To The Moon

🌟🌟🌟The Singapore Stock Exchange launched 5 new Hong Kong SDRs on October 30 2024 and it is amazing to see that these SDRs are performing well.

The best performing Hong Kong SDR is $Alibaba HK SDR 5to1(HBBD.SI)$ .  HBBD was  up 4.4% on Friday and in the past 5 days, HBBD has jumped 14%.    HBBD represents Alibaba Hong Kong shares at a ratio of 5:1.  This means that a share in HBBD represents one-fifth of Alibaba's Hong Kong share price.

Alibaba's share price has jumped recently due to its introduction of Qwen2.5 Max which it said demonstrates superior performance over competitors such as Meta Platforms' Llama and DeepSeek V3.  This development underscores Alibaba's increasing investment in AI and cloud computing.

Alibaba's revenue from AI related cloud services grew by triple digits in Q3 24.  It is likely to continue its growth in Q4 24 as China has been pushing its domestic AI models, almost all of which, will require data centres.  Alibaba is expected to announce its Q4 24 earnings on February 20 2025.  It will be watched closely as a barometer for the Chinese economy.

$BYD HK SDR 10to1(HYDD.SI)$ is the next best performing Hong Kong SDR for BYD.  HYDD share price was up 6.7% on Friday and has risen 10% in the past 5 days.  HYDD has jumped 39% year todate.

BYD has just introduced its newest generation advanced driver assistance system (ADAS) in China.  It is including this feature in its cheapest models with AI integration for some vehicles to support hands free semi autonomous driving.  The key thing to note is  that BYD is offering ADAS for free, making autonomous driving affordable to all mainland Chinese.   This  system is known as "God's Eye" and will mark a new era where all customers can access smart driving according to Wang Chuanfu, Founder and CEO of BYD. 

BYD is not only the largest EV maker in China but also one of the largest battery makers in the world.

$Tencent HK SDR 10to1(HTCD.SI)$ was up 6% last Friday and has risen 9.3% in the past 5 days.    Tencent has just announced plans to integrate DeepSeek's R1 reasoning chatbot into its WeChat messaging platform.  This integration aligns Tencent with the growing use of DeepSeek's AI software by various service providers across China.

This development follows a successful year for Tencent, highlighted by new game  releases and a 67% rise in its share price  over the past year.

$Bank of CN HK SDR 1to1(HBND.SI)$ was  up 0.9% last Friday and has risen 4.9% in the past 5 days.  HBND is now up 9% year todate and has jumped 40% in 2024.

Bank of China is one of the Big 4 Banks in China.  It had a remarkable year in 2024, delivering impressive returns despite a challenging environment characterised by sluggish economic growth, low consumption and a downturn in property prices in China.

Bank of China also rewards its shareholders with good dividends.  The current dividend yield is is 6.05%.

$HSBC HK SDR 5to1(HSHD.SI)$ was slightly  down 1% last Friday but up 2.4% in the past 5 days. It has risen 10% year todate.  In 2024 HSBC is up 18%.

HSBC offers a diversified geographical footprint as it derives about 30% of its revenue from Europe, with another 10% each from North America, the Middle East and Latin America.  This diversification reduces its exposure to China specific risks and provides a buffer against regional economic volatility.

HSBC is currently undergoing a significant restructuring which is aimed at unlocking value and improving operational efficiency.  HSBC is consolidating its business units into 4 key segments. They are UK Operations, Hong Kong Operations, Corporate and Institutional Banking and Wealth Banking.

The restructuring also includes cost cutting measures such as reducing staff, including senior roles.  This is expected to save USD 300 milion annually, contributing to improved profitability. 

I like all 5 Hong Kong SDRs.  For dividend lovers Bank of China pays the highest dividend as its current dividend yield is 6.05%.  The next best stock is HSBC with its dividend yield at 5.57%.    This is followed by Tencent at 1.13%, BYD at 0.90% and Alibaba is the lowest at 0.77% dividend yield.

Tiger Brokers is currently having a commission free promotion for all Singapore SDRs till 31 March 2025, which makes it very attractive to start investing in the Hong Kong SDRs.

@Daily_Discussion  @Tiger_SG  @TigerStars  @Tiger_comments  @TigerClub  @CaptainTiger  @MillionaireTiger