China Fund News reporter Wu Jun
Greenwoods Asset Management, a domestic private equity giant, recently disclosed its latest holdings in the U.S. stock market.
GREENWOODS ASSET MANAGEMENT HONG KONG LTD, AN OVERSEAS SUBSIDIARY OF GREEN WOODS ASSET MANAGEMENT, RECENTLY SUBMITTED TO THE SEC DATA ON ITS U.S. STOCK HOLDINGS AS OF THE END OF THE FIRST QUARTER OF 2024, WITH A TOTAL MARKET VALUE OF US$3.226 BILLION (ABOUT 23.314 BILLION YUAN), A SIGNIFICANT INCREASE FROM THE END OF LAST YEAR.
Specifically, Greenwoods Hong Kong increased its position in a number of Chinese concept stocks such as JD.com, Alibaba, New Oriental, Good Future, Tencent Music, and Trip.com Group in the first quarter, while increasing its holdings in artificial intelligence-related stocks such as Meta and TSMC, the parent company of Facebook, and building a position in biomedical companies such as Novo Nordisk. However, it continued to reduce its holdings of "favorite stocks" Pinduoduo, reduced its position in Tesla, and cleared its position in Alphabet, the parent company of Google. The market value of U.S. stocks reached $3.226 billion, and the top 10 heavy stocks accounted for 83.13%
According to the latest 13F filing disclosed by the U.S. Securities and Exchange Commission (SEC), as of March 31, 2024, Greenwoods Hong Kong held 39 securities in the U.S. stock market, with a total market value of US$3.226 billion, an increase of about 15% from US$2.8 billion at the end of last year.
From the perspective of position adjustment, Greenwoods Hong Kong Company entered 13 new securities and increased 12 securities in the first quarter of this year; However, it liquidated 4 securities and reduced its holdings of 8 securities.
Fund Jun needs to explain here that 13F discloses the U.S. stock holdings directly held by Greenwoods' overseas entities, excluding indirect holdings through derivatives and other factors, nor does it include U.S. stocks held by domestic products.
According to the data, as of the end of the first quarter of this year, the market value of the top 10 heavy stocks held by Greenwoods Hong Kong in the U.S. stock market was 2.682 billion US dollars, accounting for 83.13% of the total market value of all its U.S. stock holdings, which was lower than the concentration of positions at the end of last year.
Specifically, the top 10 heavy stocks are Facebook's parent company Meta, Pinduoduo, Microsoft, NetEase, Doordash, TSMC, Nvidia, New Oriental, Futu Holdings, and Full Truck Group.
Optimistic about the long-term opportunities of artificial intelligence Pay attention to the pull of AI on the semiconductor industry
The company is still optimistic about the development prospects of artificial intelligence (AI), and actively deploys related computing power, chips, large models and other companies, and is also optimistic about the rise of artificial intelligence for the semiconductor industry.
Among them, Meta, the parent company of Facebook, was promoted to the largest heavy stock of Greenwoods Hong Kong, increasing its holdings by 18,400 shares from the end of last year to 1,264,100 shares, with a market value of $614 million at the end of the period. In recent years, Meta has launched an artificial intelligence open-source model, and its stock price has also risen sharply, up more than 194% last year and 34.68% this year.
At the same time, Greenwood increased its holdings of TSMC, the global chip manufacturing leader, by 1,468,300 shares, increasing the number of shares held to 1,552,600 shares, with a market value of $211 million at the end of the period. As TSMC has led the development of cutting-edge chips with artificial intelligence technology, TSMC's stock price has also risen sharply in recent years, and has risen 44% this year.
In addition, Jinglin also increased its holdings in computing power leaders Nvidia, Chaowei Semiconductor, and lithography machine leader ASML, etc., and also bought the semiconductor index fund - iShares Semiconductor ETF, but reduced its holdings in Microsoft and cleared Google's parent company Alphabet.
A number of Chinese concept stocks in the consumer sector are optimistic about high-quality companies in the biomedical industry
At the same time, Greenwoods Hong Kong actively bought a number of domestic consumer companies in vertical segments, including Internet retail, tourism, music and entertainment, etc., in the first quarter of this year.
Jinglin newly entered the two major e-commerce giants of JD.com and Alibaba, buying 170,200 shares and 57,100 shares respectively, with a market value of $4.6607 million and $4.1322 million at the end of the period, respectively. JD.com's U.S. stock price has rebounded sharply by 14.65% this year, and Alibaba's share price has also rebounded slightly.
At the same time, Jinglin also bought 1.46 million shares of Tencent Music, with a market value of $16.3374 million at the end of the period, and bought 102,500 shares of Trip.com Group, with a market value of $4.4987 million.
Jinglin also increased its position in two education stocks, New Oriental and Good Future, increasing its holdings by 212,900 shares and 790,800 shares respectively, increasing the number of shares held to 1,875,300 shares and 2,966,400 shares, with a market value of $163 million and $33,668,600 respectively at the end of the period.
However, Jinglin reduced its holdings of cost-effective e-commerce Pinduoduo by 1.1007 million shares, reducing its holdings to 3.6347 million shares, with a market value of $423 million, but it is still its second largest heavy stock. After the stock price rose to a stage high of $152.99 per share in January this year, Pinduoduo has seen a sharp correction, but has rebounded since late April.
In addition, Greenwoods Hong Kong is also very optimistic about the biomedical industry, and in the first quarter of this year, it added a number of high-quality companies in this field.
It is worth noting that Jinglin opened a position in the Danish pharmaceutical giant Novo Nordisk in the first quarter, buying 29,700 shares, with a market value of $3,816,300 at the end of the period. Recently, Novo Nordisk announced its results for the first quarter of this year, and due to the sales of semaglutide, revenue and profit have increased. Novo Nordisk's stock price has risen more than 25% this year.
In addition, Greenwood also increased its position in Boston Scientific, Merck, AbbVie, Johnson & Johnson and other pharmaceutical stocks, but reduced its holdings in SPDR Biotech ETF.
Bullish on equity market opportunities amid economic recovery Long-term returns for Chinese companies are attractive
Fund Jun also learned the latest market views of Greenwoods Assets from the channel.
Greenwoods Asset Management said that with the recovery of China's economy, the market risk appetite will return to normal in the future, and the long-term risk-return of investing in some high-quality Chinese companies at current prices will remain attractive.
Company analysis, first of all, the current economic fundamentals are better than expected, from the recent economic data, May Day tourism consumption data performed well, the recent export data is expected to perform well, PMI for 2 consecutive months in the withering line 50% above, the key to see when the price data back to positive; In addition, the real estate industry, which the market is most concerned about, has seen some incremental changes in policy, focusing on the "active resolution of stocks" proposed by the Politburo meeting, the relaxation of purchase restrictions and the "trade-in" policy of "old for new"; Chinese equities have rebounded significantly recently, but they are still attractive at a valuation discount of more than 20% compared to emerging markets.
Therefore, Greenwoods Asset Management said that now that investor confidence has improved, it will continue to remain optimistic, and its investment strategy is mainly based on selected individual stocks.
Finally, Fund Jun sorted out the U.S. stock holdings data of Greenwoods Hong Kong Company at the end of the first quarter of 2024, so you can take a look.
Editor: Captain
Review: Xu Wen