🔮The All-In Crystal Ball: Friedberg's Alibaba Call

what would be the best performing asset of 2025 I went with Chinese tech stocks everyone's kind of dumped Chinese tech stocks over the last couple of years everyone's taken this isolation stance saying hey we can't do business with China it's over but I do think that the Trump Administration they're trying to line up what I would call the great deal with China I don't know anything about what they're actually trying to do but I think that leadership in the US government want to kind of open up the Chinese market to American companies in in order to give Chinese companies access to the American Market that's one driver the second driver is that obviously the cost of build out of

electricity production in China is unfathomable and then I think that the Chinese Communist Party have this incredible ability to throttle up and down free markets and Entrepreneurship and this is a moment where you could kind of see them making the throttle go the way towards enabling more Innovation more free market activity and it's going to be one of the motivators for them to do a deal so when you put all of this together I do think that there's a lot of Chinese tech companies that have been beat up under the assumption that this is going to be a very difficult conflict with the US in the years ahead and I

think that that may not be the case going into 25 and I think that these stocks look pretty cheap I was just looking at Alibaba and it trades at a pretty decent multiple it seems like these stocks could be poised for a pretty good run in 25