adr-hshare

Calculate AH premium and ADR premium/discount for cross-listed Chinese companies.

Updated May 5, 2026
One-click install
npx skills add https://github.com/wudye/traderAssistHK --skill adr-hshare-wudye
Or copy as Structured Prompt for Agent
Please help me install this Agent Skill.
Skill: adr-hshare
Source: https://github.com/wudye/traderAssistHK/tree/main/backend/src/skills/adr-hshare
Command: npx skills add https://github.com/wudye/traderAssistHK --skill adr-hshare-wudye

SYSTEM DOCUMENTATION & REQUIREMENTS

What problem does it solve?

It helps investors quantify and interpret cross-listing pricing gaps between US-listed ADRs, HK-listed H-shares, and Mainland A-shares to surface potential arbitrage and delisting-risk signals.

Core Features & Use Cases

  • Cross-listing premium frameworks: Calculates AH premium and ADR premium/discount using FX-adjusted price conversions to make listings comparable.
  • Signal interpretation & context: Turns premium levels into actionable research guidance (e.g., fade premium, buy undervalued listing, or stay neutral) and explains structural drivers like liquidity and access premia.
  • Delisting risk assessment: Provides a research checklist using HFCAA/PCAOB and SEC identified-issuer indicators, including the mitigating effect of HK “backup” listings.
  • Research-oriented strategy templates: Supports mean-reversion and event-driven monitoring for cross-listing and arbitrage research (with explicit caveats about fungibility limits between A and H).

Quick Start

Use the adr-hshare skill to compute AH premium and ADR-HK premium for a chosen company pair (e.g., PetroChina for A+H, Alibaba for ADR+HK) using consistent FX inputs, then interpret the result to decide which listing looks relatively rich or cheap for research purposes.

Frequently Asked Questions about adr-hshare

High-intent search queries and answers about installing and using this skill.

FAQPage Schema
How do I calculate the ADR premium or discount against H-shares for Chinese companies?

To calculate the ADR premium or discount against H-shares, you apply FX-adjusted currency conversions and handle ADR share ratios to compare prices directly. This skill quantifies cross-listing valuation gaps using consistent inputs to surface actionable arbitrage signals.

What is the AH premium and how does it indicate cross-listing mispricings?

The AH premium measures the valuation gap between Mainland A-shares and HK-listed H-shares of the same company. By applying FX-adjusted price conversions, it identifies pricing dislocations and monitors mean-reversion signals for research workflows.

How do I assess HFCAA and PCAOB delisting risk for US-listed Chinese ADRs?

Assessing HFCAA and PCAOB delisting risk involves checking SEC identified-issuer indicators and evaluating the mitigating effect of HK backup listings. This skill provides a research checklist to frame delisting risk and interpret its impact on ADR valuations.

Can I use cross-listing premium analysis for event-driven arbitrage strategies?

Yes, you can use cross-listing premium analysis for event-driven arbitrage and mean-reversion monitoring. The skill provides research templates to track mispricings across overlapping trading contexts, with explicit caveats regarding fungibility limits between A and H shares.

Why do I need FX conversion when comparing ADR and A-share valuations?

FX conversion is required when comparing ADR and A-share valuations because the securities trade in different currencies. Applying consistent FX-adjusted price conversions ensures the cross-listing premium calculations accurately reflect true pricing dislocations rather than exchange rate fluctuations.

What are the limitations of using ADR premium analysis for cross-listing arbitrage?

Limitations of ADR premium analysis include fungibility limits between A and H shares, structural liquidity access premia, and regulatory constraints. The skill explicitly caveats these factors to ensure consistent interpretation and prevent misjudging mean-reversion signals in overlapping trading contexts.