Wed, Feb 22, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Atlantis IM sees investment opportunities in China after positive developments

Tuesday, August 03, 2010

Opalesque Industry Update - Despite recent dips in its economic growth, China has seen a series of positive developments that will lead to increased returns for investors, according to Yang Liu, Chairman and Chief Investment Officer of Atlantis Investment Management (HK) and Fund Adviser to the Atlantis China Fund.

These developments include the decision by the Chinese Central Government to de-peg the renminbi from the US dollar, which has resulted in a re-rating of Chinese assets. Liu believes that the decision – something she had previously predicted – will also lead to multi-year positive returns for the market.

“In the coming months, we believe that investors will move to overweight China in their asset allocations and that the currency movement will provide a new investment horizon in the country,” says Liu.

“While some market participants have been concerned about recent economic data, the beauty is in the detail. Headline GDP growth in Q2 continued to be robust at 10.3% year-on-year and the data we have seen also indicates that the Government’s aggressive tightening policy – in place since March this year – has worked effectively to prevent the economy from overheating.”

Looking at recent economic data, Liu has noticed a disconnect between supply and demand with a marked decline in industrial value-added growth on one hand, and continued robustness in demand indicators such as fixed asset investment, retail sales and exports on the other.

Moving into the second half of 2010, Liu believes that monetary policy may take a more neutral stance and at the very least expects an easing of tightening policy to arrive in the fourth quarter as a catalyst to drive the market to recover from its lows of recent months.

“At that point, liquidity tightness and new loan growth control could also be relaxed,” says Liu. “This will potentially create significant alpha for investors willing to take a position against conventional wisdom.”

About the Atlantis China Fund
The Atlantis China Fund is a sub-fund of the Atlantis International Umbrella Fund, an open-ended umbrella unit trust established as a UCITS III and listed in Dublin.

The objective of the Fund is to achieve long-term capital appreciation through an actively managed portfolio of equity and equity related investments in The People’s Republic of China.

The Fund focuses on a portfolio of Chinese equities, investing predominantly in B-shares, H-shares, Redchips and P-Chips (listed privately-owned enterprises with a majority share owned by Chinese citizens). The Fund may also invest in A-shares through the use of structured products.

Performance (as at 30.06.2010):

Atlantis China Fund

June% YTD% 1Year% Since Inception%
0.9 -0.7 26.0 528.8

(Press release)

Corporate website: Source

- FG

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. People - Kuwait wealth fund head Al Saad said to step down after 14 years[more]

    From Bloomberg.com: Kuwait Investment Authority is set to name Farouk Bastaki as managing director, replacing Bader Al Saad who ran the world's fifth-largest sovereign wealth fund for 14 years, a person familiar with the matter said. The KIA, as the fund is known, is finalizing the appointment, said

  2. Manager Profile - Eddie Lampert: a painful entanglement with Sears[more]

    From Moneyweek.com: "In the long run we are all dead." Lex in the Financial Times reached for the famous quote from John Maynard Keynes in January when, after a long and unforgiving decline, the clock finally appeared to be running out on Sears, the iconic US department store group. Yet the group's

  3. Investing - Hedge funds quit Aberdeen shorts as shares begin to recover, Hedge funds' next big short: U.S. malls, O'Connor fund owns 9.5% of Protalix Biotherapeutics, U.S. hedge fund takes position in Macau hotel The 13[more]

    Hedge funds quit Aberdeen shorts as shares begin to recover From Investmentweek.co.uk: The last two hedge funds to short Aberdeen Asset Management have removed their positions, as the fund group's shares begin to show signs of recovery after a difficult few years. According to the Financ

  4. Latin America, high yields and Asia Pacific strategies dominate hedge fund returns in January[more]

    Komfie Manalo, Opalesque Asia: Latin America (+7.04%), high yield (5.63%), and Asia-Pacific (+5.06%) strategies dominated hedge fund performance in January, data provider Hennesee Fund Research said. The bottom three strategies for the mont

  5. Investing - Hedge funds loading up on this dividend stock, The biggest hedge funds have been piling into bank stocks[more]

    Hedge funds loading up on this dividend stock From Incomeinvestors.com: Hedge funds are backing up the truck on Cameco Corp stock. Billionaire Jim Simons owns 389,000 shares. Other Wall Street titans - including Ray Dalio, Ken Griffin, and Chuck Royce - have been quietly building positio