Global Equities, Multi-Asset PM, Dantes Outlook

Damanick Dantes, CMT

Global Equities, Multi-Asset PM

Dantes Outlook

We invest over a full market cycle, using multi-asset portfolios tailored to each global client, from individuals to family offices.

Built to Endure

Cross Asset Strategy

<ul>
<li>
Offshore relative value: We tested 12-month relative returns across onshore vs. offshore, and both vs. EM. Offshore China is the oversold leg, driven by its own weakness rather than onshore strength. </li>
<li>
AI rotation: The performance gap reflects capital favoring the onshore industrial upgrades vs. offshore consumption. Re-rating requires offshore earnings pickup regardless of how cheap the multiple looks.</li>
<li>
Stock selection:<a href="https://www.smartkarma.com/entities/msci-china-index" target="_blank" data-smartkarma-citation="entities:22895:1" rel="noopener">MSCI China Index (MXCN INDEX)</a> is dominated by <a href="https://www.smartkarma.com/entities/tencent-holdings-ltd" target="_blank" data-smartkarma-citation="entities:26:1" rel="noopener">Tencent (700 HK)</a> and <a href="https://www.smartkarma.com/entities/alibaba-group-holding-limited" target="_blank" data-smartkarma-citation="entities:28434:1" rel="noopener">Alibaba (9988 HK)</a> while dispersion across the index is wide. We built an investable bucket.
</li>
</ul>



Offshore relative value: We tested 12-month relative returns across onshore vs. offshore, and both vs. EM. Offshore China is the oversold leg, driven by its own weakness rather than onshore strength. 

AI rotation: The performance gap reflects capital favoring the onshore industrial upgrades vs. offshore consumption. Re-rating requires offshore earnings pickup regardless of how cheap the multiple looks.

Stock selection:MSCI China Index (MXCN INDEX) is dominated by Tencent (700 HK) and Alibaba (9988 HK) while dispersion across the index is wide. We built an investable bucket.



China Equities: Relative Upside in Offshore Vs. Onshore Stocks

Asia Pac ECM and Index Rebal, Shenton Research

Ke Yan, CFA, FRM

Asia Pac ECM and Index Rebal

Asia Pac IPO & Placement Research, China Biotech

Shenton Research

Shenton Research is an independent Asia Pacific equity specialist. Our quantitative research covers index rebalancing flows, alongside exchange data analytics accross Asia Pacific. On the equity capital markets side, we focus on Asia Pacific ECM, especially biotech and TMT. Our lead analyst is frequently cited by international media.

Thematic (Sector/Industry)

<ul>
<li>China announced game approval for the September batch. The number of games approved is higher than in 2023 and 2024.</li>
<li>The pace of China game approval is above its pre-tightening level of August 2020 to July 2021.</li>
<li>Of the companies that we are monitoring, none got approval.</li>
</ul>


China announced game approval for the September batch. The number of games approved is higher than in 2023 and 2024.
The pace of China game approval is above its pre-tightening level of August 2020 to July 2021.
Of the companies that we are monitoring, none got approval.


Tencent/Netease: Two Months Without Approvals Despite Second-Highest Count Since 2022

Asset Allocation & Fund Positioning, Copley Fund Research

Steven Holden

Asset Allocation & Fund Positioning

Copley Fund Research

Copley Fund Research provide research and data on asset allocation among Global and Emerging Market equity funds.  The analysis details absolute and relative positioning across countries, sectors and industries together with highly granular data on single stock and single fund allocations.  The data is updated monthly with time series going back to January 2011.

Global Research - Analysis of 165 prominent Global equity funds, combined AUM $335bn
GEM Research - Analysis of 127 prominent global EM equity funds, combined AUM $250bn

Asset Allocation - Global and GEM Equity

<ul>
<li>We rank more than 350 Global equity funds using our proprietary Quality framework to identify the highest-quality portfolios, which we classify as Quality Leaders.</li>
<li>Quality investing is driven more by stock selection than large country or sector bets, with broad ownership of Microsoft, Alphabet, TSMC and NVIDIA across Quality Leader portfolios.</li>
<li>Quality comes at a price. Despite owning many of the world’s strongest businesses, Quality Leaders have been the weakest-performing group over the past five years.</li>
</ul>


We rank more than 350 Global equity funds using our proprietary Quality framework to identify the highest-quality portfolios, which we classify as Quality Leaders.
Quality investing is driven more by stock selection than large country or sector bets, with broad ownership of Microsoft, Alphabet, TSMC and NVIDIA across Quality Leader portfolios.
Quality comes at a price. Despite owning many of the world’s strongest businesses, Quality Leaders have been the weakest-performing group over the past five years.


Overseas Chinese Equities, Aequitas Research

Ming Lu

Overseas Chinese Equities

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Equity Bottom-Up

<ul>
<li>Tencent's stock price has firmly established itself above the support level throughout July.</li>
<li>Tencent holds the third-largest global share in LLM API calls, which will drive existing businesses.</li>
<li>Based on the five-year P/E band, the stock offers a 35% upside by the end of 2027.</li>
</ul>


Tencent's stock price has firmly established itself above the support level throughout July.
Tencent holds the third-largest global share in LLM API calls, which will drive existing businesses.
Based on the five-year P/E band, the stock offers a 35% upside by the end of 2027.


Tencent (700 HK): Trading Above Support Line, Popular Large Language Model to Boost Businesses

Equity Long-Short

Mo Aziz

<ul>
<li>The 22 July rout traded gross receipts as revenue. They are not: Spring Festival deferrals flow into 2Q's P&amp;L, so domestic games should print +13% against perceived decline.</li>
<li>We forecast 2Q26E revenue RMB203.3bn (+10%), non-IFRS net profit RMB68.0bn (+8%), both above street; 2H catalysts stack up — Xiaowei launch, official HY3, Manus stake, ASIC-backed capex step-up.</li>
<li>We are BULLISH with fair value of HK$670, set on SOTP — 20x games and marketing earnings, 4.0–4.5x fintech/cloud sales, investments at 30% discount; +41% upside.</li>
</ul>


The 22 July rout traded gross receipts as revenue. They are not: Spring Festival deferrals flow into 2Q's P&amp;L, so domestic games should print +13% against perceived decline.
We forecast 2Q26E revenue RMB203.3bn (+10%), non-IFRS net profit RMB68.0bn (+8%), both above street; 2H catalysts stack up — Xiaowei launch, official HY3, Manus stake, ASIC-backed capex step-up.
We are BULLISH with fair value of HK$670, set on SOTP — 20x games and marketing earnings, 4.0–4.5x fintech/cloud sales, investments at 30% discount; +41% upside.


Tencent (700 HK) 2Q2026 Results Preview: The Gaming Scare Is a Head-Fake, the Shorts Are Mistaken

China

Tencent Holdings Ltd. is a Chinese multinational technology and entertainment conglomerate. It provides a wide range of internet-related services and products, including social communication platforms like Weixin/WeChat and QQ, online games, digital content, and fintech services. The company was founded in 1998 and is headquartered in Shenzhen, China.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Tencent (700 HK)

China Equities: Relative Upside in Offshore Vs. Onshore Stocks

Offshore China is improving relative to onshore China. We anticipate a re-ratings cycle and selected a basket of offshore stocks for active returns.

Damanick Dantes, CMT

Tencent/Netease: Two Months Without Approvals Despite Second-Highest Count Since 2022

NPPA released its September 2026 domestic game approval batch. None of the companies we track received approval despite the overall approval count...

Ke Yan, CFA, FRM

Defining Global Quality

Quality investing is synonymous with owning the world’s best businesses. But what does a Global Quality fund actually look like, and have they...

Steven Holden

Tencent (700 HK): Trading Above Support Line, Popular Large Language Model to Boost Businesses

Tencent's stock price has firmly established itself above the support level throughout July. Tencent holds the third-largest global share in LLM...

Ming Lu

Tencent (700 HK) 2Q2026 Results Preview: The Gaming Scare Is a Head-Fake, the Shorts Are Mistaken

The market pre-sold Tencent's 2Q on billings data that isn't revenue. Deferred Spring Festival receipts carry the print; Xiaowei carries 2H....

Mo Aziz

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)