My bookmarks

Pins are saved using cookies. Deleting them from your browser will delete your preferences.

Menu

JK Capital Management 

An experienced, dedicated and local manager

JK Capital Management, an affiliate of La Française Group, is a Hong Kong-based asset management firm specializing in Asian equity and bond markets since 1997. The firm has 8 investment professionals focusing on bottom-up stock/bond picking with special emphasis on due diligence.

Equity expertise

Our equity expertise lies in our belief in conviction investing. We aim to stay differentiated as an active manager. We run high conviction concentrated portfolios with long term focus based on in-house original ideas. By understanding industry trends, we prefer winners in rising industries riding multiple cycles. Our edge is to discover companies that are below the radar and/or underappreciated, often in the small and mid cap space, by getting our hands dirty on the ground.

Bond expertise

In bond markets we combine the global emerging market macro expertise of the La Francaise Group with JK Capital Management’s strong fundamental due diligence capabilities in Asia. Across our well diversified range of products, our fixed income team prioritizes a highly disciplined bottom-up analysis approach to each position to identify idiosyncratic risks events well ahead of the rest of the market.

JKC Strategies

La Française JKC China Equity Strategy

The fund’s objective is to provide investors with exposure to China’s long term growth through investments in companies operating out of China, listed either onshore or offshore, while benefiting from a volatility that will be lower than the average volatility of Chinese indices. The fund is a multi-cap fund focusing on bottom up stock picking of listed companies having their operations in China and on the basis of ground due diligence and compelling valuations using a value driven investment methodology.

La Française JKC Asia Equity Strategy

The fund’s objective is to provide investors with exposure to the Asian continent through investments in companies operating predominantly in Asia excluding Japan. The fund aims at providing above-average returns with a lower than- average volatility by implementing a bottom-up value approach investment methodology combined with a top down macro-driven country allocation.

La Française LUX - JKC Asia Bond 2023

The management objective of the Fund is to achieve an attractive yield over the recommended period of 7 years from the launch date of the Sub-Fund until 31st December 2023. The Fund mainly invests in government and corporate bonds of any credit quality from Asian Pacific countries, excluding Japan, that mature on or before 31 December 2023.

La Française LUX - JKC Asia Bond

The Fund aims to provide, over the recommended investment period of over 3-5 years, income and capital appreciation in long term. The Fund will seek to achieve the investment objective through a Total Return long only approach with a flexible allocation between bonds issued by private or public bodies principally domiciled in Asian Pacific countries (without Japan). The Fund is not index-based or index-referenced, but may be compared ex-post by investors with the performance of the Markit iBoxx Asian USD Dollar Bond Index.

How we invest - Systematic approach with discipline

We look for companies...

  • With distinct competitive advantage
  • In industries with sufficient market potential
  • With sustainable profit margins
  • With strong balance sheets throughout cycles
  • With a determined management team aiming for sustainable growth
  • With unquestionable management integrity and corporate governance

We generate ideas via...

  • Monthly JKCM universe screening => JKCM focus list
  • 700+ company meetings/calls every year

We construct portfolios...

  • Based on convictions (daily discussions + analysts' paper portfolios)
  • With disciplined idea inclusion and exclusion process
  • With diligent portfolio reviews and conviction checks

Our portfolio companies typically fall in three types:

  • High conviction long term core holdings
  • Short term to medium term value discovering opportunities
  • Best of breed benchmark names

Equity investment process - a bottom-up approach in 5 steps

Value FiltersHK/ China, Taiwan, Korea, Singapore, Philippines, Thailand, Indonesia, India, Malaysia. “A” shares through the Shanghai and Shenzhen – Hong Kong Stock Connect. Filtering the markets with the MSCI Value definition to narrow the investment universe
Macro Overlay
  • Country Allocation
  • Sector Allocation
Financial approach
  • Verification of all valuation metrics
  • Identification of value traps
  • Building of valuation models
Private Equity approach
  • Due diligence of the companies corporate governance
  • Management review
  • Face-to-face meetings and site visits
  • Portfolio construction: 20 to 40 stocks
  • Stock selection
  • Market timing analysis
  • Risk management

Bond investment process - combining top-down and bottom-up expertise

Identify Macro Drivers of the Market

  • Global economic forecasting
  • Forward views on monetary and fiscal policy trends and implications
  • Objective country risk assessment
  • Global emerging market relative value benchmarking with La Française teams

Top down Positioning

  • Assessing macro outlook...
  • ...we skew the portfolio on the basis of our duration, curve, risk, country and sector views
  • Maintain a disciplined approach to diversification

Bottom Up Due Diligence

  • Wide investment universe => high selectivity
  • Diversified strategy BUT maintain a focus on bottom up due diligence
  • Each position subjected to rigorous fundamental credit analysis of business, financial and affiliation profile
  • Leverage off JKCM Equity team insights
  • Focus on close management contact...
  • ...700+ company meetings/calls every year across the firm
  • All positions subjected to daily relative value and risk assessment

Portfolio managers

Seasoned professionals with 20 years on average investing in asian markets.

  • Fabrice Jacob

    Founder, CEO and Portfolio Manager

    Fabrice Jacob

    Founder, CEO and Portfolio Manager

  • Sabrina Ren

    Portfolio Manager, Equity

    Sabrina Ren

    Portfolio Manager, Equity

  • Marcus Weston

    Portfolio Manager, Fixed Income

    Marcus Weston

    Portfolio Manager, Fixed Income

Research

Contact

JK CAPITAL MANAGEMENT LTD.

Legal and Regulatory Disclosures

 

JK Capital Management Ltd (a Hong Kong company with registered office at Suite 1101, Chinachem Tower, 34-37 Connaught Road Central, Hong Kong, HK SAR) is authorised and regulated by the Securities and Futures Commission (SFC) of Hong Kong, for the management and distribution of regulated financial products and services. La Française AM International has a signed agreement with JK Capital Management Ltd, whereby La Française AM International is authorized to distribute JK Capital Management Ltd products in Europe. 

Nothing contained in or on the website should constitute an offer to sell in any security, investment or to engage in any transaction.  The website is not directed to any person in any jurisdiction where the publication or availability of this website is prohibited.  Information published on this website is current as at the date it is first published and may not remain true nor accurate.  Any expression of opinion or forecast is based on sources that are believed to be reliable at the time such opinion or forecast are made.  Market conditions and assumptions are subject to change after such forecast and opinion are made.  Past performance is not a reliable indicator of future performance.  The value of investments can fluctuate and investors may lose all of their investment.  Exchange rate movements can also impact the value of investment overseas.

Before investing, carefully consider the fund’s investment objective, risks, charges, and expenses as well as whether it is available to you in your domicile jurisdiction. For more information please refer to the latest prospectus, the KIID, the factsheets and the annual and semi-annual reports, the latest versions of which are available free of charge on www.lafrancaise-am.com or upon request to contact-valeurmobilieres@lafrançaise-group.com or through your financial advisor. 

La Française Group provides access to the expertise of a number of asset management companies around the world. To provide you with the most relevant information, we have developed an interface to present the full range of products available for your investor profile and country of residence.

Present yourself

1
Country
2
Language
3
Profile

Your country of residence

Your language

Your profile

By continuing browsing on this website, you accept the use of cookies and other tracing devices s as to allow you to receive information suited to your profile, facilitate information sharing on social networks, guarantee the best browsing experience possible and to create statistics. To find out more, we invite you to consult our Privacy and Cookies policy. Find out more.