks account 95% of IPO deals.
We maintain our sanguine view on trading activities and IPO pipeline in Hong Kong market in 2021, and believe these are the driver to further lift market activities. HKEx delivered HK$3,840mn profit in 21Q1, up 31% quarter-over-quarter, 70% year-over-year. Total ADT is up 86% year-over-year and reached HK$244 bn. Excluding Southbound Stock Connect, ADT grew 76% year-over-year. Commodity trading volume at LME also rebounded 5% quarter-over-quarter. 
We forecast Securities ADT of HK$240bn in FY 21 (excluding Stock Connect Northbound volume) and have TP HKD 550 for HKEX (388 HK). Mr. Nicolas Aguzin will become HKEx new CEO effective next Monday May 24 and will deliver his first public speech as HKEx new CEO at LME Asia2021 Metal Seminar on May 25, 2021.  We expect Mr Aguzin will continue to strengthen HKEx market leading position in China New Economy sector and Stock Connect program.     


HKEx(388.HK): New Economy and Stock Connect to Continue Lift Trading Activities