My Fintech Empire

Chapter 1191 [Essentially, making money from poor information]

Those who evacuated the NSE 50 index when it was less than 2,000 points seemed to have made a lot of profits, and this was indeed the case. However, if you look at it over a longer period of time, you may have missed out even more. The Christians now seem to have taken over. But if you look at it over a long period of time, the profit will definitely not be small.

Especially some funds with longer closed periods. Some newly listed public funds related to the NSE 50 Index have closed periods ranging from three months to three years. For some investors who have purchased three-year closed period funds, Generally speaking, redemption operations will not be possible until July 2019.

If the NSE 50 index fluctuates significantly at a certain stage in the next three years, the vast majority of Christians may conduct redemption operations driven by panic, and then realize that it is too late to be severely short-selling.

But if there is a closed period in the past three years, the rules restricting the operations of basic citizens will actually bring them greater benefits. Of course, this requires a prerequisite, which is to establish a mature and complete market without fraud.

After the three-year closed period is over, this fund will also become an open-end free redemption state. Funders can choose to redeem or add positions at any time. However, in the past three years, the concept of the NSE 50 Index has been bullish. It will definitely be deeply rooted in the hearts of Christians. In addition, after accumulating huge profits and profits, and seeing the real profits from their own investment accounts, Christians will become more convinced of the concepts of long-termism and value investing, and become value investors. Loyal fan of pie.

As long as they are not in a hurry to spend money, even if the market suffers a short-term sharp decline, the citizens will not be easily affected by panic and follow the trend to redeem money. This can avoid a run on the market to a large extent, which greatly To avoid the occurrence of malignant negative feedback and continuous reinforcement.

Even at this time, if Christian citizens still have money left, they may choose to add positions at low prices because of the market plunge. This will not only avoid vicious negative feedback that triggers a continued market plunge, but also better stabilize the market and reduce violent fluctuations. The situation is completely opposite to that of the motherboard next door.

The main boards of the two major A cities often stage market slumps, intensifying panic, and financing stocks plummet and touch the strong level line, further triggering market slumps, thus forming a vicious negative feedback loop. This kind of situation will never happen in the future without mentioning it on the SGX, but the probability of it happening is much lower than that of the main board market next door. After all, the stabilization fund is coming soon, which is also a great tool to stabilize the market. where.

In fact, this wave of phased adjustments in mid-to-late July has done more good than harm to the SGX market and the SGX 50 Index.

The previous profit-making funds made a profit and left, and the new batch of funds took over. The index will have stronger support at a high level. If there is no change of hands, the profits accumulated by the previous profit-making funds will be too large. Sometimes when evacuating, you will smash the disk without any scruples.

Anyway, if the profit is huge, even if you cut it in half, you will still make a lot of money. In order to make sure you are safe, you will not take too much into account. The reaction will be violent fluctuations in the market trend, which will easily lead to a systemic crisis.

On the contrary, as long as there is a change of hands and one group comes back, the new incoming funds will definitely leave because they want to make money, so there will be support.

The missing batch means that the selling pressure is released once a year, and the accumulation of ten years of accumulation is released at once. The impact on the market is not of the same magnitude at all.

Fang Hong also doesn’t want anyone in the SGX market to take advantage of the entire period of profits. Being alone will never last long.

During the long bullish rise of the NSE 50 index, various funds can realize orderly relays. After making a profit for a while, they can cash out and leave, freeing up chips for newcomers to take over. Don't make all the profits in one wave. Only if this cycle continues is healthy.

As for those who want to default on their debts and buy at 1,000 points of the NSE 50 Index with the intention of selling when it rises to 30,000 points, Fang Hong still has many ways to shake them off, and stabilization funds can play an important role in it. level role.

If you don't want to change hands, then use stabilization funds to push the index down so that your income will face a retracement. If you are stubborn, then keep pushing down to see if you want to go or not. If you still don't want to go, you can resort to "directional The ultimate move like "Explosion" will allow you to return to the pre-liberation period to see if you can leave.

In short, the NSE 50 index must maintain a healthy and reasonable change of hands in order to achieve a real long bull. Otherwise, if you buy the bottom of 1,000 points and want to sell at 30,000 points, how many fools will really be willing to take your order? This isn't called a relay, it's a real takeover.

Fang Hong allows funds to capture the main Shenglang profits of the NSE 50 Index at the ten-year level at every turn, but such a fund scale can only account for a minority of the market. This also follows the objective laws of the development of things, and there will always be many As a good investor, there is no need to make a big effort if the scale is not large. After all, the gain outweighs the loss.

Time has just entered August. On the first trading day of this month, the Singapore Securities 50 Index bottomed out at 1678 points without any ink, and directly ushered in a V-shaped rebound.

Because in the first half of the year, the public fund products issued by major public equity institutions have successively completed fund raising and begun to be listed on the SGX.

The funds of Christian citizens are larger. The entry of these massive off-market incremental funds has pushed the NSE 50 Index to continue to rise. In just half a month, the NSE 50 Index has once again returned to the 1800-point mark, once again close to history. High position.

Then the increase began to slow down, but the bull market trend was maintained throughout August, and the funds standing guard at 1900 points also continued to reduce their losses.

At the same time, the main board index also strengthened. In mid-August, a big positive line in the Shanghai Composite Index broke through the previous high and stood at the 3100-point integer mark.

The main board next door can take off at this time. From a financial perspective, it is largely due to the light of the SGX that it has returned to 3100 points, because during this time window, among the SGX-themed hybrid funds issued by major public funds A batch of funds were diverted into the main board.

Hybrid active funds, as the name suggests, have mixed holdings, and active funds mean that the fund manager can decide what targets to buy. Therefore, the top ten stocks of these hybrid funds are all SGX stocks, and some are mixed in. Motherboard tickets.

It is precisely because of this that incremental funds have entered the main board, which has hedged the liquidity of a large number of investors who are constantly switching to the SGX.

However, as a result, the return rate of those hybrid funds has been much weaker, and cannot even beat the NSE 50 Index. Fortunately, the absolute return is not low, and Christians do not have such big opinions. In fact, Christians do not So greedy, many people are even satisfied with a profit of more than ten points a year.

Only some Christians who are always paying attention to market conditions will accuse fund managers of being incompetent and unable to even beat the NSE 50 Index.

There is a reason why these hybrid funds can be issued. In fact, most of the people who subscribe for them do not pay attention to the market. Another thing that is not paid attention to is that the source of funds for these hybrid funds actually includes some depositors "recommended" by banks. For the financial products you buy, some banks actually cooperate with public equity institutions, and the banks help sell fund products.

Then these financial products are used to buy those funds. In fact, the proportion of this type of funds is not low.

Many customers bought financial products through bank recommendations and entered the stock market to buy stocks without even knowing that their funds had been diverted by intermediaries. Such customers simply have no ability to make back-up adjustments, and it is even more impossible to do due diligence. They don't even know enough about the underlying asset structure of their financial products, but after seeing the considerable returns, they will even invest more, and some may be recommended by relatives and friends.

This is why hybrid funds can be issued, and the scale is not small.

If a real senior-level investor sees that your active fund cannot even beat the NSE 50 Index, he will only subscribe for it if his mind goes crazy. Isn’t it good to buy the NSE 50 ETF OTC Linked Fund directly? Wouldn’t it be good to just open an account and buy the New Certificate 50ETF?

It can be seen that what is made in the financial market is money on the cognitive level, which is essentially making money on the information gap between people.

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