Rebirth: The Financial Giant

The audience couldn't help but get serious when they heard it, and Lu Ming continued: "We believe that in one or two years of the post-Y love era, the return on investment in the global capital market will bring about a very high level of returns. Says there will be an abnormal value slope."

When the first brother came up, he bluntly sang the whole market. During the holidays, everyone was shouting to come back after the festival and see you at 2500.

Many investors, especially fans, are hesitating whether they should believe it or not.

"...In other words, when we earn corporate growth and corporate value, we actually have a normal linear report." As Lu Ming spoke, he operated on the laptop in front of him for a moment.

After a while, the audience watching the live broadcast of the shareholders meeting saw that the screen was divided into two screens, the scene where Lu Ming was located was reduced to a corner, and the main screen was the slide show of data.

Lu Ming said again: "When we look at the return path of the global capital market, we will find that, roughly speaking, if you hold it for a long time, you can get an average annualized return of about +14% every year. Our A shares The market is actually similar, and some of our core assets can actually provide such a rate of return in a long-term cycle, which is also the principle of value investing.”

"For example, Mao Ti, Wu Liangye, Zhongguo Shenhua, Tiansheng Holdings, Changjiang Electric Power and other core assets. Of course, Tiansheng Holdings' return on investment is relatively high." Lu Ming said and finally couldn't help but smile.

The audience who followed the online live broadcast of the shareholders meeting couldn't help but feel happy when they heard it.

Brother this is modest!

The return on investment of the stock king is more than one point or two. The company was listed on the backdoor in April 2016, and its return on investment is calculated after the resumption of rights. Since the listing to the latest closing price, the cumulative return on investment is +5767%, annualized investment The return has reached an outrageous +1441%, an average of more than 14 times a year, which is a complete mess.

After a long period of time, the global capital market can get an average annual return of +14%, and the return of the stock king is a hundred times as much. Comparing the two is simply startling.

At the same time, Lu Ming continued: "Ignore the fluctuations in the middle and prolong the cycle, excellent companies can provide a full and positive return on capital. But there is volatility in the middle. Looking at the past, almost one In the industrial life cycle experienced by the global capital market in the past 100 years, we will find that in the fluctuations in the middle of this cycle, some time periods will provide a very excessive return on investment.”

"What stage? To observe every major crisis in history, such as the Asian financial crisis in 1997, the Internet bubble crisis in 2000, and the global financial crisis in 2008, you will find the background behind these major crises. They are all pits, they are gold pits, and after the crisis, this asset will return to the holder with a better rate of return.”

"This is not path-dependence, nor is it looking for swords, nor is it empirical, in fact, there is a close macro logic in it. In the one or two years after each major crisis, the average rate of return of the global capital market can reach 4%. Ten to fifty, that's a pretty amazing rate of return."

All the shareholders who watched the shareholders meeting of Tiansheng Capital basically understood what the first brother wanted to express. Isn't Y love a major global crisis happening right in front of us?

In other words, the pit that is now smashed is a gold pit.

According to Lu Ming's statement, buying a broad market index can also earn a return of about 40%. To put it loosely, it is understandable that a big A can earn 40%. The recent lowest point of the Shanghai index is 2646 points. The starting point is about 40%, which means that it can rise to 3700 points in the next one or two years?

At this time, Lu Ming said again: "Why does this happen? Because at this time, it has actually surpassed the part of pure value investment, because after every major crisis, under the path and logic of Keynesianism, the global The strategy adopted by the main seedling companies is to avoid recession or depression, and the result is that any kind of stimulus will lead to a rapid recovery of the aggregate demand curve."

"At the same time, it will also be accompanied by a period of time, which can be one or two years, with extremely low capital costs, that is, the global seedling industry will maintain a low interest rate level, a large scale of easing, and very abundant liquidity. , it can even be said that the liquidity is flooded.”

As soon as these words came out, everyone thought that the Federal Reserve had already announced the implementation of zero interest rates.

Indeed, now the seedlings of various countries are turning on the nuclear-powered money printing machines.

Lu Ming said in an orderly manner: "In this case, if demand is recovering and the cost of capital is low, then you should understand that in addition to the value growth part of your return on assets, the inflation of the valuation bubble will become part of the impact. The main factor for high returns.”

Investors: Understood, stud will do big A tomorrow, stud is a kind of wisdom!

…

About an hour and a half later, the general meeting of shareholders entered a question-and-answer session. This time, the question-and-answer session was completed through an online remote connection.

The first question came from a media agency and was relayed by the host.

"Thank you Mr. Lu, my question is about the trend of the RMB. We have seen that the RMB exchange rate has been interrupted from rising this year due to the situation, and has rapidly depreciated to above 7 again. What do you think of the follow-up trend of the RMB this year?"

Hearing this, Lu Ming said in an orderly manner: "Let me first conclude that the trend of the renminbi this year, we think it will strengthen rapidly, and may even return to the water level at the beginning of 2018."

Many people were surprised when this remark came out. The amplitude of this fluctuation is indeed a bit large, which means that the appreciation from the current 7.1 to 6.3 is a very large increase.

After throwing out the conclusion, Lu Ming began to expound his views: "After the 811 exchange rate reform, the renminbi's correlation with our trade has increased substantially to a large extent. In fact, the foreign trade surplus you see also implies our international income, but it is no longer reflected in the increase in our reserve assets."

"So what we see is probably that foreign trade strengthens, and the renminbi strengthens. The logic is very simple. From the beginning of Y love to the current situation, we have basically controlled and resumed work and production, while overseas is still deteriorating. I think we will take It will benefit greatly in the future, and it will be a double benefit.”

"First of all, our debt yield is a V-shaped rebound, and our yield is very likely to return to three years ago in the world. As a result, the overseas interest rate level is very low, our return on assets is high, and interest rates are also high. It's high, and then trade is strong."

"Because now only the Greater China market can produce in the world, and overseas is in a state of suspension due to the impact of Y love, the whole world depends on us for supply, so our export and foreign trade will be strengthened rarely in the next year or so. It is the core support point for the strengthening of the renminbi.”

This is indeed the case. Now the global supply chain system is broken, and countries have stopped work and production.

On the contrary, the Greater China market has been controlled and has begun to resume work and production. This situation has become a veritable world factory, producing and supplying for the world. Because other countries cannot produce, they can only place orders in the Greater China market. Naturally, foreign trade exports have strengthened substantially.

What I have to say is that Lu Ming's influence has been verified again. At this time, the offshore RMB exchange rate directly dropped from 7.1306 to 7.0569, and the drop rate reached -1.03%, which can be said to have risen by more than 700 basis points.

small book booth

Not only did these words come from Lu Ming's mouth, but the logic was strong and hard enough.

…