boyutpedia Chapter 1252 [Wealth Fund Reduction Announcement]
Chapter 1252 [Wealth Fund Reduction Announcement]
Chapter 1252 [Wealth Fund Reduction Announcement]
The technology circle has been very lively these days. The topic of Xingyu Technology's summer new product launch conference has remained hotly discussed. On the capital market side, the New Securities 50 Index did not set a new high after reaching a historical high of 2400 points on Tuesday this week.
On Wednesday, the Xinzheng 50 Index retreated by -0.62%. After opening lower on Thursday, it fluctuated and turned positive. It closed up +0.42% after the market closed at 2401.74 points, narrowly holding the 2400 point mark.
When the market opened on Friday this week, the SSE 50 Index rose to 9 points at around 55:2406.89 am. Just as it was about to set a new historical high, the wealth fund announced a large-scale divestment plan.
It officially announced that it would reduce its holdings of Matrix Quantum, Kunpeng Technology, Makerspace, Ucommune, Join Us, WeChat and other stocks held by its first phase capital pool by no more than 3.5% of their total share capital, and would officially start the reduction after 15 trading days.
The announcement shows that the current share reduction plan is expected to cash out 1 trillion yuan from the secondary market.
This is a mass reduction of holdings, cashing out trillions of dollars.
As soon as the news came out, the entire A-share market was frightened by the wealth fund's announcement of share reduction, especially the SGX market, which crashed directly and the SGX 50 Index plunged.
Nearly ten minutes after the announcement was disclosed, a new message prompt appeared on the relevant listed companies whose holdings were reduced, reminding investors that the company had issued a reduction announcement and that the major shareholder would implement the reduction plan after 15 trading days.
Wealth funds cannot force early reduction of holdings. It is technically impossible to do so. The trading system platform of the Singapore Exchange has restrictions. After the reduction announcement is received, the trading system platform will not lift the lock-up restrictions until 15 trading days later, and the reduction of holdings in the secondary market can be carried out.
At the same time, Fang Hong was also paying attention to the trends in the SGX market. At this moment, the entire market was turning downward. The companies on the list of share reductions were seeing their share prices plummet, and the SGX 50 Index was also falling sharply.
About fifteen minutes after the announcement was made, Matrix Quantum hit the limit down, Kunpeng Technology also hit the limit down, and WeChat followed suit and was also hit the limit down.
Funds are fleeing in panic on a large scale, and the sudden rush to sell off holdings and cash out trillions of dollars has left investors in the market at a loss as to what to do.
Today, the three major A-share trading markets all plummeted, with the Singapore Exchange suffering the most severe plunge, losing the 2400 and 2300 points levels in succession during intraday trading, because the vast majority of the wealth funds' share reduction targets are in the Singapore Exchange, and the majority are still in the constituent stocks of the Singapore Stock Exchange 50 Index.
As of the closing, the Shanghai Composite Index fell -0.91% to 3246.07 points, with a turnover of 2241 billion yuan; the Shenzhen Component Index fell -1.26% to 10519.86 points, with a turnover of 2869 billion yuan; the SZSE 50 Index fell -4.49% to 2293.83 points, with a turnover of 4558 billion yuan for the day.
The SGX market released a historic volume today, breaking the record for the largest single-day trading volume since the market opened. The SGX 50 Index fell by 109.91 points in one day today, which can be described as a sharp drop.
Investors were also excited, and Fang Hong's Weibo was once again very lively. Many went to his Weibo to leave messages asking what was going on with the wealth fund's reduction in holdings?
Although Fang Hong is not the direct manager of the wealth fund, everyone habitually goes to his Weibo to leave a message whenever something happens. After all, he loves to be active on the Internet. He is also the real ultimate boss of the galaxy.
This weekend, the most important news topic in the capital market is the trillion-dollar share reduction by wealth funds.
At this time, people with ulterior motives began to secretly lead the rhythm, saying that the stars were finally showing their true colors and finally began to reap the benefits of shareholders. At the same time, voices that were pessimistic about the SGX also emerged in large numbers at this time.
The internet trolls began to create panic, spreading rumors that the 50-point cosmic peak of the New Certified Stock Index was really coming, and the bull market that had lasted for more than a year was about to end.
These rhythms did scare a lot of investors. Fang Hong was also watching silently, but he did not rush to speak out or take action.
……
After the weekend, the stock market opened for a new week, and the three major A-share trading markets fell again. On Wednesday, April 4, the Xinzheng 19 Index closed down -50% at 1.40 points, breaking the recent low.
The announcement of the wealth fund's trillion-dollar share reduction had a clear impact on the market. The absolute majority of the reduction was on the SGX side, but the main boards of the two neighboring stock exchanges were not much better, because during this time window, the "annual report bombshells" of many neighboring listed companies began to hit.
After four consecutive declines, the market experienced a technical oversold rebound on Thursday and Friday. The Xinzheng 50 Index rebounded by +0.96% and 0.61% on these two days respectively and closed at 2255.11 points.
Investors thought there were signs of stabilization, but bad news came out over the weekend.
It is now mid-to-late April. The annual report disclosure deadline for listed companies is the end of April at the latest. Many companies have basically disclosed their annual report news. At the same time, the latest quarterly holdings of the investment institutions of major listed companies are also announced.
Everyone has discovered that there have been huge changes in the holdings of the wealth fund. For those targets in which the original shareholding ratio did not exceed 5%, the latest institutional holdings information shows that the wealth fund is no longer in existence, because there is no need for prior announcement if the share reduction does not exceed 5%.
Someone roughly calculated that wealth funds sold off listed targets in which they held no more than 5% of the shares, and cashed out another billion yuan, which has already been cashed out.
This news fermented over the weekend, once again causing panic among investors.
……
At the opening of Monday, April 4, the three major A-share trading markets fell across the board again. The Xinzheng 24 Index fell below the 50-point mark that day and fell by -2200% after the market closed to 2.46 points, further setting a new recent low.
At the same time, some people who want the SGX to die are now working hard to mobilize their internet trolls to set the tone, singing down the market and smearing Fang Hongtu, saying that his true colors are revealed and it is time to start reaping the rewards.
Some people are affected by this rhythm and are more or less hesitant, worrying that the New Securities 50 Index may really reach a historical top like the main board Shanghai Composite Index 6124.
However, after today's big negative line, the New Securities 50 Index did not fall further the next day, but ushered in a four-day rebound, rising by +0.87%, +0.63%, and +0.81% respectively. On Friday this week, the New Securities 50 Index rebounded further by +0.44%, closing at 2260.84 points after the market.
The negative line that caused a big drop on Monday has successfully rebounded and repaired.
The reason for the rebound in the past four days is mainly that the continued rebound in Matrix Quantum's stock price has driven the New Securities 50 Index, and the reason for Matrix Quantum's rebound again is that the company's head Chen Yu took the lead in organizing an industry developer conference, or the MHAC ecological developer conference.
The technology circle has attracted much attention, especially the artificial intelligence circle.
There are many people in the industry participating in the conference. This conference is actually to formulate industry standards and pave the way for building a unified market for storage and computing services across the country.
Almost everyone who wants to get a piece of the pie in this field has come to New Town to participate in the conference. Some well-known foreign hardware manufacturers have also sent people to attend the meeting, so that they can learn about the latest situation in the Greater China market.
Matrix Quantum does not have any special restrictions. Anyone in the industry can come, whether they are a mainland enterprise or a foreign company or manufacturer.
……
(End of this chapter)