Hillhouse Capital Management Ltd
Last Updated: 12/3/2020
Hillhouse Capital Management Ltd is a Limited Company that started in 2005 and is primarily owned and controlled by Lei Zhang.
Per it's ADV, Hillhouse’s (HCM) investment philosophy is to seek long-term, risk-adjusted returns through bottom-up analysis and fundamental proprietary research. As part of HCM’s bottom-up analysis, it performs both qualitative and quantitative assessments of potential investments with a particular focus on opportunities upon which it can gain insights and discover value in an ever-changing world. HCM believes that this fundamental research persistence allows it to be a patient, long-term investor
Hillhouse Capital Management Ltd operates out of an office in Central, Hong Kong. Based on the Form ADV filed on 2020-03-30 00:00:00, the investment firm is comprised of 240 employees, only 98 of whom performs investment advisory functions.
Fact Sheet
- Name: Hillhouse Capital Management Ltd
- CRD No: 160896
- Filing Recorded: 2020-03-30 00:00:00
- Year of Origin: 2005
- Employees: 240
- Clients: 32
- AUM: 35,133,645,601
- Management Fee: Unknown Percent
- Performance Fee: Unknown Percent
- Client Type: Pooled Investment Vehicles
- Assets Traded: Unspecified
Contact
- Website: https://www.hillhousecap.com/
- Email: Unknown
- Telephone: 852-2179-1988
- Address: Two International Finance Center, 8 Finance Street Suite 2202, 22nd Floor, Central, Hong Kong
Investment Strategy
According to the brochure submitted to IAPD, Hillhouses investment strategy is as follows:
General Strategy. HCM’s investment decisions are based on bottom-up analysis and research. HCM generally focuses on private (or otherwise less liquid) investment opportunities, including venture capital, private equity, private debt and buyout transactions, across multiple industries, but a material portion of client investments may become listed and clients may also participate in publicly-listed (or similarly liquid) investment opportunities. HCM invests primarily in reasonably priced companies that provide substantial long-term growth prospects. Although HCM monitors macro-economic factors and market trends, HCM generally avoids market-timing strategies and focuses primarily on bottom-up opportunities. Clients can hold publicly traded securities.
HCM invests globally with a particular focus on companies or assets having substantial relations with Asia. HCM focuses on understanding fundamental risks, uncovering long-term growth potential, and targeting industries that it understands and can monitor.
Short Strategy and Hedging. HCM may, from time to time, utilize short sales and maintain short positions in order to hedge risks that are present in or that could affect a client portfolio, to generate returns for a client account, or to structure ad manage risks in an investment strategy. HCM is cognizant of the risks of trading short and monitors exposure carefully. HCM is cognizant of the risks of trading short and monitors exposure carefully.
Methods of Analysis
In addition, Hillhouses methods of analysis include:
HCM’s research process employs fundamental, quantitative, and qualitative analysis, including cyclical analysis. HCM focuses on developing a deep, fundamental understanding of investment opportunities through rigorous due diligence and analysis. HCM’s bottom-up approach to analysis and research is generally conducted on a company-by-company basis, but may extend to competitors and industries. HCM evaluates the upside and downside of the companies and opportunities identified and monitor them closely. HCM also conducts on-site visits, crosschecks, and detailed financial analysis of investment opportunities. HCM’s analysis includes vigilant monitoring that continues the due diligence process after an investment is entered into the client’s portfolio. HCM’s extensive due diligence process also assists it in discovering and exploring previously unknown investment opportunities.
Top 10 Holdings from Form 13F
Reporting Period: 06/30/2019
| Issuer | Share | Value(1000s) | Put/Call |
|---|---|---|---|
| IQIYI INC | 36,006,170 | 743,527 | |
| UBER TECHNOLOGIES INC | 15,035,487 | 697,346 | |
| SEA LTD | 7,657,037 | 254,367 | |
| ENSTAR GROUP LIMITED | 1,204,353 | 209,895 | |
| BEIGENE LTD | 1,034,306 | 128,202 | |
| COVETRUS INC | 4,667,925 | 114,177 | |
| GOSSAMER BIO INC | 4,974,041 | 110,324 | |
| NIO INC | 41,938,286 | 106,943 | |
| ALIBABA GROUP HLDG LTD | 594,538 | 100,744 | |
| TAL EDUCATION GROUP | 2,269,549 | 86,470 |
Historical 13F Filings
EdgeGiant has compiled all 13F filings since Q2 2013 for your convenience. You can view historical portfolio position forHillhouse Capital Management Ltdin our 13F section HERE.
To get the comprehensive list of holdings that fall under 13F regulatory guidelines, check out our write up on how to access and use 13Fs in your personal investment decisions.