DeepSeek’s hedge fund owner owns multiple top projects and then creates a company that drives $1 trillion in AI stock erosion – NASDAQ:NVDA)

Chinese hedge fund climax, also known as Hangzhou Huanfang Technology Ltd. Co.founded in 2023, DeepSeek aims to explore artificial general intelligence (AGI), but before AI startups became popular and triggered a shock wave through the technology world, the quantitative fund was linked to several innovations in China.

Top projects before DeepSeek

1. According to Chinatalk, High-Flyer developed its first AI supercomputer “Yinghuo-1” in 2020, which translates into Fire-Flyer I, with an investment of approximately RMB 200 million or US$27.44 million. 1,100 graphics processing units (GPUs) were deployed the same year, providing computing power for AI-led research to facilitate quantitative transactions.
2. It launched the “yinghuo-2” or Fire-Flyer II in 2021 with a 1 billion yuan investment or $137.2 million investment Nvidia Corp. NVDA A100 GPU. It also has cutting-edge hardware and 200 Gbps high bandwidth connectivity.
3. Hedge funds announced a strategic shift after losing more than one-third of investor funds in 2022, falling from a peak of more than $12 billion, Reuters reported. High-Flyer said through its official WeChat account that it will focus on developing AI technologies to benefit humans and form a new independent research team dedicated to exploring the potential of AGI. This reorganization led to the creation of DeepSeek in 2023.

See also: Meta AI model ‘apparent’ DeepSeek, analyst Mark Zuckerberg admits DeepSeek did something new “we’re still digesting”

The history of climax

The company Liang Wenfeng, , , , , Xu Jinand Zheng Dawei In February 2016, it was in Ningbo, Province. Relying on mathematics and AI for quantitative investment, it used its first stock position on October 21, 2016 by using deep learning algorithm models and GPUs.

Its subsidiary, Zhejiang High-Flyer Asset Management Co., Ltd.and Ningbo High-Flyer Quant Investment Management Partnership LLP Supervised by the China Asset Management Association.

The company first won the Golden Bull Fund Award in 2018 and established Senior Capital Management (Hong Kong) Limited in 2019, which is licensed and regulated by the Hong Kong Securities and Futures Commission.

Wenfeng is now CEO of DeepSeek, and he has about 51% of the climax.

According to the report, as of December 2024, the assets of the High Vehicle were worth US$8 billion.

See also: Qualcomm brings AI to record quarter, but lowers guidance for the second quarter as seasonality and Apple shipments drag on stocks

What is a quantitative hedge fund?

Quantitative hedge funds or “quantitative” funds use complex mathematical models, statistical analysis and computer algorithms to identify trading opportunities. Relying on data analysis rather than traditional basic analysis, they use strategies such as statistical arbitrage, risk parity, and factor investment, using complex computer programs to analyze large data sets and discover exploitable market patterns.

Read the next post:

Photo courtesy: Shutterstock