Rebirth of the Capital Legend

"It should be possible." Bao Yongquan responded, "In today's market, Huayi Capital still has a great influence.

Not to mention the fundamentals of the real estate sector, which have been gradually improving, and the corresponding core real estate stocks have been undervalued.

Just talking about market sentiment, Mr. Su of Huayi Capital has the ability to guide market follow-up funds and the vast number of retail investors.

This wave of real estate market should also continue.

What's more, the market volume increased a lot today, and on the after-market Dragon and Tiger list, the main buying funds were not just the "Hua Yi Expedition No. 1" fund under "Hua Yi Capital".

Other institutional funds are also actively intervening in a number of core stocks in the real estate sector.

There is also the current market discussion heat after the two markets closed.

After two days of emotional fermentation over the weekend, it is estimated that when the market reopens next Monday, more major institutional funds and speculative funds will intervene in this main line area.”

"Do you think the real estate market can continue to be bullish under the current economic situation?" After hearing Bao Yongquan's words, Yang Shengfan paused and continued to ask, "my country's urbanization rate is already not low, and housing prices have been rising in the past few years and are already at a relatively high level. Logically speaking, at this housing price level, people's purchasing power is relatively limited, and there is foreseeable demand, which cannot support the continued bull market in the real estate market."

Bao Yongquan thought for a moment and responded: "From the current perspective, the 'supply-side' reform implemented by the country in the fields of 'steel, coal' and other industries seems to have achieved initial results, and my country's economy, whether we admit it or not, is closely related to the real estate market.

Since last year, the national housing and construction department has gradually relaxed its supervision of the real estate market.

This shows that at this stage, the country hopes that the real estate market can continue to be bullish, and through the "big infrastructure" strategy, continue to promote the development of domestic demand, boost the economy, and boost everyone's confidence in economic growth.

As for the demand you mentioned, Mr. Yang, and the purchasing power of the people...

I don't think it's a problem.

Based on my country's birth rate and annual changes in population structure.

The peak birth rate in our country happened to be between 87 and 97. That is to say, in today's society, the population group aged around 20 to 30 is the highest in these years.

The concentration of young population means that this is the peak period of marriageable population.

Due to changes in social values ​​in recent years, the influence of online media, and the relaxation of the household registration system, a large number of rural people have migrated to cities and towns.

This has led to the idea that if you want to get married you have to move to the city and buy a house, which has gradually become deeply rooted.

In other words, I think that during the peak period of the marriageable population, the group that has an urgent need to buy houses is very large.

This group may not be able to afford a house in the current market price, but buying a house...is usually not a matter for one person, but a matter for a family.

But if we take the purchasing power of a family as the unit.

Then, the current housing prices will not reach the point where they are unaffordable. "

"So you think... the current hot real estate market across the country can continue?" Yang Shengfan listened to Bao Yongquan's analysis, pondered for a moment, and continued, "Do you think that based on the current housing prices, the national real estate market can still have a vigorous bull market like before?"

Bao Yongquan said: "I think this is inevitable."

"Are you so sure?" Yang Shengfan was a little surprised.

Bao Yongquan nodded with a smile and said, "In the past 20 years, the real estate market has created many wealth myths. With the development of the entire market, the Chinese people have already had unshakable confidence in housing prices. Moreover... in any market, the trend-following group cannot be underestimated.

With unshakable confidence, once housing prices skyrocket in a short period of time.

Then, there will be an endless stream of people following the trend and buying.

This is just like how retail investors in the stock market always chase rising prices and sell when prices fall.

Since there is policy support, the government and the people have demand for real estate, and at the same time, the financial market is sluggish, hot money needs a place to speculate that can accommodate large funds.

So, considering my country's national conditions, once the real estate market starts to gain momentum, it will basically be a bull market."

"It seems... we have to work overtime this weekend." Yang Shengfan smiled and said, "Mr. Su from Huayi Capital is really amazing. He can always find major market opportunities in time and guide emotions at the right time."

Bao Yongquan was stunned when he heard what Yang Shengfan said, and asked, "Boss Yang, are you planning to change your investment strategy and follow up on the main line of investing in 'real estate'?"

Yang Shengfan replied helplessly: "No matter what time, we have to respect the market. Since the market trend has helped everyone make a choice, we can only follow it. As for the core theme of 'new energy industry chain', in the long run... I am still optimistic, but the trend in the medium and short term is really bad. We have to temporarily avoid this sector and embrace the main line of the market, so as to reduce the net value drawdown of our fund products."

"Okay." Bao Yongquan nodded and said, "Then I will immediately ask everyone to prepare relevant information about the 'real estate' main line, and have everyone work overtime over the weekend to develop relevant trading plans and target stocks to invest in."

"Sure." Yang Shengfan responded, "I guess this weekend, many investment institutions will study the future market trends of the real estate sector carefully."

With Bao Yongquan's analysis, Yang Shengfan gradually changed his investment ideas.

At the same time...

Just as Yang Shengfan expected, many investment institutions in the entire Magic City, after looking at today's market dragon and tiger list data and discovering that the institution "Huayi Capital" has significantly increased its holdings of real estate sector stocks, have also turned their attention to the real estate sector and quickly began to carefully study the investment potential of this main market line.

Among them, Shanghai, Huarui Fund Management Co., Ltd.

In the trading department of the fund product 'Hua Rui Excellent Growth No. 1', fund manager Song Shaopu has worked out subsequent trading plans and investment strategies after internal discussions. He plans to build a large position in real estate stocks next Monday, and will also turn his attention to the 'black resources series' stock investment sector.

"Xiao Jia, has our market research department fed back the research data?" Song Shaopu turned on his computer and did not find the latest operating data changes of major domestic coal and steel companies, nor the latest overall capacity change data of the industry in the company's internal resource library. He could not help but ask Jia Yongxiang, the fund trading team leader, "Why can I only find research report data from last quarter in the database?"

Jia Yongxiang responded: "The market research department probably hasn't updated the information. Previously, our focus and investment ideas were on the 'new energy industry chain' and 'consumer liquor' industry sectors. We didn't pay much attention to the ferrous resource sectors such as coal, steel, and nonferrous metals, so... I guess the colleagues in the research department haven't updated the information in this regard."

"What's going on?" Song Shaopu muttered, "Isn't there anyone tracking the data of these industries?"

Having said that, he immediately called the head of the market research department.

Then, about 40 minutes later, the supervisor gave him the various relevant industry data he requested, as well as the latest market research report on the target company he wanted.

Song Shaopu opened the latest information provided by the head of the research department and took a closer look. After a while, he raised his head and said, "Sure enough... Huayi Capital has a keen sense of the market's main trends. Judging from various research reports and the latest changes in the industry's production capacity, under the policy guidance of the 'supply-side reform' strongly promoted by the country, the current status of both the coal industry and the steel industry has improved to a certain extent."

"So... the situation of 'coal flying in the sky' in the market today is not caused by blind speculation?" Jia Yongxiang responded, "Is it really caused by changes in the fundamentals of the industry?"

Song Shaopu nodded and said, "At present, it is indeed the case."

"I really didn't expect that the breakthrough point of this round of market was in the 'dumb and rough' industry sectors such as coal, steel, nonferrous metals, and the real estate sector." Jia Yongxiang said, "It seems that there was no capital in the market that could look up to the stocks in these sectors before, so there were very few institutional funds and latent hot money in these sectors. Now... I'm afraid everyone will scramble to buy them."

"There's no need to rush to buy shares," said Song Shaopu. "Although the current situation of serious overcapacity in coal and steel has improved slightly, there is still great uncertainty as to whether the industry can escape from the quagmire and return to a high point of prosperity. We can only wait and see."

"At least there is a gap in expectations, right?" said Jia Yongxiang.

Song Shaopu nodded and said, "That's for sure. Otherwise, Huayi Capital wouldn't have changed its mindset and built a large position in this direction."

"Then we..." Jia Yongxiang stared at Song Shaopu and asked, "Should we switch our strategy around the real estate sector, or build positions around the coal and steel sectors?"

Song Shaopu thought for a moment and said, "Let's go with the 'real estate' sector. Compared with the coal and steel sectors, it is obvious that the real estate sector has a higher degree of market certainty. Of course, the coal and steel sectors have fallen sharply before, and if the industry fundamentals reverse, the expectation gap is also large enough. It is also necessary for us to make arrangements in this area next."

"What about the consumer, pharmaceutical sectors, and new energy sectors?" asked Jia Yongxiang.

Song Shaopu said: "Appropriately reduce the profit chips and free up some positions. Although consumption and medicine are the main lines of the bear market, after a wave of growth in the past six months, it is estimated that it will take a long time to adjust. Let's free up some positions first and do the main line with current expectation gaps."

There are only four or five months left this year.

The fund products they manage and their net asset value do not perform well compared with other fund products of the same size in the industry.

As of now, their fund's net value ranking.

Among public funds of the same size, it is still in the middle and lower reaches of the list.

It was obvious that Song Shaopu was not satisfied with such results.

As a fund manager with some aspirations, he requires that the net value performance of the fund products he manages must at least be among the top ten in the industry in the long term, and be ranked first within "Hua Rui Fund Management Company". Only in this way can he be worthy of the title of gold medal fund manager.

What's more, the better the fund's net value performance, the faster its scale can grow.

He hopes that through his own efforts, he can make the "Hua Rui Excellent Growth No. 1" fund he manages into the signature of the entire "Hua Rui Fund Management Company" and a star fund product worth hundreds of billions in the industry.

"Yes, I think so too." Jia Yongxiang nodded and said, "I will improve the strategy immediately."

As major industry players have turned their attention to real estate, steel, coal, cement, and other "big infrastructure" sectors, they have adjusted their investment strategies.

Over the two days of the weekend, the market's investment sentiment has been in a hot state.

Amid the discussions among countless investor groups and many retail groups on online platforms, there seems to be a feeling that the bull market has suddenly arrived again.

As the sentiment is hot, investors are turning optimistic about the future market situation.

August 8st, a new week begins.

Under the watchful eyes of countless people, the A-share market and the Hong Kong stock market opened for trading at the same time.

After the emotional brewing over the weekend and the popularization of science by the "stock gods" in the market, the "Huayi Capital" institution headed by Su Yi built up large positions last Friday, mainly buying "real estate", "steel", "coal", "nonferrous metals" and other "big infrastructure" main sectors, which were swiftly attacked by various funds as soon as they opened.

Among them, stocks like 'Pingmei Energy' and 'Bayi Steel' are dominated by hot money.

There was even a trend of opening sharply higher and then hitting the daily limit in seconds.

Faced with the market where sectors and core stocks in which his own institutions had built up large positions were being snapped up by funds and were rising steadily since the opening, Su Yi could not help but frowned slightly.

"Boss Su, what's the matter?"

Noticing the change in Su Yi's expression, Hou Baolong couldn't help but ask in the trading room of the main fund of 'Hua Yi Expedition No. 1'.

"The market sentiment is a bit over-excited," Su Yi said. "I didn't expect that the sentiment would ferment so much in just one weekend."