YICAI | Foreign Capital's Holding of Chinese Mainland Shares Jumps by USD10 Billion in First Quarter
(Yicai) May 18 -- The market value of the Chinese mainland shares held by foreign institutions increased by CNY67.5 billion (USD9.9 billion) in the first quarter, with Abu Dhabi Investment Authority ranking first.
Offshore investors were among the top 10 shareholders of 1,521 Chinese mainland stocks in the three months ended March 31, according to statistics from Wind Information. They held a total of 11.5 billion shares worth about CNY195.1 billion (USD28.6 billion), up by 4.6 billion shares and CNY67.5 billion, respectively, from a year earlier.
Qualified foreign institutional investors bought shares of 685 new stocks, increased their holdings in 473 stocks, and reduced their holdings in 336 stocks in the first quarter.
Among the newly purchased stocks, solar panel and resource leaders were the most sought after. BOE Technology Group ranked first by the number of new shares bought by QFII with 300 million shares, followed by TCL Technology Group with 166 million shares, Zijin Mining Group with 141 million shares, and Southwest Pharmaceutical with 113 million shares.
In terms of market value, Zijin Mining ranked first, as ADIA bought CNY4.63 billion (USD679.4 million) worth of shares of the Chinese gold miner. TFC Optical Communication ranked second, with Morgan Stanley and UBS Group buying a total of CNY3.71 billion worth of shares of the Chinese optical fiber components maker. Its peer InnoLight Technology was third with CNY3.7 billion worth of shares acquired by Morgan Stanley.
ADIA was the top offshore investor in the Chinese mainland capital market in the first quarter, with the value of the shares it held as of March 31 more than tripling to CNY19.5 billion from Dec. 31. It mainly bought shares of BOE, TCL Technology, Zijin Mining, and Shengyi Technology.
Through its two QDII, Goldman Sachs was among the top 10 shareholders of 894 Chinese mainland-listed firms at the end of the first quarter, showing significant portfolio adjustments. It purchased shares in 525 new stocks, increased its holdings in 219 stocks, including Highsun Meida New Materials and Huafang, and reduced its holdings in 150 stocks, such as Pengling Group and Sanxia New Building.
Morgan Stanley focused more on the artificial intelligence computing power industry chain. It was in the top 10 shareholders' list of 316 listed companies in the first quarter. It acquired shares in 249 new stocks, hiked its holdings in 34 stocks, and slashed its holdings in 33 stocks, owning shares worth about CNY17.2 billion as of March 31.
Morgan Stanley's top three heavy positions were InnoLight and TFC Communication in the optical communication sector, and China XD Electric in the power equipment sector.