When it comes to how to make money, the porcelain mentioned by Chen Guohua seems to have no to make money specifically is confusing.
However, after Chen Guohua finished speaking, Wang Dingzuo and the others suddenly understood.
While Chen Guohua was talking about making money, his grandson Chen Qi was also experiencing a major decision in his life.
There are actually very few things an eight-year-old kid can do, and it is unlikely that he will make any major decisions.
However, Chen Qi has already thought of his own way to make money, and now he is just hesitating whether to really take that step.
Chen Qi has been exposed to the Internet since he was six years old, but his family only allowed him two hours of online time every day.
In the past, he just surfed the Internet and had a simple understanding of the world.
However, ever since his elder brother Chen Ce made a lot of money, he has been out of control.
They are all little kids, why can his elder brother make so much money?
You know, since childhood, his elder brother Chen Ce has always been the "other people's child" and the object of praise.
In Old Chen's family, the only little kid who is always praised is Chen Ce.
Chen Qi, who is eight years old this year, also wants to be praised.
So, he was thinking about whether he should really try quantitative trading.
Quantitative trading is a method of using computer technology and mathematical models to analyze and trade financial markets.
There are many different ways to play this game. Among them, Chen Guohua established a trading department eleven years ago, in 1981, which specialized in making money by using the rules of quantitative trading.
With its excellent computer technology and superb mathematics team, the trading department of Zhenhua Research Institute is able to earn tens of billions of dollars in profits every year.
This is definitely the most powerful quantitative finance giant in the global market today.
In the 1960s, the earliest quantitative trading mainly involved setting a few fixed parameters and conducting mechanized trading.
This method is the simplest and most intuitive. It only requires some basic technical indicators or statistical laws to formulate buy and sell signals and position management.
For example, the most classic Turtle Trading Strategy is to judge the trend by setting two moving averages of different periods and determine the position size based on market volatility.
But in the 1980s, the Turtle Trading Strategy lost its advantage because the market environment changed and trends became more difficult to capture and sustain.
Quantitative trading in today's global market uses mathematical model factors, which are flexible and changeable.
This approach is more complex and flexible, requiring the construction of investment portfolios and strategies based on multiple dimensions and angles.
Take the most popular multi-factor stock selection model as an example. By selecting some factors related to stock returns, such as market capitalization, valuation, growth, earnings quality, market sentiment, etc., and scoring and ranking stocks according to these factors, the best or worst stocks can be selected for buying or short selling.
The eight-year-old Chen Qi certainly has a big gap with his older brother in terms of mentality and age, but in terms of IQ, he doesn't think he is much behind.
On the contrary, Chen Qi believed that he would definitely succeed.
Now the choice he needs to make is to take out all his savings, a total of 8 million yuan, to test whether his quantitative trading strategy is feasible.
Since he only had two hours a day to surf the Internet, he had to complete his tests quickly and accurately.
But the problem is, if he squanders all the money, it would be a huge embarrassment.
This is also the reason why he hesitated.
"It would be great if I could try working in a financial company for a while, but unfortunately I'm too young to even pretend."
Chen Qi couldn't help but sigh secretly.
He was only eight years old, not nearly as tall as his elder brother Chen Ce who was twelve years old and was meters tall. He could easily disguise himself and look indistinguishable from the real thing.
"Forget it. Grandpa said he would cover the cost for me anyway, so I'll just give it a try. The most I'll lose is some money."
After making up his mind, Chen Qi did not hesitate any more and immediately invested all his money.
He chose the safest approach, which was to select one of the listed companies and spend a month conducting a detailed investigation of the company's situation.
Once he is sure, he will take action.
"Grandpa, I want to surf the Internet. Can I borrow your study room?"
On this day, Chen Qi had everything ready except for the east wind. When the time came, he immediately asked his grandfather to borrow the study room.
Chen Guohua readily agreed and nodded to the little guy's request.
The study is a restricted area and generally, no one is allowed to enter easily.
However, Chen Guohua must have locked the places that should be locked long ago.
The reason why the little guy borrowed the study room was that the study room had a very stable and fast internet speed, as well as a backup power supply.
In other words, as long as you enter the study, you don’t need to worry about sudden power outages or other unexpected accidents.
After entering the study, Chen Qi started to get busy.
He only had two hours to surf, which was very tight.
"The current share price of this company is $. I'm going to buy 10,000 lots now. That shouldn't be too much, right?"
One lot is one hundred shares, and ten thousand lots are one million shares. Based on the price of US$ per share, this is US$ million.
There is an exchange rate difference between the . dollar and the RMB. The exchange rate difference in this space and time is quite different from that in the original space and time. One . dollar can be exchanged for RMB.
So even so, million US dollars, converted into RMB, is million.
He only had 8 million RMB in his pocket, and million RMB was of course borrowed from his eldest brother.
After typing on the keyboard, Chen Qi directly bought the company's stocks.
After the purchase, they began to place a large number of false buy orders to create market panic.
Quantitative trading is to use market sentiment and other factors to score stocks, and Chen Qi chose market sentiment to operate on the stock of this company whose stock price has not fluctuated much for a long time.
After a large number of false buy orders appeared, the market indeed experienced great panic.
Many retail investors saw that the company's stock price was soaring and thought that there was a market maker going long, so they rushed in.
As a result, the stock price began to slowly climb.
Retail investors are not fools, but no matter how smart they are, they would never have thought that someone would actually engage in quantitative trading.
As the world's largest stock market trading venue, the New York Stock Exchange generates an overwhelming number of trading orders every day.
A small listed company cannot cause any waves in a place like the New York Stock Exchange.
However, there were too many retail investors, and the company's stock price quickly rose to $. Chen Qi also set up a large number of fake orders on one hand, and quickly canceled the orders within a minute or tens of seconds before the transaction.
Fake trading orders are part of quantitative trading and are also the most common tactic used by many quantitative funds.
However, such means require high attention and huge funds, otherwise it will be difficult to make a profit.
Although he is only eight years old, Chen Qi's hand speed and brain speed are both top-notch.
After an hour and a half, when the company's stock price had been raised to US$, Chen Qi did not wait any longer, but acted decisively.
He sold all his 10,000 shares and cleared his position successfully.
After the liquidation was completed, he quickly canceled those fake orders and retired successfully.
He was very happy when he saw the money in his account.
When buying, the account balance was million US dollars, and when selling, the account balance had reached million US dollars.
After deducting other fees and costs, his net profit was at least over million US dollars.
This is a huge amount of money.
According to the current exchange rate, if converted into RMB, that would be million.
Chen Qi, who made a lot of money, was greatly encouraged.
Although this way of making money based on technology is not very safe and the income is not so stable, it is already very impressive for an eight-year-old child.
In the next month, Chen Qi took time every day to study these money-making things.
Since he only has two hours a day to surf the Internet, he spends two days every weekend to determine his mission goals, and then executes his money-making plan from Monday to Friday.
After a month, his total capital had increased several times to 37 million US dollars.
However, when the amount of his capital increased to the level of tens of millions of US dollars, he obviously felt that his efficiency in making money had decreased a lot.
In particular, there was one time when, because he was too greedy, he directly bought all 30 million US dollars into the Walmart supermarket company.
This company is very large and has a high market value.
Therefore, when he was building a large number of fake orders, his hand speed could hardly keep up.
Moreover, for such large-scale enterprises, price fluctuations are not large. Once the fluctuation exceeds one US dollar, it is bound to attract the attention of many people.
Because of that opportunity, he almost became a scapegoat.
Just because the price was rising so quickly, he placed too many fake orders, which caused cramps in his fingers. He almost didn't have time to close his position.
The reason was that after he successfully closed his position, the price dropped by $ in an instant.
That's Walmart, a global retail giant that's as famous as Qianduoduo Supermarket. A price fluctuation of $ is like a major earthquake.
So Chen Qi was very glad that he escaped fast enough, otherwise he would really have no choice but to stand guard for others.
The principal of 30 million US dollars is all stuck at the top of the mountain. If the price cannot rise again, it will definitely be a huge blow to someone like him who is doing short-term trading.
What's more, he simply doesn't have the time to keep an eye on the fluctuations in stock prices, which would be even worse.
Of course, with this wave, Chen Qi made a lot of money with a profit of a little more than one dollar per share, and the total capital volume directly exceeded 60 million US dollars.
Next time, if he is brave enough and makes another move, it is possible that the size of his capital will exceed 100 million US dollars.
One hundred million US dollars and an exchange rate of , so he achieved the same achievement as his elder brother, earning more than 300 million yuan in a short period of time.
Thinking of this, Chen Qi suddenly became excited.
However, in the following week, his funds directly lost 50 million, and his total deposits almost fell below 10 million US dollars.
"Xiao Qi, what's wrong with you recently? You're so listless even when eating?"
At the dinner table, seeing that the little guy Chen Qi looked sick, Chen Guohua, Yu Moli and others became concerned.
His mother Han Nian also cast a concerned look. In fact, she had already asked her son about this, but although the child was young, he was very smart and sensible, and did not tell the truth at all.
"It's nothing, Grandpa. I just read too much. I just need to take a rest."
Chen Qi, who was almost exposed, hurriedly spoke.
Although he has made some money now, in the past week, he has almost returned to the days before liberation. How can he have any other ideas?
After simply dealing with his family, he secretly reminded himself that he should pay more attention and not let his family worry.
"Are you thinking about making money?" Chen Ce said with a smile. Chen Gonglu, Yun Wanshang, Yu Moli and others' eyes lit up and they all started asking questions.
Chen Qi stopped immediately, feeling extremely ashamed.
There is a huge gap between more than 10 million US dollars and his elder brother's more than 100 million US dollars.
"Don't be so modest. You paid me back the money very quickly before. I guess you must have made a lot of money..."
After hearing what his elder brother said, Chen Qi still humbly denied it and did not talk about how he made money.
Seeing that he was unwilling to talk, Chen Guohua changed the subject and did not continue this topic.
Only then did Chen Qi breathe a sigh of relief.
After all, he really wants to develop quietly, and then surprise everyone and see what it's like to be "other people's children".
In the blink of an eye, another week passed. Chen Qi finally adjusted his mentality and began to re-enter the financial market to launch another challenge.
He has already identified the specific mission targets. Whether to eat meat or drink porridge next depends on his luck and hand speed.
Daoheng Bank is a North American company he has found. It is considered to be above average, not very high, but not low either.
The stock price when he bought it was $, which was not a very high price, but not a low price either.
His goal is to raise the stock price to $.
If time is still loose, he wants to push it to $.
Whether it will work or not depends on the situation.
Anyway, there was no way he would let himself work in vain, or even leave at a loss, or stand guard for others.
As time passed, Chen Qi was busy adding more virtual orders, trying to attract the attention of retail investors.
As long as retail investors flock in and push up the stock price together, when the stock price rises to Chen Qi's target, he can take the opportunity to close his position and escape smoothly. (End of this chapter)
