At the time of market shock adjustment, public funds focused on fixed growth market opportunities. According to the data, based on the issuance date, as of March 14, 27 public fund companies have participated in the fixed increase of A-share listed companies this year, with a total scale of 14.047 billion yuan.
Experts interviewed by the Securities Daily said that under the environment of high market volatility, the purpose of public funds participating in the fixed increase of listed companies is to seek access opportunities at an appropriate price. Looking forward to the future, it is expected that the enthusiasm of public funds to participate in fixed growth this year may decline compared with last year, but the fixed growth investment participated in in the first half of the year is expected to obtain considerable income.
public funds “group buying” fixed increase
According to the data, based on the issuance date, as of March 14, 40 A-share listed companies have completed the fixed increase this year.
On March 12, Huaxia Fund announced that its Huaxia panrui open hybrid securities investment fund regularly for one year participated in the subscription of Baotailong New Materials Co.Ltd(601011) non-public offering of a shares, with a subscription amount of 170854 million shares and an investment amount of 68 million yuan. “Public funds actively layout and participate in the fixed growth market, which has significant advantages.” Zhang Chengyuan, manager of Huaxia Panyi fund, told the Securities Daily that there is a high threshold in the fixed growth market. Compared with the secondary market, the competition is relatively insufficient and not fierce, which makes it possible for fixed growth investment to obtain excess returns. The core competitive elements of fixed value-added investment include three aspects: the larger the scale of stock equity management, the better, and project resources and research ability.
Data show that CAITONG fund has the highest enthusiasm for participating in the fixed growth of A-share listed companies. Since this year, it has participated in the fixed growth of listed companies for 36 times, with a total scale of 4.561 billion yuan. Among them, the number of allocated shares of CAITONG fund participating in Gcl Energy Technology Co.Ltd(002015) fixed increase is 395683 million shares, and the allocated amount is 550 million yuan (whichever is the highest).
CAITONG fund told the reporter of Securities Daily that from the current project reserve situation, the supply of projects that have passed the meeting / obtained approval is stable, slightly lower than that in the same period last year. Considering that some supply may be increased in the follow-up, it is expected that the bidding projects will still maintain a high-frequency issuance rhythm in the first half of 2022, and the issuance scale and projects of the whole year should still rise steadily.
In addition, the fixed increase of Fu Jian Anjoy Foods Co.Ltd(603345) and other companies also received the “group” purchase of public funds. For example, according to the fixed increase announcement disclosed on the evening of Fu Jian Anjoy Foods Co.Ltd(603345) 3 March 8, in its fixed increase plan of 5.675 billion yuan, China Merchants Fund subscribed 3.6647 million shares with 425 million yuan, Hongde fund subscribed 3.5536 million shares with 412 million yuan, and Harvest Fund, CAITONG fund, Wells Fargo fund, South Fund, China Europe Fund and Hua’an fund also participated in the fixed increase to varying degrees.
“The purpose of public funds participating in the fixed increase of listed companies is to seek access opportunities at an appropriate price at the time of market shock adjustment.” Chen Li, chief economist of Chuancai securities and director of the Research Institute, told the Securities Daily that according to the new refinancing regulations issued in early 2020, the fixed increase price of listed companies usually takes 20% of the average price of the 20 trading days before the pricing benchmark date as the reference base price. On the one hand, in the highly volatile market environment, the participation of public funds in fixed growth can have a certain margin of safety when they enter the market. On the other hand, the participation of public funds in fixed growth can reduce the additional cost caused by the rise of share price caused by purchase in the secondary market.
The person in charge of the real estate investment department of a public fund company in North China disclosed to the Securities Daily that under the current market environment, the selection of investment targets of public funds is still biased towards industry leaders with good prosperity and growth, which is basically consistent with the style of investment in the secondary market. At present, compared with the secondary market investment, the fixed increase policy has certain policy dividends (such as price discount, short lock-in period, strong income expectation, etc.), which is enough to attract public funds to participate in the fixed increase of listed companies.
first half participation in fixed growth or good income
On the whole, public funds participated in fixed growth at the time of market adjustment and achieved good floating profit. According to the data of China stock market news choice, as of March 14, 60% of the listed companies with public funds participating in the fixed increase realized a premium over the fixed increase in the secondary market price. Participating in the fixed increase of public funds of these listed companies also achieved good floating profits.
Looking forward to the future, CAITONG Fund believes that although there are many fixed growth projects of white horse shares in the fixed growth market in 2022, the overall market value is still dominated by small and medium-sized market value. In the growth style or non dominant market environment, it will test the investment and research strength of fixed growth investment managers.
The person in charge of the real estate investment department said frankly, “the overall market fluctuated greatly at the beginning of the year. During this period, the fixed increase issuance may be affected, and investors will be more cautious. However, if the market recovers in the later stage, it is expected to be good in terms of profitability.”
“Whether participating in fixed growth or directly buying stocks, the ultimate purpose of public funds is to bring benefits to investors.” Chen Li predicted that under the environment of market shock adjustment, the scale and number of public funds participating in fixed growth may be reduced this year.
In Chen Li’s view, in terms of overall income, volatile market means lower entry costs. After the market adjustment is completed, driven by economic policies, with the market stabilizing, the fixed increase investment participated in in the first half of this year may be expected to obtain considerable overall income. It will also play a positive role in the financing of listed companies and the stability of the overall market.
