My fintech empire.

Chapter 1316 [Is the “New Port Link”, a foreign investment access channel, coming soon? 】

Two days later, on the weekend of December 12, the boss of the company received a definite answer that as soon as the company was delisted, the SGX would make limited arrangements for his company to prepare for listing, and the IPO would be completed by February 31 at the latest.

The boss of the company was greatly encouraged, knowing that he had made the right bet.

The stone in his heart finally fell down with relief. In the following days, he began to work on the company's delisting, but he did not disclose in advance that it would be listed on the Singapore Exchange. He was also very clear that if he did disclose it in advance, the road to delisting would add a lot of obstacles.

After all, you delisted in order to list on the Singapore Exchange, and you couldn't wait to go public as soon as you delisted. This is almost an act of mocking the neighboring market.

……

On the New Year's Day of 2018, major financial media and financial bloggers wrote articles to review and summarize the A-share market in 2017.

Three days ago, on December 2017, 12, A-shares ended the last trading day of 29, and the three major trading markets of Shanghai and Shenzhen all ended in the red.

The SGX 50 Index closed at 2907.91 points, with a total increase of +46.57% for the whole year, and the annual turnover of the SGX market was 65.7 trillion yuan; the Shanghai Composite Index closed at 3307.17 points, with a total increase of +6.56% for the whole year, and the annual turnover of the Shanghai market was 43.6 trillion yuan; the Shenzhen Component Index closed at 11040.45 points, with a total increase of +8.48% for the whole year, and the annual turnover of the Shenzhen market was 53.1 trillion yuan.

The SGX market is undoubtedly the most dazzling presence in the A-share market and even the global market in 2017. Its growth rate is leading the two neighboring markets by a wide margin. Looking at major capital markets around the world, it is also the market with the best performance.

Among the three major stock indices in the North America during the same period, the Dow Jones Index performed the best, with a cumulative increase of 25 percentage points for the whole year, and the SSE 50 Index was nearly one body position ahead of the Dow Jones Index.

The SGX market has been bullish for two years since its opening, and is still in a bull market. From its opening on January 2016, 1 to the present, the SGX 4 Index has accumulated a +50%. The SGX market has continued to maintain an overall pattern of seven profits, two draws and one loss, which is almost symmetrical with the seven losses, two draws and one profit of the two neighboring markets.

The majority of investors still feel it is a dream. The SGX market has enabled 70% of investors to make a profit, which is something many A-share investors could not even dream of. At the same time, the more dazzling the SGX market is, the more embarrassing it is next door.

In the A-share market in 2017, the overall investment style of the market was very obvious. First, funds continued to flow into the Singapore Exchange. In addition, the "Beautiful 50" represented by blue-chip stocks and blue-chip heavyweight stocks continued to strengthen.

Not to mention the Xinzheng 50 Index, it is unique.

In addition, the cumulative increase of the Shanghai Composite 50 Index this year has reached +25.08%. Especially in the second half of the year, the trend of "big is beautiful, core assets" has become louder and louder, while small and medium-sized start-ups, which are mostly small-cap stocks, have plummeted.

During this period, northbound funds, social security funds, insurance funds and other funds have entered the market to buy core assets. Value investment and blue-chip stocks have shown their charm. Stock prices have hit historical highs. The SGX market and the super-large-cap stocks in its cluster have become the best "bull-making" concentration camp for the A-share market in 2017. The market value of Xingyu Technology has reached 8 trillion yuan, and the market value of Matrix Quantum has also reached above 6 trillion yuan.

At the end of 2017, the total market capitalization of the A-share market reached an unprecedented 90 trillion yuan, of which the Shanghai and Shenzhen stock markets totaled 52.1 trillion yuan, an increase of 1.5 trillion yuan over last year, while the total market capitalization of the Singapore Exchange soared to 37.9 trillion yuan, an increase of 11.98 trillion yuan over last year.

The total market capitalization of the SGX market increased to 42.12% of the A-share market capitalization, surpassing the 33 trillion of the Shanghai Stock Exchange to become the first of the three major A-share trading markets, and it ranked first in terms of market capitalization, cumulative increase and trading volume.

In addition, the number of companies listed on the SGX market has reached 1186. The number of new stock issuances and listings in 2017 did not set a new record and was much less than in 2016. The number of new stocks listed in 2018 will most likely not exceed that of 2017.

Because most of the good companies have basically filled up in the past two years. Although the policy is lenient for admission and strict for management, it does not mean that you can get in casually. Those who do not meet the standards will not be able to get in.

The number of listed companies on the SGX market has now exceeded 1,000, and it has a considerable capital carrying capacity, which can initially serve as a reservoir. There is no need to force growth, but rather to consolidate existing achievements and make them solid. After that, let the market metabolize on its own and advance and retreat in an orderly manner.

Starting this year, Fang Hong will no longer force the SGX market to overly demand a certain number of listed companies, and will no longer make excessive interventions. As long as the application for listing meets the requirements, it will be approved normally, allowing the market to self-metabolize.

Fang Hong estimates that there will be about 2018 companies listed on the SGX market in 350, and the number should exceed 2020 by 2000.

……

On the afternoon of New Year’s Day, the capital market ushered in the first major news of the new year.

There are rumors that the SGX market is preparing to promote the "New Hong Kong Connect", which is the channel for foreign capital access, or what investors usually call northbound funds. This so-called "New Hong Kong Connect" is similar to the "Shanghai-Hong Kong Connect" in the two neighboring cities.

In short, the rumor is that foreign capital can participate in investment in the SGX market through the "New Hong Kong Stock Connect" channel.

Such a trend happened on the first day of the new year, attracting special attention from people in the capital market. Although it was just a rumor, the outside world believed that such a thing would not happen without any reason.

The most important thing is that after the news came out and spread wildly in the circle, the Singapore Exchange did not come out to refute the rumor. This is interesting.

In a way, this is tantamount to default.

The SGX registration system pilot project was launched on January 2016, 1, and it has been exactly two years since then. Judging from the current results, the SGX market has undoubtedly been a great success, with achievements far exceeding the expectations of all parties.

It has now become the most popular venue in the A-share market.

However, the SGX market has not yet opened the channel for foreign capital access. In the past two years, the SGX market has been on a bull run. In the two years since its opening, the SGX 50 Index has accumulated an increase of more than +190%. In terms of investment return rate, it is far ahead of other major global stock markets during the same period.

Foreign capital can be said to have missed out on the market trends of the past two years. It is impossible not to be jealous. Although there is foreign capital that has "entered the market in a roundabout way", the proportion is really too small.

Not long after the rumor came out, many foreign investment institutions also paid close attention and began to discuss and study a series of questions such as whether the current SGX market still has investment value if the foreign investment access channel is really opened, how high the risk is, what the potential return on investment will be, etc.

Foreign capital is not just from North America and Wall Street. For example, the Middle Eastern tycoons and the European and Norwegian Micro Pension Fund are also foreign capital. They are very anxious that they cannot participate in a market with such an excellent return on investment and can only watch helplessly.

However, some overseas capital that want to participate in investing in the SGX market are a little worried that if they are allowed in at this time, the company may want to rip them off and push the stock market up so high that they will take over. This is also a potential problem that must be considered.

After all, the current prices of high-quality core assets in the SGX market are not cheap. There is no such thing as buying at the bottom at this point in time, and some even have a lot of bubbles.

……

(End of this chapter)