(Yicai Global) Nov. 2 -- British long-term investment firm Baillie Gifford & Company has reorganized its portfolio of Chinese companies and has increased its positions in digital marketplace Pinduoduo and electric car manufacturer Nio while reducing others, Jiemian reported.

Baillie Gifford hiked its holdings in Pinduoduo by 110,000 shares in the third quarter, making the Shanghai-based company the 12th largest long position among its US stock holdings, according to a filing to the US Securities and Exchange Commission last week. The Edinburgh-based firm now holds USD1.7 billion worth of equity in the e-retailer.

It also boosted its equity in Nio by 50,000 shares, making the Shanghai-based company the 17th largest long position among its US stock holdings at USD1.5 billion, according to the filing.

The top five Chinese stocks that Baillie Gifford now holds are Pinduoduo, Nio, tech giant Baidu, electric car startup Li Auto and Tencent Music, which is the music streaming arm of internet behemoth Tencent Holdings, according to US hedge fund tracker Whalewisdom.

Baillie Gifford, which had USD468.8 billion worth of assets under management as of Sept. 30 last year, had offloaded all of its stock in e-commerce firm JD.Com and short video platform Bilibili by the end of the third quarter.

Other holdings were downsized. Baillie Gifford reduced its equity in Li Auto by 7 million shares. This may have to do with the electric carmaker’s poor performance in the second quarter. Beijing-based Li Auto’s total revenue, automotive business revenue and its gross margin on vehicles all shrunk in the second quarter from the previous quarter.

It also pared its stake in Baidu due to a slump in revenue. But as a long-standing Internet giant, Beijing-based Baidu remains one of the company's largest positions.

Baillie Gifford has also sold off almost all of its shares in e-commerce giant Alibaba Group Holding and as of Sept. 30, only held USD2,000 worth of stock.

Editor: Kim Taylor