海绵进化论
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How do top players go bankrupt in the stock market?
1. Graham bought the bottom in 1931 after the stock market bubble burst in 1929, and ended up bankrupt.
(Cause of failure: bargain hunting)
2. The famous economist Fisher had foreseen the bursting of the stock market bubble in 1929, but he still bought stocks he thought were cheap. As a result, he lost millions of dollars in a few days and was left penniless.
(Reason for failure: Believing that excellent companies can be bought through cycles regardless of price)
3. Before 1987, Soros believed that the Japanese stock market had a huge bubble and shorted Japanese stocks. The result was a disastrous failure. The Japanese stock market reached a bullish stage in 1989. Soros preached in the Wall Street Review that the U.S. stock market would be strong and the Japanese stock market would collapse, but the result was exactly the opposite: the U.S. stock market collapsed, but the Japanese stock market was strong. Soros's Quantum Fund lost 32% that year, but Yifu Kong, who opposed him, made the Cole Fund profit 70%. This is an amazing number, because almost all hedge funds lost money that year. In 1999, I was not optimistic about technology stocks, but after 2000, I used Quantum Fund to buy technology stocks at high prices, and ended up with big losses.
(Cause of failure: speculation, betting)
4. The general manager of a fund management company in Shanghai initially entered the stock market at more than 1,000 points in Taiwan, China, and reached 10,000 points. The capital of 500,000 entered the market was rolled up to 80 million. In fact, she sold the stock at 10,000 points. Throw it all away, and all you have in your hand is cash. Because she was worried that the stock market was too crazy, she was relatively rational. In the end, the Taiwan stock market surged to over 12,000 points, increasing 160 times in more than three years. However, the final outcome was still tragic. The Taiwan stock market fell from 12,000 points to At 7,000 points, it had already fallen by more than 5,000 points. It was supposed to rebound. She went in again, and the stock index dropped another 5,000 points. She had to take all the losses and liquidate her position, and all her wealth for three years was reduced to ashes.
(Reason for failure: Bo rebounded, doing swings)
The reason, objectively speaking, is that she is still very smart, but why did she enter the market again later? At that time, she thought she was a stock god and could control the stock market, and the stock market was just her super cash machine. Here, I advise everyone that the stock market is good now, and it may be better in the future, but how to look at the stock market soberly and how to look at yourself is an eternal topic.
(Reason for failure: overestimating yourself)
5. There is a well-known stock commentator in Hong Kong named Cao Renchao. He was bearish at 1,200 points before the Hong Kong stock market crash in 1972, and was almost fired from the company. In 1973, the Hong Kong stock market fell sharply after reaching 1,773 points. By 1974, it fell to 400 points. Lao Cao escaped the big bear and was a hundred times more confident. In July 1974, after the Hong Kong stock market fell to 290 points, I thought I could catch the bottom, so I spent all my savings of HK$500,000 on Hutchison Matheson & Co. The blue-chip stock fell from 43 yuan to 5.8 yuan in the stock market bubble in 1973. Lao Cao bought the entire position. As a result, five months later, the Hong Kong stock market fell to 150 points again. Hutchison Matheson fell to $1.1. Lao Cao finally cut his position and lost more than 80%.
(Reason for failure: full position trading)
6. Xu Xingbo is nearly fifty years old and is an ordinary employee of a medicinal materials company in Nanjing. In 1992, my country's securities trading market was still in its infancy, and many units and individuals were looking for a pot of gold in this field. Xu Xingbo did find his first pot of gold here. With his rich investment experience, no matter how the stock market rises or falls, he can always smell the market trends in time and make adjustments in advance to allow his investment to grow steadily. In October 2001, the situation took a turn for the worse, but he still believed that he could survive the trough as before and accepted more than 1 million yuan in entrusted funds. In June 2005, the Shanghai Stock Exchange Index fell below the 1,000-point mark, returning to 13 years ago overnight. The property that Xu Xingbo and his friends entrusted to him for stock trading was completely lost in this crash.
(Reason for failure: Increase leverage, borrow money to invest)
1. Graham bought the bottom in 1931 after the stock market bubble burst in 1929, and ended up bankrupt.
(Cause of failure: bargain hunting)
2. The famous economist Fisher had foreseen the bursting of the stock market bubble in 1929, but he still bought stocks he thought were cheap. As a result, he lost millions of dollars in a few days and was left penniless.
(Reason for failure: Believing that excellent companies can be bought through cycles regardless of price)
3. Before 1987, Soros believed that the Japanese stock market had a huge bubble and shorted Japanese stocks. The result was a disastrous failure. The Japanese stock market reached a bullish stage in 1989. Soros preached in the Wall Street Review that the U.S. stock market would be strong and the Japanese stock market would collapse, but the result was exactly the opposite: the U.S. stock market collapsed, but the Japanese stock market was strong. Soros's Quantum Fund lost 32% that year, but Yifu Kong, who opposed him, made the Cole Fund profit 70%. This is an amazing number, because almost all hedge funds lost money that year. In 1999, I was not optimistic about technology stocks, but after 2000, I used Quantum Fund to buy technology stocks at high prices, and ended up with big losses.
(Cause of failure: speculation, betting)
4. The general manager of a fund management company in Shanghai initially entered the stock market at more than 1,000 points in Taiwan, China, and reached 10,000 points. The capital of 500,000 entered the market was rolled up to 80 million. In fact, she sold the stock at 10,000 points. Throw it all away, and all you have in your hand is cash. Because she was worried that the stock market was too crazy, she was relatively rational. In the end, the Taiwan stock market surged to over 12,000 points, increasing 160 times in more than three years. However, the final outcome was still tragic. The Taiwan stock market fell from 12,000 points to At 7,000 points, it had already fallen by more than 5,000 points. It was supposed to rebound. She went in again, and the stock index dropped another 5,000 points. She had to take all the losses and liquidate her position, and all her wealth for three years was reduced to ashes.
(Reason for failure: Bo rebounded, doing swings)
The reason, objectively speaking, is that she is still very smart, but why did she enter the market again later? At that time, she thought she was a stock god and could control the stock market, and the stock market was just her super cash machine. Here, I advise everyone that the stock market is good now, and it may be better in the future, but how to look at the stock market soberly and how to look at yourself is an eternal topic.
(Reason for failure: overestimating yourself)
5. There is a well-known stock commentator in Hong Kong named Cao Renchao. He was bearish at 1,200 points before the Hong Kong stock market crash in 1972, and was almost fired from the company. In 1973, the Hong Kong stock market fell sharply after reaching 1,773 points. By 1974, it fell to 400 points. Lao Cao escaped the big bear and was a hundred times more confident. In July 1974, after the Hong Kong stock market fell to 290 points, I thought I could catch the bottom, so I spent all my savings of HK$500,000 on Hutchison Matheson & Co. The blue-chip stock fell from 43 yuan to 5.8 yuan in the stock market bubble in 1973. Lao Cao bought the entire position. As a result, five months later, the Hong Kong stock market fell to 150 points again. Hutchison Matheson fell to $1.1. Lao Cao finally cut his position and lost more than 80%.
(Reason for failure: full position trading)
6. Xu Xingbo is nearly fifty years old and is an ordinary employee of a medicinal materials company in Nanjing. In 1992, my country's securities trading market was still in its infancy, and many units and individuals were looking for a pot of gold in this field. Xu Xingbo did find his first pot of gold here. With his rich investment experience, no matter how the stock market rises or falls, he can always smell the market trends in time and make adjustments in advance to allow his investment to grow steadily. In October 2001, the situation took a turn for the worse, but he still believed that he could survive the trough as before and accepted more than 1 million yuan in entrusted funds. In June 2005, the Shanghai Stock Exchange Index fell below the 1,000-point mark, returning to 13 years ago overnight. The property that Xu Xingbo and his friends entrusted to him for stock trading was completely lost in this crash.
(Reason for failure: Increase leverage, borrow money to invest)
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