We say that Public Offering of Fund's performance benchmark is the most important, and there is also a performance benchmark. Instead of pursuing absolute returns, we pursue relative returns. If a fund manager outperforms the performance benchmark for a long time, he is a successful fund manager. Private equity pursues absolute returns, that is, the bull market makes money and the bear market does not lose money. Investors should make money whether they win or lose. This is the whole orientation of private placement and its starting point, which is different from public offering. This main difference determines the rate design of all private placements, and the operation mode, style and public offering are completely different. Last year was a volatile market. The best stock funds in Public Offering of Fund lost 35%, followed by Wang Yawei, with a loss of about 39% and an average loss of 50%. Let's look at the general loss of private equity funds, but the best accounts for 24%. (Jiang Hui) also earned 50-80%. Last year, the market was able to make a net profit, which was quite remarkable and related to his mechanism.
And private placement is a very narrow group. It's an investment of the rich, not the ordinary rich. There is basically no need to buy hundreds of thousands. At least if your financial assets are more than two or three million, you may have to match this thing. The scale and net profit are different. At present, the largest private equity fund management company has a basic scale of about 654.38+0 billion. Private placement is such a variety. From the perspective of investment, what is the difference between investing in stocks and public offering and private placement? This stock is completely managed by itself, and Public Offering of Fund is a bit like a semi-trust. I still have to do the asset allocation myself, but I bought your fund, and I don't care what stocks you invest in this fund. For example, when the market is bad, what did you do last year? You have to redeem the fund. Because of this mechanism, Public Offering of Fund is still a concept of semi-trust. You should see a big faucet clearly. When the market is good, you should increase your investment. You should improve the allocation of such assets. Its position is still 70-80%, and you can get 90% at most. Private equity funds are different. Private equity fund is a concept of complete trust. You give him the money. As for a good market, a good private equity fund will give you 95% positions. If it is not good, it will take the initiative to lower you to zero position. This is the concept of carte blanche. Everyone should see clearly what type they belong to. Private placement is the simplest thing. We used to have customers who bought public shares and called us every three days to exchange specific results. Later, when he saw the private equity fund, he called us once a month or two because someone helped him take care of it comprehensively. The products are different, and I think this is the characteristic.