Finance
Alibaba: Bridgewater Associates loads up on Chinese tech giant
- Bridgewater Associates, the world’s largest hedge fund that oversees $150 billion in assets under management, bought $15.7 million worth of Alibaba shares during the second quarter, regulatory filings show.
- Alibaba is one of the stocks included in the “FAANG+BAT” basket.
- Watch Alibaba trade in real time here.
Bridgewater Associates, the $150 billion hedge fund founded by Ray Dalio, bought 84,629 shares of Alibaba in the second quarter, worth $15.7 million, according to regulatory documents filed Tuesday. A back of the envelope calculation shows the stake was established at an average price of $185.52.
Alibaba is one of the market’s most heavily traded tech stocks and part of the “FAANG+BAT” basket, which also includes Facebook, Amazon, Apple, Netflix, Google, and Chinese tech giants Baidu and Tencent.
Bridgewater’s buying of Alibaba shouldn’t come as a surprise. Last September, the hedge fund launched a big investment fund in China as it was granted rare access to trade in local financial markets.
In a LinkedIn post from March, Dalio wrote that an escalating tit-for-tat trade war would be a reason to “worry.” But this investment is a way for Dalio to gain exposure to China without having to worry about the impact of a trade war with China. That’s because the e-commerce giant is responsible for about 85% of e-commerce sales in China — which helps provide insulation from the trade spat.
Alibaba shares gained 4% in the second quarter despite Trump’s tariff trade spat with China. However they slumped 7% since July as investors have begun to rotate out of the “FAANG+BAT” group.
Dalio’s other new investments disclosed in the filing include a $31.3 million stake in Cummins, a $14.4 million stake in Walmart, and a 76% decrease in its Facebook holdings — now worth $9.37 million.
Get the latest Alibaba stock price here.
-
Entertainment7 days ago
Earth’s mini moon could be a chunk of the big moon, scientists say
-
Entertainment7 days ago
The space station is leaking. Why it hasn’t imperiled the mission.
-
Entertainment6 days ago
‘Dune: Prophecy’ review: The Bene Gesserit shine in this sci-fi showstopper
-
Entertainment5 days ago
Black Friday 2024: The greatest early deals in Australia – live now
-
Entertainment4 days ago
How to watch ‘Smile 2’ at home: When is it streaming?
-
Entertainment3 days ago
‘Wicked’ review: Ariana Grande and Cynthia Erivo aspire to movie musical magic
-
Entertainment2 days ago
A24 is selling chocolate now. But what would their films actually taste like?
-
Entertainment3 days ago
New teen video-viewing guidelines: What you should know