Seizing the Opportunity from China’s Mounting Global Asset Allocation:
China’s current overseas asset allocation only accounts for 5% of the total national wealth, allowing a great growth potential compared to most developed nations. Additionally, Chinese investors’ portfolio are migrating from concentrating on U.S. Treasury Securities, which provide low returns and a minimal influence over the investment, to a wide range of portfolios including real estate, equity investment, private equity and etc. The overseas strategic investment, merger and acquisition are key processes to acquire the necessary technology, energy and resources needed by the industrial upgrading.
Catching the Capital Flow to China:
As China’s role in the global economy becomes more significant, foreign investors have increased their weight of asset allocation to the Chinese market. Foreign financial institutions, such as pension funds and foundations, are advantaged to the Chinese financers in providing long duration capital and demanding relatively low but steady returns. Such foreign institutions also prefers standardized products, such as REITs, ABS and treasury bills, that have an assurance over liquidity.
Devoting to the Completion of the Internationalization of RMB:
Through the development of private equity, real estate finance, direct investment and the operation of other business divisions, ASFH strategically arranged its future steps to cover the potential critical stages and sectors that are expected to benefit from the acceleration of the internationalization of RMB. Sensing Chinese investors’ increasing demand for overseas asset allocation and the desire for more diversified portfolios, ASFH constructed and is enhancing its cross-boarder investment platform. Simultaneously, the Group offers innovative RMB-denominated financial assets to attract overseas funds flowing back to the Chinese financial market, which therefore finish up the circulation of the out and in-flow of cross-border investment and financing as a result of the RMB internationalization.
The Integration of Industry and Finance: Financial Services + Diversified Industrial Investment
Enhancing Industrial with Financial Services:
Expand industrial investments, optimize the enterprise’s capital structure, and increase return through the utilization of investment banking services, leveraged buyout, derivatives and other financial vehicles.
Supporting Financial Services Through Industrial Investment:
Many industrial enterprises are capable of offering secured sources of cash flow cross economic cycles, which facilitate financial investment and capital operation over long expansion.
Complementation of Capital Consumption and Business Cycles:
Combination of financial services, which are relatively more intelligence-intensive, and industrial investment, which is relatively more capital-intensive, could assist in optimizing the allocation of various resources and thus lessening the restriction imposed by endowments constraint.
Synergy between Research and Capital Operations:
The in-depth research upon various industrial chains could be utilized towards investment across all types of equity and investment stages. The research findings could also serve as a foundation for the development of financial products, funds and services related to M&A, reorganization, securitization, capital operation and etc. On the other hand, experiences gained through industrial investment and financial services provide real-world cases and feedback towards our research findings and processes.