A macro hedge fund’s closure has sent shockwaves across Asia’s asset-management world.

Singapore-based Asia Genesis Asset Management Pte is shutting down its macro fund after losing 18.8% in the first weeks of January from a wrong-way bet on Japan and China. Chief Investment Officer Chua Soon Hock was bearish on Japanese equities and bullish on Chinese stocks, and he was caught out by a sharp selloff in the Hang Seng Index and an equally impressive rally in the Nikkei 225 Stock Average.