First Plus Asset Management (“FPAM”) just launched its first fund, namely First Plus Asia Opportunity Fund, in December 2020.
Led by its Chief Investment Officer, Yang Zhao, this open-end fund focuses on equity investment both in China listed companies and emerging Asia markets, as well as IPO and pre-IPO opportunities within the region.
According to Mr Zhao, in 2020, despite of the increased volatility in global stock market due to Covid-19, Chinese companies’ overseas IPO still brings investor with consistently stable return, especially in some sectors such tech and healthcare. Besides, the emerging market in ASEAN countries also demonstrates quick growth with a contribution of almost 1/3 to global GDP in 2019. It is mainly generated by continuous industrialization and growing consumer market of over 3 billion population in the region, which will provide momentum for economic growth in the future.
Based on the strategies mentioned above, the fund will focus on long term value investments with relatively low dispersion and turnover of portfolio to generate risk-adjusted returns by identifying and capturing market risk-reward asymmetry and inefficiency through bottom-up analysis