Investment Rating - The report maintains a positive outlook on the virtual asset sector and trading platforms, indicating a sustained focus on these areas [1][8]. Core Insights - The report highlights the ongoing trend of virtual assets, with increasing regulatory frameworks and institutional involvement, suggesting a favorable long-term outlook for the sector [1][8]. - The Hong Kong government has released a new digital asset development policy, reinforcing its commitment to becoming a global innovation center for digital assets [48]. - The report emphasizes the importance of quality assets in the Hong Kong stock market, particularly in light of the influx of mainland Chinese companies going public [8]. Industry Summary Education - The K12 education sector remains robust, with leading institutions like New Oriental showing positive enrollment feedback for summer programs [3][18]. - The education index rose by 7.41% during the week, outperforming major indices [9][11]. Luxury Goods - The luxury goods sector is experiencing slight pressure due to macroeconomic factors, but brands with strong innovation capabilities are still seeing growth [3][22]. - Notable stock movements include a 6.10% increase for Samsonite and a slight decline for Prada [22][29]. Coffee and Tea - The coffee sector continues to thrive, with net increases in store numbers and positive same-store sales growth for leading brands [3][31]. - The tea beverage sector faces increased competition due to supply growth driven by delivery platform subsidies [3]. E-commerce - The e-commerce sector is under pressure, with a slowdown in overall growth and intense competition, particularly in instant retail [3][30]. - Key players like JD.com and Pinduoduo have shown positive stock performance during the week [30]. Streaming Platforms - Music streaming platforms are highlighted as quality internet assets driven by domestic demand, with continued profitability growth [3][37]. - The report notes a 4.5% decline in the media index, with Spotify and Netflix showing significant gains [37]. Virtual Assets & Trading Platforms - The report emphasizes the positive trend in virtual assets, supported by regulatory developments and institutional interest [1][8]. - The global cryptocurrency market capitalization reached $337.24 billion, with Bitcoin and Ethereum prices increasing [41][48]. Automotive Services - The automotive maintenance sector is monitored, with key players identified and ongoing changes in the aftermarket ecosystem [3][50]. - The report notes a 3.10% increase in the automotive services index, with mixed performances among key companies [50].

Market Capitalization Summary - NIO has a market capitalization of 14.376 billion [2] - TAL Education has a market capitalization of 8.903 billion [2] - Vipshop has a market capitalization of 8.852 billion [2] - Miniso has a market capitalization of 6.079 billion [2] - JD Health has a market capitalization of 5.543 billion [2] Stock Performance - NIO's stock increased by 0.36 (+2.07%) [2] - TAL Education's stock decreased by 1.06 (-1.91%) [2] - Vipshop's stock decreased by 0.33 (-2.95%) [2] - Miniso's stock decreased by 0.59 (-1.29%) [2] - JD Health's stock decreased by 0.14 (-0.78%) [2] Additional Company Insights - Lufax Holdings has a market capitalization of 2.443 billion [2] - Huya has a market capitalization of 0.786 billion [3] - Xiaoniu Electric has a market capitalization of 0.286 billion [3] - Cheetah Mobile has a market capitalization of 0.116 billion [3] - Yunmi has a market capitalization of 0.094 billion [3]

Core Viewpoint - Investors are increasingly seeking growth stocks that demonstrate above-average growth potential, with UP Fintech Holding Limited (TIGR) identified as a promising candidate due to its strong growth metrics and favorable rankings [2][10]. Group 1: Earnings Growth - UP Fintech Holding Limited has a historical EPS growth rate of 28.6%, with projected EPS growth of 38.1% for the current year, significantly outperforming the industry average of 9.1% [4]. Group 2: Cash Flow Growth - The company exhibits a year-over-year cash flow growth of 78.9%, which is substantially higher than the industry average of 14.4% [5]. - Over the past 3-5 years, UP Fintech Holding Limited has maintained an annualized cash flow growth rate of 70.6%, compared to the industry average of 8.9% [6]. Group 3: Earnings Estimate Revisions - The current-year earnings estimates for UP Fintech Holding Limited have been revised upward, with the Zacks Consensus Estimate increasing by 18.4% over the past month [8]. - The positive trend in earnings estimate revisions supports the stock's potential for near-term price movements [7]. Group 4: Overall Assessment - UP Fintech Holding Limited holds a Zacks Rank of 2 (Buy) and a Growth Score of B, indicating its potential as an outperformer and a solid choice for growth investors [10].

Core Viewpoint - UP Fintech Holding Limited (TIGR) is currently viewed as a more attractive investment option compared to Tradeweb Markets (TW) based on valuation metrics and earnings estimate revisions [3][7]. Valuation Metrics - TIGR has a forward P/E ratio of 14.40, significantly lower than TW's forward P/E of 40.80 [5]. - The PEG ratio for TIGR is 0.76, indicating better value relative to its expected earnings growth compared to TW's PEG ratio of 2.31 [5]. - TIGR's P/B ratio stands at 2.21, while TW's P/B ratio is higher at 5.01, suggesting that TIGR is undervalued compared to TW [6]. Analyst Outlook - TIGR holds a Zacks Rank of 2 (Buy), indicating a positive analyst outlook, while TW has a Zacks Rank of 3 (Hold) [3]. - The stronger estimate revision activity for TIGR suggests a more favorable earnings outlook compared to TW [7]. Value Grades - TIGR has been assigned a Value grade of B, reflecting its attractive valuation metrics, whereas TW has received a Value grade of F, indicating it is considered overvalued [6].

Core Viewpoint - The article discusses the recent tightening of account opening requirements for mainland Chinese users by internet brokerages such as Futu Holdings and Tiger Brokers, indicating a significant shift in regulatory compliance and operational practices in the cross-border brokerage industry [1][5][11]. Group 1: Changes in Account Opening Policies - Futu Holdings has stopped allowing mainland users to open accounts using "storage proof" and now only permits those who actually work or live abroad to open accounts, requiring both a valid mainland ID and proof of overseas residence or employment [1][7]. - Other internet brokerages, including Changqiao Securities and Huasheng Securities, have also eliminated the "storage proof" method for account opening, now requiring documents like utility bills or rental agreements as proof of overseas living or working [3][8]. - The adjustments have raised the barriers for mainland residents to open Hong Kong stock accounts, with industry insiders suggesting that this change was inevitable and necessary for compliance with regulatory standards [8][9]. Group 2: Regulatory Background - The crackdown on cross-border internet brokerages began in 2021, with officials stating that these firms were operating illegally in mainland China without the necessary licenses [10][11]. - The China Securities Regulatory Commission (CSRC) has emphasized the need to "effectively curb new growth and orderly resolve existing issues," which includes prohibiting unlicensed foreign institutions from soliciting mainland investors and opening new accounts [11][12]. - The regulatory framework has been reinforced with the introduction of new management measures for securities brokerage businesses, aimed at enhancing oversight of illegal cross-border brokerage activities [11][12].

Investment Rating - The report maintains a positive outlook on the Hong Kong stock market, particularly in sectors such as AI, new consumption, and innovative pharmaceuticals, indicating a rising risk appetite among investors [2][9]. Core Insights - The Hong Kong stock market has shown significant improvement in risk appetite, with notable performance in sectors like AI, new consumption, and innovative pharmaceuticals, leading to increased investor interest, especially in small and mid-cap stocks [2][9]. - The report suggests active participation in A+H shares due to observed discount phenomena in IPOs, with a focus on new consumption and manufacturing sectors [2][9]. - There is a sustained bullish outlook on virtual assets and the Web 3.0 market, driven by stablecoin policies and IPOs, with expectations for more regulatory developments in the future [2][9]. - The valuation of overseas Chinese assets remains influenced by US-China trade relations and the broader economic environment, highlighting the need to monitor changes in US tariff policies and domestic economic strategies [2][9]. Industry Tracking Summary 1. Education - The education index decreased by 0.98% from June 9 to June 13, underperforming compared to major indices, with 51talk rising by 12.09% and Thinking Education falling by 11.55% [10][14]. 2. Luxury Goods - The luxury goods sector faced slight pressure, with key stocks like Prada declining by 6.01% while new brands like Shiseido rose by 2.02% during the same period [18][21]. 3. Coffee and Tea - The sector showed stable growth, with individual stocks like Luckin Coffee increasing by 1.87%, while others like Bawang Tea experienced declines [23][27]. 4. E-commerce - The e-commerce sector saw a slight decline, with major players like Alibaba and JD.com facing competitive pressures, while the Hang Seng Internet Technology Index rose by 3.46% [29][34]. 5. Streaming Platforms - The streaming sector outperformed, with Tencent Music and NetEase Cloud Music showing significant gains, while Netflix experienced a decline [35][38]. 6. Virtual Assets & Internet Brokers - The global cryptocurrency market capitalization increased by 5.9%, with Bitcoin and Ethereum prices showing slight fluctuations, indicating ongoing interest in virtual assets [42][43].

Core Viewpoint - The regulatory crackdown on illegal account openings for mainland residents in Hong Kong is intensifying, with new requirements set to take effect on June 13, 2023, significantly raising the barriers for account opening [1][2]. Group 1: Regulatory Changes - Starting June 13, 2023, Hong Kong brokers such as Changqiao and Huasheng will no longer accept "stockholder proof" for account openings, requiring mainland residents to provide proof of overseas living or work, such as utility bills or rental agreements [1][2]. - The cancellation of the stockholder proof, which allowed mainland investors to open accounts based on existing overseas accounts, effectively closes the loophole for mainland residents to establish offshore securities accounts [1][4]. Group 2: Background and Rationale - The initial allowance for stockholder proof was intended to mitigate risks associated with existing funds, enabling residents with prior accounts to transition to new brokers in case of broker insolvency [4]. - The recent surge in the Hong Kong stock market, with the Hang Seng Index and Hang Seng Tech Index showing significant gains, has led to increased cross-border investment demand from mainland residents, prompting regulatory scrutiny [4]. Group 3: Industry Response - The crackdown is a response to the emergence of a gray market where intermediaries assist mainland residents in falsifying stockholder proof to circumvent regulations, creating a complete industry chain of forgery and regulatory evasion [4]. - The regulatory directive to halt account openings for mainland residents was issued approximately three days prior to the announcement, indicating a coordinated effort among brokers to comply with new guidelines [2][3]. Group 4: Future Outlook - The recent policy changes are expected to render stockholder proof increasingly ineffective, ultimately closing the channel for mainland residents to open accounts in Hong Kong [4]. - Concurrently, the regulatory framework is evolving to enhance asset allocation options for mainland investors, as indicated by recent policy announcements aimed at deepening market connectivity between Shenzhen and Hong Kong [5].

Market Capitalization Overview - New Oriental has a market capitalization of 14.065 billion [2] - TAL Education (好未来) has a market capitalization of 8.413 billion [2] - Miniso (名创优品) has a market capitalization of 5.728 billion [2] - JD.com (京东) has a market capitalization of 66.01 billion [2] - iQIYI (爱奇艺) has a market capitalization of 2.439 billion [3] Stock Performance - New Oriental's stock decreased by 0.15 (-0.77%) [2] - TAL Education's stock decreased by 0.21 (-1.20%) [2] - Miniso's stock increased by 1.24 (+2.61%) [2] - iQIYI's stock decreased by 0.05 (-0.48%) [3] - JD.com's stock increased by 0.39 (+3.92%) [3] Company Comparisons - New Oriental's market cap is significantly higher than that of TAL Education, which is about 60% of New Oriental's value [2] - Miniso's market cap is approximately 67% of TAL Education's market cap [2] - iQIYI's market cap is lower than that of Miniso, indicating a weaker market position [3] Industry Insights - The overall market performance shows a mixed trend with some companies experiencing gains while others face declines [2][3] - The education sector, represented by New Oriental and TAL Education, shows volatility with both companies experiencing stock price fluctuations [2] - E-commerce and entertainment sectors, represented by Miniso and iQIYI, also reflect varying market sentiments [2][3]

Core Viewpoint - The article discusses the ongoing illegal activities of cross-border internet broker Tiger Securities in developing new clients in mainland China, despite regulatory actions against such practices [1][3]. Group 1: Company Actions - Tiger Securities is reportedly still developing new clients in mainland China, despite being previously identified as operating illegally by the China Securities Regulatory Commission (CSRC) [1][3]. - The company claims that it is only servicing existing clients who had accounts opened before May 19, 2023, and denies the allegations of illegal activities [1][2]. - Tiger Securities' founder, Wu Tianhua, responded to allegations by stating that the onboarding process is not solely the responsibility of marketing personnel, suggesting that any violations may be company-wide practices [2]. Group 2: Regulatory Environment - The CSRC has mandated that both Tiger Securities and Futu Holdings cease illegal business activities, specifically prohibiting the solicitation of new clients and the opening of new accounts for mainland investors [3][4]. - The CSRC's stance has been consistent since 2021, emphasizing that cross-border securities operations by foreign firms targeting mainland investors violate Chinese laws [3][4]. - Futu Holdings has already stopped allowing account openings for mainland users, only permitting those who can provide proof of living or working abroad [2]. Group 3: Market Implications - The ongoing scrutiny and regulatory actions against Tiger Securities and Futu Holdings highlight the challenges faced by foreign brokers in the Chinese market, particularly regarding compliance with local laws [3][4]. - The situation reflects a broader regulatory effort to manage and mitigate risks associated with illegal cross-border securities activities [4].

Investment Rating - The report maintains a positive outlook on the Hong Kong stock market, indicating a strong risk appetite and suggesting investment opportunities in various sectors, particularly in virtual assets and Web 3.0 [3][10]. Core Insights - The Hong Kong stock market is experiencing a significant increase in risk appetite, with improved asset quality and trading volume, highlighting the value of asset trading platforms [3][10]. - There is a notable uptrend in multiple sectors such as AI, new consumption, and innovative pharmaceuticals, with a particular focus on small and mid-cap stocks in media and consumer sectors [3][10]. - The report emphasizes the ongoing development of virtual assets and the Web 3.0 market, driven by stablecoin policies and recent IPOs, suggesting that more regulatory frameworks will emerge [3][10]. - The trend of Chinese companies returning to Hong Kong for IPOs is gaining momentum, with increased trading of companies like NetEase and Ctrip in the Hong Kong market [3][10]. - The valuation of overseas Chinese assets remains influenced by US-China trade relations and the broader economic environment, necessitating close monitoring of trade policies and domestic economic changes [3][10]. Summary by Sections Education - The K12 education sector maintains high growth, with leading institutions reporting over 20% revenue growth during the winter training period, and an increase in non-academic course retention rates [5][11]. Luxury Goods - The luxury goods market shows slight pressure due to macroeconomic factors, but brands that align with demand trends are performing well, with cautious price increases observed [5][20]. Coffee and Tea Drinks & OTA - Coffee and tea remain key categories for delivery platforms, with strong performance from major brands like Luckin Coffee, which continues to expand its store presence [5][25]. E-commerce - The e-commerce sector faces slight pressure, but major platforms like Alibaba and JD.com are expected to benefit from ongoing promotional activities [5][26]. Streaming Platforms - Music streaming platforms are viewed as high-quality internet assets, with sustained profitability driven by scale effects [5][34]. Virtual Assets & Internet Brokers - The stablecoin leader Circle's IPO saw a 168% increase on its first day, marking a significant event in the virtual asset space [5][38]. Real Estate Transactions - Recent data shows a slight decline in second-hand housing transactions in major cities, suggesting a need for caution in the real estate market [5][50]. Automotive Services - The automotive aftermarket is under pressure, with traditional fuel vehicle service visits declining, while new energy vehicle service visits are increasing [5][45].