The Bank of America Giants Morgan Dalong said that as the valuation has reached a 30 -year low, the "large underestimated assets" in the real estate market in Hong Kong may cause Hong Kong real estate tycoon to take advantage of low absorption.
According to Bloomberg News, JP Morgan Chase analysts such as Cusson Leung wrote in a report that when the net value of the developers and owners was 63%lower than the total market value, the cash was 63%lower, and the cash was cash.Pinded Hong Kong Real Estate Tycons may seize the opportunity for cheap valuations to purchase assets, repurchase stocks or kick off a few shareholders.
These analysts wrote: "We believe that the uniqueness of the real estate industry and enterprise group in Hong Kong is that its major shareholders will not be ashamed to seize the opportunities brought by market downturn."
Due to the rise in mortgage loans and the sluggish economic growth of China's economic growth, the real estate market in Hong Kong has been working hard to respond to the decline in transactions.A MSCI index that tracks Hong Kong real estate developers has fallen by more than 16%this year, and running a benchmark Hang Seng Index, which has fallen by about 5%in the same period.
According to the report of JP Morgan Chase, the total market value of the Hong Kong real estate market is about 1.1 trillion Hong Kong dollars (below, about S $ 188 billion), and the total net asset value is about HK $ 3 trillion.This means that a large number of underestimated assets are available for market participants to choose from.
JP Morgan said that some families may have more actively seizing the opportunities of valuation imbalance than other families, such as Changshi Group supported by wealthy merchants Li Ka -shing, and others also include Kowloon Warehouse Real Estate, Kerry Construction, SwireShares, Swire Real Estate and Henderson Real Estate.
