Third Largest US Pension Fund Boosts Nio Holdings By 102%, Sheds Stakes In Alibaba And JD In Q3

Despite NIO Inc.'s NIO lackluster run in the third quarter, it continued to remain a big hit with institutional investors.

What Happened: The New York State Common Retirement Fund, the third-largest pension fund in the U.S., doubled down on Nio shares in the third quarter, according to a 13F-HR filing with the SEC.

The fund owned 463,150 shares of Nio at the end of the third quarter, valued at $16.5 million. This represented a 102% increase in stake from the 229,350 shares the fund held at the end of the second quarter.

Nio recently reported forecast-beating results for the third quarter but issued soft guidance for the fourth quarter. Despite the near-term tentativeness, the company has a slew of catalysts lined up for the remainder of the year as well as in 2022. This bodes well for the medium-term outlook for the stock.

Related Link: This Large German Investment Bank Increased Its Bet On Nio By 22% In Q3

Alibaba, JD.com Dumped: Chinese tech stalwarts Alibaba Group Holding Limited BABA and JD.com, Inc. JD, however, did not evince much confidence as the pension fund offloaded positions in both companies.

As opposed to the 986,762 Alibaba shares held at the end of the second quarter, the pension fund now owns 756,446 shares.

The pension fund substantially trimmed its stake in JD.com from 96,471 to 43,355.

Chinese tech companies have lost much of their sheen this year due to the regulatory crackdown that has led to billions of market cap being wiped out.

At time of writing, Nio shares were 4.21% at $40.87, JD.com was slipping 1.93% to $84.29, while Alibaba was seen edging up 0.53% to $167.69.