Xingtai China Fund
Xingtai Capital Management ("Xingtai") is a Chinese equity asset manager with offices in Hong Kong and Shanghai. Xingtai was founded in 2013 by Michelle Leung. Michelle was previously a partner at Lunar Capital Management ("Lunar"), a China-focused private equity firm. During 2013, Michelle developed Xingtai's investment strategy, and in April 2014, the firm launched the Xingtai China Cayman Fund, with most investments made by a multi-client advisory firm that had previously invested with Michelle in Lunar-affiliated funds.
Shortly after the fund's launch, in July 2014, Bingchao Cao joined Xingtai as a partner and portfolio manager to expand the team's equity investment, research and trading capabilities. In December 2018, the strategy was also launched as a UCITS fund in Ireland.
Xingtai is conducting a value-driven approach to invesing in Chinese growth. The portfolio is highly differentiated from the consensus and has not only delivered superior performance, but also in combination with strong downside protection.
Investments are made in carefully researched and selected companies which have an unique competitive positioning, a leading market share and expanding franchiches.
Companies have typcally strong brand equity and defensible business models.
The manager favors companies with 20%-60% EPS grwoth, value dislocation versus growth.
This has resulted in a portfolio averaging 30% EPS growth and 13x P/E.
Attractive return profile, providing superior performance, superior Alpha and strong downside protection.
In addition, the manager has a track-record of being early to spot winners with attractive valuations.
Cayman Fund: Monthly Liquidity (60 days redemption notice.
UCITS: Daily Liquidity (5 days redemption notice.)
Investment Horizon: 3-5 years