Central Asset Investments, a Hong Kong-based Asia-focused multi-strategy hedge fund manager, has cut its losses
Central Asset Investments, a Hong Kong-based Asia-focused multi-strategy hedge fund manager, has cut its losses entirely with Japan in the wake of the catastrophic earthquake and tsunami reported Reuters. The firm’s CEO, Eddie Tam, said that roughly 15 per cent of the CAI Global Fund’s assets were invested in Japan including major blue-chip stocks such as Canon Inc and Toyota Motor Corp: the latter having fallen 17 per cent to 3065 yen in the immediate aftermath (although it has since recovered to 3305 yen at the time of writing). Tam said that his team reacted quickly to the crisis, liquidating all the fund’s Japanese positions within two to three days. The nuclear concern was another reason for CAI exiting Japan, with Tam quoted as saying: “It’s not really prudent to guess the outcome of the nuclear incident at this point in time.” Many believe there are now huge buying opportunities as the country seeks to rebuild itself, not least in building and construction companies.