The birth of the Hong Kong Island family

Time flies, and two months have passed in the blink of an eye.

Early November.

In the conference room of Victoria Harbor Investment, Lin Zhichao was convening a meeting with senior executives to lay out investment matters.

The Victoria Harbor investment at this time includes the original Victoria Harbor real estate. The approximate assets are:

Cash flow of US$720 million, gold worth US$1 billion, rental properties in Hong Kong worth US$450 million (the Victoria Harbor Center alone is worth more than HK$500 million, as well as many buildings in Central, the Star Plaza in Tsim Sha Tsui, etc. property), US$350 million in cash (cash out of the Hong Kong stock market, sale of naval dock land, rent, etc.).

Total assets are approximately US$2.5 billion.

"In terms of the U.S. stock market, how much has the Nifty 50 fallen compared to before we shipped?"

Chris immediately said: "The index has fallen by 48%, and most of the declines in the Nifty 50 are around 50%. At the same time, everyone generally believes that the U.S. economy, and even the entire Western economy, has entered stagflation."

Lin Zhichao nodded and immediately made arrangements: "Use the US$720 million that was cashed out last time to buy Nifty 50 stocks within 4 to 5 months, and the selected themes should be represented by technology, cycles, medicine, and oil; with this At the same time, you can also choose stocks from small and medium-sized technology stocks. You can come up with a plan for me as soon as possible and I will give instructions."

When you buy the Nifty 50, you are betting on a stable rate of return. When you buy small and medium-cap technology stocks, you are betting on the explosion of technology.

Chris immediately said: "No problem, I will return to the United States immediately to prepare. Our current investment channels are very hidden and dispersed, and the security of funds is better. Boss, please rest assured."

Investing in U.S. stocks has always been done in a low-key manner, and many of them are offshore companies and cross-shareholdings.

Of course, over the years, Lin Zhichao invested a total of 40 million U.S. dollars, and now the market value is 720 million U.S. dollars, which has increased 18 times, and it took 15 years. On average, the annual return is just over 20%.

Later, Lin Zhichao said: "Gold continues to rise this month, and I guess it will soon touch 180 US dollars per ounce, so I also plan to cash out. For this matter, Zhonghe will accompany me on a trip to Europe, and the cash out funds will continue to exist. Switzerland and London are looking for opportunities to continue investing in gold.”

Li Zhonghe nodded and said, "Okay, I'll prepare the itinerary."

He used to be the financial officer of Universal Group, and now he is Lin Zhichao's private investment financial officer. He is deeply trusted.

The gold invested in Victoria Harbor is about 160 tons, with Switzerland accounting for more than half, London accounting for more than a quarter, and Hong Kong accounting for only 10%. This is because in the early days, Hong Kong had not lifted its 'gold controls', but on April 1 this year, the Hong Kong government completely lifted its gold controls and allowed the free import of gold.

In this way, the next time you invest in gold spot, Hong Kong can increase the proportion; after all, the world's five largest gold merchants have gathered in Hong Kong, and the Hong Kong Gold and Silver Trade Center has also resumed '999 gold' settlement.

After this wave of gold hit 180 US dollars per ounce, Lin Zhichao believed that there would be an adjustment, so he planned to make a price difference and wait until the price dropped to 130 US dollars per ounce before considering buying more gold.

In short, the next wave of gold war will be after the incident in Iran and the year of the ‘Second Oil Crisis’ in 1979.

Then, Lin Zhichao continued to arrange the strategy: "Ben Feng, the Hang Seng Index is about to penetrate the psychological barrier of 200 points, and we should also arrange funds to enter the market. I order you to spend 800 million Hong Kong dollars and start buying HSBC, Hang Seng, East Asia, Sun Hung Kai, New World, Towngas, CLP... these blue chip stocks and real estate stocks, but each company should not exceed 2%, the investment time span is three months, buy in batches."

Lin Benfeng, Lin Zhichao's brother-in-law, was participating in such a big decision for the first time, and he couldn't help but feel overwhelmed with admiration.

He carefully remembered every word of his boss, and then said: "Okay, I know how to operate it, and I will report to you in time."

Lin Zhichao nodded and said: "Also, spend 200 million Hong Kong dollars to intervene in the Japanese securities industry and purchase technology and information stocks, focusing on export companies, such as Sony and Panasonic. I will report in detail to the two vice presidents later (gram Reese, Li Zhonghe)."

Lin Benfeng nodded. Investing in Japanese securities has been carried out by Victoria Harbor Investment for a long time. Probably in the early 1970s, when the Japanese stock market was opened to foreign investors, Victoria Harbor Investment spent tens of millions to try and withdraw before the oil crisis. And very profitable.

After some arrangements, Victoria Harbor Investment still has about HK$1 billion in cash flow left.

"The construction of Admiralty Center and Penfolds Center is an important task for Victoria Harbor Real Estate at present. Manager Chen, you must ensure it is done properly!"

"Okay, boss."

In this way, Victoria Harbor Investment certainly still has a lot of cash flow, such as HK$5.5 billion in gold cash and HK$1 billion in cash flow from the Hong Kong account.

These funds can only be retained for the next gold dip (1976), or for new investment projects in the future.

After some arrangements, Victoria Harbor Investment took action immediately.

Back at the Yangtze River Industrial Group in a building, Lin Zhichao sat in the office and started thinking.

Cheung Kong Group has gained a lot this year. It has spent a total of HK$200 million to acquire 50% equity interests in China Bank Building and Metropolis Real Estate Investment (Lejing Center, Century Tower), which suddenly increased a large amount of rental income; at the same time, Cheung Kong Group I also purchased land in the market and exchanged the land rights certificate, which cost almost HK$50 million. Although it was not much, it was still a bargain.

In 1974, the profit is expected to be HK$150 million, neither increasing nor decreasing. This is because although rents and house prices have fallen, Cheung Kong Group has increased sales of properties and other businesses (retail, beverages and food, rentable property area, etc.). Therefore, profits can be stabilized.

"boss"

Financial manager Zhou Fuzhao walked in.

“How much money will I have in my account at the end of the year?”

"It is estimated to be 200 million. This year we have spent a full 550 million to increase the company's assets (Changjiang Plaza site, Chinese Bank, Metropolis Real Estate, reserve land) and the debt is still extremely low, only 60 million Hong Kong dollars."

Lin Zhichao nodded, knowing what he was doing. The reason why it can maintain a cash flow of HK$200 million is because the capital for the acquisition of Capital Real Estate came from the issuance of new shares, which reduced expenditure by 100 million.

Although the cash flow was sufficient, Lin Zhichao did not rush in immediately, so he said: "Okay, I understand. Anyway, we will continue to buy real estate at the bottom. Sufficient funds are our best weapon."

"Well, then I'll get to work first!"

At this time, Cheung Kong Group was still not big enough and could only slowly accumulate strength.

Of course, among local real estate companies in Hong Kong, it is a well-deserved giant. More important business assets include:

Raffles City and Daimaru Department Store in Singapore, Raffles City (under construction), Yangtze River Plaza (land), Miramar Hotel, Miramar Shopping Center, Lai Chi Garden Playground, Daimaru Department Store (Walden Building) in Causeway Bay, and Xintiandi in Hong Kong Shopping mall (Xintiandi Building), China Bank Building, Metropolis Real Estate, Anderson Daya Quarry, Poly Construction, RT-Mart/7-11 convenience store, Doll Noodles, Red Bull, 20% equity of Hong Kong Industrial (Discovery Bay)

In addition to these commercial assets, there are also more than 1.2 million square feet of reserve land (90% occupied by Hong Kong and Kowloon) and 16 properties under construction.

We are strong enough in Hong Kong, but it is obviously not good enough to develop overseas real estate projects. It is not that we have no funds, but that overseas returns are low, so we must be cautious.

Therefore, even if he is bargain-hunting for U.S. office buildings, Lin Zhichao hopes that Universal Group will operate it.

Originally, Lin Zhichao wanted Zhou Fuzhao to plan a "secret purchase of Qingzhou Yingni shares", but after careful consideration, he decided to take action in 1976.

Although it is cheap to buy now, firstly, it is easy to scare the snake, and secondly, the cost is cheap, so it is better to invest funds in real estate.

Therefore, while Cheung Kong Group is now acquiring land, it is also seeking to acquire large-scale real estate projects and real estate companies on the market.

At noon, Lin Zhichao came to Delta Investment in the Far East Financial Center.

At this time, Delta Investment already had several male employees who were real estate experts and securities experts; but the ratio of male to female employees in the entire company was about half and half.

When Lin Zhichao arrived, many people and staff greeted him as "Linsheng". The company's employees still knew that the boss Zhao Yazhi was Lin Zhichao's lover. This couldn't be hidden, and Lin Zhichao also needed to scare these people so as not to bully his woman.

He nodded slightly and then walked straight to Zhao Yazhi's office.

"Brother Chao, you're here!"

Zhao Yazhi, who was wearing a professional suit, stood up immediately and greeted Lin Zhichao happily.

"Well, come here to see the status of Delta's investment, and feel free to invite my little beauty to have dinner with you tonight."

"Thank you, Brother Chao. Well, I want to go on a date at the Shangri-La Hotel. Is it inconvenient for you?" Zhao Yazhi requested.

"No problem, what's the inconvenience?" Lin Zhichao said with a smile, sitting on Zhao Yazhi's desk and talking relaxedly.

He takes a woman to his store for a date and a room. There will always be some scandals in the future, but who knows if it is true or not?

For example, the God of Gamblers in his previous life publicly said that he had more than a dozen lovers, and Lui Che Woo lived in his hotel all year round to find girls. These are relatively credible; but news such as Li Jiacheng bringing Li Jiaxin home, and Zheng Yutong liking young girls are extremely unlikely.

But it also shows one thing, whether you do it or not, the Hong Kong media will not let you go. This is what the kid is saying.

"Brother Chao, this is the company's property situation. Let me show it to you!" Zhao Yazhi took out a document and handed it to Lin Zhichao.

Lin Zhichao lifted her chin and pressed it hard. After it was full, he looked at the document.

This woman looked more and more like a professional woman and a strong woman, and Lin Zhichao liked her very much. Women really need to be trained well, especially if they are trained by themselves, they will have a greater sense of accomplishment.

Like Zhao Yazhi, Lin Zhichao has classic memories of her previous life as the White Snake in her mind, and now she has the temperament of a strong professional woman, which makes people feel comfortable and accomplished.

For example, Lin Qingxia is still filming, but now she only makes movies for Golden Harvest. The movies in Taiwan must have no kissing scenes, and they can also be shot selectively. Lin Zhichao did not stop her from stopping filming. If she took her time and stopped at once, problems could easily arise.

Zhao Yazhi looked at Lin Zhichao sweetly, her eyes were fixed on this man. He could make her get all the satisfaction, so she was willing to be her lover for the rest of her life. Of course, she had to have children. Fortunately, this man had promised.

"The mansion in Minghui Garden is pretty good. You bought two of them for just over 500,000 Hong Kong dollars. You made a lot of money!" Lin Zhichao commented.

Minghui Garden, located in Repulse Bay, was completed at the end of last year and has only 40 units in total.

Lin Zhichao remembers seeing news in his previous life that the grandson of shipping king Bao Yugang bought his first apartment in Minghui Garden, Repulse Bay. The price was around HK$60 million. That was still in 2023.

In other words, Minghui Garden now only has 268,800 units per unit, a full 200-fold increase. If it were the peak period, there would probably be an increase of more than 250 yuan.

This figure is similar. Today, mid-to-high-end residential properties in Hong Kong and Kowloon are in the range of HK$150 to HK$200. In the future, HK$30,000 to 40,000 per square foot will be affordable.

"real?"

"Of course it's true. You can live in Repulse Bay in the future. Causeway Bay is too noisy!"

"Well, that's what I plan to do, I plan to move into Minghui Garden!"

Later, Lin Zhichao looked at Zhao Yazhi's list of purchased properties. With Lin Zhichao's guidance, naturally they were all high-quality assets, such as shops in Causeway Bay and Tsim Sha Tsui, and office rooms in Central.

All in all, Zhao Yazhi has bought properties worth 8 million Hong Kong dollars this year, and is still going on.

He planned to use Zhao Yazhi's 17 million Hong Kong dollars to buy real estate at low prices and live the life of a housewife.

"By the way, the gold is ready to be cashed out. In addition to your living expenses, you can continue to buy properties with the cashed out funds! And your parents can take care of them appropriately. Of course, they have to be appropriate. You will also give them to me in a few years. When you have a child, the money is left for the child.”

Zhao Yazhi immediately took Lin Zhichao's arm and said, "Brother Chao, I want a child!"

Lin Zhichao smiled and said: "Don't worry, I will have a grandson next year, and you can wait until the year after that!"

Zhao Yazhi was immediately embarrassed and said, "I hate you. You don't look like someone who is raising a grandchild. You are only in your early thirties at most."

Lin Zhichao said: "This is a fact! But I am a very cool and open-minded person."

Zhao Yazhi raised her voice and said, "I don't care either. Anyway, I am determined to follow you for the rest of my life. I won't make trouble and will only listen to you."

She was afraid that Lin Zhichao would change his mind and not give her a stable commitment.

Although she now has tens of millions of wealth, she has been conquered both physically and mentally, so naturally she does not only focus on money.

In mid-November, Lin Zhichao came to Boeing's Seattle headquarters, accompanied by Mrs. Xu Caiying, Hong Kong Airlines President Powell and other senior officials.

"Mr. Lin, Mrs. Lin, and President Powell, welcome to Boeing!" Yuri, the president of Boeing, gave a warm reception.

Perhaps Hong Kong Airlines is just a regional airline with only 12 Boeing aircrafts. But when they heard that Lin Zhichao wanted to purchase a Boeing aircraft as a private jet, Boeing executives took it very seriously because it was a celebrity effect.

You know, this is an oil crisis. Airlines in various countries have reduced passenger aircraft orders. The skyrocketing oil prices have plunged the world into an energy crisis. If a wealthy person chooses Boeing passenger jets for personal use, it is equivalent to opening up a new sales channel.

"Thank you, President Yuri, for meeting us in person. When we come to Boeing again, we have changed from a 707 to a 747!" Lin Zhichao said with a smile.

Yuri immediately said: "Hong Kong Airlines is the first overseas customer of Boeing 707 passenger aircraft. We have a long history!"

"Haha, that's right!"

Everyone chatted happily. Boeing paid great attention to everyone and then took everyone by car to inspect the production workshop.

Speaking of which, this factory was built specifically for the R\u0026D and production of the Boeing 747. Originally, Boeing's factory did not have enough space to produce the Boeing 747. Boeing inspected several locations and finally purchased it in 1966 north of Seattle, Washington. 780 acres (approximately 3.16 square kilometers) of land were acquired to build a new factory, which was the largest factory in the world at that time.

During the inspection, Yuri asked: "Mr. Lin, do you want to use a Boeing 737 to convert it into a private jet?"

Lin Zhichao shook his head and said: "Of course not, I hope to use a Boeing 747 to convert it into a private jet!"

Yuri was surprised, and then said very happily: "This is really a very tasteful idea!"

Lin Zhichao smiled and said: "As far as I know, your Boeing 747 sales seem to have encountered problems, so I hope to pick up the leaks. President Yuri, please give me a cheap price. Once this plan is successful, there will be more in the future." Many wealthy people choose Boeing 747 modified private jets. After all, the huge fuselage and double-layer space, if modified well, can be equivalent to a mobile flying fortress!"

In fact, after the Boeing 747 rolled off the assembly line, Pan American Airways ordered many 747s; but as the Boeing 747 passenger planes were delivered one after another, they encountered the oil crisis. Although it could carry about 700 people, each one that took off was equivalent to A gold-eating beast with "ten times the fuel consumption" (the oil price has increased several times, the fuel consumption has increased a little, but the passengers are dissatisfied, so it consumes ten times the energy).

Pan Am's order for the Boeing 747 will start this year with only about 20 aircraft per year, and will continue for three years. The original selling price was US$25 million, but now it has dropped to around US$20 million.

Yuri said happily: "No problem, we will definitely be able to give Mr. Lin a satisfactory price."

Later, Yuri even took the initiative to advance Lin Zhichao's order, planning to deliver one next year. It was someone else's order that was given to Lin Zhichao; his idea was very simple, that is, to advertise in advance.

Lin Zhichao also asked Boeing to contact and participate in modifications for him, which ultimately cost almost US$8 million. Among them, 19.8 million is the price of the Boeing passenger plane, and the other 8 million US dollars is the cost of modification.

After the private jet is refitted, it is expected to be managed by Hong Kong Airlines in 1977.

At the same time, the management of Hong Kong Airlines came to Boeing to inspect, intending to take advantage of low prices to purchase Boeing 737s and 747s.

Today, Hong Kong Airlines owns 12 Boeing passenger planes, most of which are Boeing 707s and a small number of 737s. However, in the next fifteen years, Hong Kong Airlines will replace all its passenger planes with Boeing 737s and 747s.

At present, Hong Kong Airlines' annual profits have reached more than 8 million US dollars, so it is normal to continue investing in passenger aircraft. It is expected that it will not be able to truly return cash to shareholders until the mid-1980s.

But in any case, Hong Kong Airlines' assets are very rich. In addition to owning 12 passenger aircraft, it also owns some fixed assets and has a certain amount of cash flow on its account.

The only pity is that as Cathay Pacific launches direct flights to Europe and the United States, Hong Kong Airlines can only fly to South Korea, Japan, Taiwan, and the Philippines, and its potential has begun to fall behind Cathay Pacific.

It was already mid-December after Lin Zhichao completed his work overseas (selling gold, purchasing private jets, etc.) and returned to Hong Kong.

During this period, the Hang Seng Index hit 165 points on December 5 and began to show signs of stabilizing. Therefore, Lin Zhichao speculated that with HK$800 million in bargain hunting funds invested in Victoria Harbor, the Hang Seng Index was 15 points higher than the previous lowest of 150 points. Yes, that's understandable.

Of course, Victoria Harbor Investment's stock hunting of 800 million Hong Kong dollars at the bottom was divided into three months, with an average of less than 300 million Hong Kong dollars per month. The current monthly transaction volume is around 1 billion Hong Kong dollars. The impact is there, but it will not be huge.

Although the stock market has hit rock bottom, it is expected to rebound sharply next year, and it is possible for the Hang Seng Index to double.

However, the real estate market is still affected by the oil crisis and is not expected to rise until the end of next year. Stocks are pulling wildly, and the stock market is inherently more responsive than real estate.