China's 'hedge fund brother No 1' targeted in insider trading probe

Shanghai

XU XIANG, who led Zexi Investment's ascent to the top of China's money managers, is known in the country as "hedge fund brother No 1" and inspired both awe and scepticism among peers for his knack of timing swings in volatile stocks.

Xu, the latest target of the government's crackdown following a US$5 trillion summer stockmarket rout, is facing a probe for alleged insider trading and stock manipulation, according to state media. Xinhua News Agency on Sunday reported that Xu had been detained by the police. On Sunday, Shanghai police took away computers and other material from Zexi's office, according to a building management official who asked not to be identified.