Jeff Wang of Huaren Capital: Southeast Asia, rising quietly, will be the next hottest investment market


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As the one that has the most potential at present, the Southeast Asian market has attracted Amazon, Wal-mart, Alibaba and other big companies to make investments. As to why Huaren Capital chose Southeast Asia instead of India, Africa, South America and others, Jeff Wang said: "I can only succeed if I focus on one place, and the choice of Southeast Asia was made after detailed and thorough global investigation."

On the Indian market, Wang said: "India is the hottest market in the world, but I don't think there are many opportunities for Chinese companies there."

Europe and the United States pay more attention to India than China. India's talent in Silicon Valley is also very competitive, especially if those people return to India to do business in the field of vision, pattern, team management ability, technical master ability, and capital transfer ability. So the chances of Chinese entrepreneurs in India is not very great.

In comparison, Southeast Asia has obvious advantages. First of all, there are 650 million people in Southeast Asia, which is a big market. Moreover, from the level of GDP, the region has entered the stage of consumption upgrading and is still maintaining a high growth rate, so this is an ideal time.

Historically, the Chinese have had a great influence in Southeast Asia.

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Few Chinese entrepreneurs have succeeded in starting businesses in India, but there are many examples of Chinese people going to Nanyang. In the Philippines, majority of the economy is controlled by Filipino-Chinese families. Southeast Asia is naturally more accepting of China, and China is the largest importer of the Philippines, and more dependent on China economically.

Therefore, Wang believes that Southeast Asia is a very competitive market, and he has found partners, especially in the Philippines, which can be described as "the right time, place and people."

In the last two years, many entrepreneurs and investors have been paying close attention to the Southeast Asian market, including Zhenge Fund, Fosun Group, Qiming Venture Capital and other investment institutions, which have conducted overseas layout. However, many funds only regard Southeast Asia as a sector, while Huaren Capital focuses on Southeast Asia and only invested on the companies which rank first in the investment industry.

As to how to become the top in the field, Wang believes that there are two essential factors: team and market.

First, the team has to be strong enough. Outstanding people tend to think more deeply, have strong leadership and executive abilities, have precise strategic vision and a long view of things.

Second, the choice of the market should be very broad with a certain first-mover advantage.

In China, Wang said that they often encounter a situation where there may be dozens or hundreds of teams working in an industry. Therefore, how could one select the best team?

"Investing can be intuitive, and sometimes it's not a purely rational thing to do," Wang said.