It is rare for a tens of billions of private equity tycoons to speak out!

“The performance of net worth in the past month has been very poor, which is the worst month since I started my career.” On December 1, Panjing Investment, a well-known private equity firm with tens of billions of dollars, held an online roadshow. Issues, lessons learned, and shared the latest views on the future of the market. Since October 31, the A-share market has started to rebound, but the performance of the products managed by private equity giant Zhuang Tao has not been satisfactory, and the net worth has fluctuated significantly. Zhuang Tao said frankly during the road show, “The pressure has been very high in the past month.” | Related reading (China Fund News)

Wen Jie

A private equity fund I invested in was run by my friend. It is a very mini private equity fund. It is estimated that 50% of the positions are in Ruixing, and it has been holding Ruixing for almost two years.

In the past two years, when Ruixing was delisted and had to trade on the pink sheet, my friend said that Ruixing’s stock price was lower than the net cash per share and could be bought; when Ruixing’s stock price slowly rose, my friend said that Ruixing’s store opening model Very capable, with strong new product R&D capabilities and huge space; now, my friend said that as long as China and the United States reach an agreement on the audit and supervision of Chinese concept stocks, it is possible for Luckin to return to Hong Kong for listing, and it is definitely not just the valuation of the Pink Sheets transaction , Ruixing’s future is very beautiful. The first two steps have been verified, and the third step has a high probability of being verified.

My friend is a deep value investment manager. In order to study Ruixing in depth, he almost opened a franchise store of Ruixing. How many fund managers who claim to be value investing can achieve this attitude?

Now it is common for fund managers to apologize. My friend said that it was just too expensive to buy. If you don’t deeply reflect on your investment methods, you may apologize frequently in the future.

Kang Xiang

In contrast to the rise of various private equity funds like mushrooms in the past few years, this year private equity leaders are popular in the private equity circle to publicly reflect, apologize and sum up lessons. Zhuang Tao, chairman of Panjing Investment, may be the latest. After reading his reflections, he is quite honest. The biggest mistake he made during this period is “I think I will let go before judging important meetings.” This may be the reason for his poor investment performance after October. It can be seen from this that the most important thing to do in investment is to study and judge the general environment and understand the policy. Only when this is done well can we look at the micro level. Today’s general environment is difficult to judge, perhaps because of market fluctuations, which investors find very difficult.

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