Founded by Adrian Cheng in 2019, the family office, Avantua Group is seeking to raise $50 million for its new hedge fund. One-fifth of the amount will be founded by itself, while it plans to complete fundraising by September followed by investment in long-short strategy.
“We see a window now. While the US is tightening policies, China is loosening up to save the virus-hit economy,” said Edward Liu Chang, Avantua’s chief investment officer.
“There have to be more supportive policies from the government to keep the economy afloat. And considering that the key driver of China’s equity market is still policy, we believe that it is bottoming out. We really hope that we can ride on it and start our position now, particularly in those government-friendly sectors, like next generation energy and new infrastructure,” he added.
According to the family office’s managing director, Xu Hao, Avantua’s ultimate goal is to build a track record and become a top investment firm in China and Asia. The family office currently manages US$2bn in assets, which includes an equity focus on private markets in its first years of operations.
“To achieve that, we need to establish a brand that can consistently make gains for our shareholders and investors in the long run. Now is a good time to step into the secondary market,” said Xu.
