Asian Hedge Fund Manager, Long Short Equity, Macro

David Mudd

Equity Bottom-Up

<ul>
<li>
<a href="https://www.smartkarma.com/entities/first-pacific-co-ltd" target="_blank" data-smartkarma-citation="entities:173:1" rel="noopener">First Pacific Co (142 HK)</a> is a Southeast Asian conglomerate that has been handicapped by its listing in the Hong Kong market over the last several years.</li>
<li>As Southeast Asian markets (Indonesia and Philippines) begin to re-rate on the back of a more accommodating Fed policy, First Pacific is beginning to participate in the uptrend.</li>
<li>Metro Pacific Investments Corp (MPIC), the second largest piece of the company's NAV has been active in acquiring more infrastructure assets since being privatized last year.</li>
</ul>



First Pacific Co (142 HK) is a Southeast Asian conglomerate that has been handicapped by its listing in the Hong Kong market over the last several years.
As Southeast Asian markets (Indonesia and Philippines) begin to re-rate on the back of a more accommodating Fed policy, First Pacific is beginning to participate in the uptrend.
Metro Pacific Investments Corp (MPIC), the second largest piece of the company's NAV has been active in acquiring more infrastructure assets since being privatized last year.


BUY: First Pacific Company (142 HK): Right Stock Trapped in the Wrong Market

Shanghai Electric Group / Equity Bottom-Up

<ul>
<li>Hong Kong Long-Only portfolio launched on October 1st with objective to generate alpha in the Hong Kong market.</li>
<li>Stocks are chosen from single stock insights as well as sector and weekly publications.</li>
<li>Positions will be adjusted once a month and the cash position will vary based on market conditions.</li>
</ul>


Hong Kong Long-Only portfolio launched on October 1st with objective to generate alpha in the Hong Kong market.
Stocks are chosen from single stock insights as well as sector and weekly publications.
Positions will be adjusted once a month and the cash position will vary based on market conditions.


Asia L/S Equity PM/Macro/Thematic Idea Generation

Rikki Malik

<ul>
<li>A liquid proxy for China's recovering consumption (with no technology regulation risk)</li>
<li>A quality red chip company at a very reasonable valuation</li>
<li>Growing sales and margins as its premiumisation strategy is executed</li>
</ul>


A liquid proxy for China's recovering consumption (with no technology regulation risk)
A quality red chip company at a very reasonable valuation
Growing sales and margins as its premiumisation strategy is executed


Cheers! Raise a Glass to China Resources Beer (0291.HK)

HK/China Equity Long-Short

Osbert Tang, CFA

Thematic (Sector/Industry)

<ul>
<li>The elevated crude oil prices are expected to drive persistent inflationary pressure, and this will benefit high dividend yield stocks.</li>
<li>The top 10 high-yield HSI constituents have an average dividend yield of 6.7% for CY26. Since the War, they have outperformed the Index by an average of 1.1pp.</li>
<li>
<a href="https://www.smartkarma.com/entities/china-unicom-hong-kong-ltd" target="_blank" data-smartkarma-citation="entities:1016:1" rel="noopener">China Unicom HK (762 HK)</a>, <a href="https://www.smartkarma.com/entities/china-mobile-ltd" target="_blank" data-smartkarma-citation="entities:27:1" rel="noopener">China Mobile (941 HK)</a>, <a href="https://www.smartkarma.com/entities/link-reit" target="_blank" data-smartkarma-citation="entities:872:1" rel="noopener">Link REIT (823 HK)</a>, <a href="https://www.smartkarma.com/entities/tingyi-cayman-islands-holding-corp" target="_blank" data-smartkarma-citation="entities:14016:1" rel="noopener">Tingyi Holding (322 HK)</a>, and <a href="https://www.smartkarma.com/entities/china-hongqiao-group-ltd" target="_blank" data-smartkarma-citation="entities:1909:1" rel="noopener">China Hongqiao (1378 HK)</a> are at the top of the list.</li>
</ul>


The elevated crude oil prices are expected to drive persistent inflationary pressure, and this will benefit high dividend yield stocks.
The top 10 high-yield HSI constituents have an average dividend yield of 6.7% for CY26. Since the War, they have outperformed the Index by an average of 1.1pp.

China Unicom HK (762 HK), China Mobile (941 HK), Link REIT (823 HK), Tingyi Holding (322 HK), and China Hongqiao (1378 HK) are at the top of the list.


HK Strategy: Winners of Potentially Higher Inflation

Cross Asset Strategy

<ul>
<li>The Hong Kong Alpha portfolio returned -2.89% in November versus +1.72% for its benchmark index. The HK Alpha portfolio has outperformed Hong Kong indexes by 33% to 45% since inception.</li>
<li>The portfolio continues to generate 57% of its returns from alpha (idiosyncratic returns) while maintaining a Sharpe ratio of 2.19 YTD.</li>
<li>We have sold positions in the materials and industrials sectors and added positions in telecom, gold, and insurance industries at the end of November.</li>
</ul>


The Hong Kong Alpha portfolio returned -2.89% in November versus +1.72% for its benchmark index. The HK Alpha portfolio has outperformed Hong Kong indexes by 33% to 45% since inception.
The portfolio continues to generate 57% of its returns from alpha (idiosyncratic returns) while maintaining a Sharpe ratio of 2.19 YTD.
We have sold positions in the materials and industrials sectors and added positions in telecom, gold, and insurance industries at the end of November.


HONG KONG ALPHA PORTFOLIO: (November 2025)

China

CITIC Limited is a diversified conglomerate with five core business segments: comprehensive financial services, advanced intelligent manufacturing, advanced materials, new consumption, and new-type urbanization. Its activities include banking, securities, trust, insurance, specialty steel production, automotive parts manufacturing, heavy machinery, resource exploration, telecommunications, publishing, and real estate. The company was incorporated in 1985 and is headquartered in Hong Kong.

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

CITIC (267 HK)

BUY: First Pacific Company (142 HK): Right Stock Trapped in the Wrong Market

Since our insight on 1st Pac last Sept., the stock has gained 33%. Company had solid 2024 results. MPIC, the undervalued Phil./Indonesia...

David Mudd

HONG KONG ALPHA PORTFOLIO - Introduction

We have launched a Hong Kong portfolio with the aim to outperform HK indexes and generate alpha. Stocks are chosen from those highlighted in our...

David Mudd

Cheers! Raise a Glass to China Resources Beer (0291.HK)

A quality Chinese red chip company at a reasonable valuation, growing sales and margins due to its premium strategy. A play on recovering Chinese...

Rikki Malik

HK Strategy: Winners of Potentially Higher Inflation

Elevated crude oil prices are driving inflation, benefiting high dividend yield HSI constituent stocks like China Unicom, China Mobile, Link REIT,...

Osbert Tang, CFA

HONG KONG ALPHA PORTFOLIO: (November 2025)

We made small changes to the HK Alpha portfolio mid-month. At the close on 12/12 we sold all of First Pacific (142 HK) and added 2% to our...

David Mudd

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

BUY: First Pacific Company (142 HK): Right Stock Trapped in the Wrong Market

Since our insight on 1st Pac last Sept., the stock has gained 33%. Company had solid 2024 results. MPIC, the undervalued Phil./Indonesia...

David Mudd

HONG KONG ALPHA PORTFOLIO - Introduction

We have launched a Hong Kong portfolio with the aim to outperform HK indexes and generate alpha. Stocks are chosen from those highlighted in our...

David Mudd

Cheers! Raise a Glass to China Resources Beer (0291.HK)

A quality Chinese red chip company at a reasonable valuation, growing sales and margins due to its premium strategy. A play on recovering Chinese...

Rikki Malik

HK Strategy: Winners of Potentially Higher Inflation

​Elevated crude oil prices are driving inflation, benefiting high dividend yield HSI constituent stocks like China Unicom, China Mobile, Link REIT,...

Osbert Tang, CFA

HONG KONG ALPHA PORTFOLIO: (November 2025)

We made small changes to the HK Alpha portfolio mid-month. At the close on 12/12 we sold all of First Pacific (142 HK) and added 2% to our...

David Mudd

Elevated crude oil prices are driving inflation, benefiting high dividend yield HSI constituent stocks like China Unicom, China Mobile, Link REIT,...