(Yicai Global) April 27 -- It is too soon to judge clearly whether China’s so-called ‘national team,’ or big state-owned investment platforms, significantly offloaded Chinese mainland stocks in the first quarter as claimed by recent self-published reports, an analyst said.

Since most blue-chip companies and financial firms, exactly the type of stocks the national team favors, have not yet published first-quarter earnings, it is impossible to get a handle on the team’s investment positions for the time being, the analyst at a Shanghai brokerage told Yicai Global.

According to the self-published reports, the total market capitalization of the mainland stocks that the national team held shrank to a bit more than CNY60 billion (about USD9.2 billion) at the close of March from CNY3.2 trillion (USD488.1 billion) at the end of December, suggesting a significant selloff.

The claims are seriously inaccurate, Securities Times reported today, citing a source close to Chinese regulators. In the first three months of this year, the national team’s overall shareholdings were stable, and there was no reduction in stakes, it added.

The national team mainly consists of China Securities Finance, Central Huijin Asset Management, Central Huijin Investment, and investment platforms under the State Administration of Foreign Exchange.

Just 26 percent of the companies traded on the Shanghai and Shenzhen stock markets had issued first-quarter financial reports as of yesterday, according to financial data provider Wind. Sixty of the 1,200 that have reported included national team investors among their top 10 shareholders. CSF had shares in 25, while the two Huijin affiliates together held stakes in 30.

Still, the national team's investing style is prudent and it is common for them to cut their holdings of stocks that show signs of bubbles and volatility, the analyst said.

Both the number of stocks CSF, Huijin Asset and Huijin Investment owned and their corresponding market value fell at the end of last year from the third quarter of 2021. CSF was among the top 10 shareholders of 119 listed companies as of Dec. 31, down 53 from the previous quarter, according to its business performance report. The market value of firms that CSF held stakes in narrowed to CNY443.7 billion (USD67.7 billion) from CNY596.7 billion.

Some 115 listed firms counted Huijin Asset as one of their top 10 shareholders as of late last year, down 64 from the third quarter, according to it earnings statement, while the market value of the group slid by CNY55.2 billion to CNY139.4 billion.

Huijin Investment retained its position as one of the top 10 investors in seven companies as of December, according to its report, but their value fell CNY10.8 billion to CNY1.66 trillion.

Editors: Liao Shumin, Emmi Laine, Xiao Yi