Dalio’s Bridgewater exits Alibaba, JD.com, NetEase, Bilibili and Didi Global in US$1 billion sale amid delisting and geopolitical tensions

Dalio’s US$236 billion hedge fund sold all of its positions in Alibaba, JD.com, Bilibili, NetEase and Didi Global worth a total US$1.02 billion last quarter, 13F filing shows

The US firm, which runs a US$6.2 billion All-Weather China Fund, is a believer in Tesla challengers Nio, XPeng and Li Auto, while also bullish on Baidu

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Chinese tech stocks suffered major setbacks in markets at home and abroad in 2021 and this year. Photo: Bloomberg

Published: 2:07pm, 12 Aug 2022Updated: 2:08pm, 12 Aug 2022

Bridgewater Associates, the world’s biggest hedge fund, sold its US$1 billion worth of holdings in five major Chinese technology stocks last quarter after a drubbing from a regulatory crackdown and heightened delisting pressure.

The Connecticut-based firm dumped all of its stakes in Alibaba Group Holding, Bilibili, NetEase and JD.com in the three months to June 30, according to its latest 13F filing early on Friday with the Securities and Exchange Commission (SEC). The fund also completely exited Didi Global, the controversial ride-hailing group.

The US$236 billion hedge fund, founded in 1975 by billionaire China optimist Ray Dalio, also took some cash off the table by trimming its stakes in 32 other Chinese companies including Gaotu TechEdu, BeiGene, HutchMed, Huya and KE Holdings, according to the filing.

Ray Dalio, founder of Bridgewater Associates, speaks at the New Economy Forum in Beijing in November 2019. Photo: Reuters

Bridgewater took advantage of a small rebound in the market to sell. The MSCI China Index of 715 stocks traded at home and abroad gained 2.5 per cent last quarter while the Nasdaq Golden Dragon China Index jumped 12.6 per cent. Both gauges slumped in the three quarters to March 31, wiping out US$2.6 trillion and US$757 billion of market value along the way.