Tommy Yip

ESR Kendall Square REIT is a leading logistics center REIT in Korea that was listed on the stock market in December 2020. When it was first listed, there were 11 underlying assets, to which ESR Kendall Square REIT added more over the course of several years until the REIT owned 18 assets and had an AUM of KRW 2.45 trillion. Oversupply of logistics centers and high interest rates have plummeted the market into a deep freeze, but still ESR Kendall Square REIT purchased Yongin Logistics Center 1, Icheon Logistics Center 7, and Icheon Logistics Center 6 in 2022, never taking a break from asset incorporation. In 2021, ESR Kendall Square REIT acquired its first external asset, BRIC logistics center complex (now the Yongin Logistics Center 3), expanding its pipeline beyond its sponsor ESR Kendall Square. https://lnkd.in/g8Yh_C8B #SPI #Seoulpropertyinsight #realestate #koreanmarket #investment #commercialrealestate #DWSAssetManagement #ESRKendallSquareREIT #Logiport

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China and Vietnam are important trading partners, and their diplomatic ties go back 70 years. Of course, shared borders often cause friction, but shared values and interests can help smooth things out. China is also emerging as an important source of direct and indirect investment in Vietnam, as this article in the Vietnam Investment Review details. #vietnam #gainsfromtrade #emergingmarkets

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🔝🏢Investors see limited appeal in🇭🇰Hong Kong property🔻⚠️ Poor investor sentiment is reflected in a depressed sector, from low occupancy to falling profits. There's a strong sense that Hong Kong needs to reinvent itself before investors return. Stemming the continuing decline of Hong Kong's real estate market will not be easy, with negative #investor sentiment crowding in on the territory despite the declining interest rate trend. "We're in a different world now. I don't see many foreigners or real estate funds investing in Hong Kong real estate, at this point in time," Arbutus' Timothy Tsui told AsianInvestor. Arbutus is a multi-#familyoffice based in Hong Kong. Residential #property prices have fallen almost 25% from the all-time high in September 2021, with transaction volume continuing to decline, according to research from global commercial #realestate specialist CBRE The underpinning of the Hong Kong property market by cash-rich mainlanders is now a flawed assumption, said Tsui. "Even if a property was 30-40% off, who would buy it? If you are expecting the Chinese super-rich to step up, there's only a certain amount of that kind of #capital around." Tsui believes Chinese real estate investors are wary after the collapse of Evergrande and other mainland developers. For the average #HongKong private #banking client with #exposure to the sector, "I'm guessing you'd be quite cautious until you got that #money back," said Tsui. The rental decline in mainland China tier 1 cities is unlikely to moderate given the significant supply-demand imbalance, according to #CBRE. #Houseprices in #China remain on a downward spiral, with a glut of unsold properties emphasising the scale of the problem. A SECTOR IN DECLINE❓⚠️ With top hotels in Hong Kong only half full and office vacancy rates in the Central business district of 40% not uncommon, Hong Kong appears to have priced itself out. Local developers including Hongkong Land, Sun Hung Kai and Sino Land have all recently reported a sharp drop in profits. Businesses that are not tied to Central Hong Kong can find rents in Shenzhen that are now 50% cheaper. Operating costs can also be commensurately lower. "The rent itself (in south China) is already a huge attraction," said Tsui. Read More… https://lnkd.in/eUQN9W3T

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John Siu, Managing Director, Cushman & Wakefield Hong Kong commented on the 2024/25 Hong Kong Policy Address, Office Market “We are pleased to see the Government strengthening the "Nurture Talents" initiatives and pledging to encourage the market to convert commercial buildings by relaxing regulations on planning, land administration, and building plan approval. This will not only enhance the future supply of student hostels but also help alleviate the vacancy pressure of underutilized office buildings. We suggest the Government to adopt the Waiver policy to facilitate the conversion of office or hotel buildings on Commercial use sites into student or talent hostels. This can minimize the costs and time required for owners/operators to apply for and maintain a hotel operation license, while allowing them to legally use the office buildings or hotels for living purposes. Additionally, the Government may also consider providing subsidies or loans to owners/operators to reduce conversion costs, expediting project implementation and completion.” #CushmanWakefieldHK #CWExperts #JohnSiu #PolicyAddress2024 #HongKong =================================================  Subscribe to our e-newsletter for the latest market insights and updates >>> https://lnkd.in/g_qj2v6r

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No one would deny the success of Warren Buffett. But what could we learn from his enriched experience in investment? Click in and read my latest bylined article to find it yourself. #WarrenBuffett #keeplearning #saynotoliability #financialfreedom #studybeforeinvest https://lnkd.in/ggWxriDG

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China is not Japan Recent commentary seems to suggest that Stephen Roach is no longer an accurate arbiter for the China/Hong Kong markets, however illustrious his past insights. His recent piece titled China’s Third Arrow Productivity Trap is seductively well written, and beautifully presented, but fundamentally flawed. It could lead investors to entirely the wrong conclusion. Comparing China in 2015 and 2021 to Japan in the 1990s and the first decade of this century could generate helpful headlines for somone looking to promote books and podcasts, but is potentially dangerous as it completely overlooks the single most important dynamic in China right now. Chinese SOEs have been massive value destroyers in the past. Sensible investors, including us, avoided them until relatively recently. Where Roach goes off piste is that he has missed or chooses to ignore SOE reform now embracing the stock market as well as capital management, and productivity. The most recent SOE guidelines include KPIs for Return on Capital as well as improved profit performance. This makes sense when you are the biggest shareholder. Some SOEs even added share price targets. Improving financial market access is also on the agenda in 2024. We have confirmed these changes are real at least for some SOEs both with management and in meetings in Beijing. Any supervisory body, the Chinese politburo for example, that encourages companies to borrow at an approved rate of 2.25% to buy back shares that might be yielding say 6.5%, is a long way from Japan in 1995, as are bonuses contingent on profit per employee goals. We started buying Chinese SOEs in 2020. They now make up most of our Chinese exposure, and have contributed to fund outperformance during this period. Improvements in employee productivity and capital returns should continue and also drive future share price outperformance. After all most of these businesses started from a low level and also low valuations. Not all SOEs have embraced the new regime so investors have to be selective, and winnow out those paying lip service only to the new goals. While not a convert to capitalism Xi does want state capital to work - along with better productivity for state employees. That way lies Common Prosperity. Japan by contrast lay flat. It is suprising that such a distinguished analyst of markets does not see the difference.

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Rosanna Tang, Executive Director and Head of Research at Cushman & Wakefield Hong Kong commented on the 2024/25 Hong Kong Policy Address, Loosening the loan-to-value ratio may have little effect on short-term stimulus “We are pleased to see that the government has relaxed the loan-to-value ratio (LTV) policy by standardizing the loan-to-value ratio (LTV) policy for residential and non-residential properties to 70%, lowering the threshold for home ownership and investment. However, the residential market is greatly affected by interest rates and economic circulation, coupled with the cautious lending attitude of banks, the stimulus effect on the residential and non-residential investment markets in the short term is limited, and it is difficult to reflect it in the market in real time.” #CushmanWakefieldHK #CWExperts #RosannaTang #PolicyAddress2024 #HongKong ================================================= Subscribe to our e-newsletter for the latest market insights and updates >>> https://lnkd.in/g_qj2v6r 

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Funds raised from new share listings in Hong Kong dropped to a two-decade low in the first half of the year, pushing the city down several rungs to 13th place in a global ranking of IPO markets. A total of 27 companies raised US$1.5 billion via IPOs on the main board of the Hong Kong stock exchange in the first six months of 2024. The proceeds are 35 per cent lower than 2023’s first-half total and the lowest since the US$802 million raised in the first half of 2003. However, the funds raised in the second quarter were 40 per cent higher than in the first three months. Hong Kong fell four positions in the league table from this time last year, when it ranked ninth globally before ending the year in eighth position. The New York Stock Exchange has come out on top so far this year, with 21 deals raising US$10.9 billion. The Nasdaq took second spot with 50 listings raising US$7 billion while the National Stock Exchange of India came in third with 102 listings raising US$4.3 billion ahead of the Bombay Stock Exchange in fourth with 70 listings raising US3.47 billion. Shanghai’s stock exchange ranked 15th with nine IPOs raising US$1.3 billion while the Shanghai Star Market, which topped the table this time last year, fell to 20th spot with just six new listings raising US$701 million. Shenzhen’s ChiNext plunged all the way from second to 16th with 15 new listings raising US$1.1 billion in the first half, while Shenzhen Stock Exchange fell to 26th place, with three IPOs raising US$323 million. #hkex #nyse #nasdaq #lseg #ipo Hong Kong’s IPO proceeds plunge to 2-decade low, pushing city down the global rankings https://lnkd.in/gGtqtcx5

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If you're going to buy property in Japan, remember to choose those built after year 1981! Read my latest byline to find out why. #propertyinvestment #japaneseproperty #earthquake #earthquakeresistence https://lnkd.in/e2EVkTMi

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Sinohope Technology Holdings Limited (1611.HK) announced that its subsidiary, Sinohope Asset Management (Hong Kong) Limited (“Sinohope AM”), has received approval from the Hong Kong Securities and Futures Commission for its application for a Type 1 (dealing in securities) license and an uplift of its Type 4 (advising on securities) license. With the new Type 1 license, Sinohope AM will be able to distribute virtual asset (VA) related products to professional investors, including but not limited to VA funds and VA structured products. As a Type 4 license holder, Sinohope AM can now also provide VA advisory services under its uplifted license. We look forward to leveraging these new licenses to better serve professional investors with innovative VA offerings. Thanks the help from Jason Chan (Howse Williams) in securing the license approval in less than half a year, we were able to obtain these licenses in an efficient timeframe. SINOHOPE Asset 新火科技

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Great analysis and commentary again, Tim C. The recent three-party meeting by China, South Korea and Japan will be looked at closely in the coming days and weeks, both for the summit's statements as well as the nuances. I do note that as I read it, including the sentence, "Foreign automakers are pulling out of China...," another news flash came out from Bloomberg News about how a French automaker was going develop much of its sub-€20,000 electric car in China." Unfortunately, the trend by foreign automakers mentioned is only partially being observed by some. Still, Tim gets it very right on many levels, particularly when he suggests that Seoul needs to ask what it gets in return from continuing to work with China. Beijing is increasingly going on the offensive with regards to its rivals, trying to divide and conquer. This shouldn't be surprising as communist parties are conditioned to divide, while mercantilist economies often seek to conquer the industries of their competitors as they try to put them out of business. Seoul has already seen it having been unseated from its leadership position in the shipbuilding industry to know enough that its other industries will eventually no longer have a seat at the table, either, once Beijing figures out a way to no longer need South Korea and its equipment, chemicals or labor.

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Simpson Thacher & Bartlett LLP, Nishimura & Asahi, Mori Hamada & Matsumoto and Shiomizaka are advising on US private equity firm KKR’s takeover bid for publicly traded Japanese systems developer Fujisoft via a JPY558.3 billion (USD3.78 billion) tender offer. Fujisoft said it had appointed Mori Hamada as its adviser, while a special committee set up by the same company’s board of directors to review the buyout offer had mandated Shiomizaka as its counsel. The Mori Hamada team is being led by Gaku Ishiwata, Kunihiro Watanabe and Koki Kanemura. KKR has chosen Simpson Thacher and Nishimura & Asahi as its advisers on the takeover bid for Fujisoft. Simpson Thacher's Noritaka Kumamoto and Jonathan Stradling are leading the team. 👉 Sign up for the latest updates in the legal industry: https://lnkd.in/g3brrPdM #lawdotasia #ablj #iblj #cblj #asia #japan #privateequity #finance #corporatelaw #legalnews #inhousecounsel #business #legalprofession #lawfirms #lawyers #legal #law

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“The philosophy of 'invest early, invest small, and invest in tech' calls for investors with related industry background and deep understanding of the sector. Such investors are able to identify the value of early-stage companies and appreciate their growth potential," said Mike Xu, CEO of Fosun Capital during an interview with us during the Hong Kong FinTech Week 2024. According to Zero2IPO Research, China's venture capital market raised RMB 1.82 trillion in 2023, down 15.5% year-on-year. Among them, LPs consisting of state-owned enterprises, government-guided funds and other state-backed managers collectively disclosed a capital contribution ratio as high as 77.8%. Xu believes that in the current venture capital ecosystem, although capital has become more cautious, it also indicates that homogeneous competition in venture capital is decreasing. Artificial intelligence stands out as a prominent focus the in China's venture capital sector, and it is essential for China to identify its breakthrough in AI development within a cultural environment that actively welcomes innovative technological advancements.

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Shanghai <> Hefei Just wrapped up an incredible journey on the bullet train from Shanghai to Hefei, cruising at a speed of ~300 km/h. The seamless and rapid transit exemplifies the infrastructure marvels in China. Hefei, a rapidly growing but relatively less know international city, has solidified its position as a significant hub for automotive and deep tech innovation. I had the privilege of visiting an advanced, highly automated EV manufacturing facility, where robots tirelessly work on the next generation of vehicles. It was impressive to witness the scale and sophistication of automation that defines the future of automotive production. Hefei’s ecosystem is bolstered by the presence of leading OEMs such as Volkswagen, Nio, and many others, positioning it as a key player not just in car manufacturing but in the broader automotive supply chain. This visit was an eye-opener into the strength of regional hubs in fueling global tech and automotive advancements. The synergy between deep tech, automation, and traditional manufacturing here in Hefei is one to watch. #AutomotiveInnovation #EVManufacturing #DeepTech #Automation #Hefei #ChinaTech #FutureOfMobility #Infrastructure #Robotics #SupplyChain #IndustryGrowth #InnovationHub #TechLeadership #SmartManufacturing #GlobalCompetitiveness

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In it for the long term investment opportunities and to help decarbonize the global economy, investing in decarbonization and energy transition solutions is core to our mandate.

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