A former banker is raising about $60 million for a hedge fund that will invest in U.S.-listed Chinese companies.
Reuters reported that Paul Conway is partnering with Chien Lee, the co-founder of Chinese budget hotel chain 7Days Holdings, to launch the new fund. Managed by former Fidelity portfolio manager Paul Jackson, the fund will focus on the hotel, travel and leisure, media and education sectors.
Conway said that the quality of Chinese companies have improved since Chinese firms, including Sino Forest Corp. gained notoriety for fraudulent reporting and asset stripping.
Conway, a former banker at Oppenheimer & Co., was among a slew of bankers that took part in the 2006-era of China privatizations. He completed about $12 billion worth of transactions during his time in China.