Starting with a fully invested A-share portfolio to become a capital...

Chapter 176: A Public Fund Manager's Pawn, Making 3000 Million Yuan Through IPO Subscriptions!
"!!!"

When Zhang Yang personally admitted that he was from Fuchun Road, He Jing's lips parted slightly, her eyes flashing with disbelief.

She never expected, or rather, never imagined, that "beastly Fuchun Road" would be so close to her, even in a negative distance.

As a securities professional, she had discussed Fuchun Road's trading methods and strategies with her colleagues several times during their leisure time.

In short, it can be summarized in four words.

Manipulating people's hearts.

The thought that Zhang Yang was from Fuchun Road made He Jing take another look at the young man in front of her, and she thought to herself, "You, Zhang Yang, you actually have two faces."

Whether giving speeches on campus or using the alias "Joker" in public, Zhang Yang talks about how to build his own investment strategy and how to avoid stock market risks. In the minds of retail investors, he is definitely the "Joker God for Stock Market Investors".

But what about Fuchun Road?
Evil bookmaker!

The new generation of speculative investors is utterly wicked!

Not only does he enjoy dumping stocks, but his self-created "924 Knife Method" is still being discussed by retail investors and institutions, who feel that this guy is a petty scoundrel.

Joker and Fuchun Road are two completely opposite extremes.

But these two extreme "people" are both Zhang Yang. He Jing now seriously suspects that Zhang Yang may have a personality disorder.

"If someone has a split personality, won't they kill me when I sleep at night?"

In just a few seconds, Zhang Yang became a schizophrenic in He Jing's mind.

On the other hand, Tao Yuang, although he had long guessed that Zhang Yang was Fuchun Road, still felt his heart tremble and goosebumps rise when he heard the other party admit it.

If he remembered correctly, the first time he accompanied Zhang Yang to Hongyue Investment and Financing, Zhang Yang leveraged the investment by 5 times, with a principal of 20 yuan.

Who would have thought that with just 200,000 yuan in initial capital, Zhang Yang became a well-known new generation of speculative investors in the A-share market, Fuchun Road, in just four months, and even founded a financial internet company worth over 100 million yuan, which received 50 million yuan in investment from Alibaba.

Unbelievable!

Tao Yuang could only say it was unbelievable!

Seeing the two men's eyes widen in shock, Zhang Yang calmly poured himself a glass of water, then looked at Tao Yuang and said, "Let's be frank, what can I get in return for helping you?"

"Gulu——"

Tao Yuang subconsciously swallowed. He was too nervous. Now he was not facing his junior brother Zhang Yang, but the evil Zhuang Fuchun Road.

After taking a deep breath and adjusting his mindset, Tao Yuang looked at Zhang Yang nervously and said, "My boss now requires that we keep up with the average growth rate of medical-themed funds. We're about 12% behind. If you can help me raise it, you can name any conditions you want. I'll do anything you ask."

"12%?"

Zhang Yang narrowed his eyes slightly, put down his water glass and said, "According to your fund's net asset value, that's a return of over 2 million. Are you serious?"

"It's precisely because it's difficult that I've come to you for help, because you're the only investor I've met who has managed to generate hundreds of thousands, even millions, in returns in just a few months..."

He Jing: "..."

A return of hundreds of thousands?

A return of millions?

1000000%?

Before joining the company, she earned over 0 yuan in this bull market, achieving a 60% return that already surpassed most retail investors. Now you're saying Zhang Yang's return has reached six zeros?
Are we all playing the same stock market game?
Even Buffett, who used to be a short-term trader in his early days, wasn't this terrifying, was he?

"You've investigated very thoroughly."

Zhang Yang still did not deny that Tao Yuang knew he used 20 yuan to leverage his investment. Now, the outside world is speculating that there are 4 million or even 5 million yuan of top-tier speculative funds in Fuchun Road, which is indeed a million-yuan return.

However, what Tao Yuang didn't know was that if the initial investment was 800 yuan, it would take 7499900 yuan to reach 6000 million yuan.

Such astonishing returns are impossible to achieve with conventional investment methods; leverage and compound interest from consecutive limit-up days are necessary.

Seeing Zhang Yang's tacit agreement, Tao Yuang pleaded like a drowning man grabbing a lifebuoy, "Please help me up, Junior Brother Zhang. You can ask for anything."

He was truly out of options. Because of his weak foundation and lack of powerful connections, once the "Huaxia Healthcare Value Hybrid Fund A" was taken over by someone else, he would be officially eliminated from this financial game.

As for licking Ou Guiyan's boots?

It can only delay the takeover.

This involves over 20 billion yuan in public funds, and other factions within China Asset Management are eyeing it covetously. It's not something Ou Guiyan can easily protect.

"I can help you out, but only if I have your retained earnings from insider trading..."

"This, this, this!"

Before Zhang Yang could finish speaking, Tao Yuang became extremely anxious and tentatively asked, "Could we...could we change the terms?"

If he hands over insider trading information regarding the transfer of benefits to the listed company, it would be tantamount to handing over leverage over himself and the listed company to Zhang Yang.

If it only involved Tao Yuang, it wouldn't matter; he could just hand it over. But if it involves a listed company, and if it's not handled properly, once these insider trading documents are exposed, he will be doomed.

Tao Yuang dared not gamble; now he was not facing Zhang Yang, but the ruthless bookmaker Fuchun Road.

"Let's go, let's eat somewhere else." Zhang Yang didn't argue with Tao Yuang, but got up and told He Jing to leave.

Tao Yuang had no bargaining chips, so he didn't need to give him face at all, and the friendship between the two had long been severed.

Even if the other party threatens to expose the fake account on Fuchun Road, it won't reverse Tao Yuang's declining career. Being flamboyant is no big deal.

The reason he concealed his identity on Fuchun Road was because he felt it would affect Caiyan.com. However, even if it were exposed, he was capable of defusing the situation.

What Zhang Yang needs now is an obedient pawn in a mutual fund, not a dog that might turn on its master at any time.

"okay."

He Jing nodded blankly.

She hadn't fully accepted the reality that Zhang Yang was from Fuchun Road; her eyes still shone with disbelief, and a hint of admiration lingered in them.

Seeing that the two were about to leave, Tao Yuang also stood up quickly. He didn't want to eat "Old Yanjing Douzhi" anymore, so he quickly said, "Wait, I'll pay, Junior Brother Zhang, I'll pay."

Seeing that his goal had been achieved, Zhang Yang sat down again and comforted her, "I just wanted to make sure everything was alright. Now, let's call the waiter to bring the food."

"About the rate of return..."

Tao Yuang hesitated, as if he wanted to say something but then stopped.

"What is the percentage of your mixed fund that can be allocated across different themes?" Zhang Yang asked.

Tao Yuang manages the "Huaxia Healthcare Value Mixed Fund A", which mainly invests in the healthcare sector. However, generally speaking, the contract stipulates that the fund manager can adjust 20-30% of the portfolio, and this portion is not limited to any particular theme.

It's worth mentioning that mutual funds can also participate in IPO subscriptions, but the risks are quite high, and few fund managers dare to do so.

If the judgment is correct, the fund manager will still receive the same management fee. However, if the judgment is wrong, not only will the fund's returns become worse, but it will also damage the manager's reputation.

This is why many mutual fund managers, once they have completed their shareholding, will not easily adjust their positions. They follow the general rise and fall of the market, which is a versatile and non-stick strategy.

"20%, which is about 5.3 million."

"Clear."

"That rate of return..."

"Wait for my message, I'll be there soon."

Zhang Yang kept it a secret.

He currently has two controllable targets: Haitong Foods, which is about to be acquired by Yijing Optoelectronics, and Shancheng Beer, which has the expectation of a hepatitis B treatment vaccine.

He needs public funds to intervene, and Tao Yuang is a good candidate.

Seeing that Zhang Yang was keeping him in suspense, Tao Yuang had no choice but to believe the man, since he really had no other options.

……

After quickly finalizing the collaboration, the three of them drank a toast with water instead of alcohol.

Tao Yuang then called over a waiter and ordered A5 steak, French foie gras, and two large Australian lobsters, ordering almost all the expensive dishes without any hesitation.

During this period of transferring benefits, he earned a total of more than 140 million yuan. Precisely because the money came too quickly, he was willing to lick the "Old Yanjing Douzhi" (a type of fermented bean juice) rather than give up and step down to the second line.

Since someone was treating, He Jing didn't feel the slightest bit of heartache this time and could enjoy the food to her heart's content.

When the A5 grade steak is cooked to perfection and has a brownish-red surface, it is put into the mouth, and the fine fat inside is like frost, and the rich meaty aroma instantly fills the entire mouth.

As the world's most expensive and highest quality beef, A5 grade steak has only one drawback: it's expensive!

Many high-end foods, including aristocratic fruits, truly have their reasons for their high prices.

It is said that when A5 grade Wagyu cattle are raised on ranches, someone will play music for them to help them relax.

After enjoying the delicious food, He Jing drove away from the Peace Hotel and returned to her talent apartment in Zhangjiang.

Zhang Yang and Tao Yuang went to his house to retrieve the documents locked in the safe.

"And that's all."

Tao Yuang took them all out.

Zhang Yang then took out his Nokia phone and took photos of each photo to preserve them.

Just then, Yue Shuxue, heavily pregnant and wearing loose maternity clothes, walked into the study, placed a glass of water on the table, and said, "Junior Brother Zhang Yang, have a glass of water."

"Thank you, sister-in-law."

Zhang Yang responded politely.

Seemingly not wanting Yue Shuxue to know about these inside documents, Tao Yuang frowned and said, "Try to move around less and go back to the sofa and sit down."

"You all go about your business." Yue Shuxue glanced at the open safe and left the study.

Tao Yuang thought he had kept it a secret, but Yue Shuxue had known all along that Tao Yuang was colluding with listed companies. However, since most public fund managers did the same thing, she chose to acquiesce.

If someone were to expose him, Tao Yuang would at least be imprisoned for a few years.

Zhang Yang didn't concern himself with other people's affairs. After taking the photos, he handed the documents back to Tao Yuang and said, "Alright, I'll let you know when things go well. I hope we can see this through to the end."

"sure."

Tao Yuang nodded quickly.

Ever since Zhang Yang admitted he was from Fuchun Road, he no longer dared to underestimate him.

Zhang Yang founded Caiyan.com, which has two to three hundred employees. It is clear that he has purchased other people's labor. Even if it does not generate profits now, it is still a means of production.

After obtaining leverage over Tao Yuang and numerous listed companies, Zhang Yang didn't linger. He greeted Yue Shuxue and left immediately.

Watching Zhang Yang's departing figure, Yue Shuxue walked to the study and looked at Tao Yuang, who was organizing documents, and said, "You can't earn all the money in the world. It's time to stop, Yuang."

“I know that once we’ve earned enough, we’ll immigrate to Singapore.”

Tao Yuang said in a deep voice.

Once he took the first step and began using public funds to transfer profits, he had already planned his escape route: immigrating overseas.

For ordinary people, citizenship in a developed country is something that is out of reach.

But for the wealthy, changing nationality is as simple as buying groceries.

No country would refuse wealthy immigrants, because they can not only boost consumption, but also potentially create jobs.

……

Grand Golden Pan Parking Lot.

Zhang Yang sat in the driver's seat of a Mercedes-Benz S600, examining the listed companies that had engaged in financial transactions with Tao Yuang. Among them, Huahai Pharmaceutical, Tiantan Biological, Da'an Gene, and Hualan Biological caught his attention.

Da An Gene and Hualan Biological were bought at high prices. After the listed shareholders and speculative funds jointly pushed up the price, public funds stepped in to take over, ensuring that their shares could be withdrawn smoothly.

Both of these stocks are popular during the H1N1 flu outbreak. If Zhang Yang remembers correctly, Hualan Biological is controlled by Zhang Jianping, while Da'an Gene is the home ground of the Ningbo limit-up daredevil team.

However, it wasn't them who asked Tao Yuang to take over; rather, it was the listed shareholders of the two companies who, having failed to reduce their holdings in time, were forced to sell at the daily limit down price. Unwilling to give up the profits they were about to make, they let Tao Yuang step in to ensure their gains.

The shareholders of Huahai Pharmaceutical and Tiantan Biological Products, on the other hand, let Tao Yuang carry the sedan chair, raise the stock price from a low position, and save the money of igniting a surge.

Tiantan Biological surprised Zhang Yang, as it is a company belonging to China National Biotec Group.

According to its announcement in the first half of the year, the H1N1 influenza vaccine has entered the final stage, and the production capacity is expected to reach 600 million doses by the end of the year.

The focus is not on the H1N1 influenza vaccine, but rather on its role in the production and supply of hepatitis B vaccines.

When Zhang Yang was compiling market information, he saw a market research report published by Dongxing Securities titled "Beer competitors are closing in on our doorstep, and hepatitis B vaccines will take 3-5 years to show results." After recalling the shocking fraud of Shancheng Beer, he investigated all the hepatitis B vaccine companies on the market.

in!

Tiantan Biological Products is a technology leader!
Its hepatitis B vaccine product is developed based on recombinant yeast expression technology and has been included in the list of important suppliers in the national immunization program.

According to its 2009 semi-annual report, Tiantan Biological's annual production capacity of hepatitis B prevention vaccine exceeded 2000 million doses, and it had passed WHO prequalification. The products were supplied to both the domestic market and international aid projects. Revenue from the "preventive products" business reached 3.45 million yuan, accounting for 89.55% of the company's total revenue.

It's worth mentioning that Tiantan Biological Products is a preventative vaccine.

Meanwhile, Jiachen Biotechnology, a subsidiary of Shancheng Beer, is developing curative vaccines.

One is prevention of hepatitis B when you don't have it, and the other is treatment methods after you have already contracted hepatitis B.

It is clear.

The latter has more room for hype.

According to the latest data as of July 2009, there were 20 million chronic hepatitis B patients in China, and 93 million asymptomatic hepatitis B virus carriers with low infection rates. As for the world, the number is in the hundreds of millions.

Once a hepatitis B cure vaccine is successfully developed, one can imagine how vast the market will be.

After reviewing the entire document, Zhang Yang muttered to himself, "These listed companies' shareholders might be useful." He might not be able to use the hype surrounding Yijing Optoelectronics' backdoor listing, but the hype surrounding Shancheng Beer could be used as a trump card.

Of course.

These cards should be played if possible.

Once the fight begins, it means a fight to the death has begun, which is something Zhang Yang doesn't want to see.

……

With the Nokia phone screen off, Zhang Yang drove back to the Zhangjiang Talent Apartment.

As soon as she opened her front door, He Jing, who was sitting on the living room sofa watching TV, immediately turned to look at Zhang Yang and asked, "Is everything settled?"

"Yeah, I got it."

Zhang Yang changed back into his home slippers.

"Are you really going to help Tao Yuang? That's a profit of over 100 million." He Jing moved to the side of the sofa, gesturing for Zhang Yang to sit next to her.

“I needed a pawn in the public fund sector, and he was just right. Moreover, he wasn’t wrong. The transfer of benefits in public funds is an unspoken rule. If it’s not brought to the forefront, basically no one cares.”

Zhang Yang stated objectively.

"Then why haven't any listed companies contacted me?" He Jing asked, puzzled.

Zhang Yang smiled and explained, "Your fundraising amount is too small, and it's a real estate-themed project, so it's normal that no one is approaching you."

Before He Jing could speak, he teased, "But this is for the best, so you don't get sent in. I don't want to be without anyone to warm my bed in the winter."

"Be serious."

He Jing gently slapped Zhang Yang's arm and continued to ask, "So, is my real estate project part of the main theme of infrastructure development?"

"Without a doubt, it definitely is."

Zhang Yang was resolute and decisive.

"Since real estate is the main theme, when are you going to buy a house? Or are you going to buy one when you go back to eastern Guangdong?" He Jing asked with some doubt.

“I still have money to spend right now, so I can’t just spend it recklessly. After I finish the next job, I’ll consider buying a house,” Zhang Yang explained.

He bought a luxury car because a car is a man's status symbol, and a Mercedes-Benz S600 always speaks for him.

As for buying luxury homes, especially those in the heart of Shanghai, Zhang Yang knew they would definitely appreciate in value. However, he needed to use his cash flow to invest in his next stock, Haitong Foods, which was acquired by Yijing Optoelectronics.

As of July 27, Haitong Foods' stock price was 7.91 yuan, with a total share capital of 230 million shares, of which 1.65 million shares were actually tradable, accounting for 71.74% of the total share capital.

Compared to 3.73 shareholders at the end of 2008, the first quarter report of 2009 showed that the number of shareholders had dropped to 2.9, with many investors running away as soon as they broke even, and the shares becoming more concentrated.

In addition, among the top ten shareholders, Chen Longhai, Zhou Lequn, Jiang Xingchen, Luo Yewei and others hold a total of 35.32% of the shares, with Chen Longhai holding 22.64%, making him the largest shareholder.

In summary, it only takes 1.3 million yuan to gain short-term control of Haitong Foods, while a high degree of control requires holding more than 60% of the circulating shares, which is 7.8 million yuan.

However, despite the seemingly small size of the business, Zhang Yang had to treat it with caution, because the news that Yijing Optoelectronics was going to use Haitong Foods as a shell company was public knowledge, and there were probably many institutional investors and speculative funds lurking in the middle.

He Jing didn't ask Zhang Yang any more questions, but simply rested her head on his shoulder.

Even now, she can't believe that Zhang Yang is actually on Fuchun Road.

In just a few months, he made a name for himself in both the A-share market and the business world, and even met Warren Buffett, the stock market guru.

She finally understood why Zhang Yang rejected Bao Xingwei's offer. This man was never blindly arrogant; his confidence stemmed from his strength. He truly could create miracles in terms of returns!

……

Tuesday, June 28nd.

After four consecutive days of strong gains, A-share investors are in high spirits. In the previous four trading days, the Shanghai Composite Index rose by 2.6%, 0.97%, 1.33% and 1.86% respectively, with an average trading volume of 2100 billion yuan. If the trading volume of the Shenzhen Component Index is included, the daily trading volume is consistently above 3000 billion yuan.

With the index reaching 3400 points and a trading volume of 3000 billion yuan, stock market investors have gone completely crazy.

[韭菜小杰]: Rise! Rise! Let's get back to 6000 points!

[Wind Howling]: Today is not optimistic. The FTSE China A50 Index opened lower last night and is still down 0.34%. It may be about to pull back.

[Investing Little Ape]: A correction? A-shares don't need a correction. Anyone who waits for a correction will just keep missing out, haha!

[Small Investor]: I've already sold my house and taken out a 20 yuan loan, just waiting for the A-shares market to return to 6000 points.

The terrifying surge in A-shares over the past nine months has spurred many investors into a frenzy, with a flood of new accounts opened, all hoping to get a piece of the pie.

However, despite the generally bullish sentiment among investors, Zhang Yang still posted bearish comments on the Caiyan.com member channel.

[As of the market close on July 27, the dynamic price-to-earnings ratio of A-shares had reached 27.9 times, more than doubling since the beginning of the year, while the net profit growth rate of listed companies during the same period was only 12%. The deviation between price and value has reached a historical high. Investors should be cautious and avoid blindly following the trend.]
The moment the bearish comments were published, a large number of members expressed their dissatisfaction.

[Shadow Doesn't Laugh]: Last month you said there would be a liquidity crisis in the A-share market, this month you're saying the price-to-earnings ratio is high and the deviation between price and value has reached a historical high. Dude, you don't have a way to short the A-share market, do you? So persistent!

[Oudoudou]: Who's in charge of the membership information on Caiyan.com? I suggest firing that person; it's really affecting my mood.

[Wind Chime]: If I remember correctly, member information is now handled by Joker, who is the founder of the website.

[I Never Bearish]: Is this the arrogant guy who had dinner with Buffett? Does this guy think he's somehow elevated by having dinner with the stock market guru? He's really being a clown.

Amidst a deluge of discontent, a small minority of users chose to uphold Zhang Yang's judgment.

[Love You Ten Thousand Years]: The data they reported wasn't wrong; A-shares did rise quite a bit. I've been a long-time fan of theirs, so I'm choosing to reduce my holdings. At worst, I'll miss out on one rally.

[White Sanctuary]: Although Joker made a wrong judgment last time, following his approach at least guarantees a minimum return. If the A-shares market falls today, I'll just run away.

As 9:15 AM arrived, the Shanghai Composite Index turned green, which was like a shot of adrenaline to countless stock market investors.

However, the recovery was swift. After a two-week consolidation, the banks rallied again, with all four major banks showing gains.

9 points.

The call auction has ended.

The Shanghai Composite Index is down 0.03% at 3434.32 points, while the Shenzhen Component Index opened 0.31% higher at 13785.85.

However, as 9:30 approached, both major indices experienced a sharp drop.

The Shenzhen Component Index fell back to 13634 points, while the Shanghai Composite Index broke below 3400 points, reaching 3397 points, which caused panic among some new investors.

[Monkey King Wangwangwang]: What's going on? What happened? Did the 3400-point mark break through?
[Big Tadpole Looking for Dad]: Damn it, can I really be this unlucky? I just opened an account and lost money on my first stock purchase!

[Zhang Deshuai]: Don't panic, don't panic. Based on the trend during this period, it should be a pullback followed by a rise.

Just then, a short article about "inflation" circulated in various stock market communities. At that time, not many people believed it. However, at 10:30 a.m., the People's Bank of China released the "Analysis Report on the Macroeconomic Situation in the Second Quarter of 2009," which for the first time explicitly mentioned that "inflation expectations have emerged." The two major indices immediately plummeted, and investors began to worry that this statement might lead to a tightening of monetary policy.

While new investors were bewildered and hastily selling at a loss, the index-weighted stocks began to rise again at 11:00 AM.

And at the same time.

There are also positive developments for businesses.

1. Xinhua Lian's backdoor listing through ST Shengfang has started a key step. The shareholders have resolved to approve the capital increase and share expansion of institutions such as Kerui Group and Giant Investment. Among them, Giant Investment subscribed for 1232.53 million shares with 8000 million yuan, reaching the core transaction framework. ST Shengfang surged to the daily limit in the afternoon.

2，丰原集团的国有企业改制方案获蚌埠批准，股权结构由国资委100%控股变为多元持股，分别是国资委30%、银河生物25%、天安投资24%、工会21%。

3. Shanda Interactive Entertainment (now Century Huatong) acquired a 51% stake in Huayou Holdings (now Huayou Cobalt) through acquisition, officially entering the digital music field and initiating the expansion of its entertainment ecosystem.

Xinhua Lian, Fengyuan Group, and Shanda Network represent three capital operation models: backdoor listing, mixed-ownership reform of state-owned enterprises, and cross-border mergers and acquisitions, respectively. This has led the market to interpret that A-share companies are gradually transforming towards high-quality development. In addition, "shell resources" have been hotly speculated on, and the ST sector has seen a surge across the board.

With the market closing at 3 p.m., the Shanghai Composite Index rose slightly by 0.09% to close at 3438.37 points, with a trading volume of 2436 billion yuan, thanks to gains in index-weighted stocks and a surge in ST stocks. The Shenzhen Component Index closed at 13836.66 points, up 0.68%, with a trading volume of 1306 billion yuan. The total trading volume of A-shares was 3742 billion yuan.

After five consecutive days of gains, and today's closing with an inverted T-shaped pattern, investors went wild, waving flags and cheering.

[Oil-splashed noodles]: As expected, it's another market shakeout. Those fools who got shaken out this morning should regret it now. Our A-shares are the best!

[Captain Jack]: You weren't afraid when the A-shares fell from 6000 points to 1600 points, but now you're afraid when they rise back to 3400 from 1600?

[Straight Man]: With a trading volume of 3700 billion, what more could you ask for? Brothers, let's go all in on A-shares, get rich next year and marry a wife!

The surge in sentiment has led countless investors to follow suit, and the A-share market has risen so wildly recently that only a few people know the truth behind this surge.

In the financial conference room of Caiyan.com, Liao Guopei looked at Zhang Yang, who was sitting at the head of the table, and said, "The sentiment in the A-share market is too good right now. Huaguo Construction will be listed tomorrow. Will Xu Xiang really get involved?"

"Have the institutions actually left? The trading volume has reached 3700 billion."

Lin Guangchang couldn't help but sigh.

As Zhang Yang typed on his keyboard, he replied to Liao Guopei, "Probably. Tomorrow might be a turning point for the A-share market."

"How to say?"

Liao Guopei and Lin Guangchang spoke in unison, looking at Zhang Yang with curious eyes.

"Inflation expectations have emerged. The 'Analysis Report on the Macroeconomic Situation in the Second Quarter of 2009' just mentioned that there may indeed be some problems with credit funds."

"Credit?"

"Credit loan?"

As soon as Zhang Yang finished speaking, Liao Guopei and Lin Guangchang were startled.

"That's right. It's possible that some people are borrowing money from banks and then secretly using it to speculate on stocks. I think the second-quarter report released today and the listing of Huaguo Construction tomorrow may become a turning point for the A-share market."

Zhang Yang analyzed.

After reading the "Analysis Report on the Macroeconomic Situation in the Second Quarter of 2009" released by the People's Bank of China today, he could clearly sense that the authorities might be about to burst the bubble.

The state has been funding Huaguo Construction's IPO for two months, and its listing tomorrow could very well be a turning point for the A-share market.

Liao Guopei and Lin Guangchang exchanged a glance; they had also discovered the problem.

The two men had top-notch business acumen, but when it came to the details hidden in meetings and documents, they believed that Zhang Yang was a hundred times better than them.

……

Wednesday, September 7th.

Stock market investors got up exceptionally early today; before eight o'clock, they were already discussing the listing of Huaguo Construction on various platforms.

[Kitten Buzzing]: A huge project worth 426 billion is coming soon. I wonder how much premium it will have. I subscribed to 2000 shares.

[Kongshan Coffee Shop]: As a veteran stock investor, I can say that as long as a new stock has "China" in its name, just go for it without hesitation. It will definitely not fall below the issue price. I subscribed for 10 shares, hehe.

[Loves Driving a Rolls-Royce]: I invested 100 million, hoping to earn 10. This is my biggest dream this year.

[Call Me Lord]: You guys are behind the times! China Construction has oversubscribed; it's now a 500 billion yuan mega-project!
As investors discussed the matter, numerous self-media outlets also began to create hype.

Shocking! Huaguo Construction, which raised 426 billion yuan, experienced oversubscription, raising 501.6 billion yuan in its IPO!

Huaguo Construction goes public today; will its 500 billion yuan mega-project fall below its issue price? Let me tell you the story!

Is it a decline in morality or a distortion of human nature? Can Huaguo Construction, which raised 70 billion yuan more than its initial public offering, shoulder the responsibility of leading large-cap stocks? Let's wait and see!

An hour before the market opened, the headlines on the front pages of financial websites such as Caiyan.com, Eastmoney.com, Tonghuashun.com, and Tencent Finance were all about "Huaguo Construction listing today," and clicking on them revealed countless discussions among stock market investors.

It wasn't just financial websites; it even topped the trending topics list on Weibo.

What does 500 million mean?
If a person's salary is 3000, without considering any additional income or expenses, it would take approximately 138.89 years to accumulate 500 billion, which shows how enormous the amount is.

Not only retail investors, but also speculative funds, institutional investors, state funds, and even regulators from the China Securities Regulatory Commission are all waiting for the A-share market to open.

8 points.

8 points.

9 points.

As the minute hand ticked to 15 minutes, the pre-market auction began, and Huaguo Construction, with an issue price of 3.96 yuan, saw a bid of 6 yuan.

Liao Guopei, in the Caiyan.com conference room, immediately shouted excitedly, "Holy crap! It didn't break the issue price, there's a 2 yuan premium!"

"If it's 2 yuan, that's 51%!"

Lin Guangchang was also unsettled.

Even if they fish out two rounds of speculative capital, they might not be able to achieve a 51% return. It's practically the same as giving away money.

"As expected, it didn't break the issue price. This is the return on investment for IPOs," Zhang Yang said with a faint smile.

Why do so many stock investors participate in IPOs?
to be honest.

This is what scratching lottery tickets is like.

Either go all the way, or cut it in half.

Because of the huge amount of funds raised, Huaguo Construction did not need to go through a lottery. The current 51% premium is no less than the amount of money the government gives out.

It is worth mentioning that on December 19, 1990, the first day of operation of the Shanghai Stock Exchange, a total of eight stocks were listed, and the returns for investors who subscribed in advance were all over 300%.

Among them, Feilo Acoustics saw an astonishing 540% increase on its first day of trading. This was a benefit for the first batch of shareholders, as, like Huaguo Construction, no lottery was required; they could directly subscribe.

At 9:20 a.m., Huaguo Construction was still rising, currently trading at 6.34 yuan, with a premium of 2.38 yuan, representing a gain of 62.37%.

Zhang Yang opened his account and found that he held a total of 1287.87 shares of Huaguo Construction, with a total investment cost of 50999652 yuan. The current price was 6.34 yuan, and the total value had reached 81650958 yuan, a total of 8165 million yuan!
In other words, as long as Zhang Yang sells all of Huaguo Construction now, he can pocket the more than 3000 million in unrealized profits.

Faced with the incredibly high returns from subscribing to new shares, Lin Guangchang was already getting a little excited and quickly looked at Zhang Yang, asking, "Joker, are you going to sell?"

"Run or not?"

Liao Guopei was also waiting.

Having eaten meat with Zhang Yang during this period, they have gotten into the habit of asking for his opinion.

Zhang Yang's mind had already returned to calm. Looking at the rise in China's construction industry, he said calmly, "No rush, let's wait a bit longer."

(End of this chapter)