Henglong Capital was the first batch of bargain-hunting purchases in the liquidity crisis,
It was executed on the second trading day after US Stocks triggered the second circuit breaker in history.
The trading order is issued from Henglong Capital Trading Room of Jiangbeizui,
Access the order book of NASDAQ through the brokerage channel of Hong Kong,
Every purchase is a limit order, do not rush for funds during the Call Auction stage, and do not chase highs during the intraday pull-up.
Only quietly pick up those chips that were sold in panic during the moment of Flash Crash when the market's liquidity dried up.
Chen Xi sat in front of Bloomberg Terminal and stared at the transaction details.
A transaction confirmation pops up on the screen every few minutes.
Each transaction price is several basis points lower than the previous one.
According to the buying rules set by Zhao Chen, the size of a single purchase shall not exceed one-fifth of the available funds.
There is at least two trading days between two batches of purchases, and the pace is deliberately slow.
It's like using a blunt knife to fight the free-falling stock price.
After several trading days, the cumulative average purchase price was not higher than the previously predicted lowest range.
On the contrary, due to the rhythm of buying in batches and extreme market fluctuations,
The cost was a bit lower than the most conservative anchor point preset at the time.
"I used to think that buying at low points accurately was the pinnacle of judgment.
Now I find that buying in a wide range and at a slow pace can get a similar cost.
This in itself is redefining what judgment is."
When Chen Xi placed the transaction summary report on Zhao Chen's desk, there was a restrained smile at the corner of his mouth.
Zhao Chen finished flipping through the report and signed the last page.
"In the past, I dared to let a single purchase size account for more than half because I knew it would not fall again later.
Now enter the market in batches, only buy one-fifth each time,
It's about respecting the uncertainty of market fluctuations.
Judgment is not the accuracy of predicting the future, but the measure of risk control in an uncertain environment.
Put the safety cushion of your position before liquidity, before your intuition."
"You are more cautious than before." Chen Xi took the report.
"I'm just re-verifying my judgment in the most primitive way."
Zhao Chen Put the pen back into the pen holder and lean back on the chair.
"When you first asked me to do a valuation based on new variables Model,
I actually have a question in my mind--
If your previous frame was inaccurate, can we still find the right time to buy the dip?
So I made two sets of Model.
A set that completely eliminates all the timeline assumptions you told me before, and only relies on public data and macro variables to deduce;
The other set retains a portion of historical stress test data as a reference baseline.
Today, the bottom ranges given by the two sets of Model are highly consistent - the results of removing the memory coincide with the results of retaining the memory."
She spread the three documents side by side in front of Zhao Chen,
One is a rough sketch that Zhao Chen drew from memory in the office a few months ago.
One is her independent valuation based on new variables Model,
One is the collective decision-making opinion formed by Investment Decision Committee after many rounds of discussions.
Zhao Chen looked down at the three documents and was silent for a long time.
The three conclusions are highly consistent, with bottom valuation range, buying rhythm and safety cushion reserved.
Each core judgment points to the same interval.
It was not one person's accurate prediction that caused this bargain hunting.
It is the independent Model verification mechanism and collective careful deduction that have reached the same intersection through different paths.
"Calling all members of Investment Decision Committee to Meeting Room this afternoon."
In the afternoon Meeting Room, both sides of Long Table were full of people.
Chen Xi connected the laptop to the projector, and three documents were displayed side by side on the screen--
Zhao Chen stood up and walked to Projection Screen's cloth,
Use Laser Pointer to draw a circle on the three conclusion intervals.
"Everyone, I didn't call you here today to announce any new strategy. I just wanted to show you something."
His Laser Pointer was moved from the first document to the second, and then to the third.
"The one on the left was drawn based on my own previous judgment.
The middle one is Chen Xi's independent valuation based entirely on public data and macro variables Model--
When she was doing this set of Model, I clearly told her not to refer to any timeline assumptions I gave her.
The one on the right is the collective decision-making opinion formed by Investment Decision Committee after many rounds of discussions.
Three documents, three different starting points, and highly consistent conclusions.
The bottom valuation ranges overlap, the buying pace converges, and the safety cushion reserves are all of the same order of magnitude."
He put Laser Pointer down and put his hands on the conference table.
"In the past, we relied on my own judgment to win every battle.
Bidiya, Wuliangye, Nvidia, Tesla--
Every time I give the direction from this position and you execute it.
At that time Henglong needed this kind of decision-making speed. But it is different now."
He pointed to the conclusion columns of the three documents on the screen.
"This time I am not relying on my judgment, Chen Xi's Model, or Investment Decision Committee's collective opinion--
It relies on the independent deduction of these three factors to arrive at the same intersection. What does this mean?"
It's very quiet in Meeting Room.
Song Zhongping put the teacup on the table without making any sound.
Chen Qiming's finger was hanging on the calculator and he forgot to press it.
Zhang Qingxue raised his head from the legal documents, his eyes moved from Projection Screen's cloth to Zhao Chen's face.
"This means that Henglong's decision-making mechanism no longer relies on any one person's experience."
Zhao Chen's voice is not high, but every word falls in the quiet Meeting Room,
"This system consists of three levels. The first level is independent Model verification--
All major investment decisions in the future must be cross-verified by at least two sets of Independent Valuation Model.
One set is based on internal research and one is based on external data,
The assumptions and data sources of the two sets of Model are independent of each other.
The second level, Investment Decision Committee collective voting--
The amount of a single investment exceeds a certain size, or the market volatility exceeds a certain level,
The Investment Decision Committee review process is automatically triggered, and Chairman can no longer be executed with just one person's signature.
The third level is continuous follow-up after investment--
Buying is just the beginning. The holding logic of each position needs to be re-verified regularly with new variables.
If the verification fails, reduce it when it needs to be reduced, and clear it when it needs to be cleared."
"No matter how many stones there are in the river, this system can help us find the most reasonable response plan.
Henglong is not mine. Henglong is this system."
Meeting Room was quiet for a few seconds.
Chen Xi was the first to break the silence, her voice steady and clear.
"Zhao Zong, you said it doesn't depend on individuals.
But your judgment in this position is highly consistent with the conclusion based on Model and collective decision-making."
Zhang Qingxue opened the legal memorandum in front of him and clicked on one section with his pen.
"I would like to add something from a legal perspective.
The archive paths of these three files need to be compliant and solidified.
If future regulatory authorities question Henglong's investment decisions during the pandemic,
The complete decision record itself is the most powerful evidence--
Independent Model verification, collective voting records, post-investment tracking mechanism,
Each item can withstand the SEC or Stock Exchange's itemized review.
In the past, Zhao Zong made decisions alone, and compliance relied on his personal credit.
In the future, we will rely on the system to leave traces."
Chen Qiming pushed the calculator aside and said:
"Financial Data also supports this framework.
The scale of funds used for bargain hunting this time does not account for a high proportion of the Henglong callable Cash Reserves.
The safety pad is left thicker, and the overall Risk Exposure is reduced.
If we look at the system as a financial structure,
In the past, Henglong was a 'sole proprietorship' decision-making system -
All credit is concentrated in one person;
Now a 'multi-tiered limited liability company'--
Decision-making risks are distributed to each independent verification node.
The failure of any single node will not cause the entire system to collapse."
Song Zhongping Screw the lid of the teacup on, making a slight ceramic friction sound.
"From an operational perspective, I only have one thing to say:
Previously Zhao Zong mentioned a direction on Board of Directors and we executed it.
After executing it, looking back, every step was correct.
But this model has a premise - Zhao Zong's judgment must always be correct.
Now this premise has been replaced by the system. Good replacement.
To be honest, I don't quite understand the Model and collective decision-making opinions just now.
But I can understand that the conclusion ranges of those three documents are at the same position.
The fact that they overlap to this extent shows that this set of things is real and not imaginary."
Shen Jue kept leaning on the back of the chair and listening, with his hands folded on his knees.
Her eyes moved from Projection Screen to Zhao Chen, and then to everyone present.
"Zhao Zong, do you still remember what you said last year on the day Investment Decision Committee was established?
You said that if Investment Decision Committee vetoes your proposal, you will accept it and accept it in action.
You were answering my question at that time.
What I want to tell you today is that since then, Investment Decision Committee has never vetoed any of your proposals.
It's not because you are always right, it's because before every submission of Investment Decision Committee,
I have deduced all the worst assumptions, the most extreme variables, and the most conservative boundaries myself.
Investment Decision Committee is not a fuse for your judgment, but an amplifier for your judgment.
Today's system was not built from scratch. It was built by you using your own credit,
Our expertise, as well as the review records of every decision made in the past few years, have been piled up bit by bit.
From now on, Henglong will never rely on one person's intuition in any extreme situation--
Because this system can independently produce decisions of the same quality as your intuition."