The “national team” enters the field again. Following Huijin's purchase of four major banks and increased its ETF holdings, Guoxin Investment increased its holdings in central enterprise index funds. On December 1, China Guoxin Holdings Co., Ltd. issued an announcement. Its subsidiary Guoxin Investment Co., Ltd. increased its holdings in the China Securities Guoxin Central Enterprise Technology Index Fund today and will continue to increase its holdings in the future. Industry insiders believe that there is no turning back, and that more institutions or funds will be involved in the future. According to some sources, Guoxin may continue to increase its holdings every day for the next week. Related concept stocks:$CNOOC (00883.HK)$,$SINOPEC CORP (00386.HK)$,$PETROCHINA (00857.HK)$,$COSCO SHIP HOLD (01919.HK)$.
Judging from the ETF transaction situation on December 1, by the close, the turnover of the Southern Central Enterprise Technology ETF reached 298 million yuan, nearly 8 times the volume of the previous day; BOSHI's central enterprise innovation drove ETF turnover to 321 million yuan, more than four times the full-day volume of the previous day.
In addition to the above products, the single-day turnover of the Guangfa Central Enterprise Innovation ETF increased by 37.96% compared to the previous day. The turnover of the China Merchants Central Enterprise ETF and the shareholder return of Huitianfu Central Enterprise also increased by more than 40% compared to the previous day.
In response, Liu Jipeng, dean of the Institute of Capital Finance at China University of Political Science and Law, said that this move was another strategic move in October after Huijin also bought back shares of the four major state-owned banks and purchased ETF products. It shows that in the context of implementing the July 24 Politburo meeting of the Central Committee, central enterprises are trying again and again to leverage the market, restore people's confidence, and revitalize the stock market. Liu Jipeng pointed out that although the current stock market is still hovering around 3,000 points, as can be seen from the Central Financial Work Conference, documents issued by the Ministry of National Security, and meetings of the Securities Regulatory Commission, the central government is very determined, that is, it must lift the market.
Industry insiders said that at present, A-shares have long-term allocation value, and the entry of incremental capital into the market is ushered in a rare window of opportunity. Many institutions are actively acting to boost market confidence with “real money.” Guoxin has increased its holdings in the Central Enterprise Technology Index Fund this time, once again injecting incremental capital into the market. While boosting investor confidence, Guoxin has also demonstrated the confidence of state-owned capital in high-quality science and technology innovation central enterprises and recognition of their investment value.
According to the industry, under the new era goal of fully building a modern socialist power, creating a second growth curve, increasing the growth rate of central state-owned enterprises, leading breakthroughs in strategic emerging industries, etc., central enterprises will shoulder the new mission of building an emerging strategic industrial chain and innovation system.
Li Jialiang, fund manager of the Southern Central Enterprise Technology ETF, believes that in the context of the new era, central state-owned enterprises are not only the pillars of the national economy, but also the backbone of attacking core “stuck neck” technology in the field of science and technology and promoting autonomy and control. Technology-based central state-owned enterprises are located at the intersection of development and security, and are very in line with the themes of the new era.
Yang Zhenjian, fund manager of Bosch Central Enterprise Innovation ETF, analyzed that under the new era goal of fully building a modern socialist power, central enterprises will shoulder the new mission of building an emerging strategic industrial chain and innovation system. These include building a second growth curve, increasing the growth rate of central state-owned enterprises, and leading breakthroughs in strategic emerging industries. Currently, cultivating and expanding strategic emerging industries has become the top priority of national reform in the new era. In recent years, central enterprises have made a qualitative leap in the overall quality of listed companies of central enterprises, driven by the central government from top-level design to comprehensive deepening of state-owned enterprise reform.
“Currently, the stock assets of central enterprises, whether PE or PB, are still at the bottom of the historical fluctuation range. By strategically allocating at this time, it is hoped that they will enjoy the dual advantages of future valuation repairs and a recovery in corporate profitability following a steady recovery at the macro level.” Yang Zhenjian said.
According to public information, China Guoxin Holdings Co., Ltd. was founded on December 22, 2010, and is one of the central enterprises supervised by the State Council's State-owned Assets Administration Commission. In early 2016, it was designated as a pilot state-owned capital operating company by the State Council's State-owned Enterprise Reform Leading Group, and officially moved from a pilot to a stage of continuous deepening reform in December 2022. By the end of 2022, the company's total assets were nearly 860 billion yuan; net profit in 2022 was nearly 24 billion yuan.
Among its foreign-invested enterprises, Guoxin Investment, the main subsidiary company, has a broad layout in the A-share market. Guoxin Investment was founded in 2015 and is a member of China Guoxin, an enterprise that mainly engages in capital market services.
According to incomplete statistics, Guoxin Investment has become the top 10 shareholders of more than 50 listed companies of central enterprises, and its layout in strategic emerging fields has covered 165 listed companies under 62 central enterprise groups.
Guoxin Investment has a broad layout in the A-share market. According to IFIND data, as of the third quarter report, Guoxin Investment has held a total of 40 A-share companies, and there are 4 companies holding more than 100 million shares, each holding more than 100 million shares.$CNOOC Limited (600938.SH)$257 million shares,$China Petroleum & Chemical Corporation (600028.SH)$163 million shares, CNPC 125 million shares, and COSCO Marine Holdings 113 million shares.
Chen Jiao, member of the Guoxin Investment Party Committee, said earlier that central enterprises are gradually being realized, shifting from a single industrial perspective to an industrial chain perspective and a joint innovation consortium view. With the transformation of the development model, high-quality listed companies held by central enterprises in a central position will continue to open up growth space in the construction of a modern industrial system and obtain valuations that match it.
Related concept stocks:
$CNOOC (00883.HK)$: The company is the largest offshore crude oil and natural gas producer in China and one of the world's largest independent oil and gas exploration and production groups.
$SINOPEC CORP (00386.HK)$: The company is a joint stock enterprise with upstream, middle and downstream integration, prominent petroleum and petrochemical industries, a relatively complete sales network, and domestic and overseas listings. It is mainly engaged in oil and gas exploration and extraction, pipeline transportation, sales, production and sales of petroleum refining and other chemical products, storage and transportation.
$PETROCHINA (00857.HK)$: The company is the largest oil and gas producer and seller, which dominates the oil and gas industry in China, and is one of the companies with the largest sales revenue in China.
$COSCO SHIP HOLD (01919.HK)$: The company is a listed flagship enterprise and capital platform for COSCO SHIPPING Group's main shipping and terminal business. Currently, COSCO Marine Control has set up nearly 700 container shipping sales and service outlets around the world, operating 291 international routes (including international regional routes), 56 coastal routes in China, and 84 regional routes in the Pearl River Delta and Yangtze River. In total, it is connected to 569 ports in about 142 countries and regions around the world. The company's self-operated container fleet capacity exceeds 2.92 million TEUs.
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