MTL - The Son of Finance of the Great Age-Chapter 28 investment logic

  Chapter 28 The Logic of Investment

   "What plan?"

  Liao Chengde was startled, and couldn't help asking. He hadn't recovered from Zhong Shi's bewildering operations, and he was a little confused when he suddenly heard Zhong Shi's question.

   "The 20 million, are you going to put it in my combination to make money, or wait until next year and I will pay it back to you?"

   "Why wait for next year?"

  Liao Chengde was very surprised, knowing that Zhong Shi must have another plan to make money. He couldn't help but think about it again, secretly thinking that as long as it wasn't such a high-risk investment, he would get involved.

  For high-risk investment products such as futures and options, although Liao Chengde is envious of their terrifying yields, he has no intention of getting involved in them. He saved half his life to barely have a net worth of tens of millions, and he didn't want to be wiped out overnight.

   "This is a secret, but if you have any ideas, I don't mind you taking a share!"

  Zhong Shi scratched his head, feeling a little puzzled. Regarding the way of making money next year, it is estimated that Liao Chengde will not be able to accept it by then.

   "Uh... If this is the case, then I'd better get my money back next year!"

   Seeing Zhong Shi hesitating in his speech, Liao Chengde knew in his heart that it must be the way of making money in Zhong Shi's mind, and it was the kind he couldn't accept, so he had this expression.

   "Alright, let me show you a way to make money! The one that makes money without losing money is investing in the RB stock market!"

  Zhong Shi didn't insist on it either. As soon as he rolled his eyes, he said something that surprised everyone present.

   "What? Make money but not lose?"

   "Is there such an investment method?"

  …

  After listening to Zhong Shi's words, everyone was surprised. They are not rookies in investment, so they naturally know that there is no reason to win in investment. Now listening to what Zhong Shi said, it seems that there is a business that can make a profit without losing money, so why don't they be surprised!

  If Zhong Shi hadn't made a fortune under everyone's noses, they would have kicked him out like a magic stick.

"Sheng Liao, how much balance do you have now? Oh, by the way, we will add the 20 million to 50, and divide it equally. I will pay off the money by myself next year, and the 5 million will be repaid earlier. The debt, the other five million is your dividend for supporting me this time."

  Zhong Shi did not explain, and he and Liao Chengde cleaned up the battlefield.

  Now he has invested 80 million in the option market, including 20 million from Liao Chengde, plus 20 million borrowed in the name of Liao Chengde, and owes Liao Chengde a total of 40 million Hong Kong dollars. What he said now was undoubtedly giving Liao Chengde 25 million for nothing.

   Once Liao Chengde calculated in his mind, he knew that he was not at a disadvantage. The 20 million loan was not included in his head, and this time he took another 5 million for nothing, and only 15 million Hong Kong dollars were invested in Zhong Shi. He thought for a while, and then asked in a low voice: "I still have 20 million in cash, so I don't know what to invest in?"

   "Vote RB stock market!"

   Zhong Shi said loudly without hesitation. As soon as this remark came out, it immediately aroused even louder discussions among the people present.

   "What? Invest in the RB stock market? Isn't this courting death?"

   "Now that the yen is forced to appreciate, it will have a huge impact on its real economy. It is said that the Nikkei index has fallen below 10,000 points recently. How is this possible..."

  …

   "Everyone, be quiet, please listen to me!"

  Zhong Shi frowned, and said loudly without any politeness. He was really disappointed with the performance of this group of "elites". With so many people present, they didn't see the huge opportunity brought by the appreciation of the yen.

   "Didn't RB's central bank and the Ministry of Finance not see the problem you thought of? Think about it, what will RB's central bank and Ministry of Finance do?"

  RB's Ministry of Finance is called the Ministry of Finance, and RB's central bank responsible for issuing banknotes is RB Bank, and its monetary policy has a certain degree of independence. However, in the context of such fluctuations in the overall national currency exchange rate, the central bank has no choice but to maintain consistency with the fiscal policy of the Ministry of Finance.

   Everyone looked at each other in blank dismay, unable to understand the reason.

"Facing the situation of such sharp fluctuations in the value of the currency, in order to maintain the sustainable development of the economy, the Ministry of Finance will inevitably introduce a series of fiscal policies to support export enterprises, while expanding domestic demand, stimulating domestic consumption and investment, and minimizing the impact of the appreciation of the yen. impact."

"For some time to come, RB's economy will suffer a sudden setback, but it doesn't matter. The most important thing is that the central bank must take action. It will loosen financial policy and ease interest rates, adopt an expansionary monetary policy, and inject a large amount of liquidity into the market. The restriction on opening a capital account has caused foreign capital to flow into the RB market quickly and in large quantities."

"With the growth of bank credit, the reduction of loan interest rates and the inflow of foreign capital, where will these funds flow? It goes without saying that it must be the capital market and the real estate market, and only these markets can absorb so much funds! "

"Think about it, in the context of the appreciation of the yen, foreign capital will flow into RB with an astronomical figure. This money and the huge amount of money brought by RB's expanded monetary policy will definitely jointly promote the RB capital market and the real estate market. I It can be asserted that in the next few years, the real estate of Nikkei and RB will grow at an incredible rate.”

   "This will be a feast of capital carnival, and the most fundamental reason behind it is that RB's economy is too dependent on exports and the country's political status is not high."

   Zhong Shi finally ended a long speech on the political level.

  He took a sip of coffee, ignored the petrified people around him, and sat down on his own, closing his eyes and recuperating.

   "Is this reliable?"

  Liao Chengde poked the stunned Zhong Yi beside him, and asked in a low voice. He didn't understand what Zhong Shi was talking about at all, but he knew that Zhong Yi was studying economics, so he should be able to understand what Zhong Shi said.

   "Very logical and reliable!"

  Zhong Yi carefully recalled what Zhong Shi said, and couldn't help but be overwhelmed, thinking that the economists and strategists of the big investment banks can only do this at best.

  In fact, most of the so-called economists and strategic analysts are unable to do this. After all, these are real things that happened in later generations. Who knows what the future holds except those born again?

   "What do you say?"

  Liao Chengde saw the shock on Zhong Yi's face, and he believed it a little bit in his heart, but since the matter is too big, he still needs to ask a few more people for their opinions.

   "Wonderful, wonderful! Incredible!"

  Andrew, who opened his mouth wide, was startled, came back to his senses, and kept clapping his hands. He clapped his hands and said, "Zhong, you are such a genius, I think you can go to Morgan Stanley to be the chief economist!"

  In Wall Street in the 1980s, Goldman Sachs was not the leader of the investment bank, but Morgan Stanley, who was born noble and pure, was the leader of the investment bank. Morgan Stanley, who is in full swing, has a famous advertisement: "If God wants financing, he will also find Morgan Stanley!" But soon, Goldman Sachs, which has gained a huge share in European privatization, will surpass Morgan Stanley and become The largest investment bank on Wall Street.

"Morgan Stanley?"

   Zhong Shi, who was dozing off, curled his lips and asked nonchalantly. For Damo, his thoughts are undoubtedly very complicated. As his old employer in the last life, he is grateful to Damo, but he is no longer willing to work for others in this life.

  In the financial bio-chain, rating agencies are at the highest level, followed by hedge funds, followed by major international investment banks and other financial institutions. Zhong Shi absolutely has no reason to go to the lower reaches of the biological chain to discuss life.

  If Andrew could find a job on Wall Street, he wouldn't go overseas to seek a living. In his opinion, the financial market and institutions in the United States are the best. In fact, this is exactly the case. The largest and most developed financial institutions in the world are located in the United States.

   "Mr. Zhong, how do you say to cultivate the correct investment method?"

  Andrew didn't take it seriously either, he just thought of Zhong Shi and didn't know how powerful Dalmo was. The logic that Zhong Shi showed just now opened his eyes. He had a vague feeling that the development of the RB economy would operate as Zhong Shi said.

   "See what you invest in? I suggest you invest in stocks and bonds! The futures market is too risky. If you don't have enough funds, it's better not to get involved."

  Zhong Shi is also interested. It is rare for someone to start to be interested in his ideas, and of course he will not hide his clumsiness.

   "Stocks and bonds? Like what?"

  Andrew tilted his head and thought for a while, and asked a question that made Zhong Shi vomit blood. In Zhong Shi's view, the next question he should ask is why he chose stocks and bonds. Who would have thought that he would ask about a certain stock like most speculators in later generations!

   "Think about it, China Mainland is now implementing 'reform and opening up', what kind of reaction will it have in the US capital market?"

  Zhong Shi asked instead of answering.

   "Huh? This also has a reaction?"

   Andrew was puzzled. In his opinion, the capital market in the United States has nothing to do with China, and there are not many large American companies entering the market in mainland China.

"Yes, not now, but in the future! Think about it, if Coca-Cola enters the mainland market, how many bottles will be sold a year? Even if each person in China drinks one bottle a year, there will be as many as one billion bottles. How much does the performance of the company help?"

  Zhong Shi said angrily that he really had no choice but to deal with this incomprehensible Andrew. "Regarding investment, we must not only consider the market, economic development, and consumer demand, but also consider seasonal cycles, growth prospects, legal policies, etc. You also know that China Mainland has just opened up, and this will be a huge market. Everyone Enterprises that can gain a certain share in this market will achieve substantial growth!"

  Zhong Shi is right. In later generations, some large multinational corporations will even have more than half of their profits from the Chinese market, and even certain luxury goods in Europe will almost entirely depend on exports to China.

   "I seem to understand!" Andrew said thoughtfully. (Please click, please recommend, please collect, thank you very much!)

  (end of this chapter)