When the people whose job is to take your money start refusing it, that’s worth paying attention to.
Wealspring Asset Management’s Yang Dong and Foresight Fund’s Chen Guangming, two of China’s most closely watched hedge fund managers, have paused new fund subscriptions. Their reasoning: AI stock valuations have inflated into what they consider a super bubble, and they don’t want to be the ones deploying fresh capital at the top.
The pause that says more than any forecast
Yang Dong stopped accepting new subscriptions on November 1, 2025. Chen Guangming’s Foresight Fund followed with a similar freeze on its onshore hedge fund around the same date.
The Shanghai Composite Index hit a 10-year high in October 2025, propelled by two forces that converged at exactly the right moment: global enthusiasm for artificial intelligence and a meaningful thaw in US-China tensions. Those twin tailwinds sent Chinese equities surging, particularly stocks with any connection, real or imagined, to AI.
