Rebirth 1991: My Financial Era

He Chaoqiong is a strong career woman and a trendsetter in the rich circle, so her words are naturally listened to.

When everyone saw it, they immediately agreed.

Especially the blond lady who had just invested in the investment was even more excited.

"Thank you all investors for your trust. The resolution on investment allocation was unanimously adopted. Now we move on to the third agenda item, the resolution on liberalizing fund redemptions. I invite Sun Sheng." He Linshi continued to preside.

"Dear investors, based on my proposal, the manager decided to relax the redemption restrictions. From now on, investors can redeem." Sun Chen took the microphone and began to speak.

"I just mentioned that previous returns were very random and luck-based. To be honest, there are not very good opportunities for future investments. Therefore, it depends on your willingness to redeem."

After Sun Chen finished speaking, the venue was in an uproar again.

He Chaoqiong watched his performance with a smile, and said in his heart that I believe you, but I can't let you go.

Miss He Da said: "Thank you Sun Sheng for the excess income you have brought to us. We have always supported you."

Sun Chen originally had the attitude that it didn't matter if he redeemed himself as he wished, with Miss He taking the lead, but now no one wants to quit.

"Thank you for everyone's trust. Then our fund will continue to exist, but please lower your expectations. We will give you double the return on investment first, and put the rest in the fund, okay?"

Sun Chen thoughtfully distributed dividends to investors, leaving 50 billion yuan as a new starting point.

As for the Puvis family and friends group, Sun Chen had to pay 10 times the price to buy it back. This doubled dividend should be regarded as the handling fee for the acquisition.

In the end, the investment briefing was derailed and became Miss Heda's property sales conference and beauty beauty conference.

After the meeting, Zhu Yin was taken away by Miss He and went shopping.

Sun Chen returned to the company alone and thought about the bank acquisition plan. The bank chose Hengsheng, but what about another financial institution? Should I choose insurance?

As an old stock investor, I still have fresh memories of Bada Shen’s Berkshire Hathaway company. This is an insurance company that will never run out of cash in any crisis.

As a member of 996 Fu Bao in his previous life, Sun Chen was frequently hunted by insurance salesmen. He had no choice but to have no money and was unwilling to pay for the future.

Now from the perspective of a financial investor, when faced with the temptation that insurance can provide a steady stream of cash, he is naturally very excited and finds it difficult to control it.

There are three ways to make money from insurance: one is the dead spread, the other is the interest rate difference, and the other is inflation.

The dead spread is the core clause of insurance. Actuaries calculate compensation strategies based on historical data and probability. If you charge more and pay less, you will make money.

The interest rate spread is easy to understand. The difference between the rate of return promised to policyholders and the rate of return on their own investment is the money earned. This is Sun Chen's strength and the greatest benefit for reborn people! This is also where his confidence lies.

Inflation is better understood. The maturity value of the policy does not calculate the inflation rate, but in the era of paper money, inflation is eternal! This is also the secret why insurance companies with weak investment capabilities can make money.

It's better for an insurance company to buy a building now and the return on investment is only 2%, but what about in 2020? If rental income increases by 10 times, the yield may be 20%, which is far better than the odds given to policyholders!

Insurance is a good business!

"Qian Dazhuang, let me report to you!" Sun Chen said jokingly.

"Sun Sheng, don't you dare. I'll go find you to report." Qian Cheng said quickly.

"Come on, we have something important to discuss." Sun Chen hung up the phone after saying that.

Yin Yue has already gathered a team and arrived at the Zaporozhye Automobile Factory.

Duan Shiyong is still floating on the sea.

Let’s set up the consortium structure first.

"Qian Dazhuang, do you know Berkshire Hathaway?" Sun Chen asked.

"Sun Sheng, I know, it is Buffett's insurance company and it is also a listed company." Qian Dazhuang replied.

"Does our Gangcheng Insurance Company have any restrictions on investment?" Sun Chen asked.

Sun Chen knew that Bagu Shen invested through insurance funds. The specific details were unclear and professionals were still needed.

"Sunsheng, Hong Kong insurance companies have a wide range of investments, including stocks, bonds, deposits, and real estate." Qian Cheng replied.

"What percentage can be invested in stocks?" Sun Chen asked.

"Sunsheng, Hong Kong City insurance investments are divided into two categories. One is bonds and fixed income. The investment ratio of this part ranges from 25% to 100%."

"That is to say, at least 25% of the investment needs to be in fixed-income assets, which can be deposits or bonds, right?" Sun Chen said.

"Yes, Sun Sheng. The second category is growth assets, with a ratio of 0 to 75%, mainly including stocks, stock mutual funds, real estate, real estate funds, private equity funds and private credit funds." Qian Cheng answered.

“After the funds of the insurance product guarantee the investor’s income, does the value-added part belong to the investor or the insurance company?”

Sun Chen is most concerned about value-added income. The capital cost of private equity funds is too high, and the maximum can only be about 45% of the total income.

"Sun Sheng, it depends on the investment product agreement. Generally, the excess investment income of the product belongs to the company." Qian Cheng answered.

"How do ordinary insurance companies make money, assuming the investment returns are not high?" Sun Chen asked.

"There are also management fees. Sun Sheng, if they increase their asset size, they can make money by charging management fees." Qian Cheng answered.

“What are the restrictions on domestic and foreign investment?”

"There are no restrictions. The port city is a free port, and overseas investment is about 30%." Qian Cheng is very familiar with the insurance industry.

"How to restrict related party transactions?"

Sun Chen asked a key question. He was working in a bank and private equity fund, so he must have a large number of related transactions.

"I need to sort this out further, but what is certain is that the regulations on related transactions of the Hong Kong Monetary Authority, the Financial Secretary and the exchange must be followed." Qian Cheng said.

"So, if I want to acquire an insurance company, what are the targets and what preparations need to be made?" Sun Chen asked.

"Sun Sheng, I suggest hiring a professional acquisition team. We need to conduct a comprehensive evaluation of the target in order to give a reasonable offer. At the same time, negotiation is also very important." Qian Cheng suggested.

"Okay, which institution is more famous for its M&A transactions?" Sun Chen asked.

"I recommend hiring the M&A team from Gaosheng Investment Bank. They are the most professional." Qian Cheng suggested.

"Okay, I entrust you to handle this matter, including hiring an M&A team and an auditor team, finding a suitable target, and completing it within two months. Can you do it?"

Sun Chen needs time now.

He originally wanted to build a financial holding structure for insurance holding banks, but it seems that there is no precedent for this in Hong Kong cities. The insurance financial holding platforms in the mainland should be different from the situation in Hong Kong cities.

Moreover, he already owns Huaxing Holdings. The insurance company has not yet acquired it. The acquisition of Hengsheng Bank will be carried out soon. It is better to use Huaxing Holdings as a financial holding platform and control both banks and insurance companies.

Sun Chen sent Qian Cheng away and was still thinking about the future.

"Tatsuko, BOCHK called to say that they received the principal and investment income of the fund?"

Sun Renwu called suddenly.

"Yes, I thought you needed the money, so I returned all the principal and profits. Are you satisfied with the profits?" Sun Chen explained.

"Very satisfied. I would like to thank you on behalf of the superiors!" Sun Renwu saluted solemnly.

"Uncle, it's serious," Sun Chen said.

"This is the treatment you deserve. With this money, we can purchase a small amount of foreign samples for comparative research. How many projects can be completed without having to cancel the project, and how many projects can be accelerated!" Sun Renwu said.

The revenue of 160 billion yuan is 23.6% of this year’s military expenditure! And it’s incremental funding!

"You always call to praise me, right?" Sun Chen felt that Sun Renwu was not like this.

"Haha, you kid, what the above means is, can I still invest my principal?" Sun Renwu asked.

"There is no chance now. Besides, the share you give is too low, so I don't have much enthusiasm."

"Then what do you want?" Sun Renwu asked.

"Other things remain unchanged, I will share 100% of the income above 30%." ​​Sun Chen increased the income sharing requirements.

"Okay! Let's continue to invest 50 billion Hong Kong dollars!" Sun Renwu agreed immediately.

Sun Chen felt that he was so hurt and the conditions offered were too few.