Internet giant Tencent (0700) has attracted 80 billion yuan (HK$99.6 billion) for its wealth management product Licaitong in less than four months since its launch

Tencent chasing 
Wednesday, May 07, 2014
Internet giant Tencent (0700) has attracted 80 billion yuan (HK$99.6 billion) for its wealth management product Licaitong in less than four months since its launch, taking its daily inflow to 727 million yuan.

But this lags a long way behind rival Alibaba’s Yuebao platform, which had pulled in an accumulated 541.3 billion yuan by March 31.

Licaitong, like Yuebao, offers a yield of about 5 percent per annum compared to the 3.3 percent return for one-year deposits at most mainland banks.

A People’s Bank of China official has said the reserve requirement ratio should also be extended to internet finance platforms. If that happens, Yuebao’s annual yield would be cut by a percentage point to 4 percent.

Tencent also plans to acquire 11.3 percent of digital mapping service provider Navinfo for 1.17 billion yuan. The deal needs regulatory approval.

This follows Alibaba revealing last month its intention to buy online map provider Autonavi Holdings. LING WANG


About bambooinnovator
Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (, the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

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