Korea / Special Sits, Pairs, Index Rebalancing, Clepsydra Capital

Sanghyun Park

I investigate special situations, pairs, and index rebalancing trades in Korea.

Korea / Special Sits, Pairs, Index Rebalancing

Korea Pair Trade Idea: 6 Closely Correlated & Cointegrated Sector Pairs

Korea Single-Subsidiary Holdcos NAV Discount & Short Interest: Quick Thoughts on Trade

Hyundai Dept & Shinsegae At -2.9σ Due to Duty-Free Factor, but Should Head for Mean Reversion Now

Korea Shorting Resumes Next Week: Immediate Target Stocks on the Radar

Korea Short 350: Loan Balance, Short Interest, & % to 52WH

Amorepacific Corp: 2021 High Conviction - Highlights of Better than Expected 1Q 2021 Earnings

Clepsydra Capital

Investigate special situations, pairs, and index rebalancing trades in Korea.

Event-Driven

<p>This is the complete list of Korea's single-sub holding companies. They are typically direct targets of holdco pair trades.</p><table class="table table-striped">
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"Holdco"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}'>Holdco</td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"Ticker"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}'>Ticker</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"Sub"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}'>Sub</td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"Ticker"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}'>Ticker</td>
</tr>
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"Amorepacific Group"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-7]"><strong>Amorepacific Group</strong></td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"002790"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-3]">002790</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"Amorepacific Corp"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-9]"><strong>Amorepacific Corp</strong></td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"090430"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-5]">090430</td>
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"BGF Co Ltd"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-7]"><strong>BGF Co Ltd</strong></td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"027410"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-3]">027410</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"BGF Retail Co Ltd"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-9]"><strong>BGF Retail Co Ltd</strong></td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"282330"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-5]">282330</td>
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"Halla Holdings Corp"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-7]"><strong>Halla Holdings Corp</strong></td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"060980"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-3]">060980</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"Mando Corp"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-9]"><strong>Mando Corp</strong></td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"204320"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-5]">204320</td>
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"Hanjin Kal"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-7]"><strong>Hanjin Kal</strong></td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"180640"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-3]">180640</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"Korean Air Lines Co Ltd"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-9]"><strong>Korean Air Lines Co Ltd</strong></td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"003490"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-5]">003490</td>
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"Hankook &amp; Company Co Ltd"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-7]"><strong>Hankook &amp; Company Co Ltd</strong></td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"000240"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-3]">000240</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"Hankook Tire &amp; Technology Co Ltd"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-9]"><strong>Hankook Tire &amp; Technology Co Ltd</strong></td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"161390"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-5]">161390</td>
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"HANSAE YES24 HOLDINGS CO., LTD."}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-7]"><strong>HANSAE YES24 HOLDINGS CO., LTD.</strong></td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"016450"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-3]">016450</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"Hansae Co., Ltd."}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-9]"><strong>Hansae Co., Ltd.</strong></td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"105630"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-5]">105630</td>
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"HDC Holdings Co Ltd"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-7]"><strong>HDC Holdings Co Ltd</strong></td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"012630"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-3]">012630</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"HDC Hyundai Development Co"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-9]"><strong>HDC Hyundai Development Co</strong></td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"294870"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-5]">294870</td>
</tr>
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"Nexen Corporation"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-7]"><strong>Nexen Corporation</strong></td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"005720"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-3]">005720</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"Nexen Tire Corp"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-9]"><strong>Nexen Tire Corp</strong></td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"002350"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-5]">002350</td>
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"Nongshim Holdings Co Ltd"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-7]"><strong>Nongshim Holdings Co Ltd</strong></td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"072710"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-3]">072710</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"Nongshim Co Ltd"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-9]"><strong>Nongshim Co Ltd</strong></td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"004370"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-5]">004370</td>
</tr>
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"ORION Holdings Corp"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-7]"><strong>ORION Holdings Corp</strong></td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"001800"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-3]">001800</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"Orion Corp"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-9]"><strong>Orion Corp</strong></td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"271560"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-5]">271560</td>
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"Poongsan Holdings Corporation"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-7]"><strong>Poongsan Holdings Corporation</strong></td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"005810"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-3]">005810</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"POONGSAN CORPORATION"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-9]"><strong>POONGSAN CORPORATION</strong></td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"103140"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-5]">103140</td>
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<td style="width: 255.455px;" data-sheets-value='{"1":2,"2":"Youngone Holdings Co Ltd"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-7]"><strong>Youngone Holdings Co Ltd</strong></td>
<td style="width: 61.8182px;" data-sheets-value='{"1":2,"2":"009970"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[0]C[-3]">009970</td>
<td style="width: 265.455px;" data-sheets-value='{"1":2,"2":"Youngone Corporation"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-9]"><strong>Youngone Corporation</strong></td>
<td style="width: 78.1818px;" data-sheets-value='{"1":2,"2":"111770"}' data-sheets-numberformat='{"1":4,"2":"[$₩]#,##0"}' data-sheets-formula="=R[14]C[-5]">111770</td>
</tr>
<tr><td colspan="4" style="width: 255.455px;">Source: KRX</td></tr>
</tbody>
</table><hr><p>Hansae Yes24, Nexen Corp, and Youngone Holdings are currently at less than -1.0σ on a 20-day moving average.</p><section class="figure"><section class="figure"><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/203/362/original/Sigma+%28%CF%83%29+on+a+20D+moving+average+%281%29.png?1619664700" class="editor-image img-responsive" data-smartkarma-image-id="203362"></figure></section><p>Again, Nexen Corp and Hansae Yes24 have the widest price-ratio diversion to YTD average. Hanjin Kal and Hankook &amp; Co follow. On the other hand, Orion Holdings has wildly outperformed its subsidiary, Orion Corp. </p>
<section class="figure"><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/203/364/original/Price+ratio+%CE%94%25+to+YTD+average.png?1619664934" class="editor-image img-responsive" data-smartkarma-image-id="203364"></figure></section><p>We have 6 holding companies with an average daily trading value of +₩5.0B, including Hansae Yes24, which recently saw a hike in trading value.</p>
<section class="figure"><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/203/367/original/Average+daily+trading+value+%28%E2%82%A9B%29.png?1619665335" class="editor-image img-responsive" data-smartkarma-image-id="203367"></figure></section></section>

This is the complete list of Korea's single-sub holding companies. They are typically direct targets of holdco pair trades.








Holdco
Ticker
Sub
Ticker


Amorepacific Group
002790
Amorepacific Corp
090430


BGF Co Ltd
027410
BGF Retail Co Ltd
282330


Halla Holdings Corp
060980
Mando Corp
204320


Hanjin Kal
180640
Korean Air Lines Co Ltd
003490


Hankook &amp; Company Co Ltd
000240
Hankook Tire &amp; Technology Co Ltd
161390


HANSAE YES24 HOLDINGS CO., LTD.
016450
Hansae Co., Ltd.
105630


HDC Holdings Co Ltd
012630
HDC Hyundai Development Co
294870


Nexen Corporation
005720
Nexen Tire Corp
002350


Nongshim Holdings Co Ltd
072710
Nongshim Co Ltd
004370


ORION Holdings Corp
001800
Orion Corp
271560


Poongsan Holdings Corporation
005810
POONGSAN CORPORATION
103140


Youngone Holdings Co Ltd
009970
Youngone Corporation
111770

Source: KRX

Hansae Yes24, Nexen Corp, and Youngone Holdings are currently at less than -1.0σ on a 20-day moving average.Again, Nexen Corp and Hansae Yes24 have the widest price-ratio diversion to YTD average. Hanjin Kal and Hankook &amp; Co follow. On the other hand, Orion Holdings has wildly outperformed its subsidiary, Orion Corp. 
We have 6 holding companies with an average daily trading value of +₩5.0B, including Hansae Yes24, which recently saw a hike in trading value.


Korea's Full List of Single-Subsidiary Holdcos with Current Sigma & Loan/Float Ratio