Chinese response to Softbanks Vision Fund
Masayoshi Son has long been known for his Softbanks Vision Fund . His business model, Softbanks Vision Fund, achieved a high level of awe and respect. The high attention resulted mainly for two reasons. These were, on the one hand, those companies that had such a unique concept that they were supported in opening their business models by the multi-billion dollar funds . On the other hand, this attention was that the funds stored in London spent very large sums of money .
The competition: China New Era Technology Funds
Now the monopoly position of entrepreneur Masayoshi Son is over. A company from China designed the same concept and now competes with the Japanese entrepreneur. The competition is being met by the China Merchants Group . The fund, which should be in the beginning in this group, amounts to about 100 billion yuan . That would be about $ 15 billion . However, it is reported that this fund was set up with the help of a partner from the United Kingdom, more specifically from London. The fund, which is titled China New Era Technology Funds , should initially specialize in Chinese technology stocks. For this focus, approximately 40 billion yuan should be invested by China Merchants Group and other Chinese companies. The remaining 60 billion yuan should then be sponsored by other technology companies, universities and governments . In the further course, international investments are not excluded. As the fund is basically very difficult to set up, China would like to seek advice from the same British people who helped Masayoshi Son. In general, the Chinese leader Xi Jinping wants to get help from others in order to optimize the structure of his fund. In addition, Xi Jinping wants to hire SPF and Centricus to raise the 60 billion yuan. This is particularly because they both have good contacts in the Middle East , which were already prepared to invest in the fund of Masayoshi Son. With his China New Era Technology Fund, Xi Jinping now wants to bring about strong developments in the digital field and is certainly not the only one with this idea. For example, Sequoia plans to set up a $ 8 billion global fund. The advantage of the China Merchants Group is that it already has a good background in the tech investment business . This knowledge comes from subsidiaries and investors.
In summary, it can therefore be concluded that more and more competitors will find themselves in the area of the former monopoly position of Masayoshi Son. The funds are already very popular and will become even more popular in the near future. At some point, there will be an expansion of funds across the globe.