The sharp fall in pharmaceutical stocks triggered a graded B discount fund said it had not reached the bottom of the sale

The "4 plus 7" volume procurement event led to a sharp decline in the pharmaceutical sector, and eventually triggered the largest pharmaceutical industry grading fund in the market. Industry analysts estimate that the decline in the index grading fund for the pharmaceutical and health industry in Thailand, or will bring about 1 billion yuan of potential selling, further impact on the pharmaceutical sector.
continued decline in the pharmaceutical sector, fund managers remain cautious, saying they will not rush to increase their positions, waiting for the first quarter of next year's listed companies to report results and industry patterns clear.B discount
19 December 2018, the net value of the Pharmaceutical B Fund was 0.2497 yuan, triggering the conversion clause. On December 21, Pharmaceutical B suspended the processing of requisition, redemption, conversion, transfer custody, pair conversion business, while Pharmaceutical A and Pharma B suspended trading, and on December 24, the announcement of share conversion confirmed results, resume business processing.
yesterday, Pharma B suspended trading for an hour from 9:30 a.m. to 10:30 a.m., and within a minute of opening, it fell 10.03 percent throughout the day, closing at 0.26 yuan, a 9.33 percent premium to its net worth.
The National Securities and Pharmaceuticals Index fell 4.17 per cent on the day of the results of the "4-plus-7" drug-focused pre-selection, according to
Choice.
It is understood that Pharmaceutical B is the largest pharmaceutical and medical industry graded fund in the market, for this discount, Huabao Securities analysts said that according to the fund's three-quarter report 94% equity position estimates, the bottom discount process gradeD A investor redemption of the parent fund share will bring about 1 billion yuan of potential sales to the secondary market.
"injury" is not just medicine B. Brainshed data show that SW Pharmaceutical b, Health B's parent fund fell by less than 10%, will trigger a discount, yesterday both funds issued a possible irregular share conversion risk announcement.Fund managers "cautious" not to hit
since the beginning of December, the pharmaceutical sector suffered a series of heavy blows, policy level, "4 plus 7" city volume procurement price reduction exceeded expectations, the National Health and Health Commission relay control costs, proposed the establishment of a national auxiliary drug catalog. In the case of individual stocks, the negative news, Tongrentang producer recycling expired honey, four trading days has fallen more than 11%. Shanghai Lais, the leading blood products company with huge losses in stock speculation, fell for 10 consecutive trading days, reducing its market value by more than 60 billion yuan. Citic's index has fallen more than 10 per cent since December, according to the data.
A pharmaceutical-themed fund manager in southern China told reporters that in June this year, many pharmaceutical stocks valuation is high, will be reduced by 20% position, and then in more than 2400 points to increase positions, but this month's overall decline in the pharmaceutical sector erased this year's positive earnings.
at the current point in time, most fund managers choose to watch carefully. Specific operational level, some people firmly hold not to venture forward, others slightly reduce positions.
Former Hai United Nations health mixed fund manager Lin Wood said that the pharmaceutical stocks already held will not be sold, but will not increase positions, and so on in the first quarter of next year listed companies earnings announcement, through research on the pharmaceutical companies to continue to track, waiting for the industry pattern clear.
Dapeng, a mixed fund manager in the Health Industry of Damore, china, has slightly reduced his position and reduced his exposure to generics after the volume purchase event. Recently, he said, pharmaceutical stocks have been adjusting to a relatively positive outlook for non-drug medical devices, medical services and non-medicated drugs.
analysts at Societe Generale, the industry will continue to face the double pressure of falling valuations and slower earnings growth due to pessimism and a downgrade of the industry's rating to neutral.
investment in future pharmaceutical stocks will focus on head quality companies, a number of institutions are more agree. In the long run, the division of the pharmaceutical industry will become more and more obvious, and will be screened among the top 30 pharmaceutical stocks in the future, said Lin Wood, a mixed fund manager at the Former Sea United Nations.
the above analysts believe that the pharmaceutical industry is faced with de-capacity, industry accelerated concentration, product portfolio will be richer, with large-scale production, cost control capabilities and the ability to transform innovative drugs will win, and eventually form an oligarchy. Specific sectors, the equipment industry has a certain amount of policy uncertainty, but the low domestic replacement rate of high value-added high-value consumables equipment has "the pursuit of cost-effective" and bring market share opportunities; (Shanghai Securities News)