This is a great sign of just how smoking hot China has become.
Burton Malkiel, the author of A Random Walk Down Wall Street, and a huge critic of active portfolio management, is starting a long-only China-focused hedge fund, according to FinAlternatives (via PragCap).
The fact that he’s doing this — apparently in contravention of the gospel he preaches — is a sign of just how big a lure the China moneypot is to everyone
It’s still tiny, with just $30 million, but with a famous name, and a hot country, it should have a good shot at growing.
But anyway, are we to presume that efficient markets don’t apply in China like they do here, and that it’s worth paying high fees for the ability to go long only the Shanghai market?