Key investment points:
1、 As of December 31, 2021, the market value of A-Shares held by land stock connect funds was 2760.276 billion yuan, accounting for 3.68% of the circulating market value of a shares, an increase of 0.07 percentage points compared with 3.61% at the end of November. The net inflow of land stock connect in December was 88.992 billion yuan, an increase of 70.502 billion yuan compared with that in November, and the net inflow in that month hit a new high in the year. From October 2020 to now, the capital of land stock connect has shown a net inflow for 15 consecutive months; In the whole year of 2021, the accumulated net inflow of land stock connect funds into A-Shares was 432.169 billion yuan, a record high. In terms of foreign exchange, the US dollar index rose slightly in December, the RMB showed strong toughness, and the US dollar continued to appreciate against the RMB (CFETS).
2、 In December, the land stock connect capital increased its positions on the main board (+ 1.16pct) and the science and Innovation Board (+ 0.08pct) and reduced its positions on the gem (- 1.24pct). As of December 31, the allocation ratios of land stock connect funds on the main board, gem and sci-tech innovation board were 80.67%, 18.35% and 0.98% respectively. The allocation proportion of land stock connect to the gem has decreased for the first time since August, and the trend of additional allocation to the science and innovation board has continued.
3、 From the perspective of the net flow direction of land stock connect, it flows into “non bank finance, chemical industry, banking” and other industries, and flows out of “non-ferrous metals, medicine, biology, building materials” and other industries. From the perspective of ultra-low allocation in the industry, in December, land stock connect capital was over allocated with “food and beverage (+ 6.59%), electrical equipment (+ 6.31%), household appliances (+ 4.30%)” and low allocated with “Bank (- 3.50%), non bank finance (- 1.71%), mining (- 1.60%). From the change of position proportion, in December, land stock connect mainly increased its positions in “non bank finance (0.65%), public utilities (0.31%) and household appliances (0.27%)”, and mainly reduced its positions in “electrical equipment (- 1.45%), medicine and Biology (- 0.63%) and non-ferrous metals (- 0.38%).
4、 From the market value of stock positions, as of December 31, luchutong held ” Kweichow Moutai Co.Ltd(600519) , Contemporary Amperex Technology Co.Limited(300750) , Midea Group Co.Ltd(000333) , China Merchants Bank Co.Ltd(600036) , Longi Green Energy Technology Co.Ltd(601012) ” and other stocks with heavy positions, with market values of 183.848 billion yuan, 117.377 billion yuan, 89.824 billion yuan, 73.915 billion yuan and 55.394 billion yuan respectively. From the dynamic point of view, in December, the market value of land stock connect capital holdings increased more respectively ” Kweichow Moutai Co.Ltd(600519) , East Money Information Co.Ltd(300059) , China Yangtze Power Co.Ltd(600900) , Midea Group Co.Ltd(000333) , Ping An Insurance (Group) Company Of China Ltd(601318) “, and the market value of holdings decreased more respectively ” Contemporary Amperex Technology Co.Limited(300750) , Wuxi Apptec Co.Ltd(603259) , Ping An Bank Co.Ltd(000001) , Nari Technology Co.Ltd(600406) , Foshan Haitian Flavouring And Food Company Ltd(603288) “. From the perspective of net capital flow, the main net inflows are ” East Money Information Co.Ltd(300059) , Ping An Insurance (Group) Company Of China Ltd(601318) , China Merchants Bank Co.Ltd(600036) , Citic Securities Company Limited(600030) , Kweichow Moutai Co.Ltd(600519) “; Mainly net outflow ” Wuxi Apptec Co.Ltd(603259) , Ping An Bank Co.Ltd(000001) , Nari Technology Co.Ltd(600406) , Midea Group Co.Ltd(000333) , Sanan Optoelectronics Co.Ltd(600703) “.
Risk tips:
Liquidity risk, capital market supervision, large fluctuations in overseas markets, black swan incident, etc.
