Reborn as a tycoon in Hong Kong

Friday morning, Hong Kong time.

Hutchison Whampoa sent invitation letters to various media in Hong Kong, saying that it was going to make an announcement that would have a major impact on the company.

Hutchison Whampoa is the company with the highest market value among the listed companies in Hong Kong. To some extent, it can be said to be the largest company in Hong Kong. Various media will not refuse Hutchison Whampoa's invitation.

Because Hutchison Whampoa invited various media, this matter could not be hidden from anyone, especially the institutions that were long and short on Hutchison Whampoa stock.

Knowing that Hutchison Whampoa had a major impact announcement to be made, without knowing whether the announcement was good or bad, all institutions chose to wait for the news to come to fruition.

Therefore, before ten o'clock when the press conference officially started, only some retail investors who did not know the news were trading in Hutchison Whampoa's stock. The trading volume was not large and the stock price fluctuated little.

The time soon came to ten o'clock, and Hutchison Whampoa's press conference was officially held at the company's headquarters.

Lin Baicheng did not attend the press conference this time, and Wei Li, a senior member of Hutchison Whampoa, came forward.

At the beginning, the emcee explained the precautions for the press conference, and then Wei Li spoke.

"Good morning, friends from the press, I am Wei Li!"

"I know everyone must be curious about what Hutchison Whampoa has to announce. I can guarantee that this news will not disappoint everyone."

"Here, I am entrusted by Mr. Lin to announce good news to all Hutchison Whampoa shareholders."

"The US$200 million in funds that the company entrusted to a third-party investment company for operation in February ended the investment operation and completed settlement this week."

"This time, after deducting interest, handling fees, taxes, bonuses and commissions, the investment profit this time ended up with US$983 million."

"In other words, this investment of more than half a year has brought a profit of US$983 million to the company, which belongs to all shareholders of the company."

Weili said with excitement, and he had reasons to be excited. This was not only because he was the head coach of Hutchison Whampoa, but also because he received equity incentives and held some Hutchison Whampoa stocks.

The company made money, the stock price rose, and the stocks he held became more valuable. Wei Li, whose wealth increased, was naturally excited.

“USD 983 million?!” “Did I hear that correctly?” “Is it true?!” “How could Hutchison Whampoa earn so much from an investment of more than half a year?” “Nearly 5 times the profit, this is too much It’s scary!”…

The reporters present couldn't help but started talking after hearing this, and couldn't believe what Wei Li said.

More than 4.1 billion Hong Kong dollars, let alone more than half a year's profit. There are very few companies in Hong Kong with a total market value higher than this figure. How dare people believe it so easily.

Wei Li also knew that the announced news was difficult for people to believe, so he did not interfere in the discussions of reporters and did not prevent reporters from discussing in order to maintain order at the scene.

"Everyone, please listen to me."

After about three minutes, Weili said: "I know this news is shocking and unbelievable, but it is true. US$983 million has been transferred to the company's account, and the funds will be used by the company. "

"Regarding the use of funds, the company will hold a board of directors meeting and will decide whether to announce it to the public based on the method of use. We will not explain it to the public for the time being."

"I know you must have a lot of doubts. Next is the reporter's question time, and I will answer them one by one."

After Wei Li finished speaking, all the reporters raised their hands, and the master of ceremonies signaled reporters from the media under the Asia Star Media Group to take the lead in asking questions.

For no other reason, Asia Star Media is also the property of Hutchison Whampoa Chairman Lin Baicheng. Of course, he must give priority to his own people.

The reporter stood up and introduced himself first, and then asked: "Taipan, you said that Hutchison Whampoa made a profit of US$983 million in more than half a year. Can you tell me what investment Hutchison Whampoa made in just over half a year?" How about making a profit of nearly 5 times?”

"I can answer this question for you."

Before the press conference, Wei Li already knew from Lin Baicheng which questions could be answered and which questions could not be answered.

"The company handed over the funds to a third-party company for investment and financial management, and invested in gold futures, using a leverage of ten times to go long. The international gold price has increased by more than 60% from February to now, so the company's investment has been nearly 50%. times the profit return.”

The emcee then selected another reporter to ask questions, and he was also a reporter from a media affiliated with Asia Star Media Group.

"Taipan, I would like to ask, after Hutchison Whampoa completes the investment settlement, does it still have funds for investment? Will it use the funds for investment in the future?"

"These are two questions, but I can answer them both for you."

Wei Li is still very tolerant towards his own people: "First of all, the first question is that the company currently has no funds to invest, so there will be no investment gains and losses for the time being; as for the future, I can only say that there will be huge There may still be investments, after all, the company has made huge profits from investments many times, but this kind of thing can only be decided by Mr. Lin. Once there is a large amount of capital investment, the company will make an announcement."

"I would like to ask Taipan, the company has obtained a profit of more than 4.1 billion Hong Kong dollars from investment. This is a profit that the company will take at least several years to earn. With such a huge benefit, do you think the company's stock price can break through the previous high and reach 30 billion? What’s the market value of the Hong Kong dollar?”

"I personally have great confidence in the development of Hutchison Whampoa. I believe that under the leadership of Mr. Lin, the company will develop better and better, and the market value will hit new highs one after another. Not to mention HKD 30 billion, HKD 400 The market value of HK$100 million will not be Hutchison Whampoa’s high point.”

"This is not a dream, not a fantasy, but a reality that is gradually coming true. When the company was first acquired by Mr. Lin, the company's market value was less than HK$3 billion. I believe that people at that time would not have thought that the company would become a reality. The market value will exceed HK$20 billion in the next year.”

"Now the company's market value has exceeded HK$25 billion, and the market value from HK$30 billion is only HK$5 billion. I don't think it will be a problem."

The emcee continued to select reporters to ask questions, and this time they were finally not reporters under Asia Star Media Group.

"Weili Daban, I remember that Hutchison Whampoa needs to pay 10% profit commission when entrusting third-party investment. Why doesn't the company do it on its own? In this case, it can save more than 100 million US dollars in profit commission, and the company can earn More isn’t it?”

This reporter's questions were not as kind as the reporters from Asia Star Media Group, and were very tricky.

Facing the reporter's tricky questions, Wei Li's expression remained unchanged and he said calmly: "Friend from this reporter, since Hutchison Whampoa did this, there is a reason. I think everyone wants to know the reason, so I will come. Let’s talk about it.”

"First of all, if you entrust the operation to a third-party company, it can be more secretive and not known by other institutions. In this way, the company's funds will not be blocked. The company's 200 million US dollars of funds use ten times the leverage. Once it is blocked by someone with intentions, If you lose 10%, your position will be liquidated, so you must keep it confidential.”

"Furthermore, the company is not a professional investment company after all. No professional company knows better when to buy and when to sell. Taking selling as an example, we may choose to sell when the gold price rises to US$300 or US$350. , while professional companies sell at high points, earning higher profits for the company."

"Therefore, whether it is for the safety of investment funds or to obtain higher profits as much as possible, it is only right to entrust a professional company, and the profit commission is worthwhile."

Lin Baicheng guessed that he might be asked this question, so he told Wei Li in advance how to answer.

It was the next reporter's turn to ask: "I noticed that Hutchison Whampoa's stock price suddenly rose sharply last Friday and this week. The increase was quite astonishing. Is this because there were funds that got the news in advance and bought the stock in advance?"

“There can’t be any insider trading at Hutchison Whampoa!”

Weili said firmly at first, and then explained aloud: "Actually, I am not surprised by the recent rise in the company's stock price. As early as earlier, there were rumors that the company was doing long gold futures, although I am not I know where the news came from, but it happened to be correct."

"Therefore, as the international gold price rises, the outside world knows that the company's investment has made giant profits, so it will buy a large amount of stocks. It is normal for the market to react in advance."

"In this case, Hutchison Whampoa's stock price should continue to rise along with the price of gold. Why did it suddenly rise sharply in a few trading days?" a reporter asked.

Wei Li: "Rumors are just rumors after all. Few people will spend a lot of money to gamble because of rumors. However, as the price of gold continues to rise, Hutchison Whampoa's stock price has higher room for growth. Naturally, there will be funds to choose to take a gamble." .”

"Weili Taipan..."

"..."

At the press conference, Wei Li answered reporters' questions in an orderly manner.

Since Wei Li announced the huge benefits to the outside world, some organizations that specially sent people to keep an eye on Hutchison Whampoa have successively learned what announcement Hutchison Whampoa is going to make.

983 million US dollars, equivalent to a profit of 4.1286 billion Hong Kong dollars. This amount of money is not enough for Hutchison Whampoa to earn for ten years, but at least it will be no problem for Hutchison Whampoa to earn for five years.

Faced with such high profits, even though it is only a one-time investment profit and not an annual operating profit, it is still a huge benefit to the market.

Yesterday, Hutchison Whampoa's closing price was HK$66.97. Before 10 o'clock, Hutchison Whampoa's stock price continued to fluctuate, barely breaking through HK$67, a slight increase.

When some institutions learned of the huge benefits announced by Hutchison Whampoa, they immediately bought Hutchison Whampoa's stock regardless of the cost, regardless of whether the institution had been long or short before.

Short sellers are not fools. Everyone knows that in the face of such huge benefits, Hutchison Whampoa's stock price will inevitably rise crazily. No matter how hard it is to suppress the stock price, it is useless. It is more serious to buy back the sold stocks quickly, so as to save less losses. .

As for the futures market, the short sellers directly issued a delivery order of HK$70. Unfortunately, the bulls did not choose to settle at this price. The bulls wanted more.

Faced with this situation, short sellers in the futures market must either open delivery orders at a higher price, or pray that Hutchison Whampoa's stock price will fall below HK$70 when the delivery period arrives, or they can only buy Hutchison Whampoa's shares from the stock market. .

Just buy the stock now and when the delivery period comes, you can directly deliver the corresponding number of shares to the long party. How high the stock price rises has no impact on the delivery.

Hutchison Whampoa has huge benefits. The capital market is naturally optimistic about its stock price, and funds will choose to go long.

There is a large amount of funds to go long, and the short sellers want to buy back the stock, which means that the short positions have also become long positions, and a huge amount of funds have entered the market to go long on Hutchison Whampoa stock.

As a result, Hutchison Whampoa's stock price broke through the price of HK$70 in just five minutes, breaking through the previous high and hitting a new all-time high.

Orders are placed manually now, so it takes a little longer. Otherwise, if it were switched to full computer trading, it would only take one minute to break through the price of HK$70.

Hutchison Whampoa's stock price is still rising, and many investors who don't know the details are selling their stocks, fearing adjustments after the sharp rise.

In the capital market, it is very important to know the news faster. If those who sold stocks knew that Hutchison Whampoa had a huge profit of more than 4.1 billion, they would definitely choose to sell their stocks at a higher price.

Only ten minutes after Weili announced the good news, the relevant news spread on the four major exchanges, and retail investors knew that Hutchison Whampoa had such a huge good news.

At this time, a large number of retail investors waved their accounts and queued up to buy Hutchison Whampoa stock. They did not flinch because Hutchison Whampoa's market value was approaching HK$30 billion.

Retail investors are buying, long institutions are buying, and short institutions are also buying.

All funds are driving the rise of Hutchison Whampoa's stock price. Although many funds that bought at low prices choose to take profits, it does not affect the overall rise.

When the early trading ended, Hutchison Whampoa reached a maximum price of HK$79.85 and finally closed at HK$78.68, an increase of 17.49% compared to yesterday's closing price of HK$66.97, with a total market value of HK$31.47 billion.

Hutchison Whampoa's stock price was hindered at the price of HK$80, but the correction was not much. The profit-taking selling was taken over by new funds entering the market.

There is no price limit on the stock market in Xiangjiang, so the stock price may continue to rise in the afternoon.

Of course, although the possibility is not very high, Hutchison Whampoa's share price is also likely to plummet in the afternoon.

Lin Baicheng was also paying attention to Hutchison Whampoa's stock price changes today, but he did not watch it on the exchange, nor did he have people report the stock price to him all the time. He had people report it every half hour or after the stock price rose to a certain price.

Hutchison Whampoa's stock price did not break through the 80 Hong Kong dollar price in early trading. Lin Baicheng speculated that it would break through and reach this price in the afternoon. The 80 Hong Kong dollar price will definitely not be the end of this round of rise.

However, the price of HK$100 will be a very strong pressure level, and it will definitely not be easy to break through this price.

Therefore, you must carefully consider the price at which you want to sell the Hutchison Whampoa stocks you bought.

At noon, as various newspapers published midday newspapers and TV stations reported the midday news, the benefits of Hutchison Whampoa's huge profits spread throughout Hong Kong and became known to more people.