My Age of Investment

"As of today's close, all of our $10 billion has been invested in the market, and the rest is up to you."

Xia Jingxing's private jet has been declared to the air traffic control department and will take off for the United States tonight.

Before leaving, he made an appointment with Huang Shengguo to the office of Vision Capital and planned to have a few words with him.

Huang Shengguo sat on the sofa, glancing at Xia Jingxing who was lying casually across from him from time to time. He didn't know whether to say that the other person had a big heart or that the other person's acting skills were excellent.

At least he didn't feel too much tension in Xia Jingxing.

After thinking about it, Huang Shengguo finally told his hidden worries: "Mr. Xia, we made some mistakes in judgment this time and seriously underestimated Li Huangtai's determination to increase equity holdings.

From HK$10 billion to HK$50 billion, and then to the latest HK$100 billion announced today!

The Li family in Hong Kong is more powerful than our Li family in Korea! The pockets are bottomless! "

Xia Jingxing sat up straight and raised his hand to invite Huang Shengguo to drink tea.

He himself picked up the cup and took a sip of tea, then slowly said: "Now that things have happened, to use an old Chinese saying, we are already 'riding a tiger with difficulty'."

Huang Shengguo smiled bitterly, this word described it very appropriately.

He had investigated the Li family and naturally knew that Asia's top chaebol had hundreds of billions of cash reserves, but what could he do with so much money? If he had to use it to increase equity holdings, it would be too late for others to cash out.

If I had known that Li Huangtai would be so tough in his counterattack, I wouldn't have touched this tiger's ass.

But when he thought about it carefully, he felt that there was something strange about the whole thing. It didn't seem like Li Huangtai's handwriting.

Because this old man has always been picky about Sosou and loves cash as much as his life. There must be a big conspiracy behind "squandering" cash like this!

Thinking of this, he asked aloud: "Mr. Xia, do you think it is normal for Li Huangtai to increase his holdings of hundreds of billions of shares? I feel something is wrong."

Xia Jingxing actually had the same feeling. Such a large-scale increase in holdings was either an attempt to bury the short sellers, or had a deeper meaning.

If Li Yikai was in charge, Xia Jingxing believed that this guy would be willing to spend hundreds of billions of dollars to defeat his opponents.

But now that Li Huangtai is in charge, people have to think about it.

Li Huangtai consumed precious cash just to kill short sellers and make some floating profits on his books?

It shouldn't be that simple.

Increase holdings ~ Increase holdings ~

Xia Jingxing muttered in his heart, and suddenly an idea came to him, which may have awakened the dusty memory.

He knows what the old man is doing!

"Lai Kee Whampoa is an associated company of Huanghe Industrial. The latter holds a 49.9% interest in the former. About 55% of last year's profit came from the former.

The business of Lai Kee Whampoa is very chaotic, like a hodgepodge, with real estate, ports, retail, telecommunications... all kinds of businesses packed into it.

In the past few years, when large-scale investment was made in building 3G networks in Hong Kong Island and many overseas countries, Lai Kee Whampoa's net profit, stock price, and market value were all greatly affected!

The market once looked down on Lai Kee Whampoa because of the huge investment and losses in 3G, which then also affected Huanghe Industrial. "

Xia Jingxing looked at Huang Shengguo with a smile, "Do you understand now?"

After such a suggestion, Huang Shengguo immediately understood and said in surprise: "Asset restructuring, spin-off and merger, re-listing, will the undervalued market value be released?"

Xia Jingxing snapped his fingers, "Bingo! This old guy treats us as a whetstone. He's really good at calculating!"

After guessing Li Huangtai's true intention, Xia Jingxing not only did not worry, but became even more relieved.

If Li Huangtai were not so "cooperative", how could it be so easy to build a short-selling opponent's market worth hundreds of billions.

As we all know, short selling involves borrowing stocks from investment banks and brokers to sell them, but if no one buys the stock, the stock price will continue to fall.

If a stock does not have large trading volume, large-scale short selling cannot be carried out.

And if short selling is done at a low level, the short selling behavior will be very dangerous, and you may even suffer huge losses.

Because after the short selling is completed, the stock needs to be purchased and returned to the broker, and the profit from the short selling is the difference between the sales minus the purchases.

If the short sale of 50 Hong Kong dollars is successful and the stock price later rebounds to 100 Hong Kong dollars, the difference will be negative, which means that the short sale failed and the position was closed with a loss of money in tears.

Vision Capital sold hard and Li Huangtai bought hard, so the short-selling stocks were able to be traded at a high price.

Of course, this "high position" looks completely different to the two parties.

Li Huangtai feels that the stock price is lower than the net assets per share, which is quite a bargain. I will receive whatever you sell.

In Xia Jingxing's view, after the financial crisis, the Li family's listed company operations will be greatly affected. It is almost certain that the price-to-book ratio will fall below 1, which means that the market value is lower than the net assets.

Of course, the Li family's listed companies are relatively high-quality, and their debt ratio is no better than that of mainland real estate companies. The price-to-book ratio will soon return to normal levels.

However, the time window in between was enough for Vision Capital to buy and close the position when the stock price was low.

The entire financial showdown is not complicated. It is formed based on the two sides' different views on future market trends.

Xia Jingxing knew that a financial crisis was coming, but Huang Shengguo didn't know, or in other words, he didn't know when it would come.

He looked a little confused and said: "So, our short selling also helped the Li family?"

Xia Jingxing couldn't be regarded as a prophet, so he could only hold his nose and admit: "Absolutely! Ginger is still old and spicy, and this old guy is still somewhat capable."

Huang Shengguo's facial features were wrinkled, and he felt as if Xiao Yueyue had been bullied.

"If this stalemate continues without a force to break the balance, it will be detrimental to us!

The Li family has no pressure to increase their equity holdings, but we need to pay back the shares when we are shorting.

If it continues, we will have to close our position sooner or later, and we will be finished as soon as we buy the stock.

It is very possible that all 100 billion funds will be wiped out!

Because once you fall into a short squeeze market, all kinds of funds will come to join in the fun. At that time, the stock price has not been speculated to the sky! How to close a position? "

Xia Jingxing remained calm and did not have any negative emotions because of Huang Shengguo's words.

Huang Shengguo is actually right. Once the situation reverses, the market will enter a short squeeze.

That really means having a knife in your hand, follow me, and kill the short sellers!

All cats and dogs will come over and beat up the drowned dog! The passion of retail investors will also be completely ignited.

In a tough battle, retail investors will not be able to bear it, but once they fight a smooth battle, they can immediately unleash unrivaled fighting power.

The profit from short selling is limited and will not exceed 100%, but the loss has no upper limit;

Going long is just the opposite, the loss of principal will not exceed 100%, and there is no upper limit on profits.

Of course, if leverage is added, it will be infinite times more happiness and pain.

Considering the market capacity and safety, Vision Capital did not choose to increase leverage this time.

If there is an extreme situation, there is still hope.

If leverage is added, as soon as the stock price rebounds, it will be liquidated by the brokerage, and you may also face a claim for liquidation of the position.

Generally speaking, if a brokerage liquidates a small amount of funds from retail investors, it will do a good job in risk control and will not suffer any losses.

But when you encounter an unlucky big customer, the risk control is really special, and there is too much movement to close the position, which makes you feel happy immediately.

What Xia Jingxing didn't know was that the handsome boy sitting in front of him in his previous life would try out all the death methods he had in mind many years later, and he would also trick many of his investment bank teammates.

In other words, Goldman Sachs is the worst thief, betraying his teammates very quickly, otherwise he would not be able to get a good deal.

Huang Shengguo thought for a while with a grimace on his face before saying, "Mr. Xia, we are on the same boat now. Do you have any good solutions?"

Xia Jingxing smiled and said to himself, I have a hammer method. If you encounter someone like the Li family with a thick health bar, they can't be killed with a single blow, and they can kill you, what else can you do, they can only wait...wait for the auspicious time to come.

When the overwhelming trend rolled over, the Li family was just a stronger ant, unable and unable to withstand a financial tsunami that spread across the world.

"In this way, don't use the remaining 6 billion US dollars you have there. Wait until the market opens next week and see how the market changes.

I'll go to the United States and see if I can find some helpers! "

Xia Jingxing saw that Huang Shengguo was in a state of distress and seemed to be under a lot of psychological pressure. He had to find a reason to stop him, lest he could not bear the pressure and do something wrong.

If Huang Shengguo jumped into the sea, and the LP of Tiger Asia Fund replaced a new fund manager, he would close the position and stop the loss, it would be a scam.

Although this possibility is very small, we still cannot be negligent at this critical moment.

Since everyone is teammates, he should pay more attention to the mental health of his teammates.

Hearing that Xia Jingxing was going to the United States to find help, Huang Shengguo immediately became excited and asked, "Can you find Soros? He should be able to shake up the situation and scare these investors, and maybe the situation will be reversed in a flash. "

Xia Jingxing's tight mouth really attracted Soros. If Li Huangtai didn't accuse me of "taking advantage of foreign countries to bring self-respect, disrupting the financial environment of Hong Kong Island, and destroying a certain system," the price would be high.

Don't do this unless absolutely necessary.

Even if Xia Jingxing has a bad impression of Hong Kong's wealthy people, he still has to consider the negative impact of doing this. I'm afraid he won't be able to get rid of it no matter how hard he washes it off.

However, he still pretended to agree: "Then I'll give it a try! My best friend Paulson and Soros are having a heated fight recently. We are all friends, so he should give him face."

"Okay, then I'll wait for your good news!"

Huang Shengguo rubbed his hands excitedly, looking like he had renewed hope for life.