Chapter 077 - Earn Only Money with Certainty (Tribute to the Layman)
What drove Ren Pingsheng to return to China was two pieces of news, one was good news and the other was bad news.
The bad news came from Zhang Wenwu, after he got the loan, he asked Jiang Qiurong, who was in a good mood, for leave and flew to Yanjing City to carry out the second task assigned by Ren Pingsheng, that is, to persuade Sohu's Huohu Studio to change jobs.
Zhang Wenwu found a founder surnamed Chen of Huohu Studio through his relationship with Ningtao's hometown association, although he tried his best to exert his eloquence and used the analysis of the online game market prospect revealed by Ren Pingsheng to arouse the founder's interest, and promised to convey Zhang Wenwu's proposal to the founder team.
But after Zhang Wenwu waited in Yanjing for three days, he received an apologetic call from the founder surnamed Chen.
According to him, although Zhang Wenwu's proposal was very good, and the founding team of Fire Tiger Studio also agreed, it was unfortunate that just a week before Zhang Wenwu contacted him, another company had already come to the door, and since they were docking with the other two founders, he didn't know about it.
However, judging from the feedback from the partners, the company's value evaluation of the Fire Tiger Studio and the "Tianshen Babu" under their development is very impressive, and the understanding of the online game market is not far from Zhang Wenwu, plus the other party is already a well-known company in the domestic IT circle, so the founder team finally chose to accept the company's conditions and become their subsidiary.
Although the founder surnamed Chen apologized again and again, it can be seen from his tone that it was the founder surnamed Wang who strongly advocated bringing the team to that company, he was the first generation of game developers in China and had a great influence in the game circle.
When Ren Pingsheng heard the news, he was not as depressed 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 rising Internet company in Songjiang Province, and the first product they developed is called Zhiwei Security Guard, which is inseparable from Zhou Hongyi's 361 Security Guard in the market, and the company's reputation has also risen rapidly. Zhang Wenwu read the information he had collected.
Ren Pingsheng searched around in the holographic memory image and couldn't find any imprint of this company.
In the timeline of his previous life, there seems to be no Internet company called "Zhiwei Technology".
Back then, in the desktop security market, it was Jinshan and Tengxun who had an inseparable fight with 361, and then there were a lot of grievances with 361, and it was also the Leopard Network formed by 361 job-hopping employees, where did this "Zhiwei Technology" come from?
Moreover, this company would actually think of digging the Fire Tiger Studio, you must know that at this time, "Tianshen Babu" does not even have a single word, how can a company living in the northeast know its value?
Could it be that there is also a traverser in the other company?
Ren Pingsheng shook his head and rejected this hypothesis, he didn't like to make extralogical guesses.
Although the teacher was unfavorable, this result was originally expected by him, and Ren Pingsheng was not overly disappointed.
There are still many opportunities in this market, and as a traverser, there is no need to lock up on a tree.
Ren Pingsheng briefly comforted Zhang Wenwu and asked him to go back to work in Hanhai City first, and talk about the online game later.
The good news came from Lin Lisong, who had successfully arrived in Hanhai City with the car of Indian Teresso, and nothing went wrong along the way.
And he also added another good news, Handong Bank has approved the loan.
It seems that being in Handong New District and feeling the efficiency of Handong, Handong Bank is indeed more active and proactive than state-owned banks in doing business.
Of course, the main driving force in this comes from the conversation between Ren Pingsheng and Jiang Qiurong.
Although Ren Pingsheng only analyzed the trend of the A-share market from a macro perspective and did not give more accurate information, Jiang Qiurong, who eats financial rice herself, must know how to maximize her returns.
In any case, Ren Pingsheng has an additional deposit of 12.5 million yuan in the newly opened account of Handong Bank, which is 1 million yuan lower than the price when Ren Pingsheng bought Shuiyunlu and International Ritz City, which includes the handling fee and interest of the bank loan in addition to the lower appraisal price of the property than the current price.
Of course, Ren Pingsheng knows that this is the normal operation method of bank loans, and the financial sector has a monopoly on the faucet of funds, so they naturally have the right to control the money flowing out of their hands.
He is more concerned that the success of the loan has laundered the proceeds from the sale of generic drugs in India into a legitimate asset.
The 12.5 million yuan lying on the account of the financial center branch of Handong Bank is clean, clear, and can stand up to scrutiny, and Ren Pingsheng finally does not have to worry about keeping the cash in his hand.
And this money is also very timely, Ren Pingsheng in the first three days after the development of the wealth snowball plan, the 2007 A-share bull market is a very important time node, only by making good use of the bull market wealth amplifier role, in order to have enough strength to participate in the future China's economic take-off stage.
From 2006 to 2010, every time node is crucial, and a slight carelessness will cause a bad chain reaction, so Ren Pingsheng has been pinching the time point to promote his strategy, but fortunately, he hurried and caught up, and finally earned the first pot of gold with enough weight before the end of 2006.
Whether it is the sales of generic drugs or the cultivation of online game cash cows, in Ren Pingsheng's view, it is just a primary tool for the snowball of wealth, and the capital market must really increase assets in a geometric progression.
2006 was a year when the A-share market turned from a bear to a bull, and the Han Securities Index began to rise slowly from 1,163 points at the beginning of the year, and reached more than 2,000 points in early December, doubling its market value during the year, breaking through the 7 trillion yuan mark.
Although Ren Pingsheng entered the market a little later, he did not feel a pity, because the increase in 2006 could only be regarded as a small spring, mainly due to the rise of securities, banks and other index weighted stocks, especially the listing of the Industrial Bank of China, which rose by 89% in just 46 trading days, successfully pulling A shares from the bear market stage to the bull market stage.
But Ren Pingsheng knew that the real crazy rise in the bull market was still in 2007, and the remaining two months of 2006 were the last window to buy low-priced bull stocks, and he had to speed up his position.
Ren Pingsheng is outside, and the task of stock market trading is once again handed over to Lin Lisong to deal with, with his quiet and unmoving personality, and years of immersion in online games to develop sitting skills, the most suitable for staying behind the computer screen for a long time to operate stocks.
Of course, Ren Pingsheng values Lin Lisong's quiet and quiet characteristic, and he has always believed that a person who can't keep his mouth shut will not be reliable in doing things.
Lin Lisong is such a reliable person, although he has no experience in stock trading, but under the guidance of Ren Pingsheng, he quickly borrowed dozens of ID cards from relatives and friends in his hometown, opened an account in the business department of Zhongxing Securities Century Avenue, and dispersed the funds into these accounts in batches.
Ren Pingsheng has spent so much time in his life, not without purpose.
China's A-share market has had many legendary "stock gods" and "capital predators", who are often both prosperous and dying, and although they can call for wind and rain in the market for a while, they will soon bring about their own destruction.
Although the reasons and nodes of their demise are different, they basically have one thing in common, that is, "fame exposed".
The stock market is originally a place for multi-party games, and some people make and some people must lose.
Except for the banks that have the power to print money, every dollar you make in the market is a dollar taken from someone's pocket.
In reality, let alone taking money from your pocket, if someone touches you, many people will be disgusted and wary.
Casinos that always make people lose money have no business, and bookmakers who kill them all are short-lived, and the stock market is no exception.
Especially in China's stock market, it doesn't matter if you make other people's money, but if you let too many people know that you are making their money, it's not good to offend the public.
Whether it is to maintain market fairness or to appease the grievances of the vast number of retail investors, the departments concerned will regularly clean up a group of elements who are stirring up trouble in the market and making a big show, reflecting the state's efforts to maintain the normal and stable development of the capital market.
The gun shot the first bird, Ren Pingsheng was unwilling to be this bird.
Whether it is in the establishment of a capital account or the subject matter of stock position, he must be the most secure, safest and least risky.
There were a lot of big bull stocks in 2007, but Ren Pingsheng first avoided the ST concept plate and the backdoor plate when selecting stocks, because there was widespread insider trading behind the rise of these stocks, even if it was not revealed now, with the improvement of the capital market in the future, he would be held accountable sooner or later, and he did not need to take this risk.
Secondly, Ren Pingsheng also excluded small-cap stocks with outstanding shares of less than 100 million yuan, small-cap stocks have few shareholders and are easy to manipulate, and have always been the easiest stocks to rise in the A-share market, and in the 2007 bull market, the stocks with the largest gains are also small-cap stocks, but Ren Pingsheng still insists on not doing this kind of stock.
The reason is very simple, there are too many investors and speculators in small-cap stocks, coupled with small plates and poor liquidity, it is easy to skyrocket.
Ren Pingsheng doesn't want to be a tour capitalist, nor does he want to be a market maker, he doesn't want to take the risk of violating the high-voltage line to manipulate the market.
Since the time of rebirth, he has adhered to this philosophy:
"With certainty, make money that can be made. ”
Uncertain money, Ren Pingsheng would rather not earn it.
The sale of generic drugs in India is a special case, it is a last resort to get the first pot of gold as soon as possible, and Ren Pingsheng is still a cautious and conservative person by nature.
Therefore, the two targets he finally selected were "Wanke A" and "Zhongxing Securities".
Although these two stocks belong to two major sectors, real estate and securities, they have the same thing in common:
1. They are all blue-chip stocks, and they belong to the weighted stocks of the Hanzheng Index, which are automatically allocated by ETFs (exchange-traded open-end index funds), and are also the key buying targets of QFII (qualified foreign institutional investors), and are the objects of active allocation of public funds and social security funds.
2. Excellent performance, the real estate sector was in a stage of rapid development, and Wanke, as an industry giant, was regarded as a model of listed companies; the biggest beneficiary of the bull market was the brokerage, and Zhongxing Securities, as the leading domestic brokerage, was regarded as a rival that could compete with the big Mo (****) and the small Mo (Morgan Stanley).
The above two points ensure that these two stocks are full of long-term funds mainly from institutional investors, and although the existence of these funds cannot make the stock price skyrocket, it can avoid the stock price from plummeting.
On top of that, these two stocks have ample liquidity.
(Note: Stock liquidity refers to how easy it is for investors to trade a large stock with minimal cost, minimum price impact and the fastest speed.) In layman's terms, it is whether the stock is easy to sell after the stock and whether there are enough buyers to take over. We often say that the stock is illiquid, which means that it is difficult to sell at the 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 the stock is insufficient, a slight large sale will cause the stock price to plummet, or even fall limit.
In the case of insufficient liquidity, shareholders (especially retail investors) tend to be driven by the panic effect to intensify selling, which further exacerbates liquidity difficulties and causes the tragedy of stampede on each other.
In this regard, Ren Pingsheng was most impressed by the 2015 A-share market "stock crash", on the most terrible Black Friday "6.26", the Han Securities Index plummeted 7.4%, a total of 2,000 stocks in the city fell to the limit, and the liquidity of the entire market was reduced to the freezing point.
At this time, it is useless how many shares you have, how much it costs to hold shares, and what price you want to sell.
Because of the lack of liquidity, it can't be sold at all, whether it is a good stock or a bad stock, it can only lie on the falling limit and let others slaughter it.
The big bull market in 2007 also ushered in the highest point and quickly entered the stage of plunge.
In order to accurately escape the top and ensure the maximization of interests, Ren Pingsheng must ensure that the stocks he has opened have good liquidity.
Of course, the two stocks he picked, although they are large-cap stocks, were not inferior in 2007.
Based on the current stock prices of "Wanke A" and "Zhongxing Securities", if they can be sold at the highest price at the end of 2007, they can obtain at least 40 times more returns.
What Lin Lisong has to do now is to build a position for the two stocks of "Wanke A" and "Zhongxing Securities" at a price of no more than 1 yuan per share in less than 2 months.
Time will take care of the rest.