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<Research>CICC: Mainland Public Funds Increase Positions in HK Stocks in 4Q24 to Record High in 2019; Xiaomi, SMIC Most Favorable
CICC published a research report on the positions of mainland public funds in Hong Kong stocks in 4Q24. After a robust rebound from late September to early October last year, the m...
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<Research>CICC: Mainland Public Funds Increase Positions in HK Stocks in 4Q24 to Record High in 2019; Xiaomi, SMIC Most Favorable
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CICC published a research report on the positions of mainland public funds in Hong Kong stocks in 4Q24. After a robust rebound from late September to early October last year, the market retreated radically after the China’s National Day and remained rattled as investor sentiment and policy expectations subsided. The pattern so far has been consistent with the broker's judgments since early October.

However, southbound capital flowed into Hong Kong stocks in a big way in 4Q24 of HKD304.29 billion, contributing close to 40% of the record annual inflow size of HKD807.87 billion in 2024.

Related NewsCiti: Trade-in Policy Further Supports Robust Growth in 1Q25 Rev.; Recent E-commerce Pecking Order JD > BABA > PDD
Judging from the position holdings, mainland public funds actively increased their holdings of Hong Kong stocks in 4Q24, with the proportion of holdings hitting a new high since 2019, while the proportion of the overall southbound holdings subtracted.

The above 3,781 public funds held Hong Kong stocks with a market value of RMB492.8 billion, up 8.1% from RMB455.8 billion in 3Q24.

As to individual stocks, technology hardware pioneers such as XIAOMI-W (01810.HK)  +1.200 (+3.235%)    Short selling $1.20B; Ratio 20.877%   and SMIC (00981.HK)  -0.850 (-2.228%)    Short selling $855.94M; Ratio 10.309%   were mostly favored, but KUAISHOU-W (01024.HK)  +0.200 (+0.475%)    Short selling $450.44M; Ratio 19.061%   and MEITUAN-W (03690.HK)  -0.600 (-0.401%)    Short selling $1.19B; Ratio 20.892%   cascaded, with the concentration of leaders diminishing.

Related NewsBofAS Elevates BABA-W (09988.HK) TP to $114, Forecasts 4Q24 Adj. NP to Slightly Beat Forecast
In 4Q, mainland public funds continued to hold large positions in new economy leaders such as TENCENT (00700.HK)  +7.600 (+1.921%)    Short selling $1.22B; Ratio 13.138%   , MEITUAN-W, XIAOMI-W, BABA-W (09988.HK)  +1.100 (+1.261%)    Short selling $1.06B; Ratio 15.684%   , among which technology hardware and semiconductor leaders such as XIAOMI-W and SMIC (00981.HK)  -0.850 (-2.228%)    Short selling $855.94M; Ratio 10.309%   were market darlings.

In terms of heavyweight positions, XIAOMI-W replaced BABA-W and entered the ranks of the top three heavily held stocks. Compared with 3Q, the number of funds holding XIAOMI-W, SMIC, GEELY AUTO (00175.HK)  -0.180 (-1.245%)    Short selling $132.89M; Ratio 36.281%   and BYD ELECTRONIC (00285.HK)  -0.050 (-0.118%)    Short selling $175.54M; Ratio 31.444%   elevated the most, while the number of funds holding KUAISHOU-W, MEITUAN-W, HKEX (00388.HK)  +0.400 (+0.132%)    Short selling $274.85M; Ratio 15.148%   and CPIC (02601.HK)  -0.400 (-1.699%)    Short selling $20.84M; Ratio 7.598%   , plummeted.
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2025-01-27 16:25.)

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