Stock market: World's largest hedge fund has made the biggest sale in China's market

News Topical, Digital Desk : This means that the fund is now becoming cautious in betting on China. Let us tell you that Hedge Fund is a type of private investment fund, which raises money from select and usually big investors (High Net-worth Individuals - HNIs) or institutional investors. Their aim is to get maximum returns in the shortest possible time. These are less regulated than traditional mutual funds or public funds, that is, the rules and regulations on them are a little loose.

Bridgewater has completely withdrawn money
from these major Chinese companies. Alibaba
Baidu
JD.com
PDD Holdings
Nio
Trip.com Group
Yum China
Qifu Technology
Ke Holdings
Apart from this, the fund reduced its stake in Apple, while increasing investment in Microsoft and Nvidia.

Bridgewater founder Ray Dalio has long been a supporter of China. However, he admitted in April 2024 that the US-China confrontation and falling prices are challenges for China.

Still, he believed that these problems could be handled if the Chinese leadership took the right steps.

In early August this year, Dalio also sold his remaining stake in Bridgewater and stepped down from the board, but will continue to mentor the investment team.

Impact of trade war- On Monday, the US and China extended the tariff truce for 90 days. If this had not happened, the tariff on US imports from China would have increased from 30% to 145% and the tariff on China's US imports would have increased from 10% to 125%. At present, the trade tension between the two countries has reduced somewhat, but uncertainty remains.

Signals for India and the global market Global investment trend: The exit of big funds from China can increase the opportunity for capital flow for emerging markets like India. Tech and manufacturing: US-China tensions can lead to the shift of tech supply chains towards India and Southeast Asia. Caution for investors: Investment instability in China may persist due to geopolitical risks, which will affect commodity and currency markets. Let us tell you that ... hedge fund managers use many types of advanced investment strategies - Long position: Buying a stock or asset with the expectation that its price will increase. Short position: Borrowing and selling a stock and then buying it back at a lower price later - so that you can make a profit even in a falling market. Derivatives and options trading: To avoid risk (hedging) or increase profits. Global market and multi-asset investment: Investing in stocks, bonds, currencies, commodities, and even real estate.

How do investors benefit from hedge funds? Opportunity for high returns - Hedge funds adopt more aggressive methods than traditional investments, which increases the possibility of high returns.

Profit in all types of markets They can make profits from short selling not only when the market rises, but also when it falls. Diversification Hedge funds distribute the risk by investing in many countries, sectors and asset classes.

Expert management Investments are managed by professionals who have deep experience and research capabilities of global markets. 4. But there is also risk