PIAIF - Post-IPO Update On OneConnect; Pros And Cons Of Association With Ping An Group
Investors normally favor spin-offs for (1) offering market opportunities that have been validated by the expertise of parent companies; (2) product portfolios that have been incubated using the resources of parent companies; and (3) strong management teams who have been brought in by reputable parent companies. So it used to be that spin-offs were outperforming the market overall, but it isn't that straightforward anymore. It now takes more effort to pick the potential high performers from the batch.
OneConnect (OCFT) is an involved case, the analysis of which reveals conflicting findings. On the