|Asian Investor Interview (2): Chinese hedge fund startups set out plans||
Amid the raft of Chinese fund houses looking to launch operations in Hong Kong, some startups are choosing to join incubation platforms in the city in order to build a track record and scale, with a view to seeking a licence from the local securities regulator down the line.
Two such firms are Beijing’s Redhorse Fund Management and Shenzhenbased Academia Capital Management. Academia plans to launch its first offshore hedge fund in Hong Kong this year, said Charles Wang, the firm’s founder and chairman. It will be a quantitative strategy investing in Ashares and Hshares. Academia may expand the investment scope to Asia Pacific equities after a few years once, he noted. Wang expects the fund to raise AUM of $30 million to $100 million, comprising the company’s own money, along with assets from one or two European or US investors, Wang said.
Meanwhile, Redhorse set up its first offshore fund in Hong Kong through the Opim platform in May with $6 million in assets, sourced from four highnetworth (HNW) clients in China, including lawyers and entrepreneurs. It is a global macro strategy that will go long on commodities and dollars and short on European and US equities.