https://www.bloomberg.com/gadfly/ar...sed-by-china-s-love-for-hsbc-check-out-the-ex
Just some interesting read about china investors' love towards HSBC:
The one thing Chinese investors have learned from black swan events like Brexit is that global market sell-offs present nice buying opportunities.
In the first two days of this week, they bought a record HK$16 billion ($2 billion) net of Hong Kong shares through the connect programs that link the city's market with the Shanghai and Shenzhen stock exchanges, unfazed by the Dow's worst intraday points plunge in history.
Buying the Dip
Mainland investors bought a net more than HK$16 billion of Hong Kong shares on Monday and Tuesday.
Source: Bloomberg
The target of their interest may surprise some, though. Mainland buyers didn't bottom-fish their beloved Tencent Holdings Ltd., or pile into the fattening bond yields of the largest domestic banks. They went for HSBC Holdings Plc, purchasing a net more than HK$5 billion of stock. Through the connect, Chinese investors now own 5.7 percent of HSBC's shares, up from 2.3 percent last March, according to data collected by Hong Kong Exchanges & Clearing Ltd.
To be sure, some of the buying can be attributed to the impressive performance of the London-based bank's stock, which returned about 88 percent from its post-Brexit-vote trough in June 2016 through Tuesday. Then again, China Construction Bank Corp.'s 77 percent return isn't too shabby either. So why do they love HSBC so much?
The answer is good corporate governance, and HSBC's long track record of caring for shareholders. Throughout 2015 and 2016, sell-side analysts muttered about whether the British bank could maintain its generous dividends. But even as it posted losses and cut jobs, HSBC didn't hurt small investors by reducing payouts.
Compare that with the horror stories unfolding in China