Northbound net fund inflow was RMB30bn in May, down from RMB53bn in Apr. In 5M20, the net inflow was RMB65.4bn, suggesting a continuously high foreign interest in the A-share market. In this note, we summarize the Northbound stock holding data in order to have a better picture on the foreign holdings. We focus on the top 30 stocks in each of Shenzhen and Shanghai market, in terms of foreign holdings.
Shenzhen market:
- Net fund inflow in May was RMB21.7bn, down from RMB29.6bn in Apr. In 5M20, the net fund inflow was RMB51bn.
- Key changes in foreign holdings in May: Foreign holdings in Suofeiya Home Collection (002572 CH) increased 4.2ppt to 19.9% in May. Suofeiya’s share price surged 35% in May. Foreign holdings in Han’s Laser (002008 CH) and Wuhan Raycus Fiber (300747 CH) increased 1.8ppt and 1.7ppt, respectively, to 9.2% and 7.2%.
- CTIG (300012 CH) still top of the table. Foreign holdings in CTIG was 20.6% by the end of May. However, the holdings dropped 2.8ppt YTD and was the only stock reported decline in foreign holdings YTD.
Shanghai market:
- Net fund inflow in May was RMB8.3bn, down from RMB23.7bn in Apr. In 5M20, the net fund inflow was RMB14.3bn.
- Key changes in foreign holdings in May: Foreign holdings in Quectel Wireless Solutions (603236 CH) increased 6ppt to 12.7% in May. Foreign holdings in Will Semiconductor (603501 CH) increased 3.5ppt to 19.1% in May. In contrast, holdings in Milkyway Chemical (603713 CH) and Yifeng Pharmacy Chain (603939 CH) dropped 2.1ppt and 1.5ppt, respectively, in May.
