Li Yaozhu, Master of Financial Mathematics and Statistics from the Hong Kong University of Science and Technology, has 13 years of professional experience and more than 8 years of management experience in public offerings.
In the past 2023, GF Global Select** (270023) managed by Li Yaozhu won 66The yield of 08% ranks first among 54 QDII ** types, while the average annual return of QDII ** (Class A) over the same period is only 893% (data**: Galaxy *** Evaluation Center), which is also the highest annual rate of return among the public offerings in the whole market**.
According to the data, GF Global Select** was established in August 2010 and has a good historical performance. According to the statistics of Galaxy**, as of December 31, 2023, the yield of GF Global Select** in the past five years reached 13231%, ranking fourth out of 38 of its kind**. According to wind statistics, there are only three actively managed QDIIs in the market that have been established for more than 10 years and have a compound yield of more than 10%, and GF Global Select** is one of them.
The company attaches great importance to the exploration of investment opportunities in TMT and other related fields, drives investment with in-depth research, and grasps opportunities in a forward-looking manner. "GF Global Select's good results in 2023 are closely related to the continuous cultivation of GF's investment research team in the field of technology and advanced manufacturing, and on the other hand, it is also inseparable from the personal investment vision and investment philosophy of Li Yaozhu, the manager of GF Global Selection.
Discover attractive investment opportunities
After graduating in 2010, Li Yaozhu joined GF** to engage in trading, research and other work, and with the support of the company's platform, he was engaged in Hong Kong stock and US market research earlier, focusing on covering and investing in Internet technology listed companies. Due to his educational background, working experience and close ties with overseas markets, Li Yaozhu's investment system naturally carries international genes.
After serving as a ** manager, after years of portfolio management practice, Li Yaozhu has gradually formed a set of systematic investment frameworks and investors**, and has continued to evolve. He positions his investment style as value growth, that is, looking for companies with strong profitability and high earnings quality for long-term investment in continuously growing industries, and anchoring investment with a global perspective and discovering attractive investment opportunities with a sound large-scale asset allocation framework is the investment philosophy that Li Yaozhu has always adhered to.
Li Yaozhu believes that the application of global vision in investment is mainly reflected in two aspects: one is to connect investors' understanding of technological development, regional advantages and organizational management capabilities from a global perspective;Second, many industries in China have global advantages, and in the context of the further improvement of the global competitive advantage of China's asset management industry, the introduction of a large-scale asset allocation framework and multi-strategy allocation can better play the "Made in China" advantage in asset management companies, and is also conducive to further improving the stability of income and strengthening our global competitiveness.
When selecting targets, Li Yaozhu prefers the new economy track, mainly focusing on leading companies in technology, Internet, consumption, medicine and other sectors, and he will combine top-down and bottom-up, obtain excess returns through selection, and pay attention to the balance between growth and valuation. On the one hand, we will compare industries and explore industrial trends from a global perspective, and look for medium and long-term high-quality targetsOn the other hand, it focuses on evaluating the company's ability to evolve, focusing on the nature of different businesses, the business environment, and talent management. Comprehensively evaluate the company's valuation, long-term growth rate, ROE, etc., and find out those excellent companies with good profitability, and obtain excess returns through the growth of the company.
Due to the wide coverage of his research horizon, Li Yaozhu not only focuses on the medium- and long-term trends and industrial background of the enterprise, but also pays attention to the horizontal comparison of the target enterprise with the target company in the same track in the world, and strives to evaluate the long-term value of the enterprise more comprehensively.
Continue to enhance the "soft power" of global investment
After years of accumulation, domestic investors have a good foundation for global investment. Li Yaozhu believes that in order to grasp global investment opportunities more comprehensively, professional analytical skills and rich knowledge reserves are essential.
There are more variables to consider in global investment, and in front of the market, we must always continue to learn with humility, and at the same time, we also need to have a set of mental methods to guide investment, that is, 'soft power'. Li Yaozhu pointed out that this set of mindset requires investors to have a deep understanding of growth mindset, diversification and business ethics, in order to better understand the problems and phenomena existing in different regions, different cultures and different systems around the world, so as to find the law of development and better guide investment.
First of all, a growth mindset is an important ability of international investment, which represents the ability to learn quickly and continuously. When investing globally, you should not set limits on yourself, but systematically learn in new areas. For example, this year's more popular AI, in order to study AI clearly, it is necessary to learn the underlying principles and theories, such as the operation principle of the matrix, how to use CUDA to realize the programming of parallel computing, the operation principle of Transformer, etc., in order to objectively judge the development path and upper limit of artificial intelligence, and to understand the development trend and possibility of the artificial intelligence industry.
Secondly, learning more about different disciplines can help cultivate a diverse mindset, so that we can better adapt to the ever-changing market and face the complex international situation. Diversity is the key to breaking down one-dimensional thinking. We promote a diverse culture and are open to different cultures and different perspectives, which helps us see the blind spots in our investment logic.
In addition, business ethics, which are often under-mentioned, can have a real impact on a company's international investment. In the process of global investment, the realization of social value is an important cornerstone for large enterprises to continue to maintain high profits, which will directly affect the durability of the company's cash flow in the DCF model, and then affect the valuation of the enterprise - that is, whether the company can make money for 10 years or 15 years, the valuation will also have a big difference.
In short, the improvement of the ability to understand the world is stepwise and non-linear, and what an individual can do is to continue to accumulate, continue to evolve, and think first-principles about problems. Of course, while focusing on their own circle of competence, we must be good at expanding the boundaries of our capabilities with the help of the team, and personal growth is inseparable from the support and efforts of the company and the team. Li Yaozhu emphasized.
In 2024, we will focus on the five major science and technology tracks
The composite background of science + finance has created Li Yaozhu's investment thinking that pays more attention to the essence of technology. In 2023, GF Global Select, which he manages, will focus on artificial intelligence as a key investment area, mainly allocating computing chips, cloud computing, vertical software applications, network security and other directions, and has obtained good excess returns.
Looking forward to 2024, Li Yaozhu believes that we can focus on five major tracks.
The first is SaaS software companies empowered by AI technology, which are dominated by large B-end companies, which have a strong network effect, and they are expected to have a large room for price increases. For example, SaaS companies related to business operations, including sales and service SaaS companies, and SaaS companies that improve the efficiency of middle and back office operations. This type of software can improve efficiency through the use of AI technology, so customers are willing to pay, and the higher the efficiency improvement, the greater the proportion of payment. Since the cost of software is much lower than that of labor, this also means that there is more room for software price increases in the future.
Second, in terms of computing power chips, it is expected that the supply and demand of chips will improve month-on-month in 2024, and more and more high-end high-computing power products are expected to emerge.
Third, cloud platform companies with large model capabilities are mainly public cloud companies, and cloud platform companies with large model capabilities may gain a larger market share in the future, and it is expected that there will still be very large growth potential in the long run.
Fourth, network security companies are the mainstay, because in the era of artificial intelligence, the security of terminals or clouds will become more important, and the payment rate of network security companies may continue to increase in the future.
Fifth, the use and popularization of blockchain technology. In the era of generative AI, more and more AI-generated works such as articles, ** or ** need to be identified or copyrighted, and the use of blockchain technology can solve these problems, and we believe that blockchain technology will be gradually applied to these fields in 2024.
Reporter Zhao Qiwei.