Chapter 587 Gold Content
within a short period of time.
With the qualifications of the Bandit King Fund, it is difficult to obtain a QDII fund license from the mainland, and then raise funds from the mainland market and directly invest overseas.
According to the information Fan Wumian has obtained so far, the official capital market in the mainland is gradually opening up, and in order to meet the needs of domestic investors for diversified asset allocation, the authorities are preparing to approve the establishment of the first batch of QDII funds.
The last time he went to Yanjing, he even consulted someone specifically.
I learned from someone in charge of this project that China Merchants Bank Securities is a bit small in size and it will probably have to wait until the second batch to have a chance to enter the market.
In the beginning, Fan Wumian could only watch others eat meat, which made him very depressed.
At present, the number and scale of these QDII funds have not yet been determined. It is said that only four licenses will be issued in the initial stage, and the total funds raised will be around 1000 billion yuan. The specific figures have not yet been determined.
As soon as the news came out, it has attracted the attention of a large number of potential investors, and colleagues in the fund industry are busy trying to find ways to obtain one of the licenses.
As one of the earliest fund companies established in the mainland, Boshi Fund is clearly qualified to apply for a license in terms of both scale and management.
As long as he can extricate himself from the quagmire of his parent company Jinxin Trust and think of a way to operate it, given that Fan Wumian has opened two hedge funds on Wall Street and has considerable investment experience, there is indeed a possibility of obtaining or adding a license.
Let's take a step back.
Even if you cannot obtain the first batch of public QDII fund licenses, it may be better to go through the private placement channel.
In this way, by helping private equity clients manage their finances, Fan Wumian will have the opportunity to take about 20% of the profits, instead of just working hard to earn the 2% management fee.
Other fund companies have no confidence in making money other than management fees, and often cheat as many investors as possible. Their personal abilities may not be as good as those of some "expert retail investors".
But for Fan Wumian, helping clients make money is almost like picking up money. If you invest in any of Amazon, Google, Apple, Netflix, etc., the rate of return in the next ten years or so will be at least thirty or forty times.
He was not very clear about the details, but Fan Wumian had some impressions of several obvious stock market crashes. He might be able to create another legendary company like Berkshire Hathaway, which, under the leadership of the stock god Buffett, has created amazing returns. Through year after year of compound investment, the share price has reached more than 100,000 US dollars.
For an ordinary person, even if he only holds one share, he can be considered relatively successful.
The QDII mechanism is combined with private equity funds to form QDII private equity funds, that is, private equity fund managers invest funds raised domestically in overseas markets through the QDII channel. The pilot work of this new business was first started by Anhua Fund as early as last year.
Corresponding to this is the QFII fund, which allows foreign funds to enter the Chinese market and invest in stocks, bonds and other assets. The Gangcheng Bandit King Fund is actively applying for a QFII fund license.
Compared with applying for a public QDII license, applying for a private placement license may be relatively easier. Anhua Fund has been piloting it for several months and the overall performance is relatively good.
Thinking of this, Fan Wumian felt quite helpless.
The reason is that the above discussion has been going on since 2001, and we successfully missed a bull market. It was not until the current economic cycle was coming to an end and was about to enter a downward cycle that the QDII funds were belatedly opened, which just happened to make a large number of investors cry.
It's not that Fan Wumian looked down on the abilities of those fund managers, it's just that the overall economic environment is bad and no matter how capable they are, they will have no place to use their abilities. Businesses like banking, finance, and investment banking on Wall Street will be wiped out in two years. Rushing over to take over now, just thinking about it makes his scalp tingle.
However, if he jumps out to point fingers, his colleagues will think that he is disrespectful and ignorant of the immensity of heaven and earth. Being a "whistleblower" is not an easy thing.
After much thought, Fan Wumian felt that it would be necessary to talk to a few think tanks next time he went to Yanjing and remind them of the huge risks involved.
Although many investors look down on the mainland stock market and firmly believe in the statements in "Readers" and "Youth Digest", after all, hundreds of billions of RMB are involved, and they should be kept as much as possible to prevent them from evaporating with the financial tsunami and becoming nutrients to fatten up the Americans.
The solution is actually quite simple. We can just start from the root cause. As long as we delay the liberalization of QDII funds until after the financial crisis, there will be no problem.
These first batches of QDII public funds that are about to be issued have all sought consultants from large Wall Street companies. For example, Anhua Fund’s international consultant is Lehman Brothers. Therefore, Fan Wumian still vaguely smelled something wrong and suspected that he had been tricked by Wall Street again.
Like the famous Goldman Sachs Group, Fan Wumian clearly remembered that during the subprime mortgage crisis, he even shorted his own company's stock. With such an ugly appearance, there is no doubt that these capital tycoons can do anything when they are ruthless.
In comparison, many people in the mainland today are really like harmless little white rabbits. They grew up listening to funny stories about the good business order and fair business environment in the West, and they have no idea how cruel the environment of the survival of the fittest is.
Fan Wumian had already had some preliminary experience.
Like the movies made in the past and the projects under the Mythology Film Studio, they had to cut their own flesh and feed the giants before they had a chance to gain a place.
Sometimes, even though he knew that Paramount was tampering with the distribution process and surrounding channels, Fan Wumian could only turn a blind eye. The reason was that at least he could make some profit now, but if the matter became a big deal, he might get nothing.
Although several Hollywood giants compete with each other, they are actually very united when it comes to excluding and suppressing their competitors. Otherwise, there would have been no new Hollywood giants who could have successfully taken the top spot in the past half century.
After investigating and understanding the situation, I continued to attend the dinner in the evening.
During the banquet.
Fan Wumian heard that a major client of the BoShi Fund went to the United States last year to invest in the door and window business, but was tormented by several peers in various ways. The new factory was on the verge of bankruptcy. In order to raise money, he redeemed all the funds that could be sold in advance, and was willing to give up more than half a year's fund income for this.
This inspired him to drink and eat, and he said:
"I bought two giant cedar dining tables in the newly built courtyard in Yanjing. One was cut vertically, more than 3 meters wide and 8 meters long, using a whole large board."
"The other one was cut horizontally, with dense growth rings on the surface, as if it had grown for more than 2,000 years in total."
"This kind of giant sequoia is very domineering. It relies on its immunity to fire and often attracts lightning to burn other trees around it. It then turns them into its own nutrients and continues to stand out."
"It's the same in the business world. Except for the high-tech industry, there seem to be only a few big companies in all walks of life in the United States. This can only mean that other potential companies have become fertilizer for them. When dealing with those oligarchs, you can never be too careful. After all, it seems that business in the mainland is easier to do. As long as you have good luck and ability, you can really make a fortune."
Without exception, everyone present here is a smart person. How could they not understand Fan Wumian's vivid metaphor?
The classes in developed countries have long been solidified, making it difficult for new players to emerge.
The situation in the mainland is different in this era. Many big bosses with a net worth of tens of billions, hundreds of billions, or even billions were penniless in the 1990s. With the dividends created by economic development in recent years, their net worth has skyrocketed at a very fast rate.
In the United States, such examples are very rare and are mainly concentrated in the Silicon Valley area.
Ordinary Americans have not enjoyed too many benefits brought by economic globalization. In the early years, they could buy a big house and support a family by relying on their husbands' work. Now, this has become a luxury. The olive-shaped wealth distribution structure has collapsed rapidly and slowly turned into a "funnel-shaped" structure.
A vice president of Boshi Fund said to Fan Wumian at this moment:
"I've seen those giant sequoias. When I was studying for my master's degree at the University of California, I visited Sequoia National Park. The giant sequoias there were often thousands of years old. Can they really be cut down? The price would definitely be sky-high."
Fan Wumian followed the topic and said with a smile:
"Occasionally, for the sake of protection, we will issue a license to legally cut down a few trees, but the number is too small, and the price is really not cheap."
"The large board cut horizontally is not very strong, and it took a lot of effort to process it. It is tightened with a 2-centimeter-diameter gold hoop, which is engraved with cloud and thunder patterns. The bottom of the table is equipped with a tray and legs made of black gold rhino skin lacquer."
"I feel that the table legs made of golden nanmu burls are more beautiful than the table top after processing."
As soon as these words were spoken, everyone felt the value of the “billionaire family”.
Clearly no specific figures were mentioned, but money was behind every statement.
For example, the "black gold rhino skin paint" was something that no one in the room had ever come into contact with. The 2 cm diameter gold hoop, which tightly bound the entire round table, made people imagine and secretly guess how much it was worth. (End of this chapter)