Svmuu News Goldman Sachs reports that as IPO lock-up periods gradually expire, the Hong Kong market may see an additional supply of shares worth approximately $274 billion (about HK$2.13 trillion) over the next 12 months. Strong demand for stocks is expected to absorb this influx of supply. Goldman Sachs The report notes that dual demand from passive index funds and southbound capital provides a significant liquidity buffer, effectively alleviating the selling pressure resulting from the lifting of lock-up periods. Historical experience shows that within 3 to 6 months after the lock-up period ends, stock prices typically experience a moderate decline of 4% to 7%, while returns show significant divergence.Short-term performance following the lifting of lock-up restrictions is primarily determined by the proportion of unlocked shares relative to total shares outstanding, while medium-term returns are structurally driven by the proportion of free-floating shares after the restrictions are lifted and the stock’s performance prior to the unlocking. Companies with a high proportion of cornerstone investors, particularly those with domestic cornerstone investors, often face greater selling pressure after the lock-up period ends. (Jin Shi)