My Fintech Empire

Now that the main board next door has really begun to enter the stage of de-retailing, the brick makers who were clamoring before have completely fallen silent, and no one has jumped out to say such a thing as de-retailing.

Because the retail investors who have dropped out now will really never come back again. Removing one is basically equivalent to missing one.

Not only will I not come back, I won’t even buy it from the funds here.

In the words of many retail investors today, is the SGX not good? Or is the NSE 50 index not good?

The stock forum communities, stock exchange groups, and Christian exchange groups that were originally lifeless are now becoming more and more active. Many investors or Christians have also begun to show off their profits. The money that was lost during the new year's meltdown is now in Xinjiang. The market has recovered its capital, or is on the way to continue to recover its capital.

Some even doubled their losses, which not only made up for the loss that was cut in half on the main board, but also made the entire account initially red.

The profits exposed by investors have also further encouraged investors who are still stuck on the main board to continue to liquidate their positions and "move" to SGX. Currently, the total capital of the five SGX 50 indexes on SGX has soared. At 895 billion, breaking through one trillion is not a matter of possibility, but a matter of time.

Now those mouthpiece traders no longer dare to mention the word "de-retail investment", and they are starting to say that the main board has fallen out of a historical bottom, which is of great value for bargain hunting.

Just say it plainly: Folks, the cow is coming soon. Seriously, don’t leave!

Retail investors: Believe in Big A and invest in the new index.

According to the current situation, the speed of de-retailing on the main board next door depends on the speed of expansion on the SGX side.

If you refer to the data of the U.S. stock market in the 1950s and 1960s, the proportion of retail investors in the U.S. stock market at that time reached about 85% to 90%. By the millennium, this proportion had dropped to about 33%, and the latest data It shows that the market value held by institutional investors in the U.S. stock market has reached 93.2%, while the market value held by individual investors, that is, retail investors, is only about 6%.

However, there is no real comparability between the two, because the times are different. Today is the information age. The speed of information dissemination is not comparable to that of the last century. Everything is accelerating now.

As far as the current situation of Big A is concerned, after the emergence of the SGX, the de-retailing speed of the main board next door will only be more than ten times faster than that of America's capital market.

Fang Hong estimates that based on the current trend, in as little as three years and as long as about five years, the proportion of market value held by individual investors (retail investors) on the main boards of the two neighboring cities will shrink to less than 20%.

More than 80% of individual investors on the original main board will participate in the SGX market, but at the same time, the number of individual investors in SGX will not exceed about 20% because the entry threshold for this market is so high. Leave it alone, which means that 80% of individual investors will participate in this market through on-exchange ETFs, over-the-counter public funds, etc.

All in all, it is still the same sentence. The expansion speed of SGX determines the speed of retail investors on the main board.

If the current SGX market pool can accommodate more than 80% of the individual investors on the main boards of the two neighboring cities, it will be completed within one or two years. This is definitely not an exaggeration.

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With the end of the last trading day at the end of June and the end of the first half of 2016, the number of companies registered and listed on the SGX has exceeded 300. In addition, there are about 100 companies issued on the main board. In the A-share market The total number of new shares issued in the first half of this year exceeded the 400 mark for the first time, exceeding the 349 in 2010, setting a record for A-share issuance.

Last year, 207 were issued in 2015, and the number issued in the first half of this year doubled compared to last year.

Fang Hong is quite satisfied with the overall results of the SGX since its opening six months ago. Excluding the listed companies in the Galaxy, there are more than 200 non-Galaxy listed companies listed on the SGX. What really makes Fang Hong satisfied are these companies Many are newly discovered.

Many companies with development potential, including start-ups, really need financing. It is difficult for these companies to raise funds from the main board. Just waiting in line for approval takes at least two years. Not to mention that it will be slim. Even if it is really approved, the company will also It has already cooled down.

The emergence of SGX has given these companies a new financing market. They can grow if they obtain financial support to develop themselves during critical periods.

A huge country with a population of 1.4 billion covers almost all industrial categories and has a complete industrial chain. Although the forest is big and there are all kinds of birds and there are many monsters and monsters, there are also many truly outstanding companies or entrepreneurial teams, not just new ones. Are there more than 200 companies currently listed on the exchange? Even multiplying it by ten times is more than enough.

The SGX wants to discover these companies and help them make a leap. This is also a mutual achievement. These companies need funds to develop, and the SGX also needs the listing of these companies to improve and promote the virtuous cycle of the capital market.

It is worth mentioning that when investors abandoned the main boards of the two neighboring cities and switched to the SGX, Qunxing went in the opposite direction and began to increase its holdings of blue-chip stocks with core asset weights in the main board index. The main entrants were also those of Guo Jiaqi, a rice crop enterprise. listed company.

Firstly, the oversold core assets have investment value, and secondly, it is to counteract the liquidity problems caused by the influx of retail investors to the SGX for these listed companies of Guojiadui. Guojiadui’s sons have to take care of them. of.

The result is that small and medium-sized enterprises are under pressure. The army of retail investors who were trapped before chose to lie down and play dead. Now they have a new direction, which is to cut off their stocks and go to the SGX.

Many junk stocks and companies that were listed to make money will really fall if they fall, without rebounding.

There are almost no retail investors, and the rest are basically sickles and thieves. This is the reason why you can’t get up after falling.

Qunxing's funds are even less likely to come. Not only are they not coming, they are retreating. Last year, in response to the call for rescue during the catastrophic market situation, Qunxing's rescue funds allocated hundreds of billions of funds to small and medium-sized enterprises, and also bought a lot of junk stocks. At that time, it was because the current situation required it.

Now is the time to evacuate, as much as you have left, and if you evacuate early, you can try to reduce losses as much as possible.

Since last year, the A-share market has been singing "small but beautiful, high growth", but now this logic does not exist on the main boards of the two cities. The SGX side is the real "small but beautiful, high growth". As for The future market trends on the main boards of the two cities will also follow the logic of "taking greatness as beauty and core assets".

This can be seen through Qunxing's investment in the main board's funds into heavy-weighted blue-chip core assets, and it also indicates that the main board's large weight will be reflected in the next year.

As for the small-cap junk stocks on the main boards of the two cities, what awaits them will be endless declines until they are delisted.

With the emergence of the SGX and the continuous "move" of retail investors, the main boards of the two cities will definitely be full of penny stocks that no one cares about in the future. Now there are stocks with a daily turnover of tens of millions to 200 million. In the future, there may be stocks. The daily trading volume is less than one million.

The emergence and continued growth of the SGX has destined this general trend to be irreversible. In the future, junk stocks on the main board can hit the limit with selling pressure of 20 to 300,000 yuan. It is not a joke. This is the general trend. They can't help it.

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