A study on sector index of stock market proposal for development of FPTS sector index

vietnam national university, HANOI
school of business








Nguyen Minh Khoi





A STUDY ON SECTOR INDEX OF STOCK MARKET
PROPOSAL FOR DEVELOPMENT OF
FPTS SECTOR INDEX






master of business administration thesis

Hanoi - 2008
vietnam national university, HANOI
school of business





Nguyen Minh Khoi





A STUDY ON SECTOR INDEX OF STOCK MARKET
PROPOSAL FOR DEVELOPMENT OF
FPTS SECTOR INDEX








Major: Business Administration

Code: 60 34 05



Master of business administration thesis




Supervisors:
1. DR. TRAN doan Kim
2. Tran Phuong Lan, MBA, Ph.D candidate




Hanoi - 2008
iv
TABLE OF CONTENTS
ABSTRACT i
TÓM TẮT ii
ACKNOWLEDGEMENTS iii
TABLE OF CONTENTS iv
List of figures viii
List of tables viii
List of equations ix
INTRODUCTION 1
1.1. Research problem 1
1.2. Objectives &Aims 1
1.2.1. Objectives 1

1.2.2. Aims 1
1.3. Research question: 2
1.4. Method/Approaches 2
1.5. Scope of work 2
1.6. Data resources 2
1.7. Method 3
1.8. Significance 3
1.9. Limitations 3
1.10. Expected result: 3
1.11. Follow – up (potential) 4
1.12. Short introductions 4
1.12.1. Chapter 1: Theory foundation 4
1.12.2. Chapter 2: Analysis of sector indices 4
1.12.3. Chapter 3: proposal for developing FPTS sector index 5
Chapter 1: THEORY FOUNDATION 6
1.1. Introduction 6
1.1.1. Definition of market index and sector index 6
1.1.2. Type of market indices 6
1.1.2.1. By industry (Sector indices) 7
1.1.2.2. By geographic location 7
1.1.2.3. By the nature of index members 7
1.1.2.4. By market capitalization (size) 8
v
1.1.2.5. By style (value or growth) 8
1.1.2.6. By dividend (dividend indices) 8
1.1.2.7. By combination of the above characteristics. 8
1.2. Sector index applications 8
1.2.1. Sector monitoring and determining sector trend 8
1.2.2. Creation of index-linked investment products 9
1.2.3. Precise asset allocations 9

1.2.4. Hedge economic risk 9
1.2.5. Sector investing 10
1.2.5.1. Increase returns and reduce the overall risk of a diversified portfolio . 10
1.2.5.2. Take advantage of long-term trends 10
1.3. Sector indices calculation 11
1.3.1. Step 1: Calculation methods 11
1.3.1.1. Passcher method 11
1.3.1.2. Laspeyres method 12
1.3.1.3. Fisher method 12
1.3.1.4. Simple arithmetic price average 13
1.3.1.5. Simple geometric price average method 13
1.3.1.6. Comparison of index calculation method 14
1.3.2. Step 2: Members selection 14
1.3.3. Step 3: Divisor adjustment 15
1.3.3.1. Reasons for divisor adjustment 15
1.3.3.2. Divisor adjustment formula 16
1.3.3.3. Timing of divisor adjustments 17
1.3.4. Step 4: Index calculation 18
Chapter 2: ANALYSIS OF SECTOR INDICES 19
2.1. Analysis of international sector indices 19
2.1.1. S&P select industry indices 19
2.1.1.1. Index Description 19
2.1.1.2. Sector classification system 19
2.1.1.3. Index membership 19
2.1.1.4. Index calculation 21
2.1.2. Dow Jones U.S. Industry Indices 22
2.1.2.1. Index description 22
2.1.2.2. Sector classification system 22
2.1.2.3. Index membership 23
vi

2.1.2.4. Index calculation 23
2.1.3. NASDAQ Financial-100 Index 23
2.1.3.1. Index Description 23
2.1.3.2. Sector classification system 24
2.1.3.3. Index membership 24
2.1.3.4. Index calculation 25
2.1.4. MorningStar sector Indices 26
2.1.4.1. Index description 26
2.1.4.2. Sector classification system 26
2.1.4.3. Index membership 27
2.1.4.4. Index calculation 28
2.1.5. NYSE Sector Indices 29
2.1.5.1. Index description and sector classification system 29
2.1.5.2. Index membership 30
2.1.5.3. Index calculation 31
2.1.6. Comparison and conclusion of international sector indices 32
2.1.6.1. Comparison 32
2.1.6.2. Conclusion 33
2.2. Analysis of local sector indices 34
2.2.1. VN – Index and HASTC Index 34
2.2.1.1. Index description 34
2.2.1.2. Index membership and calculation 35
2.2.2. CBV Index 37
2.2.2.1. Index description 37
2.2.2.2. Index Membership 40
2.2.2.3. Index calculation 42
2.2.3. DC 30 Index 43
2.2.3.1. Index introduction 43
2.2.3.2. Index membership and calculation 44
2.2.4. Thang Long 20, 30 Index 46

2.2.4.1. Index description 46
2.2.4.2. Index Membership. 46
2.2.4.3. Index calculation 47
2.2.5. SSI 30 Index 48
2.2.5.1. Index description 48
2.2.5.2. Index membership and calculation 49
vii
2.2.6. Local indices comparison 50
2.2.7. Drawbacks of local indices 52
2.2.7.1. Drawbacks of VN-Index and HASTC index 52
2.2.7.2. Additional drawbacks of other local index 54
Chapter 3: PROPOSAL FOR DEVELOPING FPTS SECTOR INDEX 55
3.1. Introduction and Objectives 55
3.2. Methodology 55
3.2.1. Sector classification system 55
3.2.2. Base value and base date 56
3.2.3. Weighting scheme 56
3.2.4. Index formula 56
3.2.5. Data sources 57
3.3. Index memberships 58
3.3.1. Index eligibilities 58
3.3.2. Additions to and deletions from FPTS sector indices 59
3.3.2.1. Additions to FPTS sector indices 59
3.3.2.2. Deletions from FPTS sector indices 60
3.3.3. Member selection flowchart 61
3.4. User requirement description (URD) 62
3.4.1. Back-end user requirements 62
3.4.2. Front –end user interface and functionalities 62
3.4.2.1. Page layout and elements 63
3.4.2.2. Prototype of FPTS sector index homepage 64

3.4.2.3. Prototype of FPTS sector index sectorpage 65
3.4.2.4. Prototype of FPTS sector member page 66
CONCLUSION 67
REFERENCES 68

viii
List of figures
Figure 1.1: Steps to calculate indices includes 3 major steps 11
Figure 2.1: Summary of Morningstar sector index family 27
Figure 2.2: CBV Index family 37
Figure 2.3: CBV Sector Index family 39
Figure 2.4: DC VN30 Domestic performance vs. VNINDEX 44
Figure 2.5: DC VN30 Foreign performance again 44
Figure 2.6: SSI 30 performance in 2007 49
Figure 3.1: Procedure to select stocks to FPTS sector index 61
Figure 3.2: Page layout of FPTS sector indices pages 63
Figure 3.3: Prototype of FPTS sector index homepage 64
Figure 3.4: Prototype of FPTS sector index sector page 65
Figure 3.5: Prototype of FPTS sector member page 66

List of tables
Table 1.1: Divisor adjustment formula table 16
Table 2.1: Comparison of international sector indices 32
Table 2.2: Top 10 companies in DC VN30 45
Table 2.3: Thanglong Index scoring table 47
Table 2.4: Local indices comparison 50
Table 3.1: Major element and content of FPTS sector indices 63
ix
List of equations
Equation 1.1: Passcher method formula 11

Equation 1.2: Laspeyres method formula 12
Equation 1.3: Fisher method formula 13
Equation 1.4: Simple arithmetic price average formula 13
Equation 1.5: Simple geometric price average formula 13
Equation 1.6: Index calculation formula 18
A study on sector index of stock market - proposal for development of FPTS sector index
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INTRODUCTION
1.1. Research problem
One of the most widely used tools to track industry or sector
performance in the securities market is sector indices. These are the essential
tools for investors to follow up sector movements as well as to see the trend in
those movements. However, the securities market of Vietnam still lacks of an
comprehensive and effective sector indices tools since the official market
indices of the securities market of Vietnam (VN-Index and HASTC-Index)
are to measure the overall market performance rather than any particular
sector. This thesis ―A study on sector index of stock market and proposal for
development of FPTS sector index‖ is aimed at give out a detailed proposal
for the development of FPTS sector indices.
1.2. Objectives &Aims
1.2.1. Objectives
 Study sector index definitions.
 Study sector index application and calculation methodology.
 Compare and analyze most known international and local sector
indices.
1.2.2. Aims
Give out detailed proposals for the development of FPTS sector index
family.
A study on sector index of stock market - proposal for development of FPTS sector index
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1.3. Research question:
In order to achieve the objectives of the thesis, the author of thesis will
try to answer the following questions:
 What are definition, types and applications of sector indices?
 What are the calculation methods of sector indices?
 What are the most known international and local sector indices? What
are the differences and similarities among them?
 How to select members of FPTS sector indices?
 How to calculate FPTS sector indices?
 What are the core FPTS sector back-end functionalities and frond-end
interfaces (user requirement description)?
1.4. Method/Approaches
 Empirical method
 Approaches: statistics
1.5. Scope of work
This thesis study most widely mentioned sector indices (both
international and local) by the time of finishing this thesis (August, 2008).
1.6. Data resources
Data and material for this study will be taken from different sources as
following:
 Database and working papers from FPTS analyst department
A study on sector index of stock market - proposal for development of FPTS sector index
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 White paper, published methodology and other available documents on
websites of international and domestic indices
 Other resources: Internet forum, Google searches…
1.7. Method
The thesis uses the empirical method, interview and case study in the
study process
1.8. Significance

This research presents clearly and systematically the theory of sector
indices. This theory is good references and can be applied to develop new
indices for any enterprises or organizations.
On the practice, it gives a detailed proposal to develop FPTS sector
indices for FPT Securities Company including both methodology, back-end
and front-end design and functions. This is a good example and reference for
any new sector indices.
1.9. Limitations
1. The first limit of this research is from case study method. This method
cannot cover all the theoretical issues of sector indices.
2. Another limit of this research is the choices of indices for analysis.
Although these are the most known sector indices but the number of
cases is limited. In addition, all of local indices are just introduced
recently, and thus, the data may not be sufficient.
1.10. Expected result:
The study expects to show the following findings:
A study on sector index of stock market - proposal for development of FPTS sector index
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 Bring systematic knowledge about indices and sector indices
 Provide a deep analysis of popular international and local sector indices
 Develop a detailed proposal of FPTS sector indices for FPT Securities
Company. This proposal can also be considered as a specimen for other
new sector indices
1.11. Follow – up (potential)
Further study can also be carried out to fine-tune the backend functions
and front-end user interface and functions after the official launch of FPTS
sector indices and receiving the feedbacks from FPTS clients.
1.12. Short introductions
Due to the standardized thesis format and for the sake of clarity, after
the introduction to its topic, this thesis is divided into three chapters as

follows:
1.12.1. Chapter 1: Theory foundation
This chapter presents to the reader what other authors have written on
the chosen subjects, which cover mainly definition, types, applications and
calculation of sector indices. The chapter seeks to give the topic depth and
perspective, and further establish a basis on which the analysis is built.
1.12.2. Chapter 2: Analysis of sector indices
This chapter analyzes the most 5 international and local well-known sector
indices in term of index description, membership requirements, sector classification
and calculations. A detailed comparison of the two groups are also presented
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1.12.3. Chapter 3: proposal for developing FPTS sector index
This chapter, after listing the objectives of developing FPTS sector indices,
presents detailed proposal for FPTS sector indices methodology, membership
requirements and user requirement description for FPTS sector indices.
A study on sector index of stock market - proposal for development of FPTS sector index
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Chapter 1: THEORY FOUNDATION
1.1. Introduction
1.1.1. Definition of market index and sector index
According to Wikipedia: ―In economics and finance, an index is a
single number calculated from a set of prices or of quantities. Examples are a
price index, a quantity index (such as real GDP), a market performance Index
(such as a labor market index / job index or a stock market index). Values of
the index in successive periods (days, years, etc.) summarize level of the
activity over time or across economic units (regions, countries, etc.)‖.
According to Standard and Poor’s: ―An index is a single descriptive
statistic that summarizes the relative change in an underlying group of
variables‖. In case of a securities market index, that underlying variables are

prices of securities available in the market including stock, bond,
derivatives (Important note: in the context of this thesis, the term “market
index” is also referred to as “securities market index” and can be used
exchangeably). A market index is designed to measure price changes of an
overall securities market. A sector index is a market index which is designed
to measure the performance of a distinct industry sector.
1.1.2. Type of market indices
Over time, many indices have been created, maintained and improved
by financial institutions in the world. Indices can be classified by many
characteristics of indices. These characteristics groups indices into groups for
the purpose of classification. These characteristics include but not limited to:
1. Sector or industry of index members
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2. Geographic location: where the members of indices resides
3. The nature of index members: whether they are equity, bond or
commodity
4. Market capitalization or size of index members
5. Style (value or growth) of index members
6. Dividend payout ratio of its stock members
1.1.2.1. By industry (Sector indices)
When in an index includes all (or representatives) stocks of an industry
or sector, that index is a sector index and measures the performance of its
industry sector.
1.1.2.2. By geographic location
 Global indices: include a set of investable equities around the globe that
track the performance of the global equity market.
 Regional indices: track the performance of regional equity markets
such as North America, Europe, Asia Pacific or Europe.
 National indices: track the performance of the equity market in a single

country such as US, Australia and Hong Kong market index.
1.1.2.3. By the nature of index members
1. Equity index: track the performance of equity securities.
2. Bond indices: track the performance of bond markets (by broad market,
by sectors and term structure).
3. Commodity indices: include indices that employ different strategic
combinations of commodity futures.
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1.1.2.4. By market capitalization (size)
Stock groups are categorized by their market capitalization. These
include large cap, mid cap and small cap indices
1.1.2.5. By style (value or growth)
The style of an index is the style of its stock members which are often
based on price to book ratio. Price to book ratio of a stock is its share price
divided by its common equity.
1.1.2.6. By dividend (dividend indices)
Dividend indices contain all dividend-paying stocks that pay dividends
consistently and sustainably or dividend leaders’ indices that include the
highest yielding
1.1.2.7. By combination of the above characteristics.
An index can have combination of the above-said characteristics. For
example: the combination of composite style indices and capitalization
indices such as large-value indices and small-growth indices.
1.2. Sector index applications
Sector indices have become vital investment tools for professional
investors. Main applications of sector indices include:
1.2.1. Sector monitoring and determining sector trend
Using sector index values, investors can quickly grasp sector
performance and shifting patterns. A sector index acts as a proxy for the

aggregate price changes of all of the stocks which make up that sector and, as
a result, measures the price direction or volatility of the particular sector.
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Sector indices are updated frequently throughout each trading day so that
trends in market price movements can be quickly seen, thereby enabling
trading decisions (i.e. buy, sell or hold at any particular time) to be made
expeditiously
1.2.2. Creation of index-linked investment products
Data and insights from a particular sector are inputs to support the
creation of index-linked investment products such as mutual funds and
derivatives etc.
1.2.3. Precise asset allocations
Because there are distinct indices for each investment style, investors
could determine the corresponding portfolio risks and make precise asset
allocations accordingly.
1.2.4. Hedge economic risk
Just like stocks, each sector has its own characteristics. For example,
certain sectors can be characterized as defensive or cyclical in nature.
Defensive sectors are less affected by recessions and economic adversity. The
utilities sector (gas, electricity) is considered defensive as demand for this
sector is stable and independent of the state of the economy. Conversely,
cyclical sectors (for example the consumer discretionary sector which
includes goods like automobiles and refrigerators etc) generate high profits in
a prosperous economy but low profits as the economy degrades. Besides,
certain sectors are more interest-rate sensitive than others (such as financial
services, banking, real estate and construction).
A study on sector index of stock market - proposal for development of FPTS sector index
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Therefore, recognizing these sector characteristics enables investors to

handpick sectors and combine them in the most efficient way in their
portfolios to achieve their investment goals.
1.2.5. Sector investing
Sector indices are attached great importance and widely used to support
sector investing. Sector investing is a relatively popular investment strategy.
This strategy is most appropriate for those who have a diversified portfolio, a
long-term investment outlook and are comfortable with the risks associated
with equity investing. Sector investing could bring the following benefits:
1.2.5.1. Increase returns and reduce the overall risk of a diversified
portfolio
Research has shown that adding a sector investing strategy in a
diversified portfolio may not only increase returns but also reduce overall risk
of the portfolio, since some sectors such as energy, utilities and real estate etc.
have low-to-moderate correlations with the overall market.
1.2.5.2. Take advantage of long-term trends
With sector investing strategy, investors could make huge profits if they
correctly anticipate long-term trends of the sector. For example, if investors
correctly forecast that there would be a large aging population of baby
boomers in the United Kingdom, the United States, Canada and Australia after
the post- world war II baby boom, they could benefit from investing in the
healthcare sector because there would be an increased need for healthcare
products and services by baby boomers in the future.
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1.3. Sector indices calculation
The calculation of sector indices comprises of four steps

Figure 1.1: Steps to calculate indices includes 4 major steps
1.3.1. Step 1: Calculation methods
Currently, there are 5 popular sector index calculation methods:

1.3.1.1. Passcher method
This is a weighted average index in which the weighting factor is the
number of share outstanding in the period of calculation. Passcher is the most
popular method and also referred to as market capitalization weighted index.
Equation 1.1: Passcher method formula

In which: I
p
: Passcher market price index
P
t
: Price at the time of t (reporting period)
P
0
: Price at the base time (t =0)
Q
t
: Quantity (weighting factor) at the time of calculation (t)
The indices KOSPI (Korea); S&P500(USA); FT-SE 100 (Britain) ;
TOPIX (Japan) ; CAC (France); TSE (Taiwan); Hangseng (Hong Kong);
A study on sector index of stock market - proposal for development of FPTS sector index
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Swish indices,… and Vn-Index and HASTC-Index of Vietnam apply this
method.
1.3.1.2. Laspeyres method
This is a weighted average index with the weighting factor is the number
of share outstanding in the period of calculation.
Laspeyres price average index is a weighted average index in which the
weighting factor is the number of share outstanding in the base period.
Consequently, the calculation result depends on the proportion of outstanding

shares in the base period.
Equation 1.2: Laspeyres method formula

In which: I
L
: Laspeyres average price index
P
t
: price at time of t (reporting period)
P
0
: price at the base period (t =0)
Q
0
: Quantity or the outstanding shares (weighting factor) at the base
period (t=0)
There are few countries applying this Laspeyres method
including German FAZ and DAX
1.3.1.3. Fisher method
Fisher average price index is the geometric mean between Passcher
average price index and Laspeyres average price index. This method
overcomes the weaknesses of the two above methods since its result depends
both on the weighting factors at both base period and calculation period
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Equation 1.3: Fisher method formula

In which: I
f
: Fisher average price index

I
p
: Passcher average price index
I
l
: Laspeyres average price index
In theory, this method is available, but in fact, no country has applied
this method.
1.3.1.4. Simple arithmetic price average
Beside the above methods, the simple arithmetic average price index is
also popular. The formula is simple: the total sum of stock price is divided by the
number of stocks included
Equation 1.4: Simple arithmetic price average formula

In which: I
p
: simple arithmetic price average
P
i
: price of stock i
n: number of stock included in the index
The Dow Jone index family of the USA, Nikkei 255 of Japan, and MBI of
Italia apply this method. This method is appropriate when the price of stocks
listed is relatively near one another or in other word; their standard deviation ()
is low.
1.3.1.5. Simple geometric price average method
Equation 1.5: Simple geometric price average formula
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In which: I
p
: simple geometric price average
P
i
: price of stock i
n: number of stock included in the index
This method is only advisable when the standard deviation of the stocks
included is relatively high. The indices Value line (USA); FT-30 (Britain)
apply this method.
1.3.1.6. Comparison of index calculation method
It is very hard to say which index calculation method is better than
other method in general. The choice of calculation method depends on the
purpose of each index, the popularity of each method and is subject to the
decision of the index developers. However, Passcher method or market
capitalization weighted method is becoming increasingly popular nowadays
since it reflects the ―relative importance‖ of one stock via its market
capitalization as the weighting factor.
1.3.2. Step 2: Members selection
The second important step in building average price index is the
selection of index members. The New York stock exchange includes more
than 3000 stocks while Dow Jone composite comprises of only 65 stocks in
which Dow Jones Industrial Average (DJIA) has only 30, Dow Jones
Transportation Average (ADTA) only 20 and Dow Jones Utilities Average
(AJUA) only 15. Although, including only a small number of member stocks,
the Dow Jones index family still lasts for long because it reflects trend,
development of the overall price movement. The index members are
A study on sector index of stock market - proposal for development of FPTS sector index
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representative for the population since the non-representative members of

indices are replaced by more representative ones. For example, in November,
1999, four members of DJIA were replaced.
As for Vietnam or any emerging market, since the number of stock
listed has not been large, the market index should include all listed stocks.
However, the trading quantity and volume should also be taken into account.
If one stock has no trading or every limited quantity for a long time, it should
be expelled from the index. The purpose of that action is to make sure that the
index can reflect the fair movement of the market prices
1.3.3. Step 3: Divisor adjustment
1.3.3.1. Reasons for divisor adjustment
During the continuous calculation of a sector index, some factors that
change the quantity and value of stocks will affect the continuity of the index.
The factors include inclusion, exclusion of index members, replacement of
index members, stock split or merger, stock dividend, cash dividend,
additional issuance, stock warrant, stock price adjustment on ex-right
date….To negate for distortions caused by those factors so that the average
price index only reflects the changes in stock price, the index divisor
adjustment is needed.
The following formula will be used for divisor adjustments due to
corporate action. (Note: No divisor adjustments are necessary for stock splits,
since market capitalization does not change and the share number and share
price are adjusted prior to the opening of trading on the split’s ex-date)
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1.3.3.2. Divisor adjustment formula
Whenever a corporation implements an action that affects its stocks
(such as dividend payment, stock split or rights offering etc.), the divisor
needs to be adjusted upwards, downwards or remain the same. Assuming
stockholders receive ―B‖ new stocks for every ―A‖ stocks they own in the
following corporate actions:

Table 1.1: Divisor adjustment formula table
No
Corporate action
Adjusted price (P
t+1
)
Adjusted outstanding
shares (Q
t+1
)
1
Cash dividend
P
t+1
=P
t
– cash dividend
No change
2
Stock dividend
(similar to stock
split or bonus issue)
P
t+1
=P
t
*A/(A+B)
Q
t+1
= Q

t
*(A+B)/A
3
Issuance of
additional shares at
discount prices to
existing
shareholders)
P
t+1
=(P
t*
A +subscription
price *B)/(A+B)
Q
t+1
= Q
t
*(A+B)/A
4
Purchase of treasury
stocks
No change
Q
t+1
= Q
t
– no. of
treasury stocks bought
5

Sale of treasury
stocks
No change
Q
t+1
= Q
t
+ no. of
treasury stocks sold
6
Stock issuance
through private
placement for
strategic
stockholders and
employees
No change
Q
t+1
= Q
t
+ no. of new
shares issued
7
Issuance of
convertible bonds
Adjusted case by case
Adjusted case by case
8
Cash dividend and

stock dividend
Pt+1=(Pt-cash
dividend)*A/(A+B)
Qt+1= Qt*(A+B)/A
9
Cash dividend and
rights offering
Pt+1=[(Pt-cash
dividend)*A+subscription
price *B]/(A+B)
Qt+1=Qt*(A+B)/A
10
Stock dividend and
rights offering
Pt+1=(Pt*A+subscription
price*C)/(A+B+C)
Qt+1=Qt*(A+B+C)/A
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No
Corporate action
Adjusted price (P
t+1
)
Adjusted outstanding
shares (Q
t+1
)
11
Cash dividend and

stock dividend and
rights offering
Pt+1=(Pt-cash
dividend)*A+subscription
price*C)/(A+B+C)
Qt+1=Qt*(A+B+C)/A
Source: FPT Securities Companies, Analysis Department, 2008
1.3.3.3. Timing of divisor adjustments
1. For rights offering and stock dividend
 On the ex-right date, the share price, number of outstanding shares and
divisor will be adjusted based on information about rights exercise,
share price and outstanding shares of the last trading session. The
number of outstanding shares is adjusted upwards by the provisional
formula-based number of additional shares.
 On the effective listing date of additional shares, the number of
outstanding shares is adjusted again (if there is any difference between
the provisional number of additional shares and the actual number of
additional shares issued)
1
according to data provided by HOSE and
HASTC.
2. For the purchase and sale of treasury stocks
The adjustment date is the date when the corporation announces the
purchase or sale of treasury stocks is completed in accordance with the
registered trading time. In case the registered volume of treasury stocks to be
bought/sold is not fully bought/sold on the last day of registered trading time
and the corporation registers to buy/sell the rest, we continue to adjust the

1
In reality, the effective listing date of additional shares occurs after the ex-right date.