19 November 2017

Capital Markets

  • A low share price and small weighting puts GE at an increased risk of getting removed from the 30-stock blue-chip Dow index. Photo: Bloomberg

    GE seen at risk of losing its Dow spot as share price falls

    Nov 13, 2017 9:12am
    General Electric Co. faces the risk of losing its membership of the elite 30-stock Dow Jones Industrial Average, given its dwindling share price and the likelihood that its new chief executive will dramatically slim down its sprawling...
  • Peter Woo has picked an easy-to-remember stock code for the spin-off of his shopping malls Times Square and Harbour City. Photos: HKEJ/Bloomberg

    Hot stock codes no one dares to pick

    - Nov 10, 2017 11:22am
    Most of us Hongkongers have something to remember about 1997. Peter Woo, the majority shareholder of The Wharf (Holdings) Limited, knows this. So when his flagship conglomerate decided to spin off its signature shopping malls into a real...
  • China Literature Co-CEOs Liang Xiaodong (L) and Wu Wenhui make a toast during the debut of the company at the Hong Kong Stock Exchange on Wednesday. Photo: Reuters

    China Literature’s stellar debut boosts outlook for HK tech IPOs

    Nov 9, 2017 9:42am
    The smashing success of Tencent’s e-book unit China Literature (00772.HK), which saw its shares surge more than 80 percent on their first day of trading on Wednesday, is expected to encourage more technology firms to list...
  • Investors were buying China Literature shares at HK$77 apiece in the grey market ahead of their trading debut on Wednesday, or 40 percent above the offer price. Photo: Bloomberg

    China Literature IPO raises US$1.1 billion; stellar debut seen

    Nov 7, 2017 6:00pm
    China Literature Ltd. (00772.HK), Tencent Holdings’ online publishing arm, has raised US$1.1 billion in its initial public offering, with the retail portion gathering demand that was 625 times the number of shares on offer, Reuters reports. The...
  • Top officials of China Literature hold a press conference on the company's initial public offering in Hong Kong on Wednesday last week. Photo: Bloomberg

    Why China Literature is going to disappoint

    - Nov 2, 2017 10:29am
    Never would I have thought that there are so many literature lovers in Hong Kong. But, as it turns out, they’re not actually bookworms who would pore over “many a quaint and curious volume of forgotten...
  • Japanese equities typically move in opposite direction to the yen. Photo: Reuters

    Why Japanese equities are a good bet

    - Oct 27, 2017 3:27pm
    With the Nikkei Index reaching a 21-year high, foreign investors’ interest in Japanese equities continues to pick up. Investment in Japanese stocks is typically driven by two things: expectations of a weaker yen, which will stimulate...
  • China Literature, a Tencent unit that is involved in online publishing, has sought a very high valuation, but the IPO is still expected to be a big hit. Photo: AFP

    Why investors smell money in November

    - Oct 25, 2017 11:56am
    Who would have predicted that a year with number “7″ at the end would turn out to be so lucky for investors, given the stock crashes we saw in 1987 and 1997 and the seeds of...
  • Tencent Holdings controls China Literature with a 62 percent stake. Photo: HKEJ

    Tencent’s China Literature eyes US$1.1 bln in Hong Kong IPO

    Oct 23, 2017 11:34am
    China Literature Ltd., China’s largest online publishing and e-book company, launched an initial public offering for up to US$1.1 billion on Monday, seeking funds for acquisitions and to expand its digital publishing business, Reuters reports. Tencent...
  • Luo Jun, co-founder and chief executive of, speaks at a conference in China. The new funding round values Tujia at US$1.5 billion. Photo: WSJ

    China’s online vacation rental startup Tujia raises US$300 mln

    Oct 11, 2017 8:08am, China’s largest domestic rival to online home-rental platform Airbnb Inc., raised US$300 million in financing as it bulks up for battle with its US competitor and looks to further tap big-spending Chinese tourists overseas, the...
  • Hong Kong equities could scale new peaks if China makes good progress in its economic restructuring attempts. Photo: Reuters

    The bull run may be just getting started

    - Sep 20, 2017 1:20pm
    I had earlier set a two-year target for Hong Kong’s benchmark index at 40,000, with the forecast resting on the assumption that China will succeed in its economic restructuring attempt. Some of my friends in mainland China...
  • Alibaba's Jack Ma is cashing in on a spurt in the company's share price this year. Photo: Reuters

    As a tycoon trio offload shares, is it time for us to cash out?

    - Sep 15, 2017 6:47pm
    How do you capitalize on a bull market run that lasts for nine months? Sell in fall! Well, this is what three mainland tycoons — interestingly, all of them bearing the surname Ma — have set...
  • China Unicom plans to raise 77.9 billion yuan through an ownership reform plan that has been billed as a model case for revitalizing Chinese state firms with private capital. Photo: Reuters

    China Unicom shares surge after regulator backs reform plan

    Aug 21, 2017 1:22pm
    China Unicom’s US$11.7 billion ownership reform plan does not violate rules, the nation’s securities regulator said, helping shares in the telecom group’s units surge as they resumed trade on Monday after speculation that the deal was...
  • China’s key stock indices have climbed steadily since March 2016, while the country’s blue-chip benchmarks have performed better than the Dow Jones Industrial Average and S&P 500 this year. Photo: AFP

    China market regulator lifts emergency measures

    Aug 17, 2017 9:07am
    Chinese regulators declared victory over the country’s famously unruly stock markets, saying conditions are now calm enough that they have removed the emergency measures put in place to support equities following crashes in 2015 and 2016,...
  • A correction in equity prices is overdue, and the downward pressures could last a while, according to a market observer. Photo: Reuters

    Why it’s too early to be over-excited at the market rebound

    - Aug 16, 2017 11:38am
    Following a slide last week on US-North Korea tensions, most stock markets in Asia rebounded on Monday. But don’t get over-excited by that. A correction in equity prices is overdue, and I expect downward pressures to...
  • Following its recent slide on US-North Korea tensions, the Hong Kong market's prospects depend on how quickly the benchmark index regains the 27,500 level. Photo: China Daily

    What to make of the recent market pullback?

    - Aug 15, 2017 4:41pm
    Portfolio management is all about maximizing gains from your winning hands and minimizing losses from your bad trades. To do that, a rule of thumb is to be aggressive when market is showing signs of strength...
  • The Dow Jones Industrial Average rose 0.24 percent to end at 22,016.24, a record high. Photo: Reuters

    Dow cracks 22,000 as Apple surges to record high

    Aug 3, 2017 8:09am
    The Dow climbed above the 22,000 mark for the first time on Wednesday, buoyed by Apple’s healthy quarterly iPhone sales, while weakness in other tech stocks held back the Nasdaq and S&P 500, Reuters reports. Apple...
  • The Chicago Stock Exchange executes less than 0.5 percent of US stock transactions. Photo: Wikipedia

    Chicago Stock Exchange sale to China-based group opposed

    Jul 11, 2017 8:07am
    Eleven US lawmakers asked the Securities and Exchange Commission to stop the sale of the Chicago Stock Exchange to a group led by China-based investors, saying the regulator lacks the ability to monitor the foreign buyers,...
  • Analysts said they expect Snap to be volatile in the near term as more than 700 million shares potentially come out of their lock-up period later this month. Photo: Reuters

    Snap shares fall below US$17 IPO price for first time

    Jul 11, 2017 7:48am
    Shares of Snap Inc. slipped below their initial public offering price of US$17 for the first time on Monday, signaling waning investor confidence in the social media company’s growth potential as it faces fierce competition. The...
  • Tencent's online publishing and e-book subsidiary is expected to raise up to US$800 million in a Hong Kong IPO. Photo: Bloomberg

    Tencent’s online publishing unit files for Hong Kong IPO

    Jul 4, 2017 4:27pm
    China Literature Ltd., an online publishing and e-book unit of Tencent Holdings, has filed for a Hong Kong initial public offering that could raise as much as US$800 million. In a stock-exchange filing late Monday, the...
  • The scheme links China's US$9 trillion bond market with overseas investors. Photo: Reuters

    Brisk trade marks launch of China-Hong Kong bond connect scheme

    Jul 3, 2017 3:53pm
    China and Hong Kong launched a long-awaited “bond connect” scheme on Monday that links China’s US$9 trillion bond market with overseas investors, Reuters reports. It’s the latest step in Beijing’s efforts to liberalize and strengthen the...

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