Duang Yongping's latest holdings disclosure: significantly increased position in PDD, reduced holdings in Apple

With the disclosure of institutional investors' 13F holdings in the third quarter of U.S. stocks coming to an end, Duan Yongping, who is highly regarded in the Chinese investment circle, has also revealed his positions.

The H&H International Investment fund, believed to be managed by Duan Yongping, significantly increased its holdings in PDD and Occidental Petroleum, reduced its position in Apple, and completely exited Bank of America.

Notably, Duan Yongping has recently been actively buying Tencent and PDD, selling 1,000 Tencent puts daily. Following Trump's election, the market is concerned that trade conflicts may pressure Chinese concept stocks, but Duan Yongping has taken the opportunity to continuously increase his position in Tencent, even stating that Tencent's insurance company is opening.

Duan Yongping increases holdings in PDD and Occidental Petroleum, reduces position in Apple

Recently, H&H International Investment released its latest U.S. stock holdings. Since this fund is believed to be managed by Duan Yongping, its movements are closely watched by the market. As of the end of the third quarter, the H&H fund held a total of 8 stocks, with a total market value of $16.5 billion.

In the third quarter, the fund reduced its position in its largest holding, Apple, by a certain extent, selling 11.2 million shares, decreasing its holdings from 63.92 million shares at the end of the second quarter to 52.77 million shares. However, the market value of its holdings still reached $12.295 billion, with the position weight dropping from 80.95% to 74.33%.

It is noteworthy that the biggest move of the H&H fund in the third quarter was a significant increase in its holdings of PDD, adding 3.8 million shares, with a position change of up to 36 times, and the market value of its holdings increased to $527 million, making it the fifth largest holding of the fund.

The H&H fund also increased its holdings in Occidental Petroleum, with the number of shares rising from 1.54 million at the end of the second quarter to 9.22 million, and the market value of its holdings rising to $475 million.

Additionally, the H&H fund slightly reduced its holdings in Berkshire and Alibaba in the third quarter, with position changes of 3% and 13.69% respectively, and completely exited Bank of America.

As of the end of the third quarter, the top five holdings of the H&H fund were Apple, Berkshire, Google, Alibaba, and PDD, with market values of $12.295 billion, $1.741 billion, $847 million, $578 million, and $527 million respectively.

Data source: Value Master website.

It is noteworthy that clues about Duan Yongping's purchase of PDD can also be found in his statements on social media.

At the end of August this year, when PDD released its semi-annual report, it experienced an unprecedented plunge due to revenue growth falling short of expectations, with a single-day drop of up to 30%, marking the largest single-day decline since its listing.

On August 27, Duan Yongping stated on social media, "I started selling some puts (selling put options to establish a position). Although I don't fully understand PDD's business model yet, I still find it quite interesting after observing it over the years."On September 27, Duan Yongping stated that the recent rise has indeed been a bit strange. He originally spent a lot of time thinking about PDD and Tencent, believing it was a great opportunity, and planned to sell more puts, but it seems he will earn significantly less now.

On October 18, Duan Yongping further expressed, "In the past two days, I started to sell some Tencent and PDD puts again. It suddenly rose too much recently." This suggests that by the end of the fourth quarter, the H&H Fund may further increase its position in PDD.

Another major internet leader, Tencent, is a stock that Duan Yongping has been continuously increasing his position in recently.

On October 26, Duan Yongping stated, "Anyway, I will continue to sell 1,000 Tencent puts every day, which is much easier than directly buying stocks. By the way, most of my Apple shares were bought back by selling puts, although not as much as Buffett, but the proportion is higher than Buffett's."

It is worth noting that after Trump was elected President of the United States, Chinese concept stocks faced pressure, but Duan Yongping took the opportunity to continuously increase his position in Tencent, even stating that Tencent's insurance company has opened (by building positions or earning premiums through selling puts, hence referred to as an insurance company).

On November 13, Duan Yongping wrote, "After Trump took office, many people will worry about new trade conflicts, so many foreign capital will sell stocks of Chinese companies, which is also an opportunity to buy at better prices. Selling puts is very suitable at the moment (if you plan to buy this company's stock), and you can even buy some calls with the puts. Tencent's insurance company has opened."

Regarding PDD and Tencent, Duan Yongping believes, "PDD is still a startup, and there are many uncertainties in the future. Compared to that, Tencent is more mature. I've said everything that needs to be said." This implies that due to Tencent's stronger certainty, Duan Yongping may hold a larger position in Tencent than in PDD.

Author of this article: Xu Xiaoru, Source: Securities China, Original title: "Duan Yongping, Li Lu, $19 billion latest holdings!" This article has been slightly edited