Longqi Scientific Investment
Advancing at the frontier of China's growth
杭州龙旗科技有限公司
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Who We Are
Built on science, integrity, and long-term value
2011
Founded
80+
Employees
50%
in Research and Technology
Hangzhou Longqi Scientific Investment ("Longqi") is one of the best-performing long term institutional quantitative hedge fund managers in China's equity market. Founded by Dr. Ken Zhu in 2011 and located in Hangzhou, the firm is one of the earliest domestic quantitative hedge funds to obtain the private fund manager license from the Asset Management Association of China (AMAC)
Since its founding, Longqi has been dedicated to the research and development of quantitative stock strategies and has continued to stay on the frontier of systematic investing.
Our Approach
Systematic. Proven. Sustainable.
Creating long-term value for investors through innovative research and technology in the quickly expanding China market.
Systematic
Disciplined methodology, scalable infrastructure, and innovative AI/ML techniques driving consistent results.
Proven
Award-winning track record with an elite research team and substantial assets under management.
Sustainable
15+ years of history with deep China expertise and proven performance through market cycles.
Systematic
Research-Driven Investment Process
01
Disciplined Methodology
Rigorous research methodology and robust model governance ensure consistent, repeatable investment processes.
02
Scalable Infrastructure
Purpose-built research infrastructure supports rapid development and deployment of new strategies at scale.
03
AI & Machine Learning
Innovative quantitative techniques at the forefront of AI and Machine Learning, trading since 2018.
Proven
Award-Winning Excellence
Sustainable
Deep China Expertise
13+
Performance History
$8.5B
AUM (USD)
30%
Global Institutional
"One of the earliest quantitative investment managers in China."
Robust Risk Management
01
Conservative leverage to ensure liquidity
02
Diversified strategies with low correlation
03
Continuous automated monitoring along with multiple layers of real-time and post-trade validation and oversight
Opportunity
Active Management Offers Rich Opportunities in China
Already the second biggest equity market in the world, China also offers unique opportunities for active managers. Several structural features make China's equity market more favorable for active and quantitative management than developed markets:
01
Retail Dominance Giving Way to Institutional Growth
China's A-share market remains predominantly retail-driven resulting in pricing inefficiencies. However, the institutional share is steadily rising, driven by pension reform (the private "third pillar" launched in 2022), rapid mutual fund and ETF AUM growth, and expanding foreign access through Stock Connect programs.
Sources: CSRC annual reports, Asset Management Association of China (AMAC), Shanghai & Shenzhen Stock Exchanges
02
Broader Market Cap Distribution Creates More Alpha Opportunities
In the US, the top 10 stocks command 32% of total market capitalization, creating a top-heavy benchmark where index performance is driven by a handful of mega-caps. China's market is far more evenly distributed across its stock universe, with weight dispersed across hundreds of names. This broader dispersion means more independent price movements and a richer opportunity set for stock selection and factor-based strategies.
Data as of Q4 2025. Sources: MSCI, Wind Information
03
Liquidity Spread Across More Names Than the US
In the US, daily trading value is heavily concentrated in the largest names — the top 50 stocks alone trade over $226 billion per day. In China, liquidity is distributed far more evenly across the market cap spectrum. By the time you reach the Next-1000 bucket, China's daily dollar ADV actually surpasses the US, and in the Next-2000 bucket it is nearly 5x larger. For active managers, this means alpha-generating trading opportunities are not limited to a handful of mega-caps — they exist across hundreds of liquid names.
Data as of Q4 2025. Sources: Wind Information, Shanghai & Shenzhen Stock Exchanges, NYSE, Nasdaq
04
Regulatory Reforms Ushering in a New Era of Investibility
Regulatory reforms are making Chinese equities more investable. Stricter IPO standards have cut annual listings from over 300 to roughly 100, while stronger delisting rules purge non-compliant firms. Profitable companies must now pay dividends, and tighter governance standards — including insider selling restrictions and expanded board oversight — better align corporate behavior with shareholder interests.
A smaller share of China's economic growth is now siphoned off by new issuance — existing shareholders capture more of the return.
With roughly 36 million private enterprises contributing ~60% of GDP and 80% of urban employment, China's pipeline of future public-company candidates is vast — yet listing standards now filter for quality, keeping most of them private longer and further concentrating growth capture among existing listed equities.
Sources: State Council of the PRC, "Nine Guidelines on Promoting the High-Quality Development of the Capital Market," April 2024; Harvard Kennedy School; PIIE; NBER Working Paper 2020
Fund Families
Index Enhancement
Generates consistent alpha above benchmark indices with disciplined risk control and low tracking error.
Market Neutral
A long-short equity strategy delivering absolute returns with low correlation to broad market direction.
Market Timing
Dynamic exposure ranging from 0% to 100% based on market regimes, capturing upside while defending against downside.
Exemplary performance across our strategies
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