Mark Voumard

"Whatever company you invest in today, you want to make sure that it will still be here four, five, six, seven years from now." Esther Wong, Founder & CIO of 3Capital Investment, in a conversation with Bloomberg's Venus Feng at the #BBGWealth.

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Last week, our Founder Esther Wong speaking at hashtag #bloombergwealthforum about 3Capital's investment philosophy. 1) We are still in the beginning of the new wave, we will focus on the picks and shovels, hence, AI Infrastructure for now. 2) Unlike mobile internet era, the technical moat to understand and discern AI companies are high, AI veterans enjoy unfair advantage as investors. 3) We are seeing disruptors on hardware side already. The average GPU is running at 50% efficiency, we need new inferencing solution and/or better chip design that tailors to model training and edge inferencing. We invested in Cerebras Systems for precisely this reason. 4) Most radical applications likely to be medical and education. AI being a great equalizer, both segment share great inequalities for now, hence significant market potential. 5) Both US and China will remain AI super power and companies will thrive in their respective unique ecosystem. 6) Eventually, the most important programming language will be English, and the marginal cost of intelligence will be zero, leading to a significant bigger overall AI led market opportunity than we currently define.

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Edmund Goh, head of fixed income - China at abrdn explains what policies he would like to see to encourage further investments into China's capital markets. Goh was speaking at an event organized by The Asset Events. For more information, please go here: https://lnkd.in/gdEE9BAv #Finance #Investment #China #APAC #Bonds #FixedIncome #TheAssetTalk

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None should doubt the HKMA will soon HAVE TO realign the HK$s allegiance from what has been a long standing, but now ‘has been’, strict peg to the US$. Shift that is, to managing the HK$ in close imitation of the constellation of currencies the PBOC moves the yuan within (Table 1).   To be clear from very late ‘22, interest rates in HK moved above those in China, with the gap widening thereafter; the first ever instance of such a premium (see chart 1). This carry-trade advantage for borrowers in China relative to those in HK, has coincided with the HK$ appreciating against the yuan (also chart 1).  The consequence of this UNSUSTAINABLE monetary duality has been to throttle domestic capital investment into HK real estate, at the same time as encouraging debt to be ‘carried-in’ from The Mainland. In the interest (sic) of Hong Kong’s nationals, this CANNOT be allowed to continue. In the meantime, HK’s depressed real estate (house prices at a 7yr low), will find itself all the more monetarily overrun by opportunistic Chinese buyers.   The above said, from the perspective of mainland China, what appears to be an enticing investment arbitrage into HONG KONG’S REAL ESTATE, faces a building (sic) adverse loan to value shock. A covenant impairment hitting when, not if, the HK$ breaks its US$ peg, & FALLS against the yuan (again chart 2). For when the HK$ is released from its strict peg to the US$, its ‘natural’ direction will be to briefly move downwards against it (chart 3). As to how short this uncomfortable period will prove, the answer rests entirely on how quickly Beijing intervenes to buy into the HK$. The latter will be all the swifter the quicker the HKMA cooperates in accepting the HK$ needs to come under New Monetary Management. In rate terms those in HK must fall, so as to move into greater alignment with those of the PBOC, & away from those set by a distant Fed (chart 4).   To my mind at least, all the above is a certainty before the close of ‘25. Indeed, earlier into next year, should be thought the most likely given that a new Trump Term will see an escalation in tariffs against China, & relatedly & increase in US inflation & hawkish Fed policy.   To repeat,   1. borrowing in US$s & by strict association the HK$, is already more costly than in the yuan. &,   2. For some time, the US$ & HK$s have been moving higher relative to the yuan.   This duality - chart 1 - has encouraged China’s monetary takeover of HK. TO END THIS, THE HKMA must soon break the HK$/US$ peg.   On the theme of ‘fixed US$ pegs’ being suddenly broken because they no longer work, & how such FX'in shocks impact debt, equity & property markets, be prepared. Cos in ‘25 talk of breaking currency ranks to the US$, will become VERY public, in the Gulf.

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Mr.Zhao Xuejun, the chairman of Harvest Fund Management, has resigned from the mutual fund house due to an ongoing investigation, as confirmed by a statement released by the Beijing-based company last Friday. Zhao, 58, a PhD holder in economics from Guanghua School of Management, Peking University, took on the role of president of Harvest in 2000 and was later appointed chairman and president in 2017. During Zhao's tenure, Harvest Fund Management has transformed from a mutual fund company to an asset management conglomerate diversifying into real estate, equity investment, and intelligent investment research services. With AUM around CNY 1.57 trillion ($219 billion) No.8th of China mutual funds, Harvest has delivered nearly CNY 200 billion ($27.89 billion) in returns for the investors. The potential implication of Zhao's resignation hints at Beijing's escalating crackdown on the securities sector amidst market challenges. This development raises the possibility of more senior officials within brokerages and fund houses facing consequences for unethical practices in the near future. #China #stockmarket #mutualfund #crackdown

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As per MPF Ratings’ MPF Asset Class Fund Flow Summary,  Q3 2024 saw MPF attract estimated net inflows of $11.51bn, 11.1% lower than MPF’s 5 year quarterly average of $12.95bn and 3.8% lower than its 5 year Q3 average of $11.96bn. Net inflow estimate year-to-date is $37.16bn, 5.8% lower than MPF’s 5 year historical year-to-date average of $39.45bn. Find out more here: https://lnkd.in/gUyW4drA #mpfratings #MPFScorecard #MPFHealthCheck #MPFFastMover #MPFRConsistentPerformers #MarketInsights #MPFMarketShare #MPFFundFlows #MPFNetReturns #MPFIndustry #pensionschemes #assetmanagement #investmentmanagement #mpf #investment #empf

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Between a rock and a hard place: HKEX's balancing act Hong Kong's capital markets remain an attractive place for PRC companies to raise funds from international investors, including through IPOs. Recent indicators and client requests suggest that after a somewhat slower period, interest in and demand for HK IPOs are picking up. Underwriters and potential issuers will likely remain cautious until after the US elections. However, as the US-China geo-political and geo-economic relationships are expected to remain tenuous, PRC companies and investors are exploring options beyond western capital. The HK IPO process can thus serve as an important indicator of how the financial sector and other market participants address the existing and future US-China conflict of laws, particularly around international sanctions and PRC countermeasures. Despite being stuck between a rock and a hard place, the HKEX has been able to strike a creative – albeit some might say, timid – balance between international banks' commitment to sanctions compliance and domestic rules. 1. Sanctions opinion This balancing act relies on the requirement for potential issuers to provide a sanctions memo from a qualified counsel. We have supported a number of recent successful IPOs and pending processes. We can therefore attest that HKEX takes this sanctions clearance very carefully – often through a number of detailed follow up queries and clarifications – before the disclosure terms are finalized. A legal opinion must address whether business activities within the track record period (3 years): (i) are subject to or may have violated any sanctions and export controls laws in applicable jurisdictions; and (ii) will result in any material sanctions risks to itself or other stock exchanges. Dealings in high-risk countries like Iran and Russia should therefore be carefully reviewed and sanctions risks should be efficiently mitigated. 2. Sanctions compliance The legal opinion is a "live" document and delays in listing will require the analysis to capture an updated track record period. This requires an applicant to continuously comply with ever-changing sanctions regimes. Indeed, the HKEX recommends all applicants monitor their business for exposure to sanctions risks during and after their listings. While international sanctions compliance might not always be a top priority, any company with HK IPO aspirations would be well-advised to enhance its sanctions compliance early to save legal fees and IPO delays. 3. Collaboration with regulators Listing applicants should also be ready to answer questions from the regulator and be flexible when circumstances change – eg SenseTime, a facial recognition developer, removed US investors from its IPO after being added to the CMIC List. Our sanctions and our IPO teams are happy to address any questions – Frank Bi, Li Jiang, Tom Cummins, Dr. Dr. Claus Zimmermann, Vicki Tang, Kenneth Lee

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The CLOB saga of 1988 taught Singaporeans the important distinction between speculating and investing. For the 172,000 CLOB investors, most were trading based on recommendations heard through coffeeshop talk, with no real understanding of fundamentals or strategies. When trading was abruptly shut down on CLOB, it resulted in a painful and drawn-out fight for Singaporeans to get their money back. But the episode also marked the rise of Securities Investors​ Association (Singapore), which made upholding and protecting the rights of small investors its business. How did a lawyer who had never stepped foot in the world of finance become the voice of minority investors? Find out in Boardroom Knockout 🥊 Get your copy here: https://lnkd.in/gxtgXFkR #brko #boardroom #knockout #investors #shareholder #minority #watchdog

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Hong Kong Exchanges and Clearing Limited (HKEX)’s strategy to help global clients navigate challenges and opportunities in Hong Kong and Mainland markets Read the full artcle: https://bit.ly/3UqlQiq At Sibos 2024 in Beijing, Tae Seok Clement Yoo, managing director of global client development at HKEX, shared insights into how HKEX Group is addressing the evolving dynamics of China's mainland markets. In a landscape shaped by recent government stimulus measures and technological advancements, Yoo outlined HKEX’s strategies to tackle settlement challenges, attract global investors, and enhance cross-border trading infrastructure. The T+0 settlement cycle in China's mainland markets, primarily the Shanghai and Shenzhen stock exchanges, presents both opportunities and challenges, particularly for international investors who are accustomed to the longer cycles of T+2 or T+1. This shortened settlement timeline requires efficient clearing and settlement processes, a critical factor for maintaining investor confidence and mitigating counterparty risks in a fast-paced trading environment. Yoo highlighted that one of the key concerns among investors is the ability to meet settlement requirements within a constrained time frame. HKEX has introduced technological solutions to address these concerns, including its Synapse platform, which improves operational efficiency and enhances the clearing process. This platform was launched to support market participants in coping with the operational challenges of T+0, such as pre-trade checks, settlement accuracy, and exception handling within a shorter window of time. John Hsu, Jacky Mak, Elzio Barreto Foo Boon Ping 胡文彬, Cindy Yu, Eunice Foong, Chris Kapfer, Ruoxin Qi, TAB Global #Sibos2024 #TaeYoo #HKEX #ShanghaiStockExchange #ShenzhenStockExchange #StockConnect #SwapConnect #SynapsePlatform #GlobalClientDevelopment #CrossBorderTrading #FinancialTechnology #T0Settlement #MainlandMarkets #OrionDerivativesPlatform #ChinaCapitalMarkets #TheAsianBanker #TABGlobal

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MPF Ratings today released its July MPF Performance Survey, pointing out that total MPF assets have reached a new record all-time high on the back of MPF’s 5th positive performance month this year. Aided by approximately $6.8bn in performance earnings in July, average MPF account balances are now approximately just under $260,000 at $259,900. The Nasdaq entered correction territory, a warning that MPF members have too much to lose if they get market timing wrong. Find out more here: https://lnkd.in/g5RNs35e #mpfratings #MPFScorecard #MPFHealthCheck #MPFFastMover #MPFRConsistentPerformers #MarketInsights #MPFMarketShare #MPFFundFlows #MPFNetReturns #MPFIndustry #pensionschemes #assetmanagement #investmentmanagement #mpf #investment #empf

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Prospects for Financial Reform In Japan Finance is the lifeblood of capitalism. It decides who gets to produce what, and how much. If it’s working well, it dispenses credit to firms likely to use it well and withdraws it from those that no longer do so. The process not only raises living standards but also the financial returns to capital (i.e., whether $1,000 of capital earns 2% or 5%). That, in turn, is how the system provides better returns to the nation’s households, whether through bank accounts, pensions, or the stock market. Unfortunately, for at least four decades, Japan’s financial system has done a poor job. Growth cannot improve without financial reform.              This week, I engaged in a dialogue on the state of Japan’s financial system with Deputy Commissioner Toshiyuki Miyoshi of the Financial Services Agency (FSA) It was hosted via the web by Nicolas Version of the Peterson Institute for International Economics (PIIE).              Miyoshi-san off with a tour d’horizon on all sorts of financial developments in Japan, devoting time to Tokyo’s decades-long (and futile) hope to make it a major international financial center (starts at minute 3:30). I then discussed the areas where Japan needs reform. Miyoshi largely agreed and discussed the political obstacles to making this happen (my comments start at minute 17:50). The three of us then engaged in a dialogue (begins at minute 24:25).   For a list of topics and to view the dialogue, click https://lnkd.in/es2DHxQb #Japan #Finance #Reform #Growth #Megabanks #Zombies #Entrepreneurs  

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𝗪𝗵𝘆 𝗧𝗮𝗶𝘄𝗮𝗻’𝘀 𝘂𝗹𝘁𝗿𝗮-𝗿𝗶𝗰𝗵 𝗮𝗿𝗲 𝗺𝗼𝘃𝗶𝗻𝗴 𝘁𝗵𝗲𝗶𝗿 𝘄𝗲𝗮𝗹𝘁𝗵 𝘁𝗼 𝗦𝗶𝗻𝗴𝗮𝗽𝗼𝗿𝗲 Often referred to as an ‘oasis of calm’, Singapore’s safe haven status for wealthy investors has amplified as geopolitical risks around the world increase. Due to similarities in culture and language, Singapore is becoming a popular choice for Taiwan’s ultra-rich to park their wealth. Senior Partner and Co-Head of our High Net Worth & Family Office practice, Kia Meng (KM) LOH, tells Lianhe Zaobao 联合早报 how heightened tensions in the region have led to many wealthy Taiwanese diversifying their wealth in places like Singapore. https://lnkd.in/ddQup88b More about Kia Meng: https://lnkd.in/djiJpQum #Dentons #DentonsRodyk #SingaporeGlobalLawFirm #Singapore #Taiwan #PrivateWealth #HNWI #Legal

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【#MPFAInsights Chill while managing your MPF with DIS】 Curious about how to escape the heat of summer? With default investment strategy (#DIS), at least you can effortlessly stay cool and chill while managing your #MPF! Commonly known as "funds for lazy people", DIS offers a ready-made investment solution with following features: ➡ Automatic reduction of investment risk according to members' age; ➡ Globally diversified investment to help spread the investment risk; and ➡ Fee cap of 0.95%. All MPF schemes are required to offer DIS. If you don't specify a fund choice on your enrolment form, your trustee will automatically invest your contributions according to DIS. Stay cool and enjoy this hassle-free way to manage your MPF! #MPFAInsights #MPFA #MPF #DIS #DefaultInvestmentStrategy

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China authorities are investigating corruption & mismanagement by China Forestry top executives including bribery by ex-Chairman Song Quanli.   Read - https://lnkd.in/gwuicpdF follow Caproasia | Driving the future of Asia China authorities are investigating corruption & mismanagement by China Forestry top executives including bribery by ex-Chairman Song Quanli.  In 2024 August, the Hong Kong Market Misconduct Tribunal (MMT) has found China Forestry Holdings ex-Chairman Li Kwok Cheong & CEO Li Han Chun guilty of providing false & misleading information in IPO prospectus & annual results for 2009, overstating turnover by 91.56% in 2008 & by 99.99% in 2009, customers were non-existent or not genuine, and false documents including forestry rights, logging permits & bank statements.  CEO Li Han Chun & his personal investment vehicle (Top Wisdom Overseas Holdings) had also sold 119 million shares in 2011 January, and avoided loss of HKD 353 million ($45 million) after auditor KPMG had highlighted checks on false documentations during meeting in 2010 December.  China Forestry had raised HKD 1.67 billion in IPO ($214 million) in 2009.  Hong Kong Securities & Futures Commission (SFC) 7/8/24: “The Market Misconduct Tribunal (MMT) has found Mr Li Kwok Cheong and Mr Li Han Chun, former chairman and chief executive officer (CEO) of China Forestry Holdings Company Limited (China Forestry), culpable for disclosing false or misleading information in China Forestry’s IPO prospectus and its annual results announcement and annual report for the year ended 31 December 2009, inducing transactions in the company’s shares (Notes 1 to 3). The MMT found that China Forestry’s IPO prospectus and its 2009 annual results announcement and annual report contained numerous false or misleading statements covering China Forestry’s turnover generating activities, profit, plantation assets and bank balances. Specifically, China Forestry’s reported turnover was overstated by 91.56% and 99.99% for the years ended 31 December 2008 and 2009.  The MMT also found that the purported customers of China Forestry were either non-existent or not genuine, and the company engaged in a substantial and ongoing falsification of documents, including the forestry rights certificates, logging permits and bank statements, to conceal the false statements.  The MMT concluded that Li Han Chun and Li Kwok Cheong knew such statements were false or misleading when authorising the issuance of the IPO prospectus and the 2009 annual results announcement and annual report (Note 4). 

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🌏 Temasek's Global Investment Strategy Revealed! Curious about how one of the world's largest investment companies operates? Alpin Mehta, Head, Real Estate, and Deputy Head, Private Equity Fund Investments shares: • The 4 key structural trends shaping Temasek's investments • Why the US remains an attractive market • Temasek's bullish stance and cautious approach • How they balance long-term vision with adaptability • Insights into their portfolio reshaping strategy Dive into the mind of a global investor and gain valuable insights for your own investment approach! Catch the full episode: YouTube: https://lnkd.in/grVSRfK8 Spotify: https://lnkd.in/g4gPPPkW Apple: https://lnkd.in/gsB78PjC #InvestmentStrategy #GlobalMarkets #Temasek #TheFinancialCoconut #Investing

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HKEX to Digitalise ETP Servicing Capabilities with Online Platform Hong Kong Exchanges and Clearing Limited (HKEX) is pleased to announce today (Tuesday) plans to digitise and automate the in-kind creation and redemption process for relevant exchange-traded products (ETP) in 2025 through the adoption of a web-based platform, subject to technical readiness and regulatory approval. This platform will be integrated into the ETP creation and redemption process, connecting key ETP participants with the use of Distributed Ledger Technology (DLT) and smart contracts, and will help increase overall ETP market efficiency, supporting the continued growth of secondary market activity for ETPs. This latest enhancement is part of the Group's ongoing commitment to further elevate the attractiveness and competitiveness of its international ETP ecosystem, replacing several manual, paper-based processes currently present with a goal to simplify the creation and redemption procedures of ETPs and boost market activity. #ETF #StockConnect #HKEX #HongKong #ETP

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Join ONG Xun Xiang (王勋祥), CFA, CAIA, CA, ETF Business Lead at the iFAST Global Markets (Singapore) ETF Expo 2024 where industry experts share their views on the market and dive deeper into SGX Group-listed ETFs. Using the Lion-OCBC Securities range of ETFs as building blocks, Xun Xiang will talk about how to diversify your portfolio and get ahead in the ETF investing game. In the panel discussion, he will also give his insights regarding ETF portfolios in 2024. Sign up for the event here: https://lnkd.in/gE9DGpPs #LionGlobalInvestors #AssetManagement #ETF #OCBCSecurities #Dividends #Retirement #APACFinancials #lowcarbon #greeneconomy #Singapore #SingaporeLowCarbon

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🎖 Benchmark MPF Awards 2023 🎖 Congratulations to the winners of the Benchmark Fund of the Year Awards as we celebrate Benchmark Hong Kong's 20th anniversary!  This is also the year we co-organize the award with the most disruptive Sustainability and Qualitative analytic platform, BlueOnion, as a co-organizer with WealthAsia Media.  The Awards represented a meticulous, methodical process.     Benchmark defines the competition by three distinct groups of stakeholders: Investment Management, Trustee, and Sponsors, all performing specific functions to serve the members of their schemes.    BCT Group ("BCT") is named Trustee of the Year at the Benchmark MPF Awards 2023. Benchmark recognizes BCT’s exceptional governance through its commitment to robust risk management and proactive engagement with members. Their innovative mobile app enhances user experience, and their focus on strong investment performance reflects a dedication to member interests.   BCT Group - BCT Financial Ltd & Bank Consortium Trust Co Ltd #trusteeoftheyear2023   HSBC won the highest score for Investment Manager and is named Investment Manager of the Year at the Benchmark MPF Awards 2023, with the highest winning ratios in qualitative and quantitative categories. HSBC was recognized for its strong commitment to good governance practices as a trustee. They engage with underperforming companies to drive improvement and integrate ESG considerations. HSBC MPF offers excellent member education through public workshops and forums, and consistently delivers strong investment performance at low cost.  HSBC #HSBCpensions #investmentmanageroftheyear2023   Sun Life Hong Kong ("Sun Life") is named Sponsor of the Year at the Benchmark MPF Awards 2023. Sun Life demonstrated significant advancements in technology, enhancing member and employer engagement through diverse information and interaction options. Their consistent recognition in industry awards highlights their commitment to excellence and customer satisfaction.  Sun Life #sponsoroftheyear2023 #benchmarkMPFaward2023

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