Lingjun Investment (Lingjun; Chinese: 灵均投资; pinyin: Língjūn Tóuzī) is a hedge fund management firm founded in 2014 that is headquartered in Beijing. It is one of the largest quantitative funds in China.
 | |
Native name | 宁波灵均投资管理合伙企业（有限合伙） |
|---|---|
| Company type | Private |
| Industry | Investment management |
| Founded | June 2014 |
| Founder | Cai Meijie |
| Headquarters | Beijing, China |
Key people | Cai Meijie (Chairperson) Ma Zhiyu (CIO) |
| Products | Hedge funds Quantitative finance |
| AUM | US$8.3 billion (February 2024) |
Number of employees | 189 (January 2024) |
| Website | www |
| Footnotes / references [1] | |
Background
editLingjun was founded in June 2014 by Cai Meijie who had previously worked at China International Capital Corporation and Penghua Fund Management. Its Chief investment officer, Ma Zhiyu had previously worked at Millennium Management, LLC. According to the Asset Management Association of China website, the main owner of Lingjun is Cai Jianliang however he does not hold a position within the firm nor is his profile mentioned. Ma is also another owner via ownership of the investment companies that own Lingjun's equity.[2][3][4]
On 20 February 2024, the Shanghai and Shenzhen stock exchanges announced that Linjun was banned from buying and selling shares for three days. This came as a result of Lingjun selling 2.57 billion yuan ($360 million) worth shares within a minute between 9:30 a.m. and 9:31 a.m on the day before. The benchmark indices such as the SSE Composite Index and SZSE Component Index rapidly declined as a result of the trades. A statement from the Shenzhen stock exchange stated Lingjun's selling orders amounted to "abnormal trading behavior" and the firm was already warned multiple times for the same reason.[2][3][4][5][6]
One day after the announcement, Lingjun issued an apology on its website for the negative impact. It also sated it held long-term bullish views on Chinese stocks and will review the problems from the transactions. While Lingjun's suspension was not considered a significant problem, it was a further blow to confidence in Chinese quant funds as regulatory scrutiny increased.[2][3][4][5][6]
Prior to the ban, Lingjun's year-to-date returns from the start of 2024 were poor and had underperformed the CSI 300 Index.[3][4]
See also
editReferences
edit- ^ "私募基金管理人公示 - 中国基金业协会". gs.amac.org.cn. Archived from the original on 23 February 2024. Retrieved 23 February 2024.
- ^ a b c Jiaxing, Li (21 February 2024). "China hedge fund apologises after trading ban for causing 'market disruption'". South China Morning Post. Archived from the original on 22 February 2024. Retrieved 23 February 2024.
- ^ a b c d "量化投资强监管进行时 灵均投资开盘1分钟卖出25亿股票触碰红线｜21私募通 _ 东方财富网". finance.eastmoney.com. 21 February 2024. Archived from the original on 23 February 2024. Retrieved 23 February 2024.
- ^ a b c d 邹, 永勤 (23 February 2024). "漩涡中的灵均投资：实控人并非蔡枚杰，有上市公司投资多年仍然亏损". www.163.com. Archived from the original on 23 February 2024. Retrieved 23 February 2024.
- ^ a b Xue, Jason (21 February 2024). "China restricts quant fund Lingjun in effort to boost market". Reuters.
- ^ a b Liu, John (20 February 2024). "China Freezes Accounts of Quant Fund After It Dumped Stocks". Bloomberg.com. Archived from the original on 20 February 2024. Retrieved 23 February 2024.