Son-in-law of Chinese vice-premier sets up Hong Kong fund
Nicholas Zhang has become the latest family member of a top mainland political official to start an asset management business in the city
Vice-Premier Wang Yang's son-in-law recently launched a Hong Kong-based hedge fund focused on mainland equities, joining a growing number of young family members of top officials who have set up asset management businesses in the city.
Nicholas Zhang, who married Wang's only daughter some years ago, started Magnolia Capital Management this year with some of his former colleagues from the Hong Kong offices of Soros Fund Management and UBS, said sources familiar with the situation who declined to be named.
Nicholas is a co-founder of the new hedge fund, together with friends and ex-colleagues in the financial industry he has known for a long time
Zhang, now in his late 20s, worked briefly for Soros Fund Management in Hong Kong, the Asian arm of US billionaire George Soros' investment empire, after leaving UBS as a Hong Kong-based junior investment banker. His ambition to run his own fund took root during his time at Soros Fund, said the sources.
"Nicholas is a co-founder of the new hedge fund, together with friends and ex-colleagues in the financial industry he has known for a long time," said one of the sources.
Zhang and his team "raised tens of millions of US dollars" in just a few months for initial capital, said another source. It is not known how much money the company raised. Zhang could not be reached for comment.
The sources said Zhang, apart from being the son-in-law of a vice-premier, is himself a grandson of a late top Chinese leader who the sources declined to name.
