Re <<Sell CHL Buy BTC>>
I am thankful to the Trump, as should the European investors, and all dividend-starved salvation-seekers. Let us tally then see ...
(1) shorted puts March strike-27.5 for 0.85 Message 33080710
(2) shorted puts March strike-27.5 for 1.25 Message 33093542
(3) shorted puts March strike-27.5 for 0.81 Message 33112134
(4) Am wondering whether I should do more Message 33119631
(5) It is possible that none would be put to me for chump-change, and if so I must buy 0941.hk separately as opposed to convert the would-have-been put ADR into HK shares
scmp.com
China Mobile, telco peers face selling pressure in Hong Kong as NYSE moves to delist their ADRs
NYSE announces plan to delist ADRs of China’s three big telcos to comply with a ban on so-called Communist Chinese military companies Their ADRs and stocks have slumped up to 39 per cent in 2020 from the pandemic and US actions to restrict investment and trade involving blacklisted firms
Funds managed by Bank of America, Morgan Stanley, Norges Bank, Lazard, Rockefeller Capital Management, and Royal Bank of Canada are listed among the biggest investors in the three Chinese telecoms companies, according to data compiled by Bloomberg.
Still, the downside may be limited in the short term because most of the impact has already been priced in. Some non-US investors will be attracted by their low valuation, said Gordon Tsui, chairman of Hantec Pacific and president of Hong Kong Securities Association.
China Mobile has fallen 16 per cent in Hong Kong since the November 12 executive order, compared to a 4 per cent gain of the Hang Seng Index. China Unicom has declined 16.5 per cent while China Telecom has retreated 20 per cent.
“The key to their mid-to-long term valuation is their profitability outlook and dividend payouts, which are looking increasingly attractive after the sell-off,” Tsui added.
Funds from the European Union, which has just concluded “in-principle” negotiations for a Comprehensive Agreement on Investment with China that would give EU investors greater market access in China, may be among the bargain-hunters, according to Tse at Wealthy Securities.
Trump’s executive order would ban US investors from trading or owning securities of 35 blacklisted Chinese companies — 25 of them publicly traded in mainland China and Hong Kong — related to the Chinese military, indirectly funding such entities it deemed as a threat to national security. The US government has allowed investors up to November 11 to liquidate their holdings.?
Wang Wenbin, a Chinese foreign ministry spokesman, said the move was politically motivated to stigmatise and discredit China’s policy of military-civilian integration. The decision will not only damage the interests of Chinese companies but also US and global investors.
Major stock and index compilers including MSCI, FTSE Russell and S&P Dow Jones Indices have reacted by removing some of the blacklisted constituent stocks and bonds from their global benchmarks to adhere to the executive order. |
