HotStocksNot Indices Reconstitutions 2008
Posted on Monday, June 23rd, 2008 | In China, Stocks to WatchSince I formed my various sector indices in June 2006 I have not reviewed the component stocks, only removing certain ones when they were delisted. Since it’s exactly two years to the month since then, I thought it’s a good time to review the stock components and add new ones/remove old ones where appropriate. Below are the revisions, effective immediately.
Choosing of component stocks
To recap:
Component stocks are typically chosen on the basis of the following:
1. Market cap
2. Trading liquidity
3. Track record
4. Expectation of future performance (stability, growth, trading liquidity)
5. Intangibles (eg. institutional coverage, relevance to China sentiment, mindshare in investors’ and traders’ general attention span)
I also will usually not include stocks that were listed within the last 6 months because their post-listing track record is absent.
China Stock Index
Remove: (X9 stocks) Sinomem, Fung Choi, Asiapharm, HTL, China Dairy, Luzhou Biochem, C&O Pharm, CHT, DMX Tech
Add: (X9 stocks) Sino-Enviro, Synear, China Energy, Sunvic, Yangtzejiang, China Aviation, Sihuan Pharm, China XLX, Yanlord
Oil&Gas Stock Index
Remove: (X3 stocks) K1 Ventures, SSH, Sky China
Add: (X5 stocks) Swiber, Hiap Seng, CH Offshore, Mermaid Maritime, China Oilfield
Enviromental/Water Stock Index
Remove: (X2 stocks) Zhonghui, Dayen
Add: (X2 stocks) Epure, CNA, ecoWise
Plastics Stock Index
Will be discontinuing this one as it has already served its purpose of contrasting sector underperformance with the rest. Most of the stocks here are so illiquid that it is not worth tracking further until further notice.
Retail Stock Index
Remove: (X3 stocks) Metro, Popular, Pertama
Add: (X4 stocks) Thai Village, Challenger, The Hour Glass, Guthrie
Last 5 posts by DanielXX
- How To Make Money in Stocks Part 7: Pick Low-Hanging Fruit - May 15th, 2009
- Thanks Thailand, you screwed up the show again - April 12th, 2009
- Technical Analysis- A somewhat scientific look - February 13th, 2009
- On Temasek Holdings - February 8th, 2009
- Developing An Investment Philosophy Part 5 - January 4th, 2009
 About DanielXX (http://www.hotstocksnot.blogspot.com/)
DanielXX has been doing his own personal investing for quite a number of years and would like to have meaningful discussions on his favourite subject online with others sharing the same interest. |
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