On October 8th, after a long holiday, the A-share market experienced a significant fluctuation characterized by "high opening - adjustment - counterattack" on its first trading day. The strength of the market once again "surprised" many.
After the market closed, the "private sector" private equity tycoon Lin Yuan conducted an online communication again, expressing his views on current market trends, investment psychology, and other topics.
A few days ago, Lin Yuan had appeared to express his opinion: the real bull market has not yet begun, and it is necessary to firmly stay in the A-share market, which has been verified by the market.
Now, where will the A-share market go after experiencing fluctuations following a series of consecutive rises? The following is a summary of his speech, prepared by the Financial Hall for the readers.
The bull market has not yet begun.
Lin Yuan stated that it is difficult to predict the short-term trend of the stock market, but it can be judged that this trend is developing towards a bull market.In his view, it is not yet a bull market at present, many stock investors are still at a loss, and there are not many people making money.
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"I believe that the vast majority of people are still losing money, more than 90%-95% (not making money)," he said.
The market is still undervalued.
Regarding whether current investors can still "get on the train," Lin Yuan believes that the key to this question lies in the way of thinking.
"A cautious person and a person with a bull market mindset like me will have different judgments. Judging by common sense, the current (index) position is low. For a long-term investor, this position is a good time to get involved."
Even though the market has risen from over 2600 points to the current 3400 points, it is still an undervalued position in the long term.
He is certain that the stock prices of companies with investment value are very attractive and very cheap. This position is investable, no problem.Now is not the time to peak
Many people are worried about the market reaching its peak, but Lin Yuan does not agree.
Lin Yuan stated that when a long-term peak occurs, there are characteristics. For example, everyone is talking about the stock market, everyone says they can make money, and everyone has made money, etc. The current market characteristics are not like this.
Of course, the stock market is an investment market, and there is a component of gaming. Now is the time to be "greedy" (greedy), and one should be "greedy".
Chinese assets will not always be cheap
Lin Yuan also mentioned that Chinese stock assets are very cheap now, but in the future, Chinese assets will not always be cheap.
Why won't they be cheap?For instance, long-term interest rates in China will not be too high. The interest on bank deposits will not be that high in the long run.
In addition, Lin Yuan also believes that China's economy is very good, with no shortage of food and clothing, and a variety of products available. This is combined with the fact that the valuation of China's stock market has a very high cost-performance ratio globally.
"If everyone in the (market) loses money, this market must be cheap. Therefore, investment can be measured by common sense to determine whether it is worth investing or not."
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