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Xiang Shuai Peking University Finance Course
First of all, the nature of finance

0 1: the value of time

02: Capital accumulation

03: the * * * burden of risk

04: Build a complete financial world outlook: financial institutions, financial instruments, investor decision-making, enterprise decision-making, financial regulatory innovation opportunities, technology and finance.

Second, the evolution of finance.

06: Central Monetary and Financial System

Wang's contribution

Concentrate on doing great things

Weak private credit

Private investment and financing have been suppressed.

07: Bank monetary credit system

The Knights Templar played the role of the earliest bank.

Decentralized credit system

The 13 colony in the United States is decentralized and balanced, and it is centralized after the reunification of the north and the south, so there is a developed financial market.

08: Financial Intermediary

What is traded is "credit" (invisible and intangible), and the information is asymmetric.

Bank, investment bank

Credit rating agencies, financial supervision

Three. Bank 1

1 1: currency

Behind the credit currency is national credit and national strength (that is, the confidence of other countries in the country)

Bitcoin speculation

12: deposit reserve (amplification function of banks)

Banks are small reservoirs, which discharge water.

13: benchmark interest rate (amplification function of banks)

The price of water

Downward adjustment: overheating, inflation, people's crazy exchange of goods, social unrest.

Upward adjustment: bankruptcy of enterprises, bad debts of banks, hard landing.

Four. Bank 2

16: the secret of the bank lying down to make money

Transformation scale: absorb small deposits and lend large amounts of funds.

Conversion period: collect funds at different times and lend term loans.

Conversion risk: bear the risk of default.

2003-20 13: Bank golden decade, rapid economic development, restrictions on bank licenses (40 in 2000).

After 20 13: economic development has slowed down, bank licenses have been liberalized (there are now 4,000), and competition has intensified.

17: cargo base

Absorb scattered funds and invest in the interbank market.

Yu 'ebao sounded the alarm for the bank.

18: Non-principal-guaranteed financial management

Bypass supervision: take advantage of banks to absorb funds and invest in high-yield assets through cooperation such as trust.

fund

05 1: the era of asset management in which funds are king.

Essence: gather funds and manage money professionally.

Advantages: decentralization and specialization

052: How to Choose Funds, 2D Coordinate System

Coordinates 1: investment targets-cargo base (good liquidity), stock base (high yield), debt base (good security) and mixed base.

Coordinate 2: investment style

Active investment type

Indexed securities investment fund

Passive investment type

Coordinate 3

Look at the macro

Passive allocation in bull market and bond allocation in bear market.

Look at the industry

Choose industries that you are familiar with and optimistic about.

Do you see the time?

Interest rate cuts, bond prices rise.

Look at the brand

Large fund companies and banks are bond funds.

053: Private fund is more advanced than public offering.

Less supervision

High power

The reputation of fund managers is very important.

054: The Pit of Investment Fund

Sedan chair: interest transfer between funds

Rat Warehouse: Fund Manager's Benefit Transfer to Friends and Family

Interest transfer between listed companies and fund companies

055: The central bank lowered the RRR interest rate, which led to an increase in bond prices.

XVI: Debts and bonds

Why do people borrow money? Breaking through your own financial constraints and doing what you can't do is to use credit leverage. The essence of debt is credit leverage.

066: Creditor's Rights

Debt: a responsibility that can be quantified and monetized

Debt contract: standardize existing contracts and support more complex social credit relations.

Debt institutions: centralized credit distribution and further detailed division of labor. Financing is a major one.

067: bonds

Standardize debt contracts, realize small amounts and improve liquidity.

"Voucher" cuts off the huge debt relationship with one knife.

068: Cost Accounting

The essence of interest: the value of funds in time dimension

The Essence of Interest Rate: Time Price of Capital

Fisher theory

Benefit: the choice between current consumption and future consumption

Interest rate: the exchange price between current consumption and future consumption.

Limitations: The world is complicated by great simplification.

Interest rates in fast-developing countries are higher than those in stable developed countries.

069: compound interest

Geometric series growth

In the model of snowballing and compound interest, we are not afraid of small growth rate, but we are afraid of excessive fluctuation and swallowing up growth.

Personal growth: 1.0 1.365 = 37.78.

070: question and answer

Market interest rate: basic interest rate government regulation: intervention interest rate

The government regulates the short-term economic fluctuation in Tang Ping, but the long-term effect is limited.

07 1: Personal credit is very valuable!

Credit is an asset, and promises are exchanged for capital turnover.

Three foundations of capitalization

The foundation of law

Supporting technology

Credit score, FICO

The Future of China Credit

Life scene

Alipay, wechat

Reduce the operating cost of the punishment mechanism

Don't use Alipay or WeChat.

072: SME financing difficulties

Difficult to issue bonds: unpopular, difficult to borrow: no collateral.

German model: big banks to big enterprises, small banks to small enterprises.

Ali JD.COM Model: Big Data

073: Needham's question

East-West Diversion: Taxation and Debt Issuance

Different feeding times

Different contractual relationships

074: The Secret of Credit Card

The principal is reduced and the interest expense remains unchanged.

075: Q&A: Does the property tax affect the house price?

The tax cost is high, and the word stability comes first.

It is difficult to collect stock tax, but it is easy to collect incremental tax.

The tax rate will not be too high.

Money comes from debt.

Debt is quantified in monetary form.

The earliest central bank: the Bank of England

077: Necessity of Debt Default

There is no absolute debt repayment.

Endless creditor's rights and debts and real life do not exist.

The market of rigid redemption is distorted.

Pareto improvement of debt cancellation

078: Debt Spiral-China Dynasty Replacement

Maintaining the stability of the imperial court-war, natural disasters-tax collection-worsening debt relationship-strengthening tax collection-changing the dynasty

079: Investment in bonds is not recommended.

There are few retail investors and low liquidity.

The fluctuation of interest rate is closely related to the macro, but it is difficult to judge the macro.

Seventeen. stock

08 1: joint-stock system

Institutional arrangement for different people to obtain the consistency of economic interests

Tax partners in Rome and the Republic of China were the embryonic form of modern social joint-stock companies: permanence, transferability and liquidity.

082: legal person: eternal property owner.

Legal persons enjoy the same property rights as natural persons.

There is no definite termination date for legal persons. This system makes it possible for enterprises to continue for a long time.

083: Benefits of Limited Liability

It is equivalent to buying insurance for investors and encouraging them to invest.

084: China's shareholding system reform is beginning to emerge.

The household contract responsibility system makes everyone full.

Redundant workers

Develop township enterprises and encourage farmers to become shareholders.

085: Advantages of Unlimited Partnership

Because of unlimited responsibility, I better participate in the operation of the enterprise.

Partners pay taxes, and partnerships don't pay taxes.

Based on the agreement, the procedure is simple and the legal constraint is low.

If it is a limited partnership, GP shall bear unlimited liability.

086: The industrial revolution had to wait for the financial revolution.

Equity risk * * * bear, income * * * enjoy, scale operation to reduce costs.

087: Venture Capital Shaping Silicon Valley

Assess risks and release signals. Venture capitalists support their start-ups

Bring business contacts.

Negative impact: Venture capital is raised by high-net-worth people or institutional investors, and managers have the impulse to motivate their performance.

088: joint-stock system &; partnership

Joint-stock system: friendship, focusing on fixed capital, may get out of control.

Partnership: the relationship between husband and wife, emphasizing human capital, may bear unlimited liability.

089: China Stock Market Reform

090: question and answer

Regardless of good or bad, regardless of value judgment, the government is the biggest player in the China market.

A company is an organizational form of an enterprise. A sole proprietorship "partnership enterprise" company

Alibaba's partner system: controlling the enterprise through the appointment of board members by partners.

09 1: interests of minority shareholders

Economic rights

right of participation

Strong management represents the rights of minority shareholders.

092: the interests of minority shareholders

Long-term strategy of enterprises &; Investors' short-term goals conflict.

Major shareholders, minority shareholders and management all have their own ulterior motives.

093: the secret of the price difference between A shares and H shares

Market segmentation: funds in the two markets cannot flow freely.

A shares can't be short.

A shares have the value of "shell".

H-share institutional investors account for a large proportion.

094: China shareholding system reform.

Double track system

Non-tradable shares: state-owned shares and legal person shares.

Valuation at book value

floating stock

Market price calculation

095: question and answer

Eighteen, financial derivatives

096: "Hidden Weapons" in Financial Markets

Definition: Futures, that is, standardized forward contracts.

hedging

transfer of risks

Speculative arbitrage

Transaction is the future price of a commodity, which will gather people's information and judgment on a future commodity. Moreover, the better the liquidity of the market, that is, the more people change hands, the more information they collect, and the more they can correctly reflect the underlying assets.

price discovery

097: Commodities don't have to be tangible, which brings the first cognitive upgrade.

098: the second cognitive upgrade: the transaction does not have to be delivered.

099: Misunderstanding of Retail Trading Derivatives

Too superstitious about value analysis

Too radical, improper position control

Play elite in your spare time

100: A shares enter MSCI

Manager: Morgan Stanley International Capital Company (hereinafter referred to as Morgan Stanley Capital International Company), with management scale of 12 trillion and total market value of16 global stock market.

MSCI investors are super-rich institutions, helping more funds to enter A shares.

A-share influence

Short-term impact is limited: 5% of the market value of 234 stocks is included. Direct capital flows are limited.

The long-term impact is far-reaching: it can force the China stock market to reform.

10 1: stock index futures

Angel: hedging to reduce portfolio risk

Devil: a tool to amplify losses by leverage.

Leveraged short selling in the whole market leads to a liquidity spiral of falling volume and price.

102: options: consider options.

Futures: rights and obligations are equal and connected with each other.

Option: separation of rights and obligations, specifically pricing power.

103: overpass

The essence of exchange is a complementary and mutually beneficial replacement.

Behind the exchange is Ricardo's comparative advantage theory.

Swaps, like all derivatives, generate new risk points while transferring and redistributing risks.

104: how to price derivatives

The derivative product and its underlying asset group are combined into a risk-free portfolio, and the differential equation of derivative product price is obtained.

Nineteen. investment

1 1 1: How to price risks?

Risks can be divided into systematic risks and individual risks.

Individual risk can be offset, also known as diversification risk.

System risk is irreversible, also known as non-dispersible risk.

1 12: Risk-free assets aim at risk-free.

Benchmarking management: transforming incomparable absolute values into comparable relative values.

National debt as a substitute for each country's own risk-free assets.

1 13: risks of stocks, bonds and real estate.

stock

Industry risk

operating risk

bond

breach a contact

Cycle: official website, the central bank, can find the M0 M2 index, which is usually ahead of the economic cycle. Imagine water, more water can better irrigation, less water is drought.

real estate

Growth: economic growth and rising house prices.

Decline: urban decline and falling house prices

1 14: China stock market rises and falls, The Secret Behind.

The share price of A shares reflects more systemic risks than individual risks.

Most of the stock markets in developing countries reflect systemic risks, while most of the stocks and markets in developed countries are relatively independent.

Developing countries do not effectively protect investors, investors do not trust the information disclosed by companies enough, and trading behavior is more affected by the broader market.

1 16: assets appraisal

Absolute valuation

Internal valuation, expected cash flow generated by assets

Relative valuation

According to the pricing of similar assets.

Always maintain an objective and calm attitude towards the valuation results.

1 17: absolute valuation, cash flow is king.

discountedcashflow

Cash flow: the surplus and discretionary funds of shareholders.

Discount rate: the greater the uncertainty, the discount rate.

Calculate the future growth rate with the average growth rate of the past five years.

The discount rate can be seen through the average yield of the whole market.

1 18: Relative valuation, using price-earnings ratio to find cheap assets.

Comparison between individual stock price-earnings ratio and average price-earnings ratio

The market's optimism about a company will push up the price-earnings ratio.

Ultra-high P/E ratio will produce bubbles.

120: CDR strategic fund

Certificates for trading assets or securities in different places

Capital control leads to a big gap between investment cdr and overseas stocks.

12 1: portfolio theory

According to markowitz's theory, abstract risks are transformed into computable variables.

122: Sharp ratio: looking for risk-adjusted returns

The greater the profit-risk ratio, the more worth buying, and it is better to exceed 1.

Sharp ratio of special drawing rights

123: Asset Pricing Theory

132: efficient market theory, right?

Strong efficient market

Perfect pricing, reflecting all the information about securities and enterprises. Insider and supervision are redundant.

Semi-strong efficient market

Insider trading can make money and needs supervision.

Weakly efficient market

Some public information is not included in the price.

Efficient market is a dynamic concept, and efficiency and inefficiency are relative.

133: what has the efficient market theory neglected?

Limited arbitrage

Your arbitrage behavior is limited, and the wrong pricing in the market can't disappear completely through arbitrage behavior, such as the spread of AH shares.

Irrational investor

The mood of investors will greatly affect the judgment.

People are the protagonists of the market, and people's subjective initiative cannot be ignored.

134: king of speculation: Livermore's trading principle

Trading principle

Follow the trend principle

Based on the judgment of the basic value of the enterprise, then follow suit.

pyramid principles

According to the trend of trading, the trend has determined the price increase again.

Reverse operation

When the aunts are talking about stocks.

Follow the tap.

Buy industry leaders and the strongest stocks.

The power of morality

Control emotion

Emotion is the enemy of trading.

knowledge

courage

Trading requires determination.

Two main points

Any success is ultimately the success of the times.

The most lasting success must be moral success.

136: Market Segmentation: Imperfect Market

Geographical market segmentation

Institutional market segmentation

Regulatory division of labor and regulatory game

The abs of the exchange is trying to innovate because of its small trading volume.

137: Can price limits reduce market volatility?

It is believed that the biggest decline 10% and false sense of security encourage the behavior of leveraged stock trading.

As a result, market liquidity dries up and market volatility increases.

The pressure of the market cannot be released, and the panic is amplified.

138: monopoly mechanism of abortion

The China stock market and the broader market rose and fell together.

A stable market needs stable expectations to operate, and market confidence is the most important.

139: Willian gann: the originator of technical analysis.

The laws of history will constantly reappear.

The long-term consolidation of individual stocks in a certain position means that this price has been strongly supported.

principle

Grasp investor sentiment

When the market beliefs are completely consistent, it means that no new funds enter the market, so the possibility of trend reversal increases, which is the time to leave or turn.

Stop loss principle

Set a stop loss line

Conservative investment

Don't over-trade

Don't change your position easily.

investment diversification

140: Why does the price limit always exist?

Advantages: avoid the spread of panic and reduce excessive fluctuations.

Disadvantages: delayed price discovery.

14 1: the sad reminder of retail investors: noise traders.

There are a large number of traders who lack real information in the market, which will make the market form a feedback mechanism, lead to the price deviating from the real value more and more, and produce systematic valuation deviation.

Noise traders in China are the most at risk.

142: smart investment: accompanied by a bubble

When there is a wave of market, it will definitely decline for a period of time.

143: fund run: catastrophic disappearance.

144: Buffett and Munger

The future trend lies in India and China.

Part V: Enterprise decision-making.

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