Chapter 077 Only Earn Money With Certainty (Salute To The Laity)
What drove Ren Pingsheng back to China was two news, one was good news and the other was bad news.
The bad news came from Zhang Wenwu. After getting the loan, he asked Jiang Qiurong in a good mood for leave and flew to Yanjing City to perform the second task assigned by Ren Pingsheng, which was to lobby for Huohu Studio, a subsidiary of Huohu, to change jobs.
Through his relationship with Ning Tao’s fellow villagers, Zhang Wenwu found a founder named Chen from Huohu Studio. Although he tried his best to show his eloquence and used the online game market prospect analysis revealed by Ren Pingsheng, he aroused the interest of the founder and agreed to convey Zhang Wenwu’s proposal to the founder’s team.
But after Zhang Wenwu waited in Yanjing for three days, he received a very apologetic call from the founder of Chen.
According to him, although Zhang Wenwu's proposal was very good and the founding team of Huohu Studio agreed, unfortunately, just a week before Zhang Wenwu contacted him, another company had already come to the door. Since they were connected with the other two founders, he was not aware of it.
However, judging from the feedback from their partners, the company's value evaluation of Huohu Studio and the "Tians Eight Parts" they developed was very considerable, and its understanding of the online game market was not far from that of Zhang Wenwu. In addition, the other party is already a well-known company in the domestic IT circle, so the founder team finally chose to accept the conditions of that company and become their subsidiary.
Although the founder surnamed Chen apologized repeatedly, from his words, it can be seen that the founder surnamed Wang was the founder surnamed Wang. He is the first generation of game developers in China and has a great influence in the game circle. The decision to choose which company this time was also the result of the strong recommendation of the founder surnamed Wang.
When Ren Pingsheng heard this news, he was not as frustrated as Zhang Wenwu was worried. He simply asked: What is the name of that company?
"It seems to be called Zhiwei Technology, which is a newly emerging Internet company in Songjiang Province. The first product they developed is called Zhiwei Security Guard. It is in the market with Zhou Hongyi's 361 Security Guard, and the company's reputation has also increased rapidly." Zhang Wenwu read the information he collected.
Ren Pingsheng searched the holographic memory images and could not find any marks of this company.
In the timeline of his previous life, there seemed to be no Internet company called "Zhiwei Technology".
In the desktop security market, Jin Shan and Tengxun fought with 361. Later, they had a lot of grudges with 361. It was also the Liebao Network formed by 361's job-changing employees. Where did this "Zhiwei Technology" emerge?
Moreover, this company actually thought of digging out the Fire Tiger Studio. You should know that at this time, "The Eight Words of the Gods" did not even have a single eight characters. How could a remote company in the Northeast know its value?
Is there a time traveler in the other party's company?
Ren Pingsheng shook his head and rejected this assumption. He did not like to make guesses beyond logic.
Although he was not good at getting off the job, this result was originally expected, and Ren Pingsheng was not overly disappointed.
There are still many opportunities in this market, and as a time traveler, there is no need to lock yourself in a tree.
Ren Pingsheng comforted Zhang Wenwu a few words and asked him to go back to Hanhai City to work first and talk about online games later.
The good news came from Lin Lisong. He had successfully arrived in Hanhai City with the Indian Teresa, and there was no mistake along the way.
He also gave another good news that Handong Bank had approved the loan.
It seems that when you are in Handong New District, you feel the efficiency of Handong. Handong Bank is indeed more active and proactive in doing business than state-owned banks.
Of course, the most important driving force here comes from the conversation between Ren Pingsheng and Jiang Qiurong.
Although Ren Pingsheng only analyzed the trend of the A-share market at a macro level and did not give more accurate information, Jiang Qiurong, who is a financial fellow, must know how to maximize her own returns.
In any case, Ren Pingsheng had already deposited 12.5 million yuan in the newly opened account of Handong Bank. Compared with Ren Pingsheng's price when he bought Shuiyunlu and International Liz City, the price was reduced by 1 million yuan. In addition to the lower appraisal price of the property, it also includes bank loan handling fees and first-year interest.
Ren Pingsheng certainly knew that this was a normal operation method for bank loans. The financial department monopolized the faucets of funds, so they naturally had the power to control the money flowing out of their hands.
What he cared more was that the successful implementation of the loan had whitewashed the proceeds from the sale of Indian generic drugs into legal assets.
The 12.5 million yuan lying on the account of Handong Bank Financial Center Branch is clean, clear and scrutinized money. Ren Pingsheng finally didn't have to worry about keeping the cash in his hands.
Moreover, the money was also very timely. In the wealth snowball plan formulated by Ren Pingsheng in the first three days after the time travel, the A-share bull market in 2007 was a very important time node. Only by making good use of the wealth amplifier of the bull market can we have enough strength to participate in the future stage of China's economy.
Every time point from 2006 to 2010 is crucial. If you are not careful, you will cause a bad chain reaction. Therefore, Ren Pingsheng has been advancing his strategy at the right time. Fortunately, he has rushed forward and finally made enough money before the end of 2006.
Whether it is the sales of generic drugs or the cultivation of online game cash cows, Ren Pingsheng is just a primary tool for snowballing wealth. It is truly a capital market that can increase assets dramatically in a geometric manner.
2006 was a year when the A-share market turned from bear to bull. The Hanzheng Index began to rise slowly from 1163 points at the beginning of the year, and reached more than 2,000 points by early December. It doubled its market value within the year and exceeded the 7 trillion yuan mark.
Although Ren Pingsheng entered the market a little late, he did not feel a pity, because the increase in 2006 can only be regarded as a small spring, mainly due to the rise of index weight stocks such as securities and banks. Especially the listing of Industrial Bank, the Universe Bank, increased by 89% in just 46 trading days, successfully lifting A-shares from the bear market to the bull market.
But Ren Pingsheng knew that the real crazy increase in the bull market was still in 2007. In the remaining two months in 2006, it was the last window for buying low-priced bull stocks. He had to speed up the establishment of positions.
Ren Pingsheng is outside, and the task of stock market trading was once again handed over to Lin Lisong to handle. With his personality of liking quiet but not moving, and his long-term immersed in online games, it is most suitable for staying behind a computer screen for a long time to operate stocks.
Of course, what Ren Pingsheng values more is Lin Lisong's taciturnity. He always believes that a person who is not even a polite person will not be reliable in doing things.
Lin Lisong is such a reliable person. Although he has no experience in stock trading, under the guidance of Ren Pingsheng, he quickly borrowed dozens of ID cards from his relatives and friends in his hometown, opened an account at the Century Avenue Branch of Zhongxing Securities, and distributed funds into these accounts in batches.
Ren Pingsheng is so complicated and not aimless.
There are many legendary "stock gods" and "capital tycoons" in China's A-share market. They often prosper and perish. Although they can all be called for the wind and rain in the market for a period of time, they will soon perish.
Although the reasons and nodes of their destruction are not the same, they basically have one thing in common, that is, "revealing reputation".
The stock market is originally a place for multi-party games. Some people make money, some people will lose money.
Except for banks that have the right to print money, every dollar you earn in the market will be taken from someone’s pocket.
In reality, not to mention taking money from your pocket, many people will be disgusted and alert when others touch you.
A casino that always makes people lose money has no business, and a dealer who kills all the money is short-lived, and the stock market is no exception.
Especially in the Chinese stock market where nine losses and one profit, it doesn’t matter if you make money from others, but if you let too many people know that you are making money from them, it will be bad if you offend public anger.
Whether in order to maintain market fairness or to calm the resentment of retail investors, relevant departments will regularly deal with a group of people who are making trouble and domineering in the market, reflecting the country's efforts to maintain the normal and stable development of the capital market.
The first bird was shot out by a gun, but Ren Pingsheng was unwilling to be this bird.
Whether in the establishment of a fund account or the target for stock position building, he must be the safest, safest and lowest risk.
There were many big bull stocks in 2007, but Ren Pingsheng first avoided the ST concept sector and the backdoor sector when selecting stocks, because there are generally insider trading behind the rise of these stocks. Even if it is not revealed now, with the improvement of the capital market in the future, he will be held accountable sooner or later, so he doesn't need to take this risk.
Secondly, Ren Pingsheng excluded small-cap stocks with circulating shares below 100 million yuan. Small-cap stocks have few shareholders and are easy to manipulate. They have always been the stocks that are most likely to rise in the A-share market. In the bull market in 2007, the stocks with the largest increase were also small-cap stocks, but Ren Pingsheng still insisted on not making such stocks.
The reason is very simple. There are too many hot money and speculators in small-cap stocks, and the market is small and the liquidity is not good, so it is easy to experience sharp rises and falls. Even Ren Pingsheng, who has traveled through time, cannot guarantee that he can accurately grasp the appropriate selling points.
Ren Pingsheng doesn’t want to be a hot money or a dealer. He doesn’t want to take the risk of breaking the high-voltage line and manipulating the market.
Since he has been reborn through time, he has always adhered to this philosophy:
"Make money that can be made under certainty."
Uncertain money, I would rather not make money in my life.
The sales of generic drugs in India are an exception. It is a last resort to obtaining the first pot of gold as soon as possible. Ren Pingsheng is essentially a cautious and conservative person.
Therefore, the two targets he finally selected were "Wanke A" and "Zhongxing Securities".
Although these two stocks belong to the two major sectors of real estate and securities, their common points are very consistent:
1. They are all blue-chip stocks and are weighted stocks of the Hanzheng Index. They are automatically allocated by ETFs (trading open-end index funds), and are also the key buying targets of QFII (qualified overseas institutional investors), and are also the targets of active allocation of public funds and social security funds.
2. Its performance was excellent. The real estate sector was in a stage of rapid development back then. As an industry giant, Wanke was regarded as a model of listed companies; the biggest beneficiary of the bull market was securities companies. Zhongxing Securities, as the leader of domestic securities companies, was regarded as a competitor that could compete with Morgan Stanley (****) and Morgan Stanley (Morgan Stanley).
The above two points ensure that these two stocks are filled with long-term funds mainly composed of institutional investors. Although the existence of these funds cannot make the stock price soar, it can avoid the stock price plummeting.
Most importantly, these two stocks have sufficient liquidity.
(Note: Stock liquidity refers to the ease with which investors can complete the trading of bulk stocks at the minimum cost, minimum price influence and fastest speed. In layman's terms, it means whether the stock is easy to sell after it and whether there are sufficient buyers to take over. We often say that this stock has poor liquidity, which means it is difficult to sell at an ideal price.)
In Ren Pingsheng's view, the liquidity of stocks is a very important consideration, especially when the market is close to the top. If the liquidity of stocks is insufficient, a slightly larger selling will cause the stock price to plummet or even hit the limit.
In the case of insufficient liquidity, shareholders (especially retail investors) often intensify selling under the driving force of panic effects, further aggravating the difficulty of liquidity and causing tragedy of mutual stampedeship.
What impressed Ren Pingsheng the most was the "stock market crash" in the A-share market in 2015. On the most terrifying Black Friday "6.26", the Hanzheng Index plummeted 7.4%. A total of 2,000 stocks in the city hit the limit, and the liquidity of the entire market has dropped to freezing point.
At this time, it is useless to have many stocks, how much stocks you have, how much stocks you want to hold, and what price you want to sell.
Because of the lack of liquidity, it is impossible to sell it. Whether it is a good stock or a bad stock, it can only be lying at the limit down and at the slaughter of others.
The bull market in 2007 also quickly entered a plunge stage after reaching its highest point.
In order to accurately escape the top and ensure the maximum profit, Ren Pingsheng must ensure that the stocks he has built their positions have good liquidity.
Of course, although the two stocks he chose were large-cap stocks, their rise in 2007 was not inferior.
Calculated based on the current stock prices of "Wanke A" and "Zhongxing Securities", if it can be sold at the highest price at the end of 2007, it can obtain at least 40 times of profit.
What Lin Lisong has to do now is to build positions for the two stocks "Wanke A" and "Zhongxing Securities" at a price not higher than 1 yuan per share in less than two months.
Leave the rest to time to fulfill the rest.
Chapter completed!