Selling land should refer to selling land! A lower cost real estate speculation! For stocks, you can read the following article and you will understand. If you don’t understand or want to learn more, you can search my name + me via Q. When it comes to stocks, I believe many people know what they are. Stocks are securities given by a company to shareholders to prove the amount of capital invested by the shareholders! So why do stocks rise and fall? And what is this stock trading that everyone is talking about? Stocks are a means of corporate financing. For example, now there is another person. He has a business (project) of selling sesame cakes. He needs a cost of 100 yuan to succeed in this business (project), and now he has 50 yuan. So, now he has two choices, 1. Borrow money from others and sign an IOU, with a repayment time and related interest. When the time comes, regardless of whether the business is losing or making a profit, the creditor must be repaid according to the IOU. (We call this a personal bond). 2. He can find a partner (shareholder). He finds someone to be his partner. The partner invests 50 yuan and gives the shareholder a 50 yuan stock, which is enough for him to do business at cost. After the business is established, if his capital of 100 yuan can earn 100 yuan every day and the profit is 100%, then the shareholders can receive 50 yuan in dividends every day, but they will not be repaid to the shareholders now, and the stocks in the hands of the shareholders will also rise accordingly. 100%. This is the most basic reason for the rise and fall of stocks. Supply and demand affect prices. If demand is greater than supply, companies will naturally make profits, and stocks will naturally rise. If supply is greater than demand or demand cannot meet supply, companies will make little profit or suffer losses. Shareholders share the risk, and the stocks in their hands will Stocks naturally fall accordingly. When buying a stock, the price of the stock rises or falls depending on the company's profitability and the supply and demand of the corresponding product in the market. So, what is "stock speculation"? After reading the following story, I believe you can understand what stock speculation is. Suppose there are two people selling sesame biscuits in a market. There are only two people. Let’s call them sesame biscuits A and sesame biscuits B. Assume that the prices of their sesame cakes are not regulated by the Price Bureau. (Securities Regulatory Commission and Price Bureau) Assume that they can break even if they sell each sesame seed cake for one yuan (including the value of their labor force). Assume that they have the same number of sesame seed pancakes (we regard sesame seed pancakes as stocks, and this market is regarded as the stock market - stocks buying and selling market). ——Economic models are like this, requiring a lot of assumptions. Let’s also assume that their business is very bad and there is not a single person buying sesame seed cakes. They stood like this for a long time, bored. (The business operation is not ideal) A said it was boring. B said it was boring. Those of you who read the story will say: It’s so boring. The market at this time is called very inactive! (The stock market is not active) In order to prevent everyone from being bored, A said to B: How about we play a game? B agrees. So, the story begins. . . . . . (The banker started to speculate) A spends one yuan to buy B a sesame seed cake, and B also spends one yuan to buy A a sesame seed cake, and the money is paid in cash. (The most basic and primitive method of speculation by bookmakers - self-buying and selling to create the illusion of an active market) A spends another two yuan to buy a sesame seed cake from B, and B also spends two yuan to buy a sesame seed cake from A, and delivers it in cash. (The most basic and primitive method of speculation by bookmakers - selling at high prices and immediately creating the illusion of an increase in external orders) A then spends three yuan to buy a sesame seed cake from B, and B also spends three yuan to buy a sesame seed cake from A, and delivers the goods in cash. (The most basic and primitive method of speculation by bookmakers - selling at high prices and immediately creating the illusion of an increase in external market volume). Its effect can make the average price of every stock in the market rise! You must know that a call to sell is always to sell at a high price, and a call to buy is always to buy at a low price. Therefore, the relationship between the internal market and the external market, the number of transactions for the internal market to buy, and the number of transactions for the external market to sell. When the external market is large, the stock price will naturally rise, and the internal market will If it gets bigger, the stock price will naturally fall~. . . . . . As a result, in the eyes of everyone in the market (including you who read the story), the price of sesame cakes skyrocketed, and soon it reached 60 yuan per sesame cake. But as long as A and B have the same number of sesame biscuits, then no one makes money and no one loses money, but their assets "appreciate" after revaluation! A and B have "wealth" many times higher than in the past. Their worth has increased a lot, and their "market value" has increased a lot. At this time, there was passerby C. When he passed by one hour ago, he knew that the sesame cakes were one yuan each, but now he found out that they were 60 yuan each. He was surprised. (Observation of retail investors entering the market - if you read the article, think of yourself as passerby A, B, C and D) An hour later, passerby C found that the sesame cakes were already 100 yuan each, and he was even more surprised. (After observation) Another hour later, passerby C found that the price of sesame cakes was already 120 yuan. He bought one without hesitation, because he was an investor and speculator. He was sure that the price of sesame cakes would continue to rise, and there was still money left in the price. There is room for growth, and someone has given a "target price" of more than 200 yuan (in the stock market, he is called a stockholder, and the person who gives the target price is called a researcher). (Retail investors feel that this hype is still rising and want to buy high-priced stocks and hope that the hype will continue.) Under the demonstration effect of Shaobing A and Shaobing B "making money", and even the demonstration effect of passerby C making money, the next passers-by who buy sesame cakes become more and more popular. More and more people are coming, and more and more people are participating in the buying and selling. The price of sesame cakes is rising steadily. Everyone is very happy, because strangely: no one loses money. . . . . . At this time, you can imagine that whoever A or B has less sesame cakes, that is, whoever has less assets, will really make money.

Among those who participate in the purchase, whoever has no more sesame cakes in hand will really make money! And those who sold it regretted it because the price of sesame cakes was still rising rapidly. . . . . . (The banker who holds fewer stocks will make more money, because retail investors bought their sesame cakes at a high price.) So who loses money? The answer is: No one lost money, because many people who paid high prices to buy sesame cakes held what everyone recognized as a high-quality asset of equal value - sesame biscuits! And shaobing is obviously better than cash! How much interest can you earn by depositing cash in the bank? How can it compare to the soaring price of sesame cakes? Everyone even agrees that the supply of sesame biscuits in the market exceeds demand. Can I buy sesame biscuits futures? So the call warrants appeared. . . . . . Someone asked: Will you never lose money buying sesame cakes? It seems so. But the world is so strange. Suddenly a man named Li Zi came to the market. Li Zi said: There are times when you lose money! So when will everyone lose money? Hypothesis 1: A price department comes to the market, and he believes that the price of sesame cakes should be one yuan each. (Regulation) For example - the rise or fall of each stock cannot exceed or fall below 10% of the opening price of the day! Assumption 2: There are many people making sesame seed cakes in the market, and the price is one yuan each. (The stock market is not just one stock) Hypothesis 3: There are many products in the market for playing this game. (There are more types of stocks that can be speculated) Hypothesis 4: Everyone suddenly realizes that this is just a sesame seed pancake! (Value Discovery) Assumption 5: No one is willing to play the game of buying and selling anymore! (The truth is revealed - it can be seen as the banker selling goods and taking money to dodge people) If one day, any of the assumptions appears, then on that day, the people who have sesame cakes will lose money (those who still have stocks in hand)! So who made the money? He is the one who possesses the least asset - Shaobing! The story of selling sesame seeds is very simple. Everyone thinks that people who buy sesame seeds at high prices are fools, but let’s look back at the people in the securities market where we are.

Isn’t this true of some of the so-called asset revaluations and asset injections in this market? When ROE is high and assets have high premiums, the principle of asset injection is the same as selling sesame seeds. Whoever holds the least assets is the one who makes money and whoever gets high returns! Therefore, as an investor, you should look at asset revaluation and asset injection rationally, and don’t fool others, especially don’t fool yourself with your own money! When it comes to asset injection with high ROE, especially asset injections such as backdoor listings of securities companies, additional issuance to purchase the assets of major shareholders, additional issuance of real estate, etc., you must keep your eyes open again and again, and be more cautious! Because, you are likely to become a passerby holding high-priced sesame seeds!