Reborn Industrial Tycoon

Chapter 537 If you don’t buy it now, wait until later!

Zhao Jinshan's main purpose of coming to Li Weidong was certainly not to discuss how to educate his children. He also hoped that Li Weidong could point out another way to make a fortune.

After a few chats, Zhao Jinshan talked about how he had made money in recent months.

I saw Zhao Jinshan say: "Chairman Li, I listened to you before and went to South Korea to make a lot of money, but now there is not much oil and water in South Korea. I don't know where to look for business opportunities next. You have to go again."

Give me some pointers!"

"It's not like there is no money to be made in South Korea. They accept assistance from the International Monetary Fund and at the same time accept their additional conditions and open up many industries. These industries will bring huge profits. This is the real

Where’s the big fat one!”

Li Weidong paused and then said, "It's just that it's not our turn to eat this piece of fat. The additional conditions designed by the International Monetary Fund are mainly prepared for Wall Street to acquire Korean assets.

Looking at the entire East Asia region, it has basically been overrun by international financial giants. How many business opportunities are there? Mr. Zhao, during this Asian financial crisis, you made hundreds of millions, right? It’s not a lot. You should collect it.

Hands on!"

"Stop?" Zhao Jinshan was stunned for a moment. This was not the answer he wanted. Then he said, "Chairman Li, I think those international financial giants have no intention of stopping."

Li Weidong explained: "Things that can be attacked by national financial giants must be areas with a relatively open financial system. Otherwise, even if hot money goes in, it may not be able to come out.

Looking at the entire East Asia region, the financial system is relatively open and has not been robbed by international financial giants. The only one left is Hong Kong Island. I don’t think you will follow those hedge funds and short-sell Hong Kong Island?"

"Of course not! No matter how uneducated I am, I, Zhao Jinshan, will not harm the interests of the country just to make money. If I really do that, among other things, the old man in the family will have to destroy me!" Zhao Jinshan said.

Li Weidong spread his hands: "That's why I said, we should stop now."

A trace of hesitation appeared on Zhao Jinshan's face, and then he said, "Besides Asia, there are also business opportunities in other places. I heard some news that some hedge funds are planning to go to the European market."

"The financial systems of European countries are much more sound than those of Asian countries. Moreover, European countries have developed for so many years and have relatively strong financial foundations. There are no obvious structural problems in their economies. It is unlikely that international financial giants will replicate Asia's success."

Li Weidong said.

Zhao Jinshan smiled slightly and replied: "I'm not talking about Western Europe, but Eastern Europe!"

"You're talking about Russia, right?" Li Weidong immediately understood Zhao Jinshan's intention.

Zhao Jinshan nodded: "Russia is different from those Western European countries. I have studied Russia specifically. Their financial system has only been established in recent years, and many places are immature.

And since the collapse of the Soviet Union, Russia's economy has not been doing well. Their economic structure is worse than many Southeast Asian countries. Although I don't understand any structural problems, I know that Russia's economy must have many problems.

The most important thing is that Russia is a big country. The so-called centipede is dead but not stiff. The Soviet Union was so rich back then. Russia inherited the Soviet Union and its family foundation is still very rich."

Li Weidong shook his head: "Mr. Zhao, if you believe me, you'd better not go into Russia's muddy waters. Fighting nations are unreasonable. A careless word can end up losing everything." Possible."

"Fighting nation?" Zhao Jinshan has obviously never heard of this nickname.

"This is used to describe Russians. It means that they have a strong personality, are naturally bold and uninhibited, and are fearless. But many of them do some unbelievable and unimportant things because of this." Li Weidong explained.

"I see, this adjective is very appropriate. I know a few Russians who always call the shots!" Zhao Jinshan nodded.

There is no dispute that the Asian financial crisis broke out in Thailand.

As for the end of the Asian financial crisis, some people believe that China won the financial defense war on Hong Kong Island, while others believe that it was Russia's debt crisis.

After the collapse of the Soviet Union, Russia has been using shock therapy. As a result, the economy has fallen into recession, and its GDP has shrunk by 40%. It can only rely on selling oil and natural gas to maintain the normal operation of the country.

There are many problems in the Russian economy itself, and then it implemented shock therapy. Many places directly copied the Western European system, leaving many hidden dangers in their financial and economic systems. They were the targets of attacks by international financial predators.

After the Asian financial crisis broke out, the international financial giants immediately targeted Russia after making gains in East Asia.

Hong Kong Island has a relatively complete financial system, which relies on the power of the country to fight against international financial predators. Russia's fragile and imperfect financial system collapsed instantly after being attacked by international financial predators.

Capital flight, currency depreciation, and difficulty in repaying debts. What happened in Southeast Asian countries also happened in Russia.

However, international financial speculators have underestimated the fighting nation. The financial war of the fighting nation is completely unruly. Russia directly made a big move, announcing an extension of the debt repayment time, or using goods to repay the debt.

For example, Russia said it would not repay debts originally due in 1998 until 2000.

But you said you want to defer the repayment. Who knows whether you will continue to defer it in 2000? If you defer it once, won't it be deferred a second time? If you keep deferring it, the money will still not be repaid.

What's more, it also includes factors such as inflation, currency devaluation, etc. There are too many uncertainties.

In the international debt market, an unconditional announcement to postpone debt repayment is almost equivalent to defaulting on debt.

For international financial speculators, although short-selling rubles can make a profit, the money cannot be withdrawn until a few years later, and it is still unknown whether the money will be available in a few years. This is undoubtedly a waste of money. drift.

International financial speculators all play with leverage. A few hundred million dollars can leverage tens of billions. That is why they pursue short-term profits and run away as soon as they make money.

With dozens of times of leverage, how could international financial speculators wait until a few years later to get their profits? They can only close their positions and bear the losses themselves.

Therefore, the international financial speculators who went to the Russian market to make money at that time, including Soros, ended up losing all their money. They were still too naive and did not expect that the fighting nation would not play according to the routine at all.

If the creditor does not want to postpone, Russia also provides a second method of repaying the debt, which is to use commodities to repay the debt.

Russia's heavy industry is still very strong, such as metallurgical products, machine parts, electricity, energy, and even weapons and nuclear fuel, which are all included in the list of debt repayment commodities.

When repaying Kazakhstan's debt, Russia gave Kazakhstan more than 70 military aircraft and the S300 air defense missile system.

From this perspective, Russia is very sincere when it even dares to use nuclear fuel to repay its debts.

But as long as Russia's creditors are Western European countries, and Western European countries have equally outstanding industrial capabilities, they will not lack Russian industrial products, and it is impossible for NATO to equip Russian weapons.

The money was not available, and the goods were rejected, which eventually led to the debt being repaid, and the Russian debt crisis broke out.

Although Russia used this trick to make many international financial speculators lose their money, it also caused the country's credit to plummet. Since then, the status of the ruble has plummeted, and it has not recovered to this day.

Russia's debt crisis has also affected many European sovereign funds, causing many Western hedge funds to suffer heavy losses.

The most typical one is Long-Term Capital Management, which is also a very famous hedge fund in the United States that engages in debt arbitrage. Together with Quantum Fund, Tiger Fund, and Omega Fund, it is also known as the "Four Kings" of hedge funds.

Meriwether, the head of this company, is known as the father of debt arbitrage on Wall Street. His partners include two Nobel Prize winners in economics, the former deputy secretary of the U.S. Treasury, and the vice chairman of the Federal Reserve. He can be said to be a leader in the financial field.

A dream combination.

However, during the Russian debt crisis, this hedge fund suffered a disaster. They used a leverage of 60 times and made a heavy bet of more than 300 billion U.S. dollars, hoping to make a big profit. The result was not

In four months, I played myself to death.

Fortunately, the Vice Chairman of the Federal Reserve was a partner of Long-Term Capital Management. In the end, the Federal Reserve personally came forward and arranged for fifteen international financial institutions to inject capital, which saved Long-Term Capital Management from collapse.

…

Li Weidong suggested that Zhao Jinshan not go to Russia to cause trouble, and he didn't know if Zhao Jinshan would listen.

I saw Zhao Jinshan continue to ask: "Chairman Li, to be honest, I did make a lot of money this time, and I also accumulated a lot of funds in my hands. I can't keep such a lot of money in my hands all the time, right?"

, you have to find a place to invest!”

"That's right. You are a financial investment company, and the money in your hands must always flow."

Li Weidong thought for a while and said, "There is a place worth investing in, and that is Nasdaq in the United States. It is not too late to enter the market now."

"You want me to buy American stocks?" Zhao Jinshan asked.

Li Weidong nodded: "Especially the stocks in the Internet industry, they are very suitable for short-term investment. At least they will be bullish in the next year, but it will be hard to say after one year."

During the Asian financial crisis, the wealth of Japan, South Korea and Southeast Asia was looted, but wealth cannot disappear out of thin air, right?

How can we say that the wealth that Japan, South Korea and Southeastern countries have accumulated over the years will be lost!

Where did all this wealth go in the end?

The Internet bubble in the United States two years later told the world the answer.

As early as 1994, the Internet bubble in the United States began to inflate, and the Nasdaq index, which mainly gathered technology stocks, began to rise continuously. In that year, Bill Gates became the world's richest man.

After the outbreak of the Asian financial crisis, Wall Street searched for a large amount of capital in Asia, and capital flight also occurred in Japan. Eventually, all this capital gathered in the Nasdaq in the United States.

In 1998, the Internet bubble in the United States could continue to expand for two years. It is not too late to enter the market now, and you can still get a bite of the meat.

Li Weidong's advice made Zhao Jinshan feel like he had found a treasure, and he quickly took a note and wrote it down.

Then Zhao Jinshan asked: "Chairman Li, you just said that Nasdaq is more suitable for short-term investment, but what about the long-term?"

"Are you still doing long-term investment?" Li Weidong was slightly stunned.

In Li Weidong's impression, Zhao Jinshan's financial investment company should be similar to those hedge funds. They will fly wherever there is the smell of blood and run away after making a sum of money.

Zhao Jinshan replied: "You can't always do short-term business! Long-term income is more stable. Of course, it is best to have a relatively high rate of return."

Li Weidong thought for a while and said: "Long-term investment projects require relatively high returns. It's not impossible."

"What is it?" Zhao Jinshan asked immediately.

Li Weidong did not answer, but said with a smile: "Mr. Zhao, I am also interested in long-term investment. I happen to have some spare money on hand. How about counting me as a share?"

"Chairman Li is here very soon, I couldn't ask for it more!" Zhao Jinshan immediately showed an expression of joy.

Zhao Jinshan is eager to get Li Weidong to join him. After all, Li Weidong will not joke with his own money. If Li Weidong is willing to come, it means that this investment project will definitely make a lot of money.

On the contrary, if Li Weidong just kept talking but refused to invest real money, Zhao Jinshan would feel a little guilty.

Just listen to Li Weidong say: "Mr. Zhao, your financial investment company is mainly active in Hong Kong Island. In recent times, housing prices in Hong Kong Island have dropped a lot, right?"

"It has dropped a lot, and no one is buying it even though the price has been reduced," Zhao Jinshan said.

"This is a good investment direction! Hong Kong Island's economy still has great potential for development in the future. Taking advantage of the downturn in Hong Kong's property market, it is a good opportunity to buy at the bottom!" Li Weidong said.

"You mean to invest in real estate on Hong Kong Island?" Zhao Jinshan nodded as if he suddenly understood, and then continued;

"This is a good investment direction. I have heard a long time ago that you can definitely make money by buying a house on Hong Kong Island. Many rich people on Hong Kong Island started their career in real estate."

Li Weidong said: "I'm not talking about residences, but shops! Take advantage of the current cheap housing prices, go to a prosperous commercial place like Causeway Bay, buy a shop on a street, and wait for the appreciation in the future!"

"Shop? Does that one have a higher return on investment?" Zhao Jinlong asked subconsciously.

"Of course it's high. There is a saying that one shop can support three generations. In a few years, the shops in Causeway Bay will be able to support three generations!" Li Weidong said with a smile.

…

The Asian financial crisis had a huge impact on the property market in Hong Kong Island. This was also the best time to buy a house in Hong Kong Island. After this period, Hong Kong Island's economy developed rapidly and housing prices soared, making buying a house a luxury for ordinary people.

.

A house with a sea view of Victoria Bay costing HK$4,000 per square foot is simply unimaginable now, but at that time it required a good floor to sell it.

At that time, a public housing unit with a price of 190,000 yuan could rise to tens of millions more than 20 years later.

The same is true for shops. In the most prosperous area of ​​Causeway Bay, shop prices have dropped to cabbage prices.

In the future, the monthly rent for one square meter here can reach 180,000 yuan. The monthly rent for a shop with a small amount can easily reach millions. There are even more shops with a monthly rent of over 10 million yuan.

The charter king alone collects more than 10 billion in shop rent every year. However, many charter stars and young models in Hong Kong are rich and have small businesses. In fact, their families do not have any business, they just have a few shops that can be rented out.

Compared with investing in residential buildings, the return rate of investing in prosperous shops is much higher.

Now is the time when house prices in Hong Kong are at their lowest. If you don’t buy it now, wait until later!

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