券商中国·2025-04-14 09:00Core Viewpoint - The article discusses the potential return of Chinese concept stocks (Chinext stocks) to Hong Kong following threats of delisting from the U.S. market, emphasizing Hong Kong's readiness to become the preferred listing location for these companies [1][3]. Group 1: Market Dynamics - Approximately 230 Chinese concept stocks are listed in the U.S., with a total market capitalization of $460 billion, significantly down from $1.1 trillion at the end of 2021 [1]. - UBS estimates that the impact of potential delisting concerns will be more manageable due to many large Chinese concept stocks already having dual listings in Hong Kong [8]. - The Hang Seng Index has shown volatility, with a significant drop on April 7, but has since stabilized, with average daily trading volume recovering to HKD 427.6 billion [3]. Group 2: Regulatory and Strategic Responses - Hong Kong's Financial Secretary, Paul Chan, has instructed the Hong Kong Securities and Futures Commission and the Hong Kong Stock Exchange to ensure that Hong Kong becomes the primary destination for overseas Chinese concept stocks wishing to return [3][4]. - The Hong Kong Stock Exchange has established a regulatory framework to facilitate dual listings and second listings for overseas companies, with several international financial institutions exploring increased participation in the Hong Kong market [3]. Group 3: Investment Implications - UBS highlights that the proportion of dual-listed Chinese concept stocks in Hong Kong has increased by 30 percentage points over the past three years, now accounting for about 60% of their total market capitalization [8]. - The southbound holding ratio in the Hong Kong market has risen from 5% in 2021 to approximately 11%-12% currently, which may help mitigate the impact of potential delistings from the U.S. [8]. - Morgan Stanley reports that the risk of American Depositary Receipts (ADRs) being delisted is re-emerging, with over 80% of ADRs already dual-listed in Hong Kong, suggesting that trading will remain smooth even in the event of delistings [9].