Difference of US buyside versus Asian buyside

Although US have more wealth and larger size of funds, the turnover in Asia, especially Chinese/Taiwanese/Korean funds are fast to the level that real trading flow can be 2X for a long fund, and much higher for hedge fund.

We sense Asian hedge funds have been shorting Tesla and Apple given their, long AI, especially AI related semi.  Chinese/Korean investor have higher tendency to chase beta than US investors. As such, if you are an US hedge fund investor, it would significantly help your portfolio performance to understand what stocks Chinese investors are long/short. You will not want to short something that Asian HF see as a long. Vice versa, for Asian investors it's also key to know what US investors like and dislike.

The experience of CATL and Chinese stocks in 2022, Ecopro in 2023, Coherent in 2023, Apple in 2024, all point to the importance of understanding what the investors cross the Atlantic  are thinking.

The easiest way to check my latest portfolio – hedge fund – global tech, latest portfolio – long only – global tech. The portfolio would be very different from your sell side sales recommendation, as buyside mandates differ materially and drawdown limitation also differ, and pure fundamental research is not enough to outperform your peers.

Feel free to contact [email protected] if you want to discuss/consult about Tech.

That's it for this week!