With extensive experience at Sinovation Ventures, JP Morgan, and Deloitte, and as an adjunct professor at HKUST, Joe brings a unique perspective to embracing volatility. In this exclusive interview, he shares insights into balancing cyclical industry dynamics, strategic diversification, and the role of alternative assets in constructing robust portfolios.

How does Globaltec Capital adapt to global economic and political volatility in its investment strategy?

"Volatility isn't a barrier—it's an opportunity," Joe explains. At Globaltec, a structured, three-step approach underpins their portfolio strategy:

1. Forming a Macro View: Internal discussions shape their understanding of macroeconomic dynamics, asset pricing, and geopolitical risks.

2. Strategic Adjustments: By recognizing elevated valuations and uncertainties, they adopt a conservative stance, preparing to capitalize on future market corrections.

3. Disciplined Investment: Remaining invested through uncertainty is key, ensuring flexibility to seize opportunities.

This framework not only safeguards against risk but also positions Globaltec to thrive amid global uncertainty.

How does the cyclical nature of the semiconductor industry influence your investment strategy?

Semiconductors, a cornerstone of the portfolio, demand a balance between long-term commitment and tactical flexibility. "Despite short-term volatility, we maintain core positions in the sector, driven by its enduring growth potential," says Joe. Selective adjustments allow them to mitigate risks and leverage growth opportunities like AI-driven semiconductor demand. For instance, insights from Globaltec's AI investments reinforce confidence in the industry's resilience, particularly amid rising GPU-computing and AI chip demand.

How do past experiences at Sinovation Ventures, JP Morgan, and Deloitte shape your approach?

Joe’s professional journey has honed a multi-faceted investment philosophy:

• At Deloitte, Joe gained deep expertise in valuations and business fundamentals, critical for assessing opportunities.

• His tenure at JP Morgan enhanced his ability to navigate cross-cultural investment management.

• At Sinovation Ventures, he gained GP perspectives, giving him an edge in evaluating opportunities as an LP.

"Each role added layers of technical, strategic, and practical insights that guide my holistic approach to portfolio construction," Joe reflects.

What role do alternative assets like private equity and venture capital play in your strategy?

"Alternative assets are essential for mitigating volatility," says Joe. Private equity (PE) and venture capital (VC) investments align with Globaltec's long-term goals, offering natural diversification and resilience against short-term market swings. PE and VC structures encourage focus on enduring themes rather than reacting to daily fluctuations, ensuring stability and consistent growth.

How does teaching finance enhance your investment practice?

As an adjunct professor, Joe integrates academic rigour with practical expertise. "Teaching keeps my knowledge refreshed and broadens my perspective," he notes. Evidence-based frameworks, like strategic asset allocation, guide long-term portfolio performance, ensuring resilience against market disruptions.

Conclusion: A Roadmap for Resilient Investing

Joe Qiao’s philosophy exemplifies the importance of disciplined execution, strategic diversification, and long-term vision. By blending academic principles with real-world insights, he crafts investment strategies that not only withstand volatility but also seize opportunities for growth.

As Joe aptly puts it:
“Resilience comes from disciplined execution and strategic flexibility. The key is to navigate uncertainty without losing sight of long-term objectives.”

With leaders like Joe at the helm, family offices are well-positioned to adapt and thrive in today’s complex investment landscape.