Chapter 399 Position Rotation
Before we know it, the first half of 2016 is about to pass.
The Shanghai Composite Index has fallen from above 3,500 points in January to around 2,900 points today, a drop of more than 600 points.
The stock market conditions and investment experience in the past six months are unbearable for investors.
Most investors have the same thought in their hearts: "If possible, give me back my capital!"
The market conditions in the first half of this year were really terrible, and compared with the bull market in the first half of last year, this contrast makes it increasingly difficult for investors who are still in the stock market to accept it.
In the last two trading days of June, the index remained calm and fluctuated above 2,900 points, with the fluctuation range of less than 1% in both trading days.
But fortunately, the Shanghai Composite Index finally stood above the 60-day line again at the end of the month, and continued to hold the monthly 5-day line with an increase of 0.45% throughout the month.
For five months, the market is still repairing the big negative line trend in January. Although there is no obvious improvement, the overall market remains in an upward trend.
During these two trading days, news about the fierce competition between Vanke and the rival Vanke continued to leak out, and the people who ended up in the competition became more and more important.
With the statements made by heavyweights, the situation has turned around. The situation of Vanke's management, which was originally very unfavorable, has suddenly turned from a bad situation to an good one after receiving support.
The sudden change in the situation forced Baoneng and its former largest shareholder to bow their heads.
On June 30, the Baoneng Group changed its attitude and expressed its continued expectations for Vanke's current management team.
The original largest shareholder followed suit and clearly stated that he objected to the proposal to remove all directors and supervisors of Vanke.
The two parties will hold another board meeting tomorrow, July 1, to discuss Bao Neng's proposal to remove the entire board of directors.
In fact, judging from the statements made by both parties today, the proposed motion has already given in, and this motion is bound to fail.
As the market closed, Gu Junhao, who had been in the trading room for two days, said to Liu Tingting, "Collect the data and publish it on time. I'm not here this month. Thank you for your hard work."
"Okay, no problem, but should we update the positions at the end of the month the same as last month? Should we wait until the last day?"
Another quarter has passed, and the fund holdings for the second quarter must be announced. Unlike the first quarter, Junshi Price Investment's holdings this quarter are investment plans for the next few years.
Facing Liu Tingting's question, Gu Junhao smiled and said, "Well, it's still the last day, let's keep it a little mysterious."
In any case, Junshi Value Investment has no mandatory disclosure requirements, and the holdings for each quarter in the future will be arranged on the last closing date.
This month is still dominated by liquor stocks, with the two leading stocks Maotai and Wuliangye taking the lead in showing a bullish trend.
Maotai has had five consecutive positive days at the monthly level. As of the last trading day of June, Maotai was priced at 291.92 yuan, a monthly increase of 10.38%, and the stock price is approaching the 300 yuan mark.
Wuliangye also had five consecutive positive monthly lines, with its share price at 32.53 yuan, up 8.33% on a monthly basis.
The rest of the liquor stocks, especially the first- and second-tier brands, also performed very well this month, with the overall liquor sector rising by 8.53%.
In addition, blue-chip stocks of home appliances also performed well. Midea, which had its rights issue last month, has risen by 11.10% this month, while Gree is still suspended.
Overall, although the index did not rise much in June and even plummeted at one point, the market is still in the blue chip and white horse stock sectors.
Among them, the best performance was seen in broad consumer concepts such as liquor and household appliances. The increase in consumption brought about by economic recovery is gradually being reflected in the stock market.
June this year is a busy season. In addition to the stock market, there are many other things that deserve attention. In China, the college entrance examination concerns countless families.
There is also the 618 Shopping Festival, which is just as popular as Double Eleven and is also gaining popularity.
On the international front, in the consumer sector there is Apple's Developer Conference, and this year's European Cup also opens this month.
Which country was the host of the 2016 European Championship? I think it was Portugal? I remember that Cristiano Ronaldo seemed to shine in that year?
I wonder if I can travel back in time if I watch one more game?
After thinking about it for a while in the trading room, Gu Junhao left first. He also wanted to take a look at Junshi No. 2. He wondered how Wang Ruoyu was doing in building his positions this month.
At the beginning of the month, I asked Wang Ruoyu to pay attention to the cement sector. After that, Wang Ruoyu selected a few stocks, and Shuangma Group was indeed not on the list.
When they arrived at Trading Room No. 2, Xu Jianqing, Wang Ruoyu and some other traders were very enthusiastic. They hadn't seen the boss for a long time.
"Boss, I haven't seen you in the company much in the end. How come you have time to come here today?" Xu Jianqing said happily.
Gu Junhao looked at the enthusiastic Xu Jianqing and said, "It's the end of the month now, let's take a look at the holdings of Fund No. 2. You haven't been very busy lately, have you?"
The investment in the two companies this time was led by Gu Junhao himself. Xu Jianqing did not participate in it. After reducing his holdings, his proprietary trading account only had one A-share stock, Longji Shares.
Correspondingly, the workload during the day will be greatly reduced.
"I'm not busy. Boss, do you want to build up a little more position? I don't think it costs much to invest in a company. It's okay to allocate some money to invest in stocks."
"Let's talk about it later. For now, you can also pick a batch of stocks like Xiao Wang and explain your logic. If possible, I support you to buy it."
"Really? That's great, I'll try it next month." Xu Jianqing said happily.
Before coming here, Gu Junhao also looked at the share price of Longji Green Energy Technology Co., Ltd. this month, which was 13.05 yuan, with a monthly increase of 8.39%, which is quite good.
After the dividends were distributed, excluding the daily operations of Xu Jianqing and traders, the profit of holding positions has reached 23.63%, basically out of the cost area.
When buying a stock for medium to long term investment, Gu Junhao likes to divide the cost area according to the profit range of 20% to 30%.
Once the profit reaches this number, you can hold the position very stably, and there is no need to worry about large-scale losses in the event of a drawdown.
Of course, when engaging in left-side trading, it is easy to incur losses during the position building period, but as long as the losses are within a controllable range, it is fine.
Then, Gu Junhao came to Wang Ruoyu’s office area.
The overall layout of the No. 2 trading room is divided into four areas. Junshi No. 2 Fund traders are concentrated in one area, and the other area is for proprietary stock traders to use in the evening.
After Liu Tingting moved out, the vacant workstation was given to Xu Jianqing, who shared an office with Wang Ruoyu.
The other area is the workstation previously used by Gu Junhao. It is still preserved but no one is using it.
Just now Xu Jianqing was chatting with Gu Junhao in the proprietary trading area.
When Wang Ruoyu saw Gu Junhao coming in, he was the first to speak: "Boss, come and see how these positions are."
When Wang Ruoyu submitted the cement sector target, Gu Junhao added Shuangma Group and retained the Hailuo Group he had chosen, while crossing out the rest of the stocks.
However, Gu Junhao later asked him to choose some targets in other blue-chip sectors, and Wang Ruoyu finally chose Sany Group.
The total market value of Shuangma Group is only 7.6 billion yuan. It is destined that not much of such stocks can be bought. After the fund market becomes larger, the available options have become very limited.
Only blue chips like Hailuo Group and Sany Group can better accommodate the existing amount of funds.
These are among the reasons why those star public fund managers are prone to losses when their scale becomes too large and the blue-chip market is no longer in place.
Gu Junhao briefly glanced at the latest position changes. This month, Keheng shares' stock price rose by 75.33%, with the highest increase once approaching doubling, and the stock price reached a high of 91.66 yuan.
This small-cap lithium battery stock, which benefited from restructuring, became one of the market highlights this month, but unfortunately, it did not boost the entire lithium battery sector.
The lithium battery sector has risen too much in the early stage, and Keheng's move is more like a compensatory rise taking advantage of favorable conditions. With such a large monthly increase, the room for growth is limited, so it is natural to reduce holdings.
In this regard, Wang Ruoyu did not need to ask Gu Junhao, as he naturally knew it, so the stock with the largest reduction in holdings this month was also Keheng shares.
Wang Ruoyu reduced his holdings of Keheng shares, which had a profit of up to 320%, to only 3,000 lots, which was a decisive move.
"Yes, Keheng's room for growth should be limited. Find an opportunity to clear another 3,000 lots next month. There is no point in keeping them." Gu Junhao nodded with satisfaction.
Then Gu Junhao looked at the position building part again. Shuangma Group built a position of 100,000 lots, with a total market value of about 67 million yuan. According to the market value estimate, it is less than 1% of its total share capital.
"There is still room for participation. If there is a chance next month, I will continue to buy some, but the total market value should not exceed 200 million. Follow Keheng's routine."
Pointing to the positions of Shuangma Group, Gu Junhao said to Wang Ruoyu that as for appearing on the list of top ten shareholders, Gu Junhao no longer cared.
With a large scale, if you want to participate in a small or medium-sized stock, it is inevitable to appear among the top ten shareholders.
"Okay, no problem. Then Boss, please take a look at the positions of the other two stocks." Wang Ruoyu said.
"There are no other problems, just follow your pace. But you should reduce your position in this stock next month and add it to Vanke. Vanke should resume trading next month." Gu Junhao pointed to one of the stocks.
Wang Ruoyu took a quick look at Gujin Gongjiu and immediately realized that in the liquor industry over the past few months, Gujin Gongjiu, which had four consecutive positive monthly lines, had rebounded the fastest.
In four months, the stock price rebounded from less than 30 yuan to 47.95 yuan at today's closing, an increase of more than 60%, and the market value of Junshi No. 2 Gujin Gongjiu's holdings has exceeded 1 billion yuan .
"Well, okay, for stocks that have rebounded too high in the short term, you can indeed reduce your holdings a little. It would be better to trade in the short term."
"Well, let's reduce the market value by about 200 million. After Vanke resumes trading, we will increase our holdings in Vanke based on changes in the market environment."
"Okay, then I'll buy the other two based on the rhythm."
"Okay, as for Sany Group, you can buy more. You can buy 10% of the position based on the scale of the 10 billion private equity." Gu Junhao added.
"Ah? Okay, no problem."
There was some doubt in Wang Ruoyu's eyes, but he didn't express it too much. The boss must have his reasons for his decision.
Sany Group is the most average performing stock among these current holdings, with a share price of only around 5 yuan. Gu Junhao remembers that it was launched relatively late, but the final return should be around 10 times.
Although the time span is relatively long, the low-priced chips in the early stage are still quite popular, especially when they are not favored now.
In addition, the size of the fund can be controlled. The total size of Junshi No. 2 Fund has increased too fast this month!
