Latest SIV Newsletter

Click here to access news and insights on SIV numbers, China’s HNW industry, rise of Australia’s Agri-business with China, 3rd party reports on the ultra-high-net-worth market, and more.

Australian Investment Managers Directory

The 76-page hard-copy directory profiles 209 Australian firms that control $279 billion. All are independently owned (in full or in part) long-only managers, or are hedge funds or alternatives managers. PE and RE fund managers are excluded.

If you wish to purchase this directory please send us an email for more information, or visit our directory pages within this site.

3rd Annual Significant Investor Visa Conference

The 3rd annual Significant Investor Visa conference will be held on the 22nd of July 2015 at the Hilton Hotel, Grand Ballroom, Sydney.

Australia's largest annual gathering of the SIV industry is expected to host 300 – 400 attendees including panellists.

Austrade has announced the new SIV complying investment policies which impacts on Australia's funds management and VC industries.*

Delegates will:

  • Hear about our research findings on Australia 's SmallCap and VC industry, drawing from our successful funds management reports/directories
  • Personally network with the SmallCap/VC/property funds sectors and the SIV/Chinese HNW & advisory sectors
  • Learn about China's fast developing domestic VC and equity funds management industries, and the ramifications for Australian participants
  • Discover how to establish or joint venture with local equity, property and VC funds businesses, and how to find and create distribution networks into China's HNW sectors
  • Explore wider business opportunities that leverage off the SIV changes.
  • This year's conference will also introduce a new and effective way to network (our 'round table' networking sessions) to maximise your time.

The conference will discuss the mission-critical topics central to the success of SIV, and provided a platform for investors/their advisors, investment providers and service providers to network.

We will also be releasing Basis Point's Australia's SmallCap and VC Fund Industry Report with unique insights, and a who's who of participants, to assist you in generating business deals.

Our website will be relaunched next week with a fortnightly newsletter covering the SIV/HNW, property, agri-business, funds/capital markets sectors.

Registration link will be available in late May

Aus-China Property Developers & Investors Conference

The Conference was held in Sydney on the 8th of December, with more than 330 delegates at the Hilton Grand Ballroom.

Highlights -

. The event was seen as ground breaking –dispelling myths and misconceptions of Chinese developers, and highlighting their planned involvement in Australia's property industry

. Sherwood Luo, head of Greenland Australia provided an overview of existing developments and future plans for the firm. $1.6bll invested so far in Australia

. Sid Londish, veteran property investor, born in China in 1924, made, lost and made 3 fortunes in Australia's property industry, responsible for several of Sydney's iconic developments, had partnerships with Japanese and Chinese developers/investors over recent decades said Chinese take calculated risks, where Australians are generally more conservative. Lots of innovation in Australia, but not enough funding. Aged care as the next wave of property development

. Most panellists (including Chinese developers, Australian property experts, Councillors and institutional investors) emphasised the need for local knowledge and expert advice to navigate Australia's complex development pathways

Delegates were approx. a third Chinese and Australian developers & builders; a third financiers, investors and deal-spotters; and a third industry service providers.

Lots of energy was seen during the networking events as many sought out business partners, proposals and further insights on the opportunities and risks from this new sector.

Key themes covered included -

  • Capital. Chinese capital is entering Australia on the supply side (development) and demand side (investor). How big is this capital flow, how long will it last, what could change this flow and how can Australian developers connect with Chinese capital sources?
  • Competition & Cooperation. Chinese developers are new competitors for sites. At the same time, many are seeking to harness Australian expertise domestically. Meanwhile, Australian developers are seeking Chinese sources of sales/distribution channels. What are the challenges and opportunities for Chinese and Australian developers to compete or cooperate?
  • Completion. While there is much Chinese development in the pipeline, few have yet reached completion. What are the regulatory, operational and cost challenges facing Chinese developers, not only in completing their projects, but in building their reputation as leading developers in Australia?
  • Community. Australian developers have a high (and sometimes controversial) profile in the community and media. Chinese developers, ranging from new/small developers to multi-billion dollar property groups will also have similarly high profiles, particularly as their end products are homes in which Australians will live. What are the community issues facing Chinese developers as they build their brand in Australia?

We would like to thank our supporting organization Urban Taskforce, Platinum sponsor National Australia Bank (NAB), Gold sponsors Gadens, Balmain Group, and our Silver sponsors SUMO SIV, KordaMentha, AZIBA, ACBNewsOnline for their support.

EVENT SUMMARY

Date:  Monday 8th December, 1.30pm to 7.30pm.(Presentations start 2pm, Cocktails from 6pm)

Location:  Level 3, Grand Ballroom, Hilton Hotel, 488 George Street, Sydney.

Cost:  $438 plus GST, all inclusive fee. ($481.80)

Attendees:  300 – 500 delegates comprising:

  • Chinese & Australian property developers and investors
  • Australian property fund managers and syndicators
  • Asian and Australian wealth managers & deal-spotters/'compradors'
  • Service providers including financiers, lawyers, accountants, site amalgamators, real estate agents, private bankers, corporate advisors, private equity managers, builders, contractors, sales/distribution professionals, & architects amongst others

The event will take place during a time of heightened interest in the Aus-China relationship due to the:.

  • Findings of the parliamentary inquiry on foreign investment into residential real estate to be announced on 27 Nov
  • Sharp decline in the Australian dollar vs Chinese renminbi leading to revaluations
  • New Premium Investor Visa class announced and changes to Significant Investor Visa programme
  • Continued strong media and community interest in Chinese property development/investment in Australia
  • G20 meeting in Brisbane 15/16 November and the visit by China's President Xi Jinping to Australia
  • Signing of the China-Australia Free Trade Agreement

China Equity Market Access Seminar & Drinks

Basis Point recently held its China Equity Market Access Seminar & Drinks, which was sponsored by Singapore Exchange (SGX) and Baker & McKenzie.

Around 70 fund managers, institutional investors, family offices and brokers attended. They heard insights from an experienced panel including Michael Syn, EVP & Head of Derivatives, SGX, Long Vo-Phuoc, MD, Denant Pty Ltd, Daniel Weinberg, Head of Market Structure & Member of APAC Board, Optiver & James Brown, Portfolio Manager, Dixon Advisory.

Key insights included:

  • Access to Chinese equity markets can be made through index derivatives, ETF's or fund managers on the ground in China. Trying to go direct can be troublesome and lengthy due to the strict regulations and quota requirements.
  • China is slowly moving towards opening up its capital markets; however as is the Chinese way, will only do so in a structured manner.
  • The Shanghai –Hong Kong connect is part of China's move to gradually liberalise its markets.
  • There are IPOs waiting for the go-ahead in China but many SOEs exist to provide jobs not to drive profit, so they are not heading towards IPOs any time soon
  • Singapore is a leader in the iron ore markets via its futures and swaps market. SGX provides independent trading and clearing facilities for buyers and sellers.

New Premium Investor
Visa Class

The Australian government has announced a new Premium Investor Visa (PIV) class where migrants investing A$15 million in selected investment sectors will obtain a 12 month pathway to permanent residency. The government's press release is here

The $15 million investment, when aligned with the government's national investment priorities as determined by Austrade, and strengthened integrity measures, will be a boon for jobs creation in Australia.

We believe the investment sectors identified by Austrade will cover agribusiness, digital technologies, medical & health services, advanced manufacturing, infrastructure, tourism investments, and resources including energy.

Chinese data indicates that just 5% of the wealth of Chinese high-net-worth investors was allocated outside of China, whereas HNW investors in other countries have around 24% of their wealth outside their home region. This indicates significant capital flows to Australia can be expected over the coming years via the SIV and PIV.