Latest news with #WithIntelligence
Yahoo
7 days ago
- Business
- Yahoo
Chinese stock pickers lead global hedge fund gains as markets swing
By Summer Zhen HONG KONG (Reuters) -Hedge funds focused on Chinese equities posted double-digit returns in the first half of the year, outperforming global peers, fuelled by a rebound in Hong Kong stocks and bets on artificial intelligence and "new consumption" firms. Some fund managers said their more agile use of hedging tools also helped cushion losses during the market turmoil in April, triggered by U.S. President Donald Trump's announcement of "reciprocal tariffs" on all trading partners. The Greater China Equities Hedge Fund Index tracked by With Intelligence delivered a 15% gain in the first half, topping the hedge fund data platform's regional and strategy benchmarks. Hong Kong- and Shenzhen-based Triata Capital rose 45% in the first six months and 62% by July 15, following a 19% gain in 2024. The $1.2 billion hedge fund has reaped rewards from its concentrated bets on undervalued AI software, data centers, internet platforms, and selected consumer stocks such as education and hotels. "Even following this year's news on DeepSeek, we still see underappreciated upside in China's AI software space," said Sean Ho, founder and chief investment officer at Triata, which leverages a significant amount of alternative data. Many internet companies' new business lines, empowered by AI technology, "present pure upside optionality." Hong Kong's Hang Seng Index and MSCI China jumped 20% and 16%, respectively, in the first six months, among the world's best performers. The rally extended into July, with previously lagging mainland stocks catching up. The Shanghai Composite Index just hit a new high for the year this week. FountainCap Research & Investment capitalised on what it calls "cute economy", or companies that offer emotionally engaging products aimed at young consumers. The $2 billion firm's flagship long-only fund was up 22% from January to June. "Obviously Pop Mart is the best representation of this, but other things like pet care would fall under this too," said Steven Luk, CEO of FountainCap. Shares of "blind box" toymaker Pop Mart, FountainCap's top holding, have surged roughly 200% so far this year. The first half was not smooth sailing. Trump's unexpected tariff announcement and China's immediate countermeasures, sent shockwaves through global markets in early April. That triggered a 13% plunge in the Hang Seng Index on April 7 — its steepest single-day drop since 1997. Still, prolonged geopolitical uncertainties have prompted Chinese fund managers to sharpen their use of hedging tools. "We had rapidly increased hedging positions and significantly reduced net exposure of our portfolio during this period of wild market volatility," Hong Kong-based Golden Nest Capital said in its June newsletter. That helped the fund, which targets high-quality, low-volatility returns, record a 12th consecutive month of positive returns. SILENT BULL MARKET While near-term volatility may rise as the deadline for a U.S.-China tariff truce approaches, fund managers are staying bullish. FountainCap's Luk described the current China market as a "silent bull market", noting that global capital has yet to return and Chinese company valuations remain low relative to developed market peers. Geopolitical tension is also abating. "It seems the market is pricing in gradual improvements, with little attention paid to the tariff deadline," Luk said. Simon Hopkins, CEO of Singapore-based Milltrust International Group, a hedge fund allocator, said he plans to increase exposure to China in the second half, drawn by the country's AI innovations and precision manufacturing capabilities. "There is going to be a huge recognition that Chinese technology is a place that is going to attract a lot of capital," he said. "The U.S. dominance in that area is being undone." CHINA-FOCUSED HEDGE STRATEGY FIRST-HALF FUNDS PERFORMANCE Triata Equity long short 45.1% Aspoon Equity long short 22.1% First Beijing Equity long only 27% Greenwoods - Golden Equity long short 20.4% China Fund Pinpoint - China Fund Equity long short 9.4% Golden Nest Equity long short 10.1% Ren Bridge Equity long short 9.2% FountainCap Equity long only 21.8% ForwardEdge Equity long short 16.3% WT China Focus Equity long only 36.2% Sources: Investors and funds Note: WT and ForwardEdge did not immediately reply to Reuters' requests for comment
Reuters
7 days ago
- Business
- Reuters
Chinese stock pickers lead global hedge fund gains as markets swing
HONG KONG, July 24 (Reuters) - Hedge funds focused on Chinese equities posted double-digit returns in the first half of the year, outperforming global peers, fuelled by a rebound in Hong Kong stocks and bets on artificial intelligence and "new consumption" firms. Some fund managers said their more agile use of hedging tools also helped cushion losses during the market turmoil in April, triggered by U.S. President Donald Trump's announcement of "reciprocal tariffs" on all trading partners. The Greater China Equities Hedge Fund Index tracked by With Intelligence delivered a 15% gain in the first half, topping the hedge fund data platform's regional and strategy benchmarks. Hong Kong- and Shenzhen-based Triata Capital rose 45% in the first six months and 62% by July 15, following a 19% gain in 2024. The $1.2 billion hedge fund has reaped rewards from its concentrated bets on undervalued AI software, data centers, internet platforms, and selected consumer stocks such as education and hotels. "Even following this year's news on DeepSeek, we still see underappreciated upside in China's AI software space," said Sean Ho, founder and chief investment officer at Triata, which leverages a significant amount of alternative data. Many internet companies' new business lines, empowered by AI technology, "present pure upside optionality." Hong Kong's Hang Seng Index (.HSI), opens new tab and MSCI China jumped 20% and 16%, respectively, in the first six months, among the world's best performers. The rally extended into July, with previously lagging mainland stocks catching up. The Shanghai Composite Index (.SSEC), opens new tab just hit a new high for the year this week. FountainCap Research & Investment capitalised on what it calls "cute economy", or companies that offer emotionally engaging products aimed at young consumers. The $2 billion firm's flagship long-only fund was up 22% from January to June. "Obviously Pop Mart is the best representation of this, but other things like pet care would fall under this too," said Steven Luk, CEO of FountainCap. Shares of "blind box" toymaker Pop Mart ( opens new tab, FountainCap's top holding, have surged roughly 200% so far this year. The first half was not smooth sailing. Trump's unexpected tariff announcement and China's immediate countermeasures, sent shockwaves through global markets in early April. That triggered a 13% plunge in the Hang Seng Index on April 7 — its steepest single-day drop since 1997. Still, prolonged geopolitical uncertainties have prompted Chinese fund managers to sharpen their use of hedging tools. "We had rapidly increased hedging positions and significantly reduced net exposure of our portfolio during this period of wild market volatility," Hong Kong-based Golden Nest Capital said in its June newsletter. That helped the fund, which targets high-quality, low-volatility returns, record a 12th consecutive month of positive returns. While near-term volatility may rise as the deadline for a U.S.-China tariff truce approaches, fund managers are staying bullish. FountainCap's Luk described the current China market as a "silent bull market", noting that global capital has yet to return and Chinese company valuations remain low relative to developed market peers. Geopolitical tension is also abating. "It seems the market is pricing in gradual improvements, with little attention paid to the tariff deadline," Luk said. Simon Hopkins, CEO of Singapore-based Milltrust International Group, a hedge fund allocator, said he plans to increase exposure to China in the second half, drawn by the country's AI innovations and precision manufacturing capabilities. "There is going to be a huge recognition that Chinese technology is a place that is going to attract a lot of capital," he said. "The U.S. dominance in that area is being undone." Sources: Investors and funds Note: WT and ForwardEdge did not immediately reply to Reuters' requests for comment
Business Insider
11-06-2025
- Business
- Business Insider
Hedge fund giants are backing more external fund managers. Here's why smaller rivals are doing the opposite.
The hedge fund talent war means profit-generating portfolio managers have more options than ever. In an industry run by savvy billionaires, rank-and-file traders have had the upper hand in recent years thanks to what Millennium founder Izzy Englander deemed a " talent bubble" in 2023. Multistrategy firms, which blend a variety of investment strategies within a single fund, are catering to top PMs' whims, opening offices in places like Dubai and Puerto Rico so employees can avoid the taxman, or letting top traders run capital externally in their own funds. A report from data provider With Intelligence found that multistrategy platforms have put $55 billion to work in external managers, with firms like Millennium, Qube, and Schonfeld leading the way. But as the industry's largest players partner with new launches and external money managers, smaller platforms are drawing in portfolio managers who want a semblance of autonomy in addition to the benefits of working within a broader organization. Smaller managers can offer a more boutique feel for traders who feel constrained by the biggest multistrategy funds, which one allocator previous described as " skill factories" that don't rely on a single star. Adrian Brummer, a partner at $12 billion Brummer & Partners, a Swedish alternative investment manager, told Business Insider that the firm has four internal portfolio managers and expects that to grow to "six or more during this year." Brummer has more investment strategies run via external partnerships than internal PMs, but traders working in-house can be more efficient and easier to aboard, Brummer said. "A pod structure also allows us to access more capacity-constrained strategies," Brummer wrote in an email. A focus on talent Brummer isn't the only platform known for investing in external firms and managers that is flipping its model. A person close to the $6 billion alternative manager New Holland said the firm is in the early stages of adding internal portfolio managers to its multi-strategy offering. The firm began as an investment advisor for Dutch pension plans and has since become independent. It just hired former Brevan Howard executive Stephan Brohme as chief risk officer to boost its "operational infrastructure," a press release said. "His extensive experience and expertise working alongside investment teams to effectively mitigate and strategically manage risk will be a tremendous asset across our firm," New Holland CEO Scott Radke said in the release. London-based Bainbridge Partners, which started its multistrategy offering as a fund-of-funds in 2002, has added 10 internal investing pods over the last decade and plans to add more, according to Antoine Haddad, the founder of the $1 billion firm. "The focus is to bring in more strategies that make sense to internalize," Haddad wrote in an email, with a bias toward more niche options. At former Eisler portfolio manager Sean Gambino's new fund, Baypointe Partners, onetime Crestline executive Mark Walker is recreating an "old-school partnership," he told BI. Walker was a part of the leadership team at Crestline that turned the alternative manager's fund-of-funds business into a more modern multistrategy fund with some internal PMs. He is now the CEO of Baypointe and said he is targeting pod shop investors tired of the siloed structure found at many of the biggest platforms. He aims to build a "Seal Team 6" of senior PMs trading specific sectors, with a "completely transparent center book," which sits atop traders' portfolios and pulls its positions from them. Gambino is already trading consumer stocks, and Richard Shapiro, a former Millennium and Wexford Capital PM, will run the center book. "PMs want a level of independence but don't want to run a business," he said. While the biggest funds in the booming multistrategy space, which now manage more than $900 billion, according to research from Nasdaq's eVestment, can offer PMs more guaranteed compensation, there are levers smaller firms can pull to attract talent. A differentiator Brummer and Walker both mentioned is tailoring risk management limits to a PM's strategy and preference. It's an advantage that can only be offered by smaller firms, as the biggest funds have too many moving parts and people to make customized risk frameworks for each of their traders. "It's all about what you need to do to secure the best talent," said Matthew Glasofer, a partner at Corbin Capital Partners, a $9.6 billion alternative asset manager with a multistrategy fund that only invests in external PMs. Corbin is not yet bringing traders in-house, but Glasofer said, "We haven't shut the door on anything."
Associated Press
21-02-2025
- Business
- Associated Press
Income Performance Strategy Wins 2025 PAM Award for Best Credit Solution
NEW YORK, Feb. 21, 2025 /PRNewswire/ -- The Bramshill Income Performance Strategy has been acknowledged as the winner of the Best Credit Solution at 2025 Private Asset Management Awards. The Bramshill Income Performance Strategy is an alternative to traditional fixed income. The Bramshill Income Performance Strategy was spun out of an absolute return fixed income strategy managed by Bramshill Founder and CIO Art DeGaetano while at GLG Partners. The Strategy has a successful sixteen-year track record. 'Our firm is honored to receive this award from With Intelligence as it recognizes the long successful track record of our Bramshill investment team within the Income Performance Strategy,' said Mr. DeGaetano. Please find With Intelligence's '2025 Private Asset Management Awards' winners here. Media Contact: Nina Udell 646-757-6683 About Bramshill Investments Bramshill Investments is an alternative asset manager with over $7 billion under management (as of January 31, 2025), offering strategies across various debt and fixed income markets. Bramshill Investments seeks to harness the best risk-reward investments across fixed income with a flexible and opportunistic mindset. The firm manages its strategies in both fund and managed account formats. References to awards should not be construed as testimonials for our advisory services. For more information, please visit: Third-party rankings and recognition from rating services or publications are no guarantee of future investment success. Working with a highly rated advisor does not ensure that a client or prospective client will experience a higher level of performance or results. These ratings should not be construed as an endorsement of the advisor or by any client nor are they representative of any one client's evaluation. Generally, ratings, rankings and recognition are based on information prepared and submitted by the advisor. Unless otherwise noted no fee was paid for consideration of any ranking or award. A more thorough disclosure of the criteria used in making these rankings is attached or is available by clicking on this link.
Associated Press
14-02-2025
- Business
- Associated Press
Anacapa Advisors Named Best Asset Manager for Family Offices at 2025 Private Asset Management Awards
The California-based hedge fund is honored at the PAM awards for the third year in a row PACIFIC PALISADES, Calif., Feb. 14, 2025 /PRNewswire/ -- Anacapa Advisors, a market-directional investment manager, announced today that the firm has been honored as Best Asset Manager for Family Offices at the 2025 Private Asset Management Awards, by With Intelligence. Previously, Phil was recognized as Manager of the Year in the 2024 awards, and the firm was recognized as the Best Private Wealth Manager for Performance in 2023. The Best Asset Manager for Family Offices category recognizes firms who made the biggest difference for their clients over the previous 12 months through research prowess, due diligence skills, and leadership. Some of the key factors that contributed to the recognition for Anacapa Advisors included the fund's consistent returns in a diversified strategy, exceptional overall growth, and expansion of the team in several key areas, which better serve family offices and other dedicated investors. 'This past year has been one of remarkable growth for Anacapa. We expanded our team, bolstered our compliance, and continued to outperform many market-neutral funds. Most notably, we doubled our AUM,' said Founder Phil Pecsok. 'This recognition is a testament to our strategy, our expertise, and the results we deliver. Thank you to Private Asset Management Awards team for this honor.' For over two decades, the PAM awards, which are offered by With Intelligence, carry a legacy of rewarding exceptional performance in the private wealth community. Each year, esteemed industry peers and leading innovators are brought together for an evening of celebration, which was held this year on February 5th in New York City. The full list of 2025 winners can be found on Anacapa Advisors LLC, founded in 2018 by Phil Pecsok, manages two market-directional hedge funds (Alpha and Quantum) designed to outperform their respective benchmarks in most market environments. Unlike other hedge funds, it is guided by an investor friendly philosophy and fee structure – with a low, 0.50% management fee, and a performance fee earned only when outperforming the respective benchmark. Media Contact R.J. Walker & Co.
