Saudi Arabia’s public investment fund (PIF), a well-known sovereign fund, recently released its latest 13F position report in the United States. The report shows that PIF significantly increased its positions in Alibaba and other Internet technology companies in the first quarter of this year, and the new energy vehicle company lucid group is still its largest heavyweight stock.
Recently, China’s economic stabilization measures have been introduced one after another, and high-level officials have continuously released positive signals to the platform economy. With the warm wind blowing frequently, foreign institutions’ views on China’s stock market are becoming more and more positive.
pif, Alibaba
PIF’s 13F position report showed that as of the end of the first quarter, the value of U.S. stocks held by the institution totaled $43.574 billion. It is noteworthy that PIF increased its positions in 338600 shares of Alibaba in the first quarter, with an increase of 48% and a market value of 113 million yuan. Although Alibaba accounts for only 0.26% of the PIF portfolio, this increase is of signal significance.
In addition, PIF also added positions and bought a number of Internet technology companies, including take two, PayPal, meta platforms, sea, etc.
In terms of holdings reduction, PIF reduced its positions in visa, Prag energy and Wal Mart in the first quarter, and cleared its positions in grubhub.
Among PIF’s heavyweight stocks, new energy vehicle company lucid group ranks first. PIF holds 1.015 billion shares with a market value of US $25.787 billion. Activision Blizzard followed, with PIF holding 37.87 million shares and a market value of $3.034 billion. In addition to the above two companies, the top ten heavyweight stocks also include Uber, public utility index etf-spdr, art power, take two, live country entertainment, Carnival Cruise, Cummins and automatic data processing.
foreign investors are optimistic about the prospect of China’s stock market
PIF’s position increase in Alibaba is not an example. Goldman Sachs, qiaoshui and other overseas giants also increased their positions in the Chinese Internet company in the first quarter. More and more signals show that the interest of foreign capital in China’s core assets has not subsided, and the phased market adjustment has given a rare opportunity to increase positions.
Founded by Howard capital in 2023, the scale of assets under the management of oaks is about US $16331 billion. The company adopts a value oriented investment method with strict risk control, and is good at credit, private equity, physical assets and stock investment. Oak capital is one of the world’s largest distressed debt investors and one of the world’s largest high-yield bond investors.
Oak capital said in a recent interview with a Chinese reporter from a securities firm that it is optimistic about China’s stock market and will continue to increase investment and hold heavy positions in China for a long time. “We have full confidence in China’s long-term growth. As Mr. Howard max, the founder of oak, mentioned, China is like a dynamic young man with boundless prospects. We should avoid ignoring the long-term prospects because we focus too much on avoiding short-term market fluctuations, which will lead to a lot of missed opportunities.”
Oak capital deeply cultivated in China and established wholly-owned subsidiaries in Shanghai and Beijing in 2013 and 2020. As one of the largest foreign investors of non-performing assets in China, oak capital cooperates with Chinese head institutions to jointly operate and revitalize local enterprises, help economic structure transformation and industrial upgrading, and widely invest in Chinese stocks, public and private debt and real estate. As of March 31, 2022, the total investment in Greater China exceeded 35 billion yuan. As the first batch of overseas managers approved by the government to participate in cross-border pilot projects, oak capital has provided diversified overseas asset allocation solutions for Chinese investors, and the asset management scale of qdlp fund under management has always been in the leading position in the industry.
Mike Shiao, chief investment director of Jingshun Asia, also pointed out recently that in the short term, China will maintain a dynamic clearing policy, which can strike a balance between sustainable economic growth and maintaining people’s health. It can be seen that the government tends to emphasize the position of supporting stable economic growth. Private enterprises, especially those in the fields of science and technology, platform and infrastructure, can stimulate domestic demand through consumer vouchers and other measures with the help of policy support.
\u3000\u3000 “In the medium term, we will continue to focus on the impact of external drivers, such as the pace of interest rate hike and table contraction by the Federal Reserve. The valuations of Chinese stocks listed in Hong Kong are relatively lower than those in the US market. These companies are supported by structural growth drivers. For example, compared with us Internet companies, Chinese Internet companies have relatively low valuations and are now more attractive, especially in view of China’s recent positive development and support policies. ”Mike Shiao said.
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