Milltrust Alert – Selected News and Insights from the Emerging Markets and Around our Business

May 9, 2019

BY Alexander Kalis



– For Professional Investors Only –

Join us at 11am on the 24th of May (London, West End) for an introductory presentation on the upcoming Climate Impact Asia Fund.

The presentation will feature Jeremy Higgs, Managing Director at Environmental Investment Services Asia Limited and investment manager to the Fund, and Gavin Edwards, on behalf of the World Wide Fund for Nature (WWF) in Hong Kong, the Environmental Consultant to the Fund.

Learn more

Register here


Broken Deal
President Donald Trump declared that Beijing had “broke the deal” the U.S. was negotiating with the world’s second-largest economy. A Chinese spokesperson disputed the president’s characterization of events, saying that the country “honors its word.” A delegation from the Asian nation led by top negotiator Liu He is in Washington today for talks. Investors are not waiting for the result before deciding on their next move, with foreigners dumping China’s stocks this week as Citigroup Inc. warned the threatened increase of tariffs would cut at least a 0.5 percentage point off growth in the country over one to two years.

Stock of the Week

Xinyi Solar Holdings Limited, an investment holding company, produces and sells solar glass products in the People’s Republic of China, Malaysia, and internationally. It operates through three segments: Sales of Solar Glass; Solar Farm Business; and Engineering, Procurement and Construction (EPC) Services. The company offers double glass modules, ultraclear patterned glasses, back glasses, and AR photovoltaic glasses. It also develops and operates solar farms; and provides engineering, procurement, and construction services. In addition, the company engages in the provision of solar power systems; and trading of solar glass products

The Case for Xinyi Solar Holdings: Why We Like Xinyi Solar Holdings Limited’s (HKG:968) 14% Return On Capital Employed


Why biodiversity loss hurts humans as much as climate change

A UN-backed report says a million species are at risk of extinction, and warns biodiversity loss and failure to conserve ecosystems has catastrophic effects on people as well as nature.

They are the tireless stewards of the air, water and land from which we live. But the millions of species whose toil underpins our prosperity are gravely endangered by human activity, scientists say — and that imperils us in turn.

Biodiversity loss is as big a threat to humans as climate change, said UN biodiversity chief Robert Watson last week at a conference in Paris to release a landmark report on global biodiversity and ecosystems.

“The continuing loss of biodiversity will undermine our ability for poverty reduction, food and water security, human health and the overall goal of leaving nobody behind.”

The report, the first of its kind since 2005 and published today by the Intergovernmental Panel on Biodiversity and Ecosystem Services (IPBES), warns of grave consequences to humanity from mass die-offs and degradation of nature. Drawing together the work of more than 400 experts, it paints a bleak picture of a world in which essentials such as food and drinking water are endangered through species and ecosystem decline.

Milltrust’s Climate Impact Asia Fund directly supports WWF-Hong Kong’s conservation projects in Asia, including biodiversity. Its mission is to stop the degradation of our planet’s natural environment and build a future in which people can live in harmony with nature. Some of the major issues that WWF is supporting include:


New Zealand Dairy Farms Are Converting to Avocado Orchards

Is the dairy industry in decline? A number of farms in New Zealand are now being turned into orchards for growing avocados, a popular plant-based superfood.

Some dairy farmers in New Zealand have sold their land to avocado growers

A number of dairy farms in New Zealand are being turned into avocado orchards.

According to Fresh Plaza, Georgina Tui and Mate Covich — dairy farmers in the far north of the country — have sold their land to avocado orchard developers. The pair follow in the footsteps of three other dairy farms in the Aupouri Peninsula, which were also sold for avocado orchard development.

Jen Scoular, the chief executive of NZ Avocado, notes that the New Zealand climate and soil is ideal for growing avocados. There are 3800 productive hectares growing the popular fruit in the country, with a further 1000 on the horizon over the next three years, she told Fresh Plaza.

“We are comfortable that there is a global demand for the increased plantings and are happy to see continued investment in avocados,” she said.


European investors shrug off Brexit with record UK tech investment

European investment in UK tech firms hit a record high last year, despite a year of huge uncertainty over Brexit’s impact on Britain’s economy.

New data suggests European funds piled £1.89bn into Britain’s tech sector in 2018, up from £1.66bn the previous year.

The research, by law firm Penningtons Manches, showed 70% of investment was in firms based in the so-called ‘Golden Triangle’ of London, Oxford and Cambridge.

The law firm said it was a positive sign that almost 80% of deals were even completely new relationships, suggesting strong confidence in the prospects and resilience of the sector.

“When it comes to the creation of cutting-edge technology, the UK is well and truly established on the world map,” he added.

Software companies received the bulk of all investment in tech, followed by life sciences, according to the data, collected by Beauhurst.