A股收割

Does the A-shares look like they have crashed?
#投资知识 #A股收割
$BTC

Do you still buy A-shares?

The price of A-shares has dropped so much that I am almost out of money. Let’s trade in cryptocurrencies. Although the market is not good, at least it can be traded T+0.

14:53 ★★Many cross-border ETFs plunged again in the late trading. Southern Saudi ETF approached the limit down. Invesco Great Wall S&P Consumer ETF fell more than 8%, and Harvest Germany ETF and Cathay S&P 500 ETF fell more than 5%.

#A股收割
$BTC

On January 11, 2025, A shares closed at 3168.52 points. On this day ten years ago, A shares were at 3210.36 points, down 41.84 points. The top A-shares have been standing still for a full decade. During the same period, the stock markets in the United States and India rose by more than 240%, and Bitcoin rose from $400 to $100,000, an increase of more than 25,000%. The total domestic economy has doubled, becoming the world's second largest economy. Does this mean that the Chinese have not made money? Obviously not - the balance of residents' savings has soared from 48 trillion yuan to 150 trillion yuan. Does this mean that A shares lack vitality? Not necessarily - the total market value of A shares has increased from 37 trillion yuan to nearly 94 trillion yuan, the economy has grown, fixed assets have increased in value, income has increased, the stock market has expanded, and the number of stock traders has increased significantly. These data are all incremental, but the A-share index has always hovered around 3,000 points, and the "3,000-point defense battle" has become the norm.

Behind the seemingly unreasonable situation, there is actually a very reasonable explanation. Some companies with strong fundraising capabilities go public with the goal of raising funds only; and after many companies go public, the main theme is that major shareholders reduce their holdings and cash out. What about dividends? Very few, and even many companies are reluctant to share even a penny. Even if the profits are good, these companies are more willing to use the money for expansion or make various incomprehensible investments, but are unwilling to let shareholders enjoy the benefits. Such companies should be delisted. However, in the past ten years, the difficulty of delisting in A-shares has been higher than that of listing, and the number of delistings is far lower than that of newly listed companies.

As a result, retail investors are often trapped as soon as they buy, and long-term investment is difficult to see returns. The market is more like a huge "casino". As for those truly high-growth, high-value high-quality companies, most of them choose to go public overseas; in the A-share market, as long as the stock price of companies with a little potential rises a little, major shareholders will reduce their holdings and cash out, leaving retail investors as takeovers. Ten years later, A-shares have not only failed to help people get rich, but have caused many middle-class people to fall to the bottom. This may be the real "class leap". #A股收割 #BTC