Morgan Stanley-Asia Quantitative Strategy ADRs Flows Master – Institutiona...-106706349

MFebruary26,202407:49AMGMTUpdateAsiaQuantitativeStrategyAsiaPacificMorganStanleyAsiaLimited++8522848-7102+8522848-8845ADRsFlowsMaster–GilbertWong,CFAInstitutionalOwnership&ShortInterestQuantitativeStrategistGilbert.Wong@morganstanley.comIn2024YTD,wehaveseensignificantinstitutionalinflowsintoAsianADRs.ThemajorityoftheseinflowshavegoneintobuyingJasonNg,CFAJapaneseADRs,withUSandEUhedgefundsleadingthebuying.Forlong-only,theirflowswererelativelymuted,withselectiveQuantitativeStrategistbuysonADRsfromChina,Japan,andTaiwan.Jason.Dl.Ng@morganstanley.comKeyTakeawaysExhibit1:AsianADRs-Quarterlynetinflows(US$m)fromlong-onlyandhedgefundTradingactivitiesofUSlistedAsianADRsareupby+25%in2024YTD.managersbyregion/typeSignificantinstitutionalinflowswererecordedatUS$20.4bn.USMutualFunds/ETFsEUMutualFunds/ETFsOtherMutualFunds/ETFsTheseinflowswereledbyhedgefunds,withbiastowardLargecapissuers,andUSHedgeFundsEUHedgeFundsOtherHedgeFundsmostlytowardthebroaderJapaneseADRs,andselectiveChineseADRs.30,000AsianADRsrecordedastrongnetOnthesellingside,long-onlymanagersledonthatfront,withIndianand20,000inflowsYTDfromglobalinstitutionalSingaporeanADRssufferingthemost.10,000investors,inwhichhedgefundsled.HedgefundshavedominatedsalesofChineseADRs,withTrip.com,PDDand-BABArecordingthehighestoutflows.(10,000)Onsectorlevel,JapanBanks&Automobiles,and...