Stan Druckenmiller’s Winning Streak Riding On China

The retired hedge fund manager’s betting that the president who’s been so good to him won’t be MAGAing at the expense of the Middle Kingdom.
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By The Conmunity - Pop Culture Geek from Los Angeles, CA, USA (CES 2012 - Alibaba robot (man in costume)) [CC BY 2.0], via Wikimedia Commons

By The Conmunity - Pop Culture Geek from Los Angeles, CA, USA (CES 2012 - Alibaba robot (man in costume)) [CC BY 2.0], via Wikimedia Commons

Stanley Druckenmiller may not have voted for Donald Trump, but he has an uncanny instinct for the man. Or, at least, how the markets will react to the man. Amidst the turmoil and uncertainty of the run-up to last year’s election, Druck was more likely to vote for Bernie Sanders than own a stock, preferring to hoard gold, which he then sold at a tidy profit the moment Trump got his 270th electoral vote and dumped it back into stocks, which—as he predicted—soared. With the Trump Trade looking a little limp lately, however, Druckenmiller’s been looking for some juice elsewhere—and the Donald’s not going to like it.

The billionaire's hedge fund took a stake in Chinese e-commerce giant Alibaba of 710,000 shares, according to a required 13-F filing with the Securities and Exchange Commission Monday. The hedge fund also took a 597,000-share stake in Yum China.

The firm increased its stake in Alibaba rival JD.com by 721,000 shares to 1.36 million shares, and added 500,000 shares of Chinese travel services company Ctrip for a 1.41 million share stake, the filing showed.

Guess what, though? It’s working.

Shares of Alibaba and JD.com have climbed nearly 10 percent and 13 percent, respectively, so far this quarter.

Billionaire hedge fund manager Stanley Druckenmiller is betting big on the Chinese consumer [CNBC]

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