Hedge Fund Veteran Trims Exposure to China and Sees Parallels with Japan Dlump (The Japan Times)
China’s party congress heightened policy risks that can push its stocks into a prolonged period of valuation compression, said a co-founder of a 22-year-old Asia-focused hedge fund firm. Drawing analogies between China and Japan in the 1990s, Indus Capital Partners’ Byron Gill said the company’s $729 million Pacific Opportunities Fund began to cut its exposure to China equities in the first quarter of 2021 and has spent much of this year net-short the country.
Hedge-Fund Manager Who Helped Expose Luckin Coffee’s Fraud Bets on Chinese Chain’s Comeback (The Wall Street Journal)
A hedge-fund manager who secretly wrote a scathing report in 2020 that accused Luckin Coffee Inc. of accounting fraud is now backing the Chinese chain, calling it “a miracle in China’s business history.” Snow Lake Capital, a Beijing-based hedge fund founded and run by Sean Ma, has bought a minority stake in Luckin and is betting that the formerly Nasdaq-listed company’s valuation will surge, the investor said in an interview with The Wall Street Journal on Monday. “I never would have thought the company could come back. Many nearly impossible things happened,” Mr. Ma said.
Billionaire Chris Rokos Joins Macro Traders Heading for Record Year With 44% Surge (Bloomberg)
Billionaire Chris Rokos is on track to record his best year, joining a string of macro trading peers such as Said Haidar and Crispin Odey in profiting as central banks start reversing years of quantitative easing. His $14.5 billion hedge fund returned about 5.4% last month, bringing gains for the year to 44%, according to a person with knowledge of the matter. If sustained for the rest of the year, the performance will be Rokos’ best since he started trading for his own firm in 2015. It also recovers the record losses he suffered last year.
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Deutsche Bank Fixed Income Guy Joins Hedge Fund Pre-Bonuses (eFinancialCareers.com)
ExodusPoint, the multistrategy hedge fund, continues to scoop up staff in London. As we were first to report last week, ExodusPoint hired Bin Zou, a former executive director of FX and Rates systematic trading strategies at Goldman Sachs. Now we understand that it’s also hired Vittorio Martino, a senior fixed income salesman at Deutsche Bank in London. ExodusPoint staff work in pods around portfolio managers running particular trading strategies. Martino is understood to be joining at pod formed by Mirco Bulega, a former Credit Suisse economist who joined ExodusPoint in July 2022.
Meet the key people involved in the passing of the torch at Ray Dalio’s Bridgewater Associates (Business Insider)
Today we’ve got stories on a tech strategy at Vanguard that’s helping it cut costs, a surprise visitor at a well-known Wall Street conference, and one of the more creative heists you’ll ever see. But first, welcome to the new age at Bridgewater. 1. Bridgewater’s brand new look. When it comes to the world of hedge funds, there’s arguably no bigger name than Ray Dalio. Mets fans and meme-stock enthusiasts might have some different folks in mind, but it’s tough to make a better case for the top spot than the guy who founded the largest hedge fund in the world.
