A Share Market Moves Under The Global Market Turmoil: North Capital Outflows Over 50 Billion QDII In 6 Days, And Funds Are Being Scramble To Raise Funds.

The global market continues to oscillate.

On the morning of March 16th Beijing time, the Federal Reserve announced that the target range of the federal funds rate would be reduced to 0 to 0.25%, while announcing the purchase of treasury bonds and mortgage-backed securities totaling about $700 billion. But after the news release, US stock index futures continued to fall, and market worries still existed.

A shares also plummeted in March 16th. On the same day, the Shanghai Composite Index fell 3.4% to 2789.25 points, the Shenzhen stock index fell 5.34%, and the gem index fell 5.9%.

"The spread of the epidemic in overseas countries has made governments upgrade and control measures to a certain extent to alleviate market panic. But in the future, we should pay close attention to the escalation of epidemic prevention and control and the emergence of the inflection point of epidemic development, so that market confidence can really be established." In March 16th, the macro research team of the Boshi fund was interviewed.

Funds against the situation to grab QDII

Global market changes, closely linked to the QDII fund yields also fell sharply.

Wind data show that about 95% of QDII funds have declined in the past week (March 9th to March 13th). Of these, 120 (share Statistics) QDII funds fell more than 10% in the past week.

According to the twenty-first Century economic report combing reporters, the few QDII funds that had fallen behind were mainly concentrated in crude oil products, including the decline of 29% of Warburg standard oil and gas, more than 24% of GD Dow Jones oil, 23.5% of Noah oil and 22.84% of Huaan oil based gold and so on.

In addition, in the past week, more than 20% of the 20 (share Statistics) QDII funds, and Penghua American real estate, Bank of China Standard & amp; poor global, Yi Fang Da standard biotechnology and other other types of products.

Over the past week, the QDII fund with positive returns has only 4 A, Hang Seng A, ICBC Credit Suisse Global Debt A, ICBC Credit Suisse Global Debt C, and the highest return of ICBC Credit Suisse Global Debt A is 0.25%.

In comparison, the average return of the QDII fund in the whole market in 2019 was 20%, and the annual return of 8 funds exceeded 40% in 2019.

"From the perspective of economic data, there is a big uncertainty in the US economy. The impact of the new crown is more than expected, and the short-term market response to the epidemic is more acute. Investors are still worried about the epidemic being beyond control. Wan Qiong, manager of 500ETF fund, said.

"The Federal Reserve has lowered its benchmark interest rate to 0 and launched a 700 billion US dollar plan to stimulate market liquidity," Mr Wan said. In the short term, the impact of the epidemic on the economy is greater, and even does not exclude a certain recession. At present, there is no problem in the financial system, and the probability of entering the financial crisis mode is still low, but the follow-up development still needs to pay attention to the development of the epidemic and the general election process in the United States.

It is worth mentioning that in recent years, many funds have poured into the QDII fund to seize the opportunity.

"Since last week, many people have come to purchase, we have also found this demand trend, but the fund company has limited amount." A large public fund worker in Beijing told the twenty-first Century business reporter.

Recently, a number of fund companies have announced their related QDII fund "restricted purchase" announcement, which is also related to investors rush to raise the QDII quota urgency.

According to the twenty-first Century economic report reporter combing, announced the adjustment of large purchase, including the Southern Oil Fund's southern crude oil, gf's gf Nasdaq 100, Dacheng Fund's Dacheng standard 500 and other weights, Yi Fang Da's Yi Fang Da oil, Yi Fang Da standard consumer goods and many other QDII funds.

Among them, southern crude oil, Yi Fang Da standard consumer goods and other funds issued two "restricted purchase" announcements last week. For example, Yi Fang Da standard consumer products first announced in March 10th that due to the limitation of foreign exchange quotas, the cumulative purchase of a single fund account should not exceed 20 thousand yuan per day from March 10, 2020, and then the suspension of subscription and regular fixed investment business was announced in March 11th.

Foreign capital evade short-term risks

The adjustment of global market turbulence has not only brought down the QDII fund's whole line, but also affected the layout of QFII in the domestic A share market.

In March 16th, the net outflow of north capital was 9 billion 807 million. In the past week, the northward capital also recorded the highest single weekly net outflow record of 41 billion 795 million yuan.

"Foreign investment generally considers that the epidemic treatment in China is more effective than other countries, and it is optimistic about the progress of comprehensive resumption and resumption of production and the government's stimulus measures. However, based on the collapse of the overseas stock market, A shares have stabilized, and the A share of overseas funds has increased. The overlay fund is facing the pressure of redemption, and foreign capital will gradually reduce the allocation of A shares in the near future. An investment and research fund of the Financing Fund pointed out.

Li Yu, chief investment officer of Gao Teng international equity, said: "since this year, all overseas markets have dropped sharply, while A shares have fallen very little, and many technology stocks are still rising. This has led to the beginning of a decline in A share price performance, coupled with the trend of global risk reduction, so that foreign capital quickly flows out of A shares. "The outflow of foreign capital is very normal, but the idea of different investors in the outflow is different. Most of them are short and medium term hedging behavior. They are still optimistic about A shares in the long run. However, we should not underestimate the strength of this kind of short and medium term risk avoidance. In addition, most quarterly reports of A shares may be unsightly. This is also a risk that foreign investors want to avoid. It may be necessary to wait until the foreign epidemic is relatively stable, and the foreign stock market is relatively stable. In addition, after the A shares' quarterly exposure is basically exposed, foreign capital will continue to flow into A shares. " Li Yu said.

In fact, although a number of recent institutions believe that A shares will be better or better than the global market, the performance of north capital will still have a certain impact on the market.

"Overall, the domestic epidemic is basically under control, and investor sentiment is more stable than the international market. But through the channels such as Lu Tong Tong and "bond pass", the domestic market may still be limited by the liquidity crisis in the overseas market, and there may be some adjustment in the short term. Southern China a large public fund investment director believes.

"A shares are at the peak of 2020 after strong 2019. With the strong policy support, the domestic epidemic improvement has promoted the stock market, and not enough attention has been paid to the deteriorating situation abroad. If the Chinese market wants to go up obviously from now on, it will need new impetus, but at the moment we can not see such a driving force. " A foreign private equity agency said.

The foregoing Financing Fund believes that, as the domestic epidemic is almost coming to an end, the improvement of domestic macro data is also expected. The emotional disturbance of overseas market to A shares can be ignored. After the stabilization of global assets, overseas funds will pay more attention to A shares. "

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