Chapter 663 Investing in Sequoia Capital

Chapter 663 Investing in Sequoia Capital

Chapter 663 Investing in Sequoia Capital
Yang Wendong also felt that Buffett really wanted to keep Berkshire's American factory and would not give up until he reached the Yellow River.

But after all, no matter how capable he is, he doesn't know the future, and he doesn't know about future global free trade and industrial transfer, so it's not wrong to have such an idea;

Considering the huge benefits of financial cooperation, I will invest a little bit, even if I lose money or not.

After the three of them had lunch, David left for some other matters, leaving only Buffett and Yang Wendong.

Buffett smiled and said, "Eric, our cooperation in Hong Kong is very successful, and the rate of return is as high as 250%. You are really amazing. Some of my investors hope to meet you. They want to invest more money in Hong Kong. What do you think?"

"Meet me? Not for now." Yang Wendong thought for a moment and said, "But I think the Hong Kong market may not have such high returns recently. It's better not to go there for the time being. Our investment projects in Hong Kong have already begun to cash out gradually."

When Berkshire invested in Hong Kong in the early years, Buffett also went to Hong Kong and reached a cooperation agreement with Yang Wendong. The two parties jointly invested in each other. This not only enabled them to share the investment returns in Hong Kong and the United States, but also to avoid major risks, while also making full use of Buffett and Yang Wendong's investment capabilities in their respective regions.

For Yang Wendong, he has already invested a lot of his capital in Hong Kong, and even in Asia, because he naturally needs to invest in Europe and the United States. There are too many countries in Europe, so he only needs to focus on investing in the UK. However, investment in the UK is actually a ZZ investment, and it is hard to say how much profit it can bring. He is more familiar with the history of the United States, so he naturally wants to invest in the right one;
In addition to the electronics industry and Wal-Mart, Buffett is a very suitable investment. This is not an investment in a company, but an investment in an individual. Even if such a capable person affects some American commercial companies because of his existence, it will not affect Buffett's investment ability, so this kind of investment is mutually beneficial.
Buffett also gave Yang Wendong $500 million to invest on his behalf. This was much simpler. He could just use leverage to buy some real estate company stocks and some properties. It would be hard not to multiply the money several times. But it was only 250%, and that was because he collected a large amount of intermediary fees.

"Will Hong Kong's economy have problems?" Buffett asked back, "Do you mean something like the economic crisis in the United States in 69?"

Yang Wendong nodded and said, "Yes, Hong Kong is actually the same as the United States. On average, an economic crisis will occur every ten years or so. This is also the norm in the capital market. You know better than me that the last economic crisis was about eight years ago, and it is almost the same now."

In fact, it is not just the United States and Hong Kong. Many places have a ten-year cycle, which is also the economic norm. However, Hong Kong is also a bit special because it plays a lot of roles between the East and the West. Therefore, international capital and future mainland capital will often invest here, which may lead to premature overheating or a delayed outbreak of the crisis. It all depends on the issue of social confidence.

Of course, Big A is a special case and is not easy to explain.
"So that's how it is." Buffett nodded, and then said, "If you can calculate the approximate time, can't you buy the bottom and short it?"

"Short selling? This doesn't work in Hong Kong, at least I can't do it." Yang Wendong laughed and said, "And I only know that there will be problems, but I'm not sure when the economic crisis will come.

Another thing is that I own a lot of real estate and listed company stocks in Hong Kong, so short selling is not good for me either.”

In fact, even if there are benefits, he would not do so. Isn't this an enemy of all Hong Kong stockholders and listed companies? Even if short selling is just going with the flow;

Small players can play around, but big capital is better off not getting involved, unless it is a specialized hedge fund that makes a living from this;

But although hedge funds look awesome, and Soros has used his capital to defeat national-level entities many times, his lifetime profits are actually far less than Buffett's. This also shows that it is better to make long-term investments after seeing the potential for profit, or to use his own resources to help some companies develop, so as to obtain higher comprehensive returns.

Buffett smiled and said, "That's right. Forget it. I won't participate. Let's take a look at your investment returns in the United States. It's not as good as Hong Kong, but it's also a positive return of 55%."

"Okay, let's see." Yang Wendong didn't really care about it. It was just a small test.
Knowing the future, no matter how capable Buffett is, he can never surpass his operations in Hong Kong. But after all, the Hong Kong market is limited, while Buffett's investment ceiling in the United States is almost unlimited. So in the long run, this deal is still a good deal for him.

After looking over the accounts, the two decided on a plan to increase capital once more, but only for the United States. As for Hong Kong, they would have to wait until the economic crisis predicted by Yang Wendong occurred before considering the next step.

After the Omaha incident, Yang Wendong returned to Los Angeles again and met with Li Xiaolong who was filming a movie. After chatting, there was nothing important. Now the most important thing is for Li Xiaolong to stay healthy and continue to shoot more movies and increase his popularity.

On July 7, Yang Wendong, led by an intermediary, came to a small office.

"Mr. Yang, this is where Don Valentine is. He founded a company here called Sequoia Capital." The agent introduced with a smile.

Yang Wendong nodded and said, "Okay, have you contacted Valentine in advance?" He chose two directions to invest in the United States. One is the electronics industry, which he will participate in himself, and the second is to invest in professional investors like Buffett;

But there is another situation where the two are combined into one, that is, investors who specialize in investing in the electronics industry. Such people are more in line with Yang Wendong's interests.

In the past, there were many similar investment funds that specialized in investing in electronic technology, software, and the Internet, referred to as venture capital. There were many well-known ones, such as Sequoia Capital, DIG, Index, Softbank, etc.
The most famous among them is Sequoia Capital, which is the target of his visit today. Before he came to Los Angeles this time, he had already commissioned an agent to inquire about the situation of Don Valentine, the founder of this company.

Historically, Sequoia Capital has invested in giant companies such as Apple, Oracle, Cisco, and Google. These companies now have two possibilities due to Yang Wendong’s butterfly effect.
One is that it still exists, and Yang Wendong himself will also invest, but due to the restrictions of the US technology company protection law, foreign capital cannot invest too much. Even if this restriction is bypassed through indirect means, he cannot invest as many shares as openly.

The second is that if it no longer exists, then I, as a time traveler, will be completely in the dark. Then I will need to rely more on top electronics industry investment companies like Sequoia. After all, even if history changes, Sequoia Capital's ability and vision are still there, and it is likely that it will still be able to invest in some powerful companies in the future;
Of course, the second possibility is not very likely. After all, those who can create top companies are still the same people, and Yang Wendong will try his best to support them in the early stage, so the probability of success should still be there;

But no matter what, you will definitely not lose money by investing in Sequoia Capital.

The agent smiled and said, "We have already contacted him. We can see him when we go in."

"Okay." Yang Wendong nodded;
Everyone entered the office building. The various decorations and office equipment inside the building were quite complete. Sequoia Capital was different from other small companies that started from scratch. They were investment companies from the beginning, so how could they not have money?
And as an investment company, the headquarters cannot be bad. If it is in Hong Kong and you don’t have an office in Central, no one will pay attention to you.

Soon, under the introduction of the front desk, Yang Wendong and others came to a corner office, which was luxuriously decorated. Inside the office, a handsome man with black hair was already waiting inside.

"Hello, Mr. Yang." Don Valentine walked up and shook hands with a smile.

"Just call me Eric, it's more convenient." Yang Wendong said with a smile.

In Western culture, people generally call each other by their names, which is much more convenient. In Chinese culture, it is the opposite. Most people call each other "Mr.", "Miss" and the like. In Hong Kong, people call each other "Sheng". Unless they are very familiar with each other, they will not call each other by their names, especially in public.

"Okay, then you can just call me Tang." Valentine also smiled and said, "Please sit down."

"Thank you."

After they sat down, they chatted casually for a while. Valentine gradually got to the point and asked, "Eric, I'm curious about how you chose to invest in Intel. It is said that Moore and his team founded the company with your help."

"That's because they all came from Fairchild Semiconductor." Yang Wendong said with a smile, "Just like you, Tang, you all came from this company. Many of you were also very famous in this company at the beginning. This is why I came to you today and want to invest in your company."

Fairchild Semiconductor, a company that many mainlanders had never heard of in the past, because it declined in the 1970s and 1980s;

But at its peak, it gathered half of the future big names in Silicon Valley, including Intel, Sequoia Capital, AMD, and several top semiconductor hardware companies. It can be said that Fairchild was the Whampoa Military Academy of Silicon Valley and even the American semiconductor industry.

It was this company that invested in and built transistors in Hong Kong in the early years. However, due to the departure of many people, insufficient innovation capabilities and wrong strategic direction, it eventually declined.

But all celebrities who come out of this company are worth investing in, especially those who have been successful in their previous lives.

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(End of this chapter)