Author: Gao Wei
The Beijing Stock Exchange officially opened, and the market ran smoothly in the first week. The data showed that the market volume was significantly increased within a week, and the prices of 10 new stocks rose as a whole. Investors are more active and actively enter the market. At the same time, professional institutions began to deploy Nuggets, and the first 8 public funds that entered the market were sought after by the market.
The market is operating well in the first week of opening
In the first week of the Beijing Stock Exchange (November 15-19), the market was operating well. The reporter learned from the National Equities Exchanger that, as a whole, the 81 Beijing Stock Exchange listed stocks had a total turnover of 21.249 billion yuan during the week. Among them, 10 new stocks had a total turnover of 8.239 billion yuan; 71 stock stocks had a total turnover of 13.010 billion yuan. In terms of phases, the trading volume on the first day of the market opened was the largest, and then gradually stabilized, and the average daily trading volume increased significantly compared to before the market opened. The overall price trend was stable. In terms of price fluctuations, after the overall increase of 19.68% on the first day, the gains narrowed in the next four trading days. As of the close of last Friday, the overall increase of 3.75% throughout the week.
At the same time, the market’s trading enthusiasm increased, the overall performance of new stocks was active, and the turnover contributed outstandingly. In terms of prices, the 10 new stocks opened higher on the first day and then pulled back day by day, but they rose overall. As of the close of last Friday, the overall price of 10 new stocks during the week increased by 123.91% from the issue price. In terms of transactions, new stock transactions were active, with a turnover of 8.239 billion yuan throughout the week, with an average turnover rate of 133.95%, and the turnover accounted for 38.77% of the Beijing Stock Exchange. On the other hand, despite the correction in the prices of stock stocks, trading activity has increased significantly. In terms of prices, the 71 stocks in stock last week experienced an overall correction, but the adjustment range was within a reasonable range. In terms of transactions, the average daily turnover of stock stocks was 2.602 billion yuan, an increase of 4.21 times from October, and the daily turnover rate was 2.50%, an increase of 1.98 percentage points from October. In terms of account opening, investors actively entered the market, and the enthusiasm for entering the market was high. Since the opening of the Beijing Stock Exchange, 340,000 qualified accounts have been added. As of last Friday, there were 4.37 million qualified investors in the market.
Boosted by the positive sentiment at the opening of the Beijing Stock Exchange, the vitality of the NEEQ market has gradually been stimulated. According to the data of national equity transfer companies, last week, the average daily turnover of the innovation layer and the basic layer was 718 million yuan and 151 million yuan respectively, which was significantly higher than that in October. The average price rose by 2.80% and 4.50% respectively; Favored by funds, the average price increased by 9.37% last week; securities firms applied to join the basic and innovative stock market-making business volume for three consecutive months of net growth, and the “gradual” market structure function was effectively brought into play.
Tao Kuangchun, Chairman of KPMG Asia Pacific and China, analyzed that the official opening of the Beijing Stock Exchange means that my country’s capital market will be further improved, which is of great significance for deepening the innovation-driven development strategy, promoting the development of small and medium-sized enterprises, and promoting multi-level capital market reform. At the same time, the Beijing Stock Exchange will provide better financial support to small and medium-sized enterprises, “specialized special new” and other innovative enterprises, and while encouraging innovation, it also pays great attention to the quality of enterprises and prevents financial risks.
On the basis of continuing the original intention and mission of “serving small and medium-sized enterprises” of the New Third Board for many years, the Beijing Stock Exchange has emphasized “earlier, smaller and newer”. Tao Kuangchun analyzed that the Beijing Stock Exchange has further enhanced inclusiveness and provided better support to small and medium-sized enterprises in terms of mechanism, capital, industry, and profitability requirements. Regarding the innovation tolerance mechanism, in view of the large innovation risk, high uncertainty, and long cycle of small and medium-sized enterprises, the Beijing Stock Exchange continues to optimize the access conditions for listing, enriches the innovation evaluation dimension, improves the review tolerance, and fully reflects the concept of precision tolerance .
8 themed public funds are sought after
In terms of capital supply, the Beijing Stock Exchange supports guiding private equity funds and public equity funds to increase investment, promotes the entry of long-term funds such as insurance funds and social security funds into the market, and continues to optimize the “small, fast, flexible, and diversified” issuance financing system. On November 16, the first batch of 8 Beijing Stock Exchange themed funds under the public offering, including Huaxia, GF, China Huitianfu, E Fund, Southern, Harvest, Dacheng, and Wanjia Fund, issued prospectus and share offering announcements. On November 19, the issuance battle for a total of 4 billion yuan was officially launched. Channel data showed that the eight Beijing Stock Exchange themed funds reached or exceeded the raising limit within half a day.
The first eight Beijing Stock Exchange theme funds are all two-year fixed-open hybrid funds, with a two-year regular opening frequency, and open subscription and redemption every two years. In terms of investment strategy, various public offerings generally adopt qualitative and quantitative analysis, and select individual stocks from the bottom up. For example, China Universal Fund adopts a “bottom-up” strategy to select stocks with sustainable competitive advantages and attractive valuations. In terms of individual stock selection, E Fund is looking for companies with good growth potential and long-term investment value through comprehensive consideration of factors such as corporate operations and core competitiveness, corporate R&D and innovation capabilities, development prospects, corporate governance, and management team.
“Troubled public funds can lower the threshold for individual investors to participate in the Beijing Stock Exchange. The listed companies on the Beijing Stock Exchange are mainly innovative small and medium-sized enterprises. It is difficult for individual investors to research individual stocks. As institutional investors, fund companies have established professional The investment and research team of the Beijing Stock Exchange. In addition, the way public fund portfolio investment can also diversify the risk of holding a single stock.” A fund company source said.
Gu Xinfeng, the proposed fund manager for the selection of innovative small and medium-sized enterprises of China North Exchange for two years, believes that the companies listed on the North Exchange have the characteristics of small size and early development stage. The Beijing Stock Exchange provides SMEs with direct listing channels and the opportunity to apply for transfer. This feature allows investors to invest in high-quality targets in advance. As public funds continue to enter the market, the fund’s opening of positions in the Beijing Stock Exchange will bring incremental funds, and the liquidity of the stocks of the Beijing Stock Exchange will gradually improve. Since the first batch of Beijing Stock Exchange theme funds have a two-year closed period, they do not need to deal with daily purchases and redemptions, which is conducive to value investment and long-term investment.
(Edit: Xu Nannan)