Lippo Investments Management Hong Kong office opens

LIM’s investment team can screen over 6,000 ETFs listed worldwide using its 60 years experience.

Lippo Investments Management Limited (LIM), a pioneer in Fund- of-Exchange Traded Funds (ETFs), on Thursday announced its grand opening in Hong Kong. LIM is principally a fundamental macro-driven manager which develops simple, transparent and cost-effective investment solutions for investors in Asia, according to a LIM report.

LIM uses an innovative and unique “Fund-of-ETFs” approach to help investors maximize their investment return. This strategic approach involves developing and managing funds composed primarily of ETFs, drawing on the management team’s full range of expertise and supported by internally developed proprietary research models and software.

“We are delighted to offer our clients the benefits of our collective 60 years of experience, providing tailored investment solutions and helping our investors achieve their goal of capturing the asset classes that deliver the best investment returns in different market environments,” said Stanley Kwok, LIM’s Chief Executive Officer. “LIM believes in using simple instruments and avoiding products with complex structures and derivatives. Exchange Traded Funds are our preferred choice.”

The dynamic team of investment professionals at LIM has a strong background in both active and passive portfolio engineering and management. The team has in-depth and hands-on experience in macro trend mathematical modelling, asset class pricing models, active fundamental and quantitative stock selection, and passive & index tracking portfolio management.

Proprietary models have been developed to conduct macro research and analysis to search for the most promising asset classes in different investment environments. After identifying the right asset classes, LIM will use its proprietary software to filter the best ETFs available around the world to implement the most cost-efficient investments. The investment team has the capability to screen over 6,000 ETFs listed around the world, based on over 10 criteria, including but not limited to trading liquidity, legal structure, fees and expenses.

“We are committed to be both outcome and customer oriented, in order to offer our clients the best investment solutions. According to our findings, we believe that China bonds and commodities are particularly suitable for the current economic cycle and our ETFs research indicates that commodity investments can be implemented efficiently using ETFs,” said Conrad Cheng, LIM’s Chief Investment Officer, whose strong background in portfolio engineering was polished at various global investment firms. “ETFs complement direct investments in equities and bonds. We believe our top-down asset allocation strategies as well as bottom-up long-short security and ETF selection strategies have empowered us to find the right investment direction based on solid fundamentals.”

A recognised ETF expert with extensive knowledge and experience in ETFs from his previous role as Head of Exchange Traded Funds, Asia Pacific at State Street Global Advisors, Sammy Yip, LIM’s Head of Business and Product Development, said, “Our conviction about investing in ETFs is based on the fact that they are simple and cost-effective instruments. They are more transparent and regulated than derivatives, and offer access to different asset classes and global markets. Fees and costs are also generally low compared to mutual funds.”

With 20 years of equity sales experience, Arthur Wu, LIM’s Sales and Marketing Director, who brings extensive connections and client servicing experience to the team, said, “Although we are locally based, we have a global reach through ETFs listed worldwide. Our “Fund-of-ETFs” approach has given us a niche position to fill a gap with the safe, transparent and cost-effective ETF-based products that many investors seek. Initially, we are actively targeting high net worth individuals and institutions in Asia.”

“We would like to emphasise that our investment style is very flexible in order to meet our clients’ needs in different investment environments. The Fund-of-ETFs model is only part of our broader approach. We are committed to selecting the best investment vehicles available to capture the greatest potential in each economic cycle, including tangible assets such as real estate. Our long-term Manager-of-Managers business model allows us to partner with selected experts to complement our innovative and niche investment approach. As per our motto, “We Select Experts” to provide the best investment solutions to our clients,” concluded Mr. Kwok.