RQFII Pilot Institutions Released

Short term market is hard to pick up

It is reported that the fund companies that have been listed in the list of the first batch of RQFII pilot institutions are in addition to Yi Fang Da, Hua Xia, and Bo Shi, the south, Huaan, Hui Tianfu, Haitong Tong, Jiashi and Dacheng.

The fund companies that have obtained the qualification of the pilot institutions will apply for the quota separately.

According to the previous "pilot method", the initial amount of RQFII launched by the first batch is 20 billion yuan, of which more than 80% of the amount will be invested in the mainland bond market, not more than 20% of the amount invested in the A share market, that is, at the initial stage of the RQFII pilot, the capital invested in the A share market will not exceed 4 billion yuan at most.

Huatai Securities analyst Chen Yong pointed out that although the amount of RQFII changes and the proportion of investment in the stock market is bound to gradually increase in the future, the amount of RQFII will eventually be completely liberalized, but for the time being, the size of the $4 billion fund is undoubtedly a cup of water car salary for the extremely "short of money" A share market. Besides, the new year and Spring Festival holidays are coming soon. The possibility of the first batch of pilot organizations to launch related RQFII products in the near future hardly exists, and the time for RQFII to officially enter the market will be postponed later.

In the short term, RQFII will not bring a direct positive boost to the A share market.

Although the positive effects of RQFII on the A share market can not appear in a short period of time, some stocks are expected to benefit.

According to the data center of the newspaper, a total of 138 listed companies held QFII at the end of the three quarter, of which 12 of the heavily loaded stocks with QFII holdings were more than 5%. As of the day before yesterday, 138 of the shares held by QFII were down 6.95% on the fourth quarter, showing not only much better than that of the Shanghai and Shenzhen 300 index for the same period of 9.3%.

Chen Yong said, QFII usually follows the bottom-up stock selection idea, it is hard to see that its stock selection has obvious industry tendency or style tendency, but the stock that had been heavily loaded with QFII seems to be more easily followed by QFII. For example, UF software has been bought by Swiss bank for the first time in the fourth quarter of 2009. After that, QFII funds such as Credit Suisse, Morgan Stanley and Citigroup Global Finance relay to buy it.

From this point of view, the existing QFII heavy warehouse stocks are likely to become the targets of RQFII, especially those of A, H share price hanging upside down.

Zhejiang Merchants Securities analyst Lai Yilei pointed out that brokerage stocks are also a major beneficiary of RQFII. Since the first RQFII will be allocated to eligible Chinese securities companies and fund companies, CITIC Securities, Guotai Junan, Haitong Securities and Shenyin Wanguo have more than 1 billion yuan of net assets in Hong Kong. It is possible to pilot and take the lead in the first place, which is a good speculation topic for the brokerage sector that has been adjusting for a year.