Asset Allocation & Fund Positioning, Copley Fund Research

Steven Holden

Steven Holden is the CEO and Founder of Copley Fund Research, an independent provider of research on equity fund positioning and performance.  Set up in 2014, Copley focuses on global, global emerging market, US, Asia Ex-Japan and China active equity funds, covering over $4tr in assets across 1300 active managers.  The company provides data and analysis on market trends, manager exposures and active fund performance to an audience of investment managers, pension funds and fund selectors worldwide.  Mr Holden’s 14-year investment banking career started in 2000, where he worked for Morgan Stanley as an equity derivative trader focused on emerging markets in London.  Following this, he spent 4 years at Citibank in London and Hong Kong as an Executive Director in derivative sales, focused again on emerging markets.

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

Quantitative Analysis

In this report, we show 2 portfolios based on the most favoured and least favoured stocks among High Active China focused equity managers. The criteria for each portfolio are as follows:<ul>
<li>High Active Best Picks Portfolio:  High active managers only (active share &gt; 75%). Stocks held overweight on average and held by more than 15% of high active funds.</li>
<li>High Active Most Avoided Portfolio: High active managers only (active share &gt; 75%). Stocks held underweight on average and held by less than 5% of high active funds.</li>
</ul>The Best Picks portfolio is headed by <a href="https://www.smartkarma.com/entities/luxshare-precision-industry-co-ltd" target="_blank" data-smartkarma-citation="entities:12310:1" rel="noopener">Luxshare Precision Industry (002475 CH)</a> , <a href="https://www.smartkarma.com/entities/jiangsu-hengrui-medicine-co-ltd" target="_blank" data-smartkarma-citation="entities:14128:1" rel="noopener">Jiangsu Hengrui Medicine Co., (600276 CH)</a> and <a href="https://www.smartkarma.com/entities/midea-group-co-ltd-a" target="_blank" data-smartkarma-citation="entities:16185:1" rel="noopener">Midea Group Co Ltd A (000333 CH)</a> .  Performance has been stellar, outperforming the benchmark in 6 of the last 8-years.The Most Avoided portfolio is led by <a href="https://www.smartkarma.com/entities/cnooc-ltd" target="_blank" data-smartkarma-citation="entities:175:1" rel="noopener">CNOOC Ltd (883 HK)</a>, <a href="https://www.smartkarma.com/entities/pinduoduo-inc" target="_blank" data-smartkarma-citation="entities:27250:1" rel="noopener">Pinduoduo (PDD US)</a> and <a href="https://www.smartkarma.com/entities/agricultural-bank-of-china-limited" target="_blank" data-smartkarma-citation="entities:1120:1" rel="noopener">Agricultural Bank Of China (1288 HK)</a>.  Performance has lagged the benchmark.

In this report, we show 2 portfolios based on the most favoured and least favoured stocks among High Active China focused equity managers. The criteria for each portfolio are as follows:
High Active Best Picks Portfolio:  High active managers only (active share &gt; 75%). Stocks held overweight on average and held by more than 15% of high active funds.
High Active Most Avoided Portfolio: High active managers only (active share &gt; 75%). Stocks held underweight on average and held by less than 5% of high active funds.
The Best Picks portfolio is headed by Luxshare Precision Industry (002475 CH) , Jiangsu Hengrui Medicine Co., (600276 CH) and Midea Group Co Ltd A (000333 CH) .  Performance has been stellar, outperforming the benchmark in 6 of the last 8-years.The Most Avoided portfolio is led by CNOOC Ltd (883 HK), Pinduoduo (PDD US) and Agricultural Bank Of China (1288 HK).  Performance has lagged the benchmark.

Shenzhen Mindray Bio-Medical Electronics (300760 CH)

Active Fund Manager's Favoured (And Least Favoured) China Stocks