Top hedge funds presented a globally diversified slate of investment ideas at this year’s Sohn Hong Kong Investment Conference, with picks ranging from China’s autonomous driving sector and India’s healthcare market to South Korea’s nuclear infrastructure buildout, according to a report by Reuters.
The wide geographic dispersion of this year’s ideas – compared to a more regionally concentrated focus in 2024 – reflects a growing investor appetite for diversification amid tariff uncertainty, geopolitical friction, and macro-driven volatility.
San Francisco-based Flight Deck Capital made a bullish case for Baidu, not for its legacy search business, but for its self-driving unit Apollo Go, likening it to Alphabet’s Waymo. Flight Deck founder Jay Kahn projected the Chinese ride-hailing market will reach $237bn by 2034, with Apollo potentially securing 15% market share – a segment he argued the market currently attributes zero value to.
Apeiron Capital, based in Hong Kong, spotlighted DiDi Global, citing margin expansion in its domestic business and aggressive international growth, especially in Latin America. Triata Capital meanwhile, turned heads with a long position in PDD Holdings, noting that its discount platform Temu now boasts more monthly active users than Amazon, reflecting its surging popularity with price-sensitive consumers.
Two managers focused on India’s growing healthcare market, with Arisaig Partners, a Singapore-based investor, pitching MedPlus Health Services (NSE:MEDP), India’s second-largest pharmacy chain. Partner Vatsal Mody pointed to the group’s private label strategy and a macro backdrop of low inflation and rising middle-class consumption as core drivers of outperformance.
India’s own hedge fund entrant, Panvira Management meanwhile, backed Piramal Pharma, a CDMO play poised to benefit from both revenue acceleration and tax normalisation. The firm expects growth to tick up to the high teens as demand for outsourced pharmaceutical services continues to rise.
Reflecting rising geopolitical tensions, several funds unveiled ideas focused on defence and nuclear energy. MY.Alpha Management’s Korea-focused vehicle pitched Hyundai Engineering & Construction , highlighting its central role in the non-Russia, non-China global nuclear supply chain.
Frontline Global Management, also based in Hong Kong, sees upside in Spanish defence contractor Indra Sistemas, forecasting increased European defence contract wins as the continent re-arms.
Activist themes were also on display with Palliser Capital, a UK-based hedge fund with a track record in corporate campaigns, disclosing a 3% stake in Toyo Tire. At Sohn, Palliser urged the Japanese tyremaker to release $900m in excess capital and adopt best-in-class performance targets to unlock shareholder value.
Oasis Management’s Seth Fischer meanwhile, highlighted a contrarian position in Round One (TYO:4680), Japan’s bowling and entertainment chain, forecasting a valuation re-rating as it expands into the US restaurant space with aspirations to deliver Michelin-level Japanese cuisine.
