Celebrity Life

Eileen Gu is an 18-year-old freestyle skier competing for China at the 2022 Winter Olympics in Beijing. On 8 February, she won a gold medal in the women’s freeski big air competition. Six days later, she followed it up with a silver in the women’s ski slopestyle competition.

With two medals in her first Olympics at age 18, Eileen Gu not only entered history books and cemented her name as one of the greatest in her game but also justified the phenomenal popularity she has enjoyed even before her participation in this year’s Games.

Eileen Gu and how she became a magnet for global brands

A multicultural phenomenon

Eileen Gu was born to an American father and a Chinese mother, who was herself a skier. Her multicultural identity has made Gu the perfect candidate for some of the world’s most famous brands.

But those are not the only factors. Gu has been a prodigy since childhood, setting records on the snow like none other before her. Her accomplishment as a skier at a very young age is the reason Gu has been a favourite at the Games.

Initially, she played as an athlete for the US. According to South China Morning Post (SCMP), Gu, who is fluent in Mandarin, decided to play for China after meeting Chinese President Xi Jinping at a Winter Olympics preparatory event in 2019.

Her notable medal wins following the decision to represent China include two golds and one bronze at the Winter X Games, where Gu became the first female rookie to participate and win in three disciplines.

Gu also became the first Chinese woman to win multiple golds at the 2021 FIS Snowboard and Freeski World Championships in Aspen.

In 2020, she became the youngest athlete at age 17 to be featured in Forbes ‘30 under 30’.

Evidently, her popularity in China skyrocketed. Her Weibo account has around 5 million followers. To young Chinese, Gu is a powerful inspiration.

For Gu, her shared American and Chinese roots provide an opportunity to be the perfect representative for brands in two of the world’s biggest markets.

Face of acclaimed labels

In 2021, Gu was endorsing 16 brands and the following year, she added seven more labels from the USA and China combined to her portfolio. This is a testimony to her rapidly rising popularity even before this year’s Olympics.

She models for some of the world’s biggest fashion, jewellery and makeup brands, including Estée Lauder, Louis Vuitton, Victoria’s Secret and Tiffany & Co. In China, Gu is the face of major businesses such as China Mobile, Anta, Bank of China, and JD.com.

Gu frequently shares her modelling assignments on her Instagram account, where she now commands a following of more than 1 million — roughly over five times the number in January 2022.

A post from October 2021 shows Gu standing before The Louvre glass pyramid in Paris, France, where she attended the Louis Vuitton SS22 at the Paris Fashion Week. Interestingly, the glass structure is a creation of Chinese-American architect IM Pei.

 

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A post shared by Eileen Gu 🖤🌈🧊🐲 (@eileen_gu_)

One of her Instagram posts shows Gu using wellness technology major Therabody’s Theragun on her thigh.

 

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A post shared by Eileen Gu 🖤🌈🧊🐲 (@eileen_gu_)

She appeared in the promotion of Louis Vuitton Twist bags in December 2021 and was named the brand ambassador of the Swiss watchmaker IWC Schaffhausen the following month.

Gu has appeared for the 2021 Give Me The T campaign of Tiffany & Co. Nearly all her endorsements can be seen on her Instagram page.

Followers can also see numerous posts of Gu gracing the cover of top luxury lifestyle magazines, including Harper’s Bazaar, Marie Claire, In Style China, Cosmopolitan, SuperELLE China and Vogue.

According to market research firm CBNData, Gu earned an estimated USD 31.4 million in 2021. This places her among the highest-earning female athletes in the world. Interestingly, Quartz pointed out that Forbes did not include Gu in its list of the highest-paid female athletes in 2021.

Had she been included, the skier would have ranked third — behind tennis stars Naomi Osaka (USD 57.3 million) and Serena Williams (USD 45.9 million).

Her style is followed by millions in China and world over. Following her gold medal win, her fame is only going to rise.

(Main and Featured images: Eileen Gu/eileen_gu_/Instagram)

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Visa customers made USD 2.5 billion in payments with the company’s crypto-linked cards in the first quarter of 2022. The financial services corporation also revealed that its cryptocurrency wallet partners now number over 65, including Coinbase and BlockFi, as the number of merchants accepting crypto grew to almost 100 million.

In a recent earnings call led by Chairman and CEO Al Kelly, the company said that the USD 2.5 billion is “70 percent of the payments volume for all of fiscal 2021”.

Crypto payments on Visa

A year of digital payments

According to Financial Express, the CEO also said that the number of crypto wallet partners have grown to 65 from 50 in July 2021. The added wallet partners are designed to make it easier for customers to convert and spend digital currency at merchants.

Visa had in March 2021 opened its doors to cryptocurrency by accepting a virtual currency payment. In the first half of the same year, Visa recorded over USD 1 billion payments through crypto-linked Visa cards.

The company had also launched Global Crypto Advisory Practice, its crypto consulting services, in December 2021.

Utility in Visa-crypto linked card

CNBC reports that Visa CFO Vasant Prabhu told the media network that the developments indicate that consumers see an advantage in the card having a crypto account link.

“To us, this signals that consumers see utility in having a Visa card linked to an account at a crypto platform. There’s value in being able to access that liquidity, to fund purchases and manage expenses, and to do so instantly and seamlessly,” Prabhu told CNBC.

Prabhu also said that people are using the crypto-linked cards for payments in restaurants, travel, and retail goods and services.

On the call, Kelly said, “We will continue to lean into the crypto space and our strategy is to be a key partner to provide the connectivity, scale, consumer value proposition, reliability and security that is needed for crypto offerings to continue to grow.”

(Main and Featured images: CardMapr/@cardmapr/Unsplash)

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There's no better way to mark the occasion than with good food — and lots of it. Here's our pick of the best Chinese New Year luxury puddings and treats.

With the start of the new lunar year just around the corner, stock up on the best desserts on offer. Turnip puddings (also called radish cakes) are traditional Chinese dim sum snacks, commonly served in Cantonese yum cha. Don't underestimate the small dish — in Cantonese, its name “leen goh” or “loh bak goh” is a homophone for “year higher”, ushering in new heights of prosperity for the coming year.

And we adore the Chinese New Year chuen hup, or traditional candy box, portion of the holiday. A bright red circular box set enticingly open upon coffee tables, filled with all kinds of sweet and savoury treats — it's a time-honoured custom, along with the coconut and turnip puddings. Each neat little segment houses a treat with an auspicious meaning of its own: lotus seeds are symbolic signs of improved fertility; lotus root, of love; tangerines and kumquats sound phonetically similar to "gold"; melon seeds to money and wealth. Chocolate coins, well, are coins.

To celebrate new beginnings and the new year, we've compiled the best Chinese New Year luxury puddings and treats for you and your loved ones to welcome the Year of the Tiger with.

The Best Chinese New Year Luxury Puddings and Treats

China Tang

China Tang's artisan Chinese New Year puddings are a modern take on the classic recipe, serving up two whole new flavours to welcome the Year of the Tiger: a turnip pudding with dried tiger prawn and local preserved meat and a handmade rice pudding with Taiwanese brown sugar and purple rice. Both are crafted by executive chef Menex Cheung and dim sum chef Mok Wing Kwai, and come in these stunning gift boxes decorated with China Tang’s signature Narcissus pattern — symbolizing grace and fortune. You can order the puddings and pick them up from the restaurant.

China Tang Landmark, Shop 411-413, 4/F, LANDMARK ATRIUM, 15 Queen’s Road Central, Central; +852 2522 2148

Duddell’s

Michelin-starred Duddell's selection of Chinese New Year puddings is a trio of classic favourite flavours: turnip (HK$348), taro (HK$348) and a "New Year" Pudding (HK$298). Pick up one, all three, or a gift set including the restaurant's signature X.O. Sauce. It's all packaged in a specially designed gift box created in collaboration with G.O.D. (Goods of Desire), with an ornate hand-drawn pattern typical of the embellishments found on Chinese teacups and soup bowls, a nod to its Hong Kong heritage. You can purchase at the restaurant or order online for delivery — find out more here.

We also love the look of the "Prosperous New Year Hamper", stocked with six traditional delicacies: a new year pudding; braised South African 5 head abalone with Duddell’s Abalone Sauce; a signature X.O. Sauce; homemade walnut cookies; Veuve Clicquot Ponsardin, Yellow Label Brut, Champagne; and Fook Ming Tong Fuding Jasmine Mao Feng Tea.

Duddell’s, 1 Duddell Street, Central; +852 2525 9191

Godiva

To no one's surprise, it's all about the chocolates at Godiva. The Belgian chocolatier has drawn up a new motif for the Year of the Tiger, auspicious red and gold packaging printed with swimming koi and a tiger portrait set amongst crackling fireworks as a symbolic image of wealth. For the chocolates, the bijou creations feature the same lucky tiger motif over the surface and are packed in three distinct flavours: Raspberry Orange White chocolate, Pecan Praliné Milk chocolate and 85% Dark Ganache chocolate. Order before 31 January to enjoy special offers including free gifts, including a complimentary box of chocolates, or 10% off any purchase of HK$688. Find out more and order here.

Godiva, various locations across Hong Kong

Little Bao

Little Bao is paying tribute to lucky colour red with a beetroot turnip cake, replacing turnip with fresh beetroot for a natural bold red cake. Ingredients include Sam Hing Lung rose wine sausages, Thai dried shrimp and natural seasoning for extra-healthy eating. You can also opt for the taro cake, made with Okinawan sweet potato and fresh taro for an extra soft and pillowy texture, and also to help boost the immune system. You can order them and more here.

Little Bao, 1-3 Shin Hing Street, Central; +852 6794 8414

Marco Polo Hongkong Hotel

Marco Polo Hongkong Hotel is celebrating the new lunar year with traditional Chinese recipes, serving up three classic puddings — a savoury Chinese Turnip Cake with Conpoy made from Chinese sausage and Jinhua ham; a sweet Coconut Pudding with Gold Leaf decorated with golden leaf glutinous rice and coconut milk; and a Water Chestnut Cake filled with crunchy water chestnut pieces. Bottles of homemade XO Chilli Sauce are also available to order. You can find out more here.

Marco Polo Hongkong Hotel, No. 3 Canton Road, Harbour City, Tsim Sha Tsui, Kowloon; +852 2118 7283

Ming Court

Located inside Cordis, Michelin-starred Ming Court is offering an array of festive treats to ring in the Lunar New Year. Executive Chef Li Yuet Faat has prepared three auspicious puddings: a coconut Chinese New Year Pudding; an abalone, conpoy, and air-dried preserved meat and turnip pudding; and a red date and coconut pudding. Go for the deluxe Chinese New Year hamper, with a coconut pudding, homemade XO sauce, South African premium 12 head abalone and more. You can order it here.

Ming Court, Level 6, 555 Shanghai Street, Cordis, Mong Kok, Kowloon; +852 3552 3301 

Rosewood Hong Kong

Rosewood Hong Kong is offering an array of Chinese New Year sets for gifting, featuring everything from traditional puddings to homemade XO sauce, festive candies, afternoon tea sets and more. Don't miss the well-wishes themed hampers: Harvest (HK$9,988), Fortune (HK$3,388), and Joy (HK$2,288) — for every CNY hamper purchased, Rosewood will donate 5% of the proceeds to support ImpactHK and their work to support those experiencing homelessness in Hong Kong. Find out more here.

We also love the clever Chinese New Year advent calendar from Rosewood — rather than counting down, you count on from the first day of the lunar calendar into the new Year of the Tiger. The whole set holds 15 special treats from the hotel, one for each day of the Chinese traditional holiday that lasts for two weeks. Tug open the jewel-toned drawers to discover a selection of delicious snacks from fortune cookies and egg rolls to XO sauce, palmiers, nougats, ginger candies and crunchy peanut bites. Much better than your usual melon seeds. You can order it here.

Rosewood Hong Kong, Victoria Dockside, 18 Salisbury Rd, Tsim Sha Tsui, Hong Kong, +852 3891 8732

Paul Lafayet

No crème brulée from Paul Lafayet this Chinese New Year. What you can get, though, is the patisserie's Lucky Tiger Gift Box with French illustrator Emilie Sarnel's hand drawing of two dancing tigers. The gift box set pulls open to reveal three different tiers featuring a whole afternoon experience: “Cookirons" — a cookie-based iteration of the brand's famous macaron; jasmine and hojicha tea tins with pots of honey in the second and a special fine bone china porcelain dish at the base to hold it all. The plate is specially tailored to the Year of the Tiger, featuring a sketch of two smiling tigers amongst a flowery meadow filled with macarons. You can order it online here.

Paul Lafayet, various locations across Hong Kong

Saicho

So this might not fit into traditional Chinese candy boxes, but it will still sit very prettily amongst red-adorned decor around the home. For the Year of the Tiger, Saicho has launched a very special creation of only 900 bottles — Eight Immortals — featuring the special Dan Cong Oolong tea grown atop Phoenix Mountain's Tian Liao village in Guangdong. From harvest to roast and rolling, the Dan Cong Oolong leaves are looked after by a qualified tea master. The result is a fragrant blend that adheres to the leaves' distinct complexity: bright notes of ginger mango and tangerine that rounds into a bitterness, then herbal, the likes of anise, fennel and tarragon. With Eight Immortals' earthy savouriness, Saicho recommends pairing with traditional Chinese New Year dishes including Chinese steamed fish and tang yang (glutinous rice dumplings). You can shop Saicho's Chinese New Year selection here.

Smith & Sinclair

Candy box fillings will be extra exciting with the addition of Smith & Sinclair treats, they're made after your favourite tipples! The UK-based brand crafts vegan-friendly gummies — or "Edible Cocktails" — from anything, including classic Gin & Tonic to special concoctions like Passionfruit Mojito. For the Year of the Tiger, the brand has designed a special red, tiger-printed sleeve as a symbol of good luck and fortune. These can be fitted over any of Smith & Sinclair's nine signature sets, from spirit-based "Gin Obsessed" or "Tequila Time" to themed "Love Box" or "Night In". You can order and find out more here.

Sugarfina

Sugarfina's candy cubes are a delight, both to give and receive. For this Chinese New Year, the confectioner has crafted a series of Candy Bento Boxes for easy gifting (and enjoying!) — with anything from a single cube to a lucky set of eight, featuring the brand's sweet creations in fun, auspicious names. There's the Lotus Flowers flavoured with lychee, Tangerine Bears, berried-flavoured Royal Roses and Golden Pearls. If not for the sweets within, get this set for the beautifully artistic packaging: a hand-crafted shadow box of red and gold decor motifs of lanterns, flowers and a temple to mark new beginnings.

Sugarfina, various locations across Hong Kong

The Peninsula Boutique & Café

One of the traditional elements of the Year of the Tiger is the big cat's head, symbolising strength and good health. Inspired by traditional Chinese "tiger head shoes" worn by children, the Peninsula Boutique & Café is celebrating the new year with plenty of tiger head-decorated gift sets — you can hang the box up as a Chinese New Year decoration! Pick up the festive "Robust Tiger Gift Set" (with cookies, candies, chocolate, tea and more), and any of the Chinese New Year puddings. You can find out more here.

The Peninsula Boutique & Café, The Peninsula Arcade, Salisbury Road, Tsim Sha Tsui, Kowloon; +852 2696 6969

Venchi

You may be spoilt for choice with Venchi's range of Chinese New Year gift boxes, but one thing's for sure: the range of lucky red and gold packaging all feature the Italian brand's signature 140-years, Piedmont Master Chocolatiers-approved sweets. Pick up The Chinese New Year Double Layer Hexagon Gift Box, an extensive collection of the brand's favourite chocolates: Cremini, Chocoviar, Truffles, and Dubledoni. Or consider the Chinese New Year Round Hamper, which features Venchi's latest creation Gianduja N.3 with Hazelnut, and is a close replica of the traditional chuen hup with the rounded exterior and organised sections within.

Venchi, various locations across Hong Kong

Yat Tung Heen

Led by celebrated chef Tam Tung, Michelin-starred Yat Tung Heen is celebrating the new year by bringing back its highly sought-after turnip pudding, classic Chinese New Year pudding and the restaurant's signature gift box (which includes housemade premium XO sauce, candied walnuts and hand-selected Ginseng Oolong tea leaves). And to minimise the environmental impact of the gifting season, each pudding is thoughtfully packaged in a 100% recyclable eco-friendly paper box. You can find out more here.

Yat Tung Heen, Level B2, Eaton HK, 380 Nathan Road, Kowloon, Hong Kong, +852 2710 1093

Ying Jee Club

Two Michelin-starred Cantonese restaurant Ying Jee Club is serving the finest delectable pastry duo, a savoury turnip pudding with conpoy and air-dried meat and a sweet coconut milk pudding with red bean and Ceylon tea. Both are handcrafted daily by executive chef Siu Hin-Chi, who has amassed 20 Michelin stars over the past decade alone — rest assured, the preservative-free puddings epitomise the highest standard of Cantonese cuisine in both texture and flavour. You can order in-person at the restaurant, or by calling 2801 6882 or emailing reservation@yingjeeclub.hk — find out more here.

Ying Jee Club, Shop G05, 107 & 108, Nexxus Building, 41 Connaught Road Central; +852 2801 6882

(Hero image courtesy of Yat Tung Heen, featured image courtesy of Duddell's, image 1 courtesy of China Tang)

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With volatility across traditional financial markets, whisky investing is on the rise. But, we ponder, is this a case of liquid or fool’s gold?

They call it “liquid gold” – and as an investment, whisky is starting to live up to the name. Last May, at Bonhams Fine and Rare auction in Hong Kong, two bottles of The Macallan 1926 sold in separate lots to different bidders for more than US$1 million each, breaking world records for the spirit set just a month before.

It was yet another sign of the growing prominence of whisky investing, an asset that, on paper at least, has seen dramatic gains. Over the past decade, rare whiskies have appreciated by 580 percent, outpacing the stock market and most commodities, according to Knight Frank’s 2020 Wealth Report. And even on a more conservative scale, Rare Whisky 101’s Apex Index of best performing bottles, measured 7 percent annual returns over the last few years.

“Whisky is a very unique asset class – it’s what we get asked about most – there’s nothing that compares to it,” says Andrew Shirley, Knight Frank’s Wealth Report Editor. “It’s long established, but has only recently had huge momentum around it. Wine has new vintages every year, but that’s not the same for very rare whiskies – you’ve got this finite supply, which is why it’s such an interesting thing to collect.”

That new-found interest in rare whiskies is largely being driven by millennial investors from Asia, the Covid pandemic seeing sales swell as they seek investments that play double-duty to drown their sorrows. Stocks and bonds are their safe havens, and dramatic auction-house increases in art, wine and vintage cars have them feeling priced-out – but whisky is an affordable asset with the possibility of massive returns, all driven by passion.

“We’re seeing younger collectors come into market, who are falling in love with the spirit; it's a passionate investment, as we know: the legacy, the chemistry, the skill, the talent,” says Andy Simpson, co-founder of the Rare Whisky 101 consultancy. “Some are going to open the bottles, and so fewer are left in the market, making it more scarce and harder to collect from an investment perspective, so values are always increasing.”

History, heritage and societal prestige; a stable physical asset that’s less complicated or costly than its established counterparts, easily bought in bottles or purchased through a fund – and with the added “cool” factor for all-important bragging rights. But, as with any investment, it’s not without its perils or pitfalls.

“The great thing about whisky is it’s accessible, you can start from as little as a few hundred dollars, all the way to seven figures,” says Daniel Lam, Bonhams’ Director of Wine & Spirits. “Prices are rising every day, blue chips are getting more expensive, but there’s a lot of potential in the market and you need to do your homework, because things change monthly.”

Getting into its world is as simple as buying a few rare bottles at auction and storing them at home, with Scottish and Japanese whiskies generally the “blue chips” of its class and Irish, Indian, Australian and the US “emerging markets”. But gains aren’t always guaranteed, and research and at least a little interest are considered essential.

“More than 99 percent of all whiskies will not appreciate in value over time,” says Joseph V Micallef, independent whisky expert and author of Scotch Whisky: Its History, Production and Appreciation. “You need to rely on experts, with knowledge of the whisky market, to identify those that have the potential to appreciate.”

If return on investment is your end goal (as it should be), rather than a superficial personal collection, whisky funds are starting to be seen as reliable. Much in the way that an index fund holds a basket of stocks with secure potential, whisky funds give investors access to experts who seek financial value through quality, balancing blue-chip and emerging-market bottles set to appreciate, before paying out after a number of years.

“A good fund invests in whisky, the liquid itself, the golden drops,” says Christian Svantesson, CEO of The Single Malt Fund, which is regulated by the EU as an alternate investment. "It’s a two-fold strategy to invest in whisky: we pick distilleries using our expertise, but whisky also isn’t a commodity – it's a consumer good, so as part of the industry, we invest below market price at a trade discount, so it appreciates from day one.”

Government regulation, as in The Single Malt Fund’s case, is rare in the market, but it’s becoming a growing symbol of reliability, and similarly regulated funds can now be found in tax-friendly regimes such as Hong Kong and Singapore.

The great thing about whisky is that it’s accessible, you can start from as little as a hundred dollars”

Daniel Lam, Bonhams

But for better or worse, whisky investing is still in its early stages, with only a decade of reliable data to source from. Due diligence is imperative, losses are to be expected and fraud is sometimes prevalent, with overpriced bottles at one end of the spectrum, fake goods in the middle, and labyrinthine confidence schemes on the other.

“Macallan, which has historically been the number-one investment whisky, has actually depreciated according to the RW101 index, so that can happen,” says Svantesson. “And while the whisky industry is quite tightly controlled and fakes aren’t as common as in the fragmented wine industry, you can still be unlucky if you don't know what you're doing.”

Experience is, of course, highly coveted, but common sense is also undervalued. Over the past five years, cask investments have been hyped as the next wave of whisky investment, in which speculators buy into the liquid maturing in oak barrels, before it can even legally be called “whisky”. A broad Google search for “whisky investing” frontloads with numerous ads and targeted articles for casks, with almost unheard-of 20-percent-guaranteed annual returns.

“I strongly suspect there’s fraud emerging in the cask-investment market, a classic Ponzi scam with multiple selling,” says Simpson. “Companies are selling casks on a certificate basis and it’s nonsense – I could give another hundred people the same certificate of title, and I could multiple-sell that cask. There’s a very distinct way that things need to be traded in the whisky industry and that’s not being done.”

Owning an entire cask can seem alluring, especially with advertised prices for as little as US$1,000, but experts say basic verifications such as sampling the whisky, getting accurate measurements of bottles you’ll receive and tracking paper trails such as delivery orders and unique cask numbers are vital before any transaction takes place.

Despite whisky’s recent track record, it’s hard to predict the asset’s future as a stable investment. Mass speculation on the higher-end of the spectrum is a particular concern, with fears of a possible bubble emerging, though many say there’s little to worry about, especially if you’re aiming long-term.

“There’s a new-discovery distillery in nearly every country of the world at the moment, and that globalisation of whisky is only going to drive demand for older, rarer whiskies,” says Shirley. “Certainly as an asset class it will continue to remain popular – we’re not sure how that will be reflected in prices, but it’s not bubble territory like we saw in fine-wine assets.”

Indeed, wine offers a clue through lessons learned: mass speculation in Bordeaux vintages eventually caused a market crash, but that saw increased interest in Burgundy. Similarly, as blue-chip Scotches decline, rare Japanese whiskies are steadily rising, especially as distilleries discontinue age-statement whiskies (Suntory’s Hibiki 12 and 17 are most renowned, but even previously entry-level Hakushu and Yamazaki 10 now sell for 10 times their original retail price).

Other countries to keep an eye on, according to Svantesson, include Ireland (“the birthplace of whisky”), Australia and Taiwan. And for investors wanting to take a punt, now is as good a time as any, with affordable bottles seeing the greatest returns. “What’s fascinating is significant increases at the lower-end of the market, between US$500 to US$2,000 per bottle, with a lot of stress and significant decreases above US$5,000,” says Simpson. “That’s a result of Covid – people are being more cautious. They’re not willing to spend US$10,000 on one bottle, when you can buy 10 bottles and democratise the risk across different distilleries.”

With Covid still creating uncertainty and cries of bubbles in everything from global equities to housing, the majority might be bullish – but even if the asset does suffer a crash, as Micallef says: “Worst case, you can always drink your investment.”

The post The Growing Prominence of Whisky Investing appeared first on Prestige Online - Hong Kong.

Cryptocurrency, or crypto, is a digital form of currency. Everybody wants to invest in this booming market and make large profits. It has no central issuing authority, making crypto vulnerable to scams. Crypto uses a decentralised control mechanism, generally a blockchain, which publicly records transactions in digital form.

As of May 2021, there are over 10,000 cryptocurrencies in this world — Bitcoin being one of the most popular among them. The other coins are generally termed as Altcoins, meaning alternatives to Bitcoin. The list includes big names such as Litecoin, Peercoin, Namecoin and the famous Dogecoin, among thousands of others altcoins.

However, the crypto market continues to be an unknown territory for many and one must do a thorough research before investing in it, thereby avoiding chances of getting scammed. Lack of sufficient information, steep growth in the value of crypto and people’s eagerness to make a quick buck have allured scammers.

So, if you are an investor, especially a new one, in the crypto market, here are some scams and the lessons you must learn to reduce the chances of getting duped.

[caption id="attachment_1797414" align="aligncenter" width="816"] Image: Courtesy Executium/Pexels[/caption]

Cons posing as celebrities/social media impersonation:

No, we are not kidding, this has happened. In fact, one of the biggest scams related to cryptocurrency was a “giveaway scam” and involved Tesla CEO and SpaceX founder Elon Musk. 

Not long ago, the Federal Trade Commission (FTC) reported that investors lost more than USD 2 million in just a span of six months to scammers who impersonated Musk. The fraudsters targeted Bitcoin and other cryptocurrency (read Dogecoin) investors as part of a scam and tweeted from Musk’s account the link to a Bitcoin wallet, asking investors to send money which would “multiply”. 

Since, Musk has often mentioned cryptocurrencies and Bitcoin in his tweets, his followers did not think twice before sending money and ended up losing it. The same report also suggested that there has been a 1,000 percent increase in scam cases related to cryptocurrency from October 2020 to March 2021.  

[caption id="attachment_1797437" align="aligncenter" width="816"] Image: Courtesy Odd Andersen/AFP[/caption]

Lesson - Always verify deals against authentic sources such as press releases and announcements on websites, even if they have been shared by your favourite celebrity or verified social media accounts. 

Online ruse 

From online dating portals to video streaming sites such as YouTube, crypto scammers are using every possible medium as bait to trap new investors. Moreover, crypto is still a new area, with people eager to invest, it serves as a perfect place for scammers to target vulnerable users. 

According to an FTC report, bogus investment cases since October 2020 have reached an all-time high. A combined loss of more than USD 80 million has been reported by 7,000 people. As all this is so new, investors tend to share their passion and knowledge on several portals, which further creates a base for scammers who tend to share tips in an attempt to persuade investors to spend their money. 

[caption id="attachment_1797417" align="aligncenter" width="816"] Image: Courtesy Alexander Sinn/Unsplash[/caption]

The same report even mentioned that online romance is a big part of cryptocurrency scams, wherein users are made to believe that they are in long-distance relationships. Later, the scammers talk them into investing in an upcoming cryptocurrency. About 20 percent of the money that has been lost in online romance scams since October 2020 was spent on cryptocurrency. That is not all, most of these people belong to the age group of 20-49. 

Lesson - Diligently research about the company before investing. Crypto community hails #DYOR (do your own research). Therefore, investors big or small must invest time in finding out all about the cryptocurrency, even if the person who you’re dating seems to know it all and the deal sounds promising. 

Malware scams and viruses

New malware and viruses have evolved and pose a bigger threat to investors while they use websites for buying cryptocurrencies. Such malware software gain access to a user's account(s) and take away the remaining balance, leaving the investor with nothing. 

[caption id="attachment_1797419" align="aligncenter" width="816"] Image: Courtesy Markus Spiske/Unsplash[/caption]

Lesson - Use two-factor authentication on all your currency transferring apps and keep a check on what platform you are being taken to for making the transfer. Additionally, watch out if the website is attempting to auto-download attachments. You must also update your antivirus and system firewall. 

NFT scams 

These are currently the biggest craze in the crypto market. However, before telling you how not to get scammed, let us start with what exactly is Non-Fungible Token (NFT).  

NFTs are unique digital widgets that exist on the blockchain. Generally, these are digital art pieces that are sold for a lot of money. These do a back and forth between marketplaces, which serves as a playground for scammers. 

Remember the headline ‘Beeple sold NFT art for USD 69 million’? Yes, that is what we are talking about. There are many ways by which people can be cheated while selling or buying NFTs.  

[caption id="attachment_1797456" align="aligncenter" width="816"] Image: Courtesy AFP Photo/Christie's Auction House/Handout[/caption]

Canada-based artist Derek Laufman became the victim of one such scam. The Verge reported an incident where Laufman was made aware of the fact that a fraudster had created a profile using his name on Rarible, a site where one can buy NFTs, and had gone to the extent of getting it verified. Laufman’s art had been digitised and put up on the website for sale without his permission.  

Artist impersonation is one of many ways of getting scammed in the NFT world. In such cases, the scammers try to quickly sell famous pieces at a very low cost, before they are reported. Brand impersonation, fake storefronts and deceitful bidding are other ways that scammers steal your money. 

Lesson - Always ensure that the account you are buying from is verified. Never provide personal information to anyone or to sites that look even a tad fake. Use tools like MetaMask for security. Pay attention to the URL of the site and how you are being directed to it. If the process of the currency transfer is not like your regular online payment method and the site where the payment has to be done is not what your online banking site looks like, do not continue with the payment. 

Altcoin pump and dump

Another famous scam in cryptocurrency that has been scaring investors is the altcoin pump and dump, which is similar to penny stocks and are usually cheap.  

A crypto guru or an influencer buys large quantities of a cheap coin, and they start promoting it on their social media. Then, they would go on to ask investors to buy them, resulting in an increase in the value of the coin. Once that is done, the influencer lets go of all their coins with a massive profit. 

[caption id="attachment_1797439" align="aligncenter" width="816"] Image: Courtesy Fred Dufour/AFP[/caption]

One name that comes to mind while talking about this is John McAfee (pictured), the creator of the McAfee antivirus. In December 2017, he tweeted that he would talk about one unique altcoin each day, adding that “most of the 2,000 coins are trash or scam". 

The tweet further read, “The few I am connected to, I will tell you. The rest, I have no position in. These coins will change the world. You can support the change. [sic.]”  

Beginning tomorrow, I will each day talk about a unique altcoin. Most of the 2,000 coins are trash or scams. I've read every white paper. The few I'm connected to I will tell you. The rest I have no position in. These coins will change the world. You can support
that change

— John McAfee (@officialmcafee) December 20, 2017

This is a clear example of an influencer trying to spike the value of a cryptocurrency. McAfee and his bodyguard Jimmy Gale Watson Jr relied on the former’s large following on Twitter and had talked about a coin each day to inflate its value, which were later allegedly sold.  

According to BBC, in March 2021, McAfee had been charged with money laundering and conspiracy to commit fraud. Through the pump and dump scheme, the two pocketed a hefty USD 2 million. However, that was not all, they also got USD 11 million from the cryptocurrency start-ups for promoting their coins. 

Lesson - Do not fall prey to promotional gimmicks by celebrities and invest your life savings in them. Do your own research and ask around about the coin but don’t fall for a hearsay trend. 

DeFi scams

Remember DeFi100 and scammers hacking the website? DeFi is short for decentralised finance. It is a platform that is now attempting to give a new take at the conventional trading methods to make it more user friendly and allow more people to take part in it. It allows investors to put their cryptocurrency into companies and earn from it in the form of interest. The virtual money gets locked with the firm and in return, heavy profits are drawn against it. 

[caption id="attachment_1797428" align="aligncenter" width="816"] Image: Courtesy Charles Deluvio/Unsplash[/caption]

Scammers love it because they can make a DeFi platform that looks genuine but is far from it. Investors are made to lock their money through contracts. The fraudsters then steal it without giving the owner a chance to recover it. 

Lesson - Do not be too eager to earn interests or profits, and research well about the platform before investing your money. If the admin asks for your private keys to fix some issue, that is a red flag and your cue to know that the admin is an impersonator, because nobody will ever ask for your private information. 

Therefore, be thorough in your research, trust only authentic sources for information and be aware of misguided and false information on social media. Talk to an expert if you can before investing, or run your plans by a friend who has been dealing with crypto longer than you. These are some easy steps you can take to avoid getting scammed in the world of cryptocurrencies. 

(Main Image Credit: Dmitry Demidko/Unsplash; Feature Image Credit: André François McKenzie/ Unsplash)

The post How to Avoid Getting Scammed While Investing in Cryptocurrency appeared first on Prestige Online - Hong Kong.

Asian private banks, wealth managers and their clients have probably never faced stronger challenges to their portfolios and their investment relationships.

New forces are shaping the future of investing, private banking and how clients will be served. Financial markets and economies are just emerging from a global pandemic and unprecedented market volatility.

Citi Private Bank draws from its long international experience and network to help clients achieve long-term growth. Asia is a high-growth economic region where wealth creation continues to accelerate. It represents a major business opportunity for both banks and clients to generate returns and manage wealth.

“Ultimately, we’re in the business of trust, where the professionals should be as trusted as the client’s family members,” explains Horace Yip, Citi Private Bank managing director and global market manager for Hong Kong. “Only long-standing private banks can accomplish this.”

When it comes to investment decisions, Asian investors are inclined to demand some sort of active role or reserve a section of a portfolio for their own trades. Beating the markets and keeping up with other successful Asian businessmen – even in volatile markets – are unavoidable short-term client imperatives. However, Citi Private Bank seeks a deeper and more profound investment relationship with its clients.

“Citi Private Bank accompanies and advises clients on their wealth-building and -management journey,” says Yip. “Wealth-management accounts start from US$1.5 million. We see it as a journey going up a wealth escalator. It’s also a journey that mirrors the emergence and rise of the middle class witnessed throughout Asia.”

Both individuals and institutions display their own unique advantages and disadvantages in today’s volatile markets that are heavily influenced by an uneven pandemic recovery and central-bank interventions across economies.

Citi is optimistic about the scale and growth potential of the Asia-Pacific wealth market. So far this year, it hired close to 650 wealth professionals in the region, including more than 130 relationship managers (RMs) and private bankers (PBs) to support client-led growth.

In the first quarter of 2021, Citi added more than US$5 billion in net new funds, representing one of the strongest quarters for the bank on record. The hiring is part of plans to add an extra 2,300 wealth staff, including 1,100 RMs and PBs to support clients, and grow client assets by US$150 billion by 2025.

“Hong Kong is a wealth-management and financial hub for Asia and China’s Greater Bay Area. Our research is covering more ‘A’-share companies in response to demand,” says Yip.

Daniel L Chan, managing director and head of Citi Investment Management Asia, emphasises the importance of establishing and maintaining a core section of the overall portfolio for long-term investments. Determining a client’s appropriate asset mix is an important exercise in carefully blending different investments to obtain targeted results. Risk becomes an important consideration and it possesses many dimensions for the individual.

“We work hard with clients to help them understand and educate them on the importance of a core portfolio – a long-term portfolio of key investments,” says Chan.

Some clients prefer to make their own decisions (active investing), using their bankers to access world markets and an enormous variety of asset classes. Others simply delegate the management of their investments to the bank’s asset managers (discretionary investing).

Whatever their style preferences, Chan observes, “clients have been grateful to hold on to core portfolios through pandemic volatility. It also demonstrates the benefits of a disciplined long-term investment strategy. Our wealth managers have been able to generate a 12 per cent per annum return on a 50/50 equity and fixed-income portfolio.”

One example of how the financial education journey can begin is illustrated by a Hong Kong family whose main business is manufacturing in China. The first natural and comfortable preference is to invest in China equities. Over time, the core portfolio includes global equities and fixed-income strategies.

“It’s an evolving learning process that can take six years,” says Chan. “Last March, during the worst market volatility, instead of calling to liquidate, this family asked if they should add to the core portfolio. At that point, we knew the education journey had borne fruit. Their core portfolio ended last year with a return of more than 20 per cent.”

“Today’s Asian clients display sophistication over a wide spectrum of investment techniques and asset classes,” observes Yip. “And the progression of family offices has been fast over the last five years.”

Whether or not clients use discretionary investment services, they should conduct regular reviews of their strategy and performance with their private banker and stay up to date with regular reports.

“Citi has established a wide investment platform with local, regional and global products and services. Our private bankers, along with our investment counsellors, provide highly tailored advice, as well as a regular flow of investment ideas to support client decision-making,” says Yip.

Most Asian high-net-worth (HNW) customers have more than three wealth management relationships and increasingly demand a relationship manager who understands their business and family needs. As the Asian HNW sector matures, demand is increasing for more sophisticated investment products and services. And the future of private banking services will be determined by investors’ behaviour – healthy or unhealthy, rational or irrational.

“Hong Kong clients from the 1980s and ’90s primarily relied on equities to grow wealth,” says Chan. “Today’s new clients are more focused on capturing the new investment cycle.”

He points out that one big difference is the interest in the wide scope of alternative assets. The recent multi-billion-dollar mainland technology listings on the Hong Kong Stock Exchange have sparked interest in venture-capital and private-equity early-stage investments. Citi Private Bank is prepared to address this new trend.

Chan points out, “Private-equity, alternative assets have proven to be a reliable source of non-correlating diversification that should be part of a core portfolio. We’re able to offer asset managers who are independent of Citi.”

Citi Private Bank’s global capabilities are especially valuable to entrepreneurs or cash-rich investors who seek investment opportunities in down or volatile markets. Private equity has emerged as an asset class that’s generating more interest, despite its broad management challenges.

Sustainability is also built into Citi Private Bank’s philosophy and capability. Investment funds, clients and corporations are increasingly demanding high environmental, social and governance (ESG) standards. The bank offers a wide range of sustainability funds and qualifies companies before an investment is made. Citi Private Bank integrates ESG analysis and criteria in its financial assessment to better identify opportunities and risks.

Mobile technologies from tablets to smartphones have made it easier for clients and bankers to extract all the information and data they require to make timely investment decisions. But data overkill can also overwhelm analysis and decision-making.

Yip warns that as “technology becomes more customer-driven and focused on accessibility, convenience and information-delivery, information overload has become a problem; clients generally manage it by asking only to send them what they should read and nothing more.”

Citi Private Bank is client-driven and can tailor its information platforms. Client-focused services supported by well-designed data and information platforms were forced to evolve during the Covid crisis. While the pandemic impacted everyone’s lives, it has transformed the wealth-management industry in terms of how institutions work and relate to clients’ priorities.

“Not only has it changed clients’ banking patterns, but the pandemic has also accelerated the development of big data and artificial intelligence. It has improved the digital capabilities of both clients and banks and the entire client-engagement experience. The pandemic provided a perfect opportunity to test the agility and efficiency of the front and back-office focused digital solutions that we’ve developed. And the outcome so far has been extremely positive.”

Working from home during Covid for both bankers and clients has made virtual connectivity with clients a necessary and primary communication and engagement platform.

“We’ll continue to fully utilise digital tools in client interactions,” says Yip. “They’ll become an integral feature in our business operations."

“Nonetheless, a personal, face-to-face relationship with clients remains a cornerstone to building trust and establishing fundamental strategies, themes and holdings in a core, long-term portfolio. So we should never substitute relationships with technology.”

Find out more here.

The post At Citi Private Bank, a Relationship with Clients is Key appeared first on Prestige Online - Hong Kong.

Family-owned Hong Kong brokerage Victory Securities builds on a long-established philosophy of client service and dependability.

Survival and prosperity for financial institutions over the decades in tumultuous global financial markets is so precarious that many partnerships, family-owned organisations and corporations have disappeared into the abyss of financial crisis and historical change. Lehman Brothers and Bear Stearns are just a few well-known Wall Street names that no longer exist.

Hong Kong’s capital markets have evolved into the financial hub and centre of capitalism for China. Yet few local family brokers are able to grow large and fast enough to keep up with – and serve the requirements of – the rapidly expanding Chinese economy, and investors who demand increasingly sophisticated services and products.

Victory Securities represents a rare breed of financial brokerage houses, one that’s independently owned and has been operated by the same family for the last 50 years. Today, its management reins are being passed to third-generation family member, Kennix Chan, deputy chief operating officer, who faces market challenges armed with his family’s enduring philosophy.

“My grandfather, Dr Kou Tak Tai, was the founder who established Victory Securities 50 years ago. Its original business was providing securities brokerage services to individuals and corporate clients in Hong Kong. Those were the days when a Hong Kong stockbroker was a bunch of people seated around tables sharing a bank of phones. Trading technology took the form of a chalkboard, where updated stock quotes were scratched in from the old stock exchange,” says Chan.

But instead of being fixated on short-term trading and broking, his grandfather sought to build something more enduring.

“My grandfather believed faith and trust should infuse the entire way the firm conducted business with clients and employees. He regularly said and practised his abiding belief that ‘the clients’ interests always come first.’”

His guiding principles still preside in the form of Chinese calligraphy in the company’s boardroom. Chan distils his grandfather’s vision that continues to inspire Victory today.

“We aim to be a trusted, lifelong partner to our customers and stakeholders in delivering on our core competencies: outstanding service, innovative solutions and wealth creation.”

Such insight and vision were unusual in those early days, but China’s subsequent rise as the world’s second-largest economy and an important financial market has compelled Hong Kong’s stockbrokers to meet global standards or exit the industry. A commitment to flourish in the new environment and sharp market cycles demand an uncommon vision and determined, consistent execution.

Chan says, “Today, we translate those principles into rigorous risk management, downside protection, and capital preservation in our operational decisions, and in the advice we give our clients.”

Survival and prosperity in investment and financial markets is no simple matter of rejecting all risk and avoiding any unconventional opportunity. “We’ve always decisively seized opportunities during market crisis.”

Victory bought its office building during the uncertain atmosphere of the global financial crisis. Aside from establishing a permanent office that offsets rental expenses in a city that was notorious for sharp rent increases, it effectively preserved cash flow. The latter was invested in margin financing and business development, which helped expand the company’s business in the subsequent rising market.

And in 2015, the company thought a financial bubble was peaking, so it decisively reversed its credit position and lowered its margin ratios for clients. Risk-taking and risk management are two sides of the same coin. Yet they can either represent an insurmountable challenge or a once-in-a-lifetime opportunity depending on the viewpoint.

Victory’s corporate culture draws from its decades of experience and market research and analysis to provide a comprehensive range of innovative financial products and bespoke asset management and financing solutions for multinational companies, institutional and individual investors alike.

Victory offers a comprehensive range of securities brokerage services, and asset and wealth management solutions in traditional and alternative asset classes, debt and equity capital markets, and structured financing and investment advice. “We welcome all types and sizes of clients and accounts. Our team focuses on each client’s long-term objectives and their risk and return requirements at different life stages.”

Victory strongly believes in the future of China’s capital markets and is investing heavily in establishing an asset management division in Guangzhou. They continue to expand other segments of their business, such as the wealth management arm, by setting up private funds, trusts and insurance for professional and individual investors.

The company also launched an award-winning app in 2018 for online multi-platform trading. It enables clients to access exchanges across China, Australia, Canada, Europe, Japan, Singapore, the United Kingdom and the United States.

As Chan also proudly points out, “We’ve retained the loyalty of some multigenerational clients whose relatives started with us from our early days. It’s because we listen and take care of them without pushing products. Our competitive advantage comes from an emphasis on flexible decision-making through a lean management hierarchy.”

A family-owned business, Victory considers all employees to be part of that family. Chan describes the importance of cultivating transparent management policies. “Instilling confidence in employees is accomplished through open-minded and inclusive practices. For example, we cover benefits such as employee education and healthcare. We allow for open debate and discussion at all levels. And besides donating to charities, we invest in regular team-building events and off-site training.”

Chan leads his corporate culture with a style that is collegial and consultative. Victory’s business culture values decisive decision-making when boldness and conviction are called for – important traits in a volatile and uncertain environment.

He elaborates his vision on how a financial-services organisation prospers on seamlessly generating and sharing ideas among colleagues and clients, and across cultures.

“Tremendous opportunities lie in providing financial services to the Greater Bay Area, as Hong Kong and the GBA further integrate as a single financial market. Public policies and the rapid growth of China’s middle class are creating a demand for more efficient platforms for mainlanders to invest in a wider range of onshore financial products and access Hong Kong’s offshore financial services.”

Victory is preparing for rapid regional and international growth with representative offices in Beijing, Tianjin, Suzhou, as well as branches in Shenzhen, Singapore, and Japan.

Today, Victory employs around 70 people. Its financial background is sound, with the asset-management and brokerage business still a core revenue generator, especially after its IPO in 2018. While serving its base of institutional and retail clients, it seeks to diversify its business in four major sectors: brokerage, asset management and capital-market and wealth management around the globe.

“We’re well-positioned in China, as our asset-management arm was awarded Qualified Foreign Institution Investor (QFII) status by the China Securities Regulatory Commission (CSRC),” says Chan. “Bond, Stock and Wealth Management Connect programmes between China and Hong Kong are positive developments for future trends in our industry. Bond Connect is especially compelling, as more fixed-income products will come to market. Refining financial connectivity between Hong Kong and China will internationalise finance.”

In Singapore, the company has formed Victory Nest Asset Management Pte Ltd, a venture-capital fund-management firm, which will help it expand its asset management business network to overseas countries. Victory Nest has also applied for a registered fund-management company licence to widen its capabilities.

Cryptocurrencies and virtual-asset products have proven to be both controversial and attractive. Their rise as alternative asset classes can’t be ignored as they disrupt mainstream finance, and high-net-worth individuals and institutions play a role. Chan says he’s closely monitoring its evolution to strategise the group’s future involvement in this new asset class.

Victory Securities is inspired and guided by its past beliefs and distinct culture to confidently move into an uncertain yet exciting future in financial markets.

The post Victory Securities is Finding the Future of Finance by Drawing on its Past appeared first on Prestige Online - Hong Kong.

There’s no doubt Alex Lam inherited his musical talent from his parents, his father being Cantopop legend George Lam Chi-Cheung, and his mother, Sally Yeh. Still, the singer-songwriter and actor hasn’t let privilege get to his head — he’s not afraid to explore other paths, from a stint in Los Angeles to discover yoga and becoming a yoga teacher, to dipping his toes in fashion.

Lam met Hiro Yoshikawa, founder and designer of Washi Jeans, a Japanese denim brand, a couple years back and was intrigued by the designer’s backstory. Now based in Hong Kong, Yoshikawa is the 18^th generation of a revered sake maker in Okayama, Japan, and the first to leave the family business to pursue his own passion in denim-making. By chance, Yoshikawa had found an old document that charted out his family’s history, written on washi paper. Inspired by this, he developed and patented the Washi No. 6 paper yarn, which he utilizes in his first solo collection launching this month.

Lam, who has always had an eye for detail, quickly became an ambassador and muse for Yoshikawa, and took it upon himself to bring the recognition Yoshikawa deserves by helping him stage his upcoming solo debut.

We sit down with Alex Lam and Hiro Yoshikawa at Washi Jean's studio to talk about style and the upcoming debut of Yoshikawa's solo collection Life on Earth.

Can you describe your style? What are your wardrobe essentials?

AL: My style has always been inspired by musicians. I grew up watching some of my favourite bands like The Rolling Stones, The Beatles, and today, I'm inspired by singers like Drake. For me, my summer essentials include a sleeveless vest, a good multi-functional blazer and a pair of high-quality designer jeans.

Have you always been passionate about fashion and did you want to work in fashion?

AL: I have always cared about how I look and my outfits since I was a kid. I remember there was one time when the collar of my t-shirt wasn't right and I wouldn’t wear it out until my parents fixed it for me. Having friends who are in the fashion industry allows me to execute and experiment my ideas during workshops, like the ‘marshmallow’ colourway of the t-shirt I’m wearing right now. 

How did the both of you meet?

AL: I met Hiro-san thought some of our mutual friends.

HY: have been making jeans for other brands for the past 30 years and it has always been my dream to have my own denim brand. I have always hung out with people from the fashion industry, and meeting Alex from the music and acting world has made my life more fun and exciting.

Can you tell us a bit about your project with Hiro-san?

AL: I was hanging out with a group of producers and we often talk about fashion shows, designer brands’ videos, installation art and music. Once we found out Hiro-san wanted to launch his own denim brand this year, we decided to catch this opportunity and put our ideas together. We are organising a VIP launch event with a fashion show on June 11, 2021.

What was the biggest challenge you had to overcome with this project?

AL: I think the rules of the game changed after Covid started last year. We looked at online fashion shows last year, without the tradition styles, and we knew our team needed to do it in a cleverer way. The restriction for event gathering is 30 persons at the moment, so we were not able to invite too many friends and make the event as big as before. Plus the campaign and fashion show video shoot all in one day, that’s the biggest challenge in this project.

HY:  We have been staying in our studio almost every day is the past few months, meeting different parties like our PR team, models, videographers and producers.

What else are you up to this year that you can share with us?

AL: I have released a new song and I just finished a music video for another song. I have also been working on my YouTube channel and created a few series, but it’s been slightly slowed down because I was focusing in this project.

Has the pandemic affected the way you work or changed your priorities?

AL: Before Covid, I was busy working with clients, who often prepared everything. With changes and restrictions during this period, I am able to organise and create more content by myself.

What are you currently inspired by?

AL: There are many indie musicians and young kids out there who are doing their music in their unique styles. I admire them a lot as they can release songs as long as they think it sounds good. I used think good music requires the best studio and recording equipment, but turned out a lot of indie musicians are producing high quality songs just by working at home.

You have a YouTube channel, you're into fashion, music as well as classic cars. How did you get into each of those passions and how do you balance it all?

AL: Project by project. I’m now focusing more on quantity over quality and I'll keep learning from the progress and mistakes.

Do you have a motto you live by?

Stay healthy. As I was a yoga teacher, I still practice yoga for two to three hours each day. It’s a good way to reflect on myself and find peace.

The post NFTs: a Bubble Within a Bubble? appeared first on Prestige Online - Hong Kong.

In the second of two articles, Mozamil Afzal, Global Chief Investment Officer of EFG Asset Management, continues his overview of the investment scenario in 2021.

With vaccination programmes underway and continued engagement from governments and central banks in supporting their economies, hopes are growing of a faster than expected economic recovery this year, even given the threat of new virus variants. This is certainly evident in equity markets, whereby US and Chinese stocks continue to test all-time highs and major indices are in positive territory for the year thus far. The Lunar New Year has offered a chance to reset focus and the investment outlook. Much like the Ox, we hope that the year will deliver positivity and strength to markets.

Environmental investments have transitioned into the mainstream, having been on the sidelines just a few years ago. Public opinion has grown in support of the environment, there’s been an explosion in the number of environmental, social and governance funds, and even central banks are taking action on climate change. The ECB announced the establishment of a climate-change centre to coordinate its activities in this area, and the Federal Reserve is establishing a Supervision Climate Committee with the same objective. With the major central banks moving ahead, many smaller central banks will undoubtedly follow. Furthermore, the Biden presidency should be a catalyst for the trend.

Furthermore, the Biden presidency should be a catalyst for the trend.
The increased demand for electric vehicles will be part of a general trend towards electrification of economies – including other forms of transport, heating and industry; the trend will be especially notable across Europe, China and the US. Aligned with that trend will be a change in energy production, away from fossil fuels and with a much greater emphasis on electricity from renewable sources. Importantly, wind and solar power are now in many cases much cheaper than fossil fuels. This is a year when we expect the forces of creative destruction to be truly unleashed.

The huge expansions in central bank balance sheets alongside engagement in quantitative easing programmes feeding into economic growth have raised the question as to whether inflation pressures will be triggered. The recent sell-off in US Treasuries would seem to suggest that investors are expecting inflation to rise, whereas the Federal Reserve views any price increases as just transitory. It’s important to remember that despite a recovery in demand, many sectors of the global economy will be characterised by excess capacity in 2021. That will be the case in sectors such as energy, which have a particularly important effect on the overall inflation rate. The evidence from those economies that have made a good recovery from Covid-19 is that inflationary pressures are muted. Consumer price inflation in China was once again negative in January, while producer prices also remain tame.

There’s been a sharp increase in the monetary base, which has been similar to that seen in the Global Financial Crisis. In contrast to the GFC, broad money growth has increased: this potentially poses a bigger threat to future inflation. However, the increase in broad money growth has largely reflected precautionary behaviour by the private sector: for consumers, an increase in bank deposits as consumer savings rates have surged; and, for businesses, an increase in their bank deposits as credit lines have been drawn down to bolster balance sheets and investment spending has been delayed. So, unless this faster broad money growth is maintained – which we think is unlikely – the threat of higher inflation, certainly in 2021, seems exaggerated. That expectation is reflected in financial markets’ pricing of future inflation in the major advanced economies.

With inflation expected to remain low across advanced economies for some time to come, longer-term government bond yields are also likely to remain anchored. However, the durability of US low inflation and bond yields has been questioned repeatedly in recent years. In 2021 the main concern is that with high deficits and debt levels, governments may not be able to borrow as cheaply. Rising bond yields and the associated capital losses are a real concern. Nevertheless, fixed income still has some interesting areas. Look to convertible bonds, which could be set to continue their positive trend seen over the last few years. We also believe there should be emphasis on wealthy nations issuers, which have stronger financial positions than many developed countries and their sovereign and quasi-sovereign bonds can offer an attractive yield pick-up. Finally, the global recovery will provide a supportive backdrop to emerging market debt.
On the equity side, it’s interesting to note that in 2020, global small cap stocks outperformed large cap stocks. This particularly reflected the stronger performance of small cap stocks in Asia.

"With inflation exprected to remain low across advanced economies, longer-term government bond yields are likely to remain anchored"

Mozamil Afzal

We think the performance of small cap relative is due a revival for three main reasons. First, the agility and flexibility often found in small companies can allow them to be leaders in innovation. Second, small companies typically focus on a narrow area in which they have expertise. Third, plentiful liquidity has been built up to support such companies. This is seen in the high levels of private equity dry powder and the recent growth of SPACs (special purpose acquisition companies), which seek out small private companies to take public. It’s still early on in the year, but so far US small caps are outpacing larger peers and we hope for this to continue as we await the next wave of destruction from small innovative companies.

The healthcare sector is our contrarian pick for three main reasons. First, it offers exposure to one of the most important global social megatrends – an ageing population and increased demand for healthcare for the elderly. Second, large healthcare companies are still relatively defensive, dividend-paying businesses, which are attractively valued. In aggregate, the companies in the US S&P 500 healthcare sector trade at a lower forward price/earnings multiple than most other sectors. We think this partly reflects concerns about the possible policies of President Biden, but any likely changes seem well discounted in current valuations.

Finally, the entire sector was disrupted by Covid-19, and the opportunities arising from that will, we think, come to greater fruition in 2021 and beyond. Most importantly, Covid-19 has triggered a much broader adoption of new digital technologies, especially remote patient consultations and diagnostics. At the same time, wearable devices for activity tracking, health monitoring and screening look set for much broader adoption. Minimally invasive techniques and robotic procedures are being seen in areas from heart surgery to orthodontics. The introduction of many of these new technologies is likely to be led by tech, rather than healthcare, companies further enhancing the competitive dynamic in the industry.

Overall, uncertainty remains, but as 2020 highlighted, despite a difficult environment there are new market opportunities out there.

The post 2021 Investment Scenario: Ox-market Opportunities appeared first on Prestige Online - Hong Kong.

The elusive Calvin Lo believes that it’s time for the wealthy to keep quiet, sit down and listen if we want to solve the global problems of Covid-19.

The post Billionaire Calvin Lo on the GameStop kerfuffle and his new philanthropy think tank, The 195 Project appeared first on The Peak Magazine.

The elusive Calvin Lo believes that it’s time for the wealthy to keep quiet, sit down and listen if we want to solve the global problems of Covid-19.

For more stories like this, visit www.thepeakmagazine.com.sg.