Finance

HK Investment Corp looks at private market bets in tech, green finance | Asset Owners | AsianInvestor

Published

1 year ago

September 24, 2023

HK Investment Corp looks at private market bets in tech, green finance | Asset Owners | AsianInvestor

The newly established Hong Kong Investment Corporation (HKIC) will focus on private market investments to drive the city’s competitiveness in fintech, AI, biotech, life sciences, advanced manufacturing, and green finance, a government official told AsianInvestor.

So far, the government-owned investment institution has received over 100 proposals from venture capital funds in artificial intelligence, fintech, Web3, etc., as well as asset management companies across Hong Kong, mainland China, and overseas markets, according to King Leung, head of financial services and fintech at Invest Hong Kong, the government’s foreign direct investment agency.

King Leung,

Invest Hong Kong

Invest Hong Kong is acting as a partner to HKIC and the Hong Kong Monetary Authority (HKMA) in the preparation to launch HKIC and its investment project selection.

Leung told AsianInvestor that HKIC is close to appointing its first chief executive officer, with new investments expected to follow by year-end at the earliest.

After the CEO joins, the government investment institution should be able to decide on new investments, Leung said.

In response to AsianInvestor’s enquiry, an HKIC spokesperson said the open recruitment of the HKIC CEO is “still ongoing”.

“Over time, the HKIC will gradually expand its management and investment teams as business develops,” the spokesperson said.

NURTURE WINNERS

Hong Kong’s Chief Executive John Lee announced the establishment of HKIC in his policy address in October 2022.

The initial assets allocated to the corporation was HK$62 billion ($7.9 billion), consisting of the HK$22 billion Hong Kong Growth Portfolio (HKGP), the HK$5 billion Greater Bay Area Investment Fund, the HK$5 billion Strategic Tech Fund, and the newly established HK$30 billion Co-Investment Fund.

At the initial stage of the HKIC’s operation, HKMA will render support on investment, logistics and operational matters, including assisting the board to make decisions on investment projects.

HKIC will be more interested in private market investments to nurture winners in the innovation and technology space as opposed to pure financial returns, Leung noted.

This is what differentiates the HKIC from the HKMA’s Exchange Fund, which will continue to focus on both public and private market investments to defend the city’s financial system, he noted.

“They’re trying to use the HKIC vehicle to give the financial resources to promote more innovation to create the future economic pillars of Hong Kong,” Leung said, noting that naturally venture capital investments would be the top choice.

“The primary focus is to develop the ecosystem for more job creation, more tech talents in AI, web3 and so on, and getting private investment coming in to co-invest with the governments,” he added.

HKIC will primarily focus on sectors including fintech, AI, biotech, life sciences, and advanced manufacturing, which are deemed to be expanded to other sectors over time, according to Leung.

Given Hong Kong’s ambition to become a green finance hub, he thought it was natural for HKIC to make green finance-related investments as its structure evolves.

“A number of institutions have submitted investment proposals to the corporation since its inception, including companies in the fields of innovation and technology,” the HKIC spokesperson said.

“The corporation together with the Office for Attracting Strategic Enterprises under the Financial Secretary’s Office has been engaging in preliminary discussions with many interested institutions and will consider making investments in accordance with the investment criteria formulated by the board,” the spokesperson said.

GP SELECTION

As HKIC is shorthanded now, Leung said HKMA and HKIC will follow the traditional 80-20 rule, with most projects invested via specialist general partners (GPs).

HKIC will only consider direct investments that are of a certain size, with “very, very strong” strategic positioning and value to Hong Kong, Leung said.

“HKIC is still building out the team. They are still a bit shorthanded. Therefore, they simply don’t have the manpower to invest in a lot of small deals,” he said, noting that there isn’t a hard line for ticket size.

Since 2021, before the setup of HKIC, the HK$22 billion Hong Kong Growth Portfolio appointed eight private equity firms as GPs to invest on behalf of the fund.

All GPs either have their headquarters based in Hong Kong or have a substantial presence established in the city, the government said in previous announcements.

These GPs have “extensive experience” in making Hong Kong-related investments, including projects in Hong Kong and the Guangdong-Hong Kong-Macao Greater Bay Area across technology, healthcare, logistics and supply chain management, business and financial services, and consumer products, the government said.

“Going forward, the HKIC will continue to explore collaboration with more general partners in accordance with the investment criteria formulated by the board,” the HKIC spokesperson said.

Related Topics:fintech green finance hkic HKMA hong kong investment corporation hong kong monetary authority LP Venture Capital Web3

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Finance

3 steps to managing holiday debt from a wealth expert

Published

10 hours ago

January 12, 2025

Press Room

3 steps to managing holiday debt from a wealth expert

More than one-third (36%) of Americans took on debt during the holiday season, according to LendingTree. Wells Fargo’s head of advice, Emily Irwin, joins Brad Smith on Wealth to discuss managing holiday debt.

Irwin outlines three steps for tackling holiday spending debt, explaining that the first step is to “not to get overwhelmed by the fact that you have debt.”

Secondly, she adds, “What I encourage people to do is really lean into it, lean into your finances, and try to deeply understand, ‘Where am I starting from?’ to set tangible goals for your short-term debt, your long-term debt, and other recurring payments that you might have.”

The third step, Irwin says, is to “make a commitment to yourself to have a strong balance sheet and either maintain or continue to build a strong credit score throughout the year.”

To watch more expert insights and analysis on the latest market action, check out more Wealth here.

This post was written by Naomi Buchanan.

Finance

Bill Rancic Shares His Top Financial Tips for the New Year (Exclusive)

Published

19 hours ago

January 12, 2025

Press Room

Bill Rancic Shares His Top Financial Tips for the New Year (Exclusive)

Bill Rancic is bringing his years of entrepreneurial success in the boardroom to the Us Weekly studio by sharing his greatest lessons learned and best advice going into the new year.

“I think, today, the biggest financial mistake people make is that they spend more than they can make, and that’s it,” Rancic, 53, exclusively told Us while discussing his new “Dollar Bill” podcast. “I always go back to what my father told me. ‘It’s not how much money you make, it’s how much money you save.’ So, you have to be a disciplined saver, even if it’s $10, $20, $50 a week — whatever it is, get in that habit. Don’t ever not do it, and you’ll be shocked at what happens in 20 or 30 years from now.”

Rancic is best known as the original winner of The Apprentice. After his reality television success in 2004, Rancic went on to launch a string of successful businesses, including the RPM restaurant chain with his wife, Giuliana Rancic. Bill’s latest venture is his “Dollar Bill” podcast, which further delves into the world of finance.

In terms of his savings tips, he gave Us further clarification on how to keep assets safe and secure.

“The money you save is really going to be up to you and [you should] find a good financial advisor,” Bill told Us. “[It should be] someone who can give you guidance on how you should invest it, but it definitely should be going to work for you.”

Bill also explained why individuals should “never sell anything unless [they] have to.”

“It depends on what it is,” he noted. “If it’s a depreciating asset, you should sell it. If it’s something like real estate, investment property [or] something that God isn’t making any more of, you want to keep it and pass it down from generation to generation, if you can.”

Bill Rancic Gives Us His Top Financial Tips for the New Year And How to Avoid Massive Mistakes — Bill Rancic Us Weekly

In fact, Bill believes that financial health is “just as important” as a person’s physical health, going on to add that he believes the two are actually linked.

“When you’re financially stressed, it causes stress on your body and if you look at a number one cause for divorce, it’s money,” he told Us. “Money, in many cases, is very troublesome for people and it causes them a lot of pain and suffering. So, you have to have good financial health in order to have a healthy life, a healthy marriage [or] a healthy family.”

The former Giuliana and Bill star also gave Us his three top tips for starting a new business.

“One is [to] embrace a term called ‘practical execution,’ which essentially means stop talking, start doing — actions speak louder than words,” Bill said. “Secondly, you have to be agile. You have to adapt, adjust, react, and if you’re not agile, you become extinct. And thirdly, it’s about risk. It’s about understanding risk, respecting risk, and converting risk into success.”

For more of Bill’s financial words of wisdom, watch the video above.

With reporting by Christina Garibaldi

Finance

RedSea Exchange: Setting the Standard for Secure Financial Services in Australia

Published

1 day ago

January 11, 2025

Press Room

RedSea Exchange: Setting the Standard for Secure Financial Services in Australia

SYDNEY, AUSTRALIA / ACCESSWIRE / January 11, 2025 / RedSea Exchange, a trusted leader in Australia’s financial services sector, is proud to reaffirm its dedication to providing top-tier solutions in fixed-term deposit management, bond trusteeship, and escrow services. With over 20 years of industry experience, RedSea Exchange has become synonymous with security, transparency, and reliability.

In an era where financial integrity is paramount, RedSea Exchange offers a seamless approach to managing critical investment instruments. The company’s expertise as a trustee for fixed-term deposits and bonds provides clients with the assurance that their assets are safeguarded and managed with precision.

Elevating Security and Trust in Financial Transactions

RedSea Exchange’s escrow services streamline complex transactions, providing a secure intermediary to protect both parties’ interests. These services are designed to ensure smooth and efficient processes, offering personalized solutions that cater to the unique needs of investment banks and financial institutions.

A Legacy of Ethical Excellence

As an established name in Australia’s financial landscape, RedSea Exchange operates with a steadfast focus on transparency, ethical practices, and client engagement. The company’s mission is to build enduring partnerships by fostering trust and delivering exceptional service.

Looking Ahead

In response to the evolving needs of the financial sector, RedSea Exchange continues to innovate, enhancing its services to support the growth and success of its clients. By combining industry expertise with cutting-edge solutions, the company is well-positioned to navigate the dynamic financial landscape.

About RedSea Exchange

RedSea Exchange, a division of RedSea Money Transfer and Exchange Pty Ltd, has been a cornerstone of Australia’s financial services for over two decades. Specializing in fixed-term deposits, bond trusteeship, and escrow services, the company is committed to delivering secure and reliable financial solutions that empower its clients.

For more information about RedSea Exchange and its services, visit www.redsea-exchange.com.

Contact Information
Website: www.redsea-exchange.com
Company Name: RedSea Exchange
Contact Person: Emily Johnson
Email: Emily@redsea-exchange.com

SOURCE: RedSea Exchange

View the original press release on accesswire.com