GEMS – Mahjong China
This webpage is a marketing communication. Please refer to the Prospectus and the PRIIPs Key Information Document (KID) before making any final investment decisions.
Fund profile
Thanks to our 45+-year experience in the Asian markets, Mahjong China represents one of the best ways to benefit from the huge opportunities offered by active investing in China.
- Long / Short Equity multi-manager fund investing in Greater China
- Long/Short strategies are the best way to capture market inefficiencies that abound in the region
- Investment objective: to deliver above average returns over time while maintaining a lower risk profile than conventional investments
- Expected annualized return: outperform the China Equity Market over a full market cycle
- Expected annualized volatility: ~1/2 of the MSCI China Index
- Expected exposure: Net = ~30%-60%. Gross = ~110- 170%
- Upside/downside: 2/3 of the upside and 1/3 of the downside with limited drawdowns
- Monthly liquidity
Portfolio
- Investment universe: established Long / Short Equity Hedge Fund managers with a proven long track-record and based locally
- Geographic exposure: mainly “Greater China”, including A-shares, B-shares, H-shares (Hong Kong) and ADRs
- Investment style: diversification by type of strategies with a blend of variable net, low net and long biased managers
- Portfolio: concentrated around 10-15 managers
Active investing in China
- High dispersion of returns between A shares, H shares and US ADRs
- Less coverage of companies from sell side comparing to developed markets
- Opening of the Chinese domestic market in recent years has led to new investment opportunities for investors
- Indices are representing the past instead of the future but our underlying managers are adopting a dynamic approach, so they are able to generate Alpha returns
Local talents
- Started investing in the region at an early stage at the end of 1970s and followed the evolution of local Hedge Funds industry, moving from westerns to local PMs
- Local PMs are more dynamic to take opportunities in the market.
- We select locals managers with in-depth knowledge of the markets. All our managers are based in Asia (primarily in Hong Kong, Shanghai, Beijing and a few in Singapore)
- All our underlying strategies are SFC (HK) regulated
Why invest in this fund ?
- Focus on the “new China”, with emphasis on industry leaders that have true performance potentials and participating in China’s growth story
- Access to all classes of shares in China including A-shares, B-shares, H-shares (Hong Kong) and ADRs
- Investments in L/S Equity managers capturing opportunities in a market that is opening to foreign capital with high dispersion of returns
- Great diversification to a global equity portfolio
- Access to well-known established hedge fund managers with a proven long track-record
- Long history and great experience investing in China, and an important network of contacts
“ For investors seeking an efficient exposure to the region, Mahjong China is a convincing alternative to Active Long Only or Passive strategies. ”
Investment team
This webpage is a marketing communication. Please refer to the Prospectus and the PRIIPs Key Information Document (KID) before making any final investment decisions.
The information contained on this webpage is provided for information purposes only and does not constitute investment advice, an offer, solicitation or recommendation to buy or sell any financial instrument or investment product.
The views and opinions expressed are those of NS Partners at the date of publication and may change without notice.
Investments involve risks, including possible loss of capital. The value of investments and the income derived from them may fluctuate and investors may not recover the amount originally invested.
Past performance does not predict future returns.
Any reference to rankings, ratings or awards is provided for information purposes only and should not be interpreted as a guarantee of future performance.
Please refer to the Prospectus and PRIIPs KID for a full description of the Fund’s objectives, investment policy, risks and costs.
The Fund is authorised and regulated in Luxembourg and may not be offered or distributed in jurisdictions where such distribution would be prohibited.