Rao Xiaopeng of Huaan Fund is reliable. Rao Xiaopeng of Huaan Fund is an undervalued balanced fund manager. The annualized rate of return of all products he has managed since the end of 20 13 has exceeded 20%. Let's take Huaan Upgrade Theme Group, which has the longest operation time, as an example. During its five-year management period, the annualized rate of return reached 25.86%. Rao Xiaopeng divides investment into strategy and tactics. The salary is the lowest, so we can't make mistakes. The strategy is to better adapt to the market at the operational level and bring stable excess returns to shareholders. On the strategic level, Rao believes that high-quality enterprises are the most important source of long-term investment returns. Investment decisions must focus on high-quality companies and share the benefits of creating value for these companies.

Rao Xiaopeng takes the average return on equity of A-share listed companies as an example. Since 2003, the historical average ROE of A shares is almost the same as that of Wind. This means that from the perspective of long-term rate of return, the return on net assets of the holding company is most likely to correspond to the return on shareholders. If you own a group of companies with ROE above 20%, you may get the corresponding annualized rate of return in the long run. Don't underestimate the yield gap of 10. From the perspective of 20 years, the yield gap between the two will reach 5.7 times, which is the charm of long-term compound interest.

Wang Hematopoietic Company, which has served investors for a long time, is Rao's most important investment essence. Rao Xiaopeng believes that high-quality enterprises in the A-share market are scarce for a long time. From the perspective of ROE, we screened all A-share enterprises and found that 20% of them were negative, and 70% were below 8%. Only within one year, only a small number of companies listed for more than one year have a return on equity of more than 20%. More importantly, A-share companies that continue to be excellent are even scarcer. Unfortunately, in 70% of cases, only 4% of companies return more than 20% return on equity. These companies are the best in their respective fields, and their profitability is superior to that of their competitors. The average annualized rate of return is roughly equivalent to the return on equity.

Woori Enterprise is Rao Xiaopeng's basic holding company, and he prefers to find excellent enterprises from the two best growth trajectories of technology and consumption. Although China's economic growth has slowed down, China is still an important engine of global economic growth with obvious growth characteristics. Growth stock investment is also the best long-term investment method for A shares. What are high technology and consumption? How thick is the slope and snow? Both trajectories are prone to a long-term bull market. We see that technology has become the industry with the largest market value in the United States, and consumption has the best risk-return trajectory in American history, which has spawned a large number of great companies.