Chapter 5: Adjustment of Mutual Fund Trading Strategy

Back home, Su Yue opened his luggage and checked the items his cousin brought him from their hometown in Yuzhou.

In the suitcase, there were various delicacies that he loved, such as cured meat, sausages, spicy oil, hot pot base, homemade pickled vegetables, and local peach slices.

As he placed each item into the refrigerator, he couldn't help but recall the image of his aging uncle stubbornly organizing the luggage before his cousin's departure, which brought a touch of emotion to his eyes.

After arranging the luggage, Su Yue took a look at the two shirts his cousin had bought for him. Both were from reputable brands, and even though the tags had been removed, he knew they weren't cheap.

"Su Yue, check your WeChat. I've sent you the pictures and WeChat ID of the person I introduced," his cousin called him again while he was lost in thought. "Try on the shirts; I bought them according to your size. If you don't like them, you can exchange them at the store."

"Thank you, cousin. I quite like them," Su Yue responded.

Su Xiaomo chuckled, "That's good. Since I wasn't around for your birthday recently, consider this a belated gift. Anyway, go and have your meal now. I'll hang up. Once you've seen the pictures and are satisfied, make sure to chat with the person after adding them on WeChat. A guy should be proactive, you know."

"Alright!" Su Yue replied before the call ended.

After arranging the clothes and belongings, Su Yue followed his cousin's instructions and added the girl on WeChat, explaining the reason for the friend request. Once downstairs, he had dinner at a nearby restaurant and returned to his place to review the market trading of the day, searching for potential opportunities for the next day or beyond. It was only then that the girl accepted his friend request.

After becoming friends, Su Yue didn't rush to chat with her. Instead, he went through her WeChat moments. He noticed that she frequently posted pictures of upscale places, exquisite living, and even photos with several bank executives and company bosses. There were also pictures of her learning to play the piano and paint. Of course, there were educational and skill certificates as well.

"It seems like she's deliberately creating a certain image, fishing for something valuable," Su Yue thought after going through her moments. "The girl my cousin introduced doesn't seem simple at all. From her WeChat moments alone, her 'fishing' skills are top-notch. I wonder which rich second-generation or boss will take the bait."

He speculated that he wasn't the target she was aiming for.

However, he couldn't quite understand why someone who wasn't targeting someone like him would agree to such a boring blind date.

"Hello!" While Su Yue was still pondering her intentions, the girl took the initiative to greet him on WeChat and briefly introduced herself.

Being polite, Su Yue replied, and as they continued chatting, he found that she was more proactive and talkative than he had initially thought. At times, he even doubted his earlier speculation.

After a brief introduction, she mentioned that it was late and she needed to rest for work the next day, so she ended the conversation.

Su Yue replied briefly, and they both logged off. He then continued reviewing the market and checked various stock investment forums to gauge the overall market sentiment. Afterward, he prepared for bed.

The next morning, at around 6 o'clock, Su Yue was awakened by loud noises in the living room.

He turned over, realizing that it was almost time for work. He got up, changed his clothes, and opened the door, intending to go to the bathroom to freshen up. However, he saw Fu Xinhai lying on the sofa, reeking of alcohol, with bloodshot eyes and an excited expression.

"What time did you get back last night?" Su Yue asked.

Fu Xinhai thought for a moment and replied, "I can't remember, probably around 12 or 1. Did I wake you up? I've been lying here since I got back."

"How much did you drink?" Su Yue asked, noticing that Fu Xinhai still seemed a bit groggy.

"I can't remember, but I must've had at least two catties of Baijiu. Damn it, that client can really hold his liquor. This time, I definitely went overboard, but it was worth it. I secured a 20 million yuan investment order for the fund, and the manager promised to give me two days off," Fu Xinhai replied.

"You're impressive!" Su Yue knew that Fu Xinhai had a good alcohol tolerance.

"That's not all," Fu Xinhai grinned and picked up his phone. "Last night, I made a joke about betting 5,000 yuan on a 0-0 score for the Argentina vs. Netherlands match, and it actually won. I got my money back."

After he finished talking, Su Yue realized that he had received a 10,000 yuan transfer on his "Zhifubao" account.

"What are you doing?" Su Yue asked.

Fu Xinhai chuckled, "It was just a joke yesterday, and now that I've won back my money, I can't let you subsidize me anymore. We're brothers, and we settle our debts honestly. Consider the money I borrowed."

Seeing his resolute expression, Su Yue understood that despite Fu Xinhai's casual appearance, he was a man of integrity who took his words and actions seriously. He smiled and said, "Alright, rest up. I'm heading to work. There's plenty of food in the fridge that my cousin brought yesterday. If you get hungry, help yourself."

With that, Su Yue turned and entered the bathroom.

After washing up, he realized there was still some time before he had to leave. He couldn't resist cooking a light breakfast for himself. It was around 7:30 when he finally left for work.

By the time he arrived at the company after braving the rush hour subway, it was 8:45 AM. There were still 15 minutes before the official start time, and only half of the people in the trading room had arrived.

"Junior, that checkered shirt looks good on you today," Fang Wanqing commented when she saw Su Yue arrive. "You look much more energetic."

In her eyes, Su Yue had a good figure and appearance. Though he might not be a big handsome guy, he was still quite handsome. The only issue was his poor sense of fashion and dressing, which didn't show off his inherent refined and confident temperament.

Now, with a change of clothes, Fang Wanqing thought he looked much better.

"Thank you for the compliment, senior," Su Yue replied with a smile, glancing at Fang Wanqing.

She was wearing a dark waist-cinching dress today, making her waist look even slimmer. Her figure looked more curvaceous, and her silky hair was tied in an elegant bun, revealing her smooth and radiant neck. Her beautiful and delicate face was still bright with a smile.

"Junior, I studied 'Fushun Special Steel' in detail after I got home last night. The expected logic and speculation logic are really impressive. Furthermore, the future performance outlook is quite promising," Fang Wanqing said while opening her computer. "Although this stock is in the less popular 'steel' sector, its main business is fundamentally different from ordinary steel companies.

After careful analysis, I discovered that this company mainly supplies special steel to the 'nuclear power' and 'military industry' sectors. According to the information disclosed by the company, it is one of the few companies in China that can produce core steel components for both nuclear power and military industries. In the A-share market, its main business nature possesses a certain degree of scarcity and uniqueness.

On the macroeconomic side... the expectations for restarting 'nuclear power' projects are quite strong this year."

Furthermore, in the 'military industry' direction, military industry restructuring has started, and military asset securitization has begun. Just look at the recent hype surrounding 'Chengfei Technology' after rumors of restructuring, with continuous daily limit ups and strong market interest, and you can see the strong market sentiment and trend in this direction.

Combined with the expectation of 'nuclear power' restarting, along with the expectations of 'military industry restructuring,' 'military asset securitization,' and the currently popular speculation on the development of a 'domestic aircraft carrier.'

'Shushun Special Steel' seems to have positioned itself at the forefront, benefiting from both the change in fundamental business and the change in investment sentiment.

Are we not catching the trend at the right moment?

Su Yue attentively listened to Fang Wanqing's interpretation of the investment and speculation logic regarding 'Shushun Special Steel.' He admired her research skills and smiled as he responded, "It seems like you stayed up late last night, senior."

"Don't think you're the only smart one," Fang Wanqing snorted and asked, "When did you start paying attention to 'Shushun Special Steel'?"

Su Yue thought for a moment and said, "Just a few days ago, when there was a surge in the 'domestic aircraft carrier' theme."

"So, in your trading strategy report yesterday, the main trading opportunity you proposed was not in the 'steel' sector but in the 'military industry'?" Fang Wanqing pondered for a moment and understood Su Yue's true intention in the trading strategy. "You believe that the speculative market trend in the 'military industry' will continue and deepen, right?"

Su Yue nodded and said, "With 'Chengfei Technology' gaining a fivefold speculative space, and now with the booming speculation on 'domestic aircraft carriers' and 'Beidou Navigation,' along with the underlying expectation logic of core policies like 'military industry restructuring,' 'military asset securitization,' and 'SOE and central enterprise reform and restructuring,' all the market factors are converging towards the 'military industry' theme. It has become a hot spot for speculation, so why wouldn't we continue to be optimistic about it?"

"As traders, one of the important principles we follow is to follow the market trend in our trades, right?" Su Yue added. "And now, do you think there is a better direction to position ourselves in the market, considering the development trend and expectation logic, than the 'military industry' theme?"

Fang Wanqing thought for a while and shook her head, "As of now, there seems to be no better option than the 'military industry' theme with its popularity and money-making effect. However, speculative concepts like this can change rapidly. If we chase after this trend and misjudge the rhythm, it could result in significant losses."

Su Yue smiled and replied, "With our fund's net value in its current state, even if we misjudge the rhythm, how much worse could it get?"

"That's true," Fang Wanqing nodded slightly. After contemplating for a while, she surprisingly agreed with Su Yue's view.

As they continued their discussion on the market situation before the opening, the time quickly reached 9 AM.

Once it officially reached the company's work hours, all the people in the trading room had gathered, and the previously noisy environment had quieted down.

"Before the market opens, let's have a brief meeting!" Seeing that everyone was present, Wang Liling came from the fund manager's office with documents and addressed the room, "I've read all the trading strategy reports you wrote yesterday, and I agree with many of your ideas. Now, let's summarize them and make adjustments to our fund's trading strategy based on your opinions."

Everyone took out their notebooks to jot down the meeting points.

"Yesterday, our fund suffered redemptions of over 57 million yuan, and it made the news in the industry," Wang Liling continued. "You all must have heard about it, so I won't go into details. In short, the situation we are facing is severe, very severe.

To curb the continuous redemption trend and leave enough fund space for investors to redeem, avoiding forced selling in extreme circumstances, we need to take several measures.

First, we must quickly clear out severely loss-making positions, actively freeing up space. Before the loss-making positions are cleared, trading permissions for each fund sub-account will be locked, allowing only selling, not buying.

Second, after clearing out the loss-making positions and while maintaining the total fund position under 50%, we need to utilize the freed-up space to resolutely adjust positions, seize market opportunities, and try our best to turn around the net asset value of the fund and restore investors' confidence in our fund.

Third, the trading permissions for each fund sub-account will be adjusted. For specific details, you can ask Team Leader Lu.

Fourth, from now on, the main focus of our fund's investment will shift to the 'military industry' sector. As for specific individual stock targets, you are free to analyze and trade without my input."

After finishing her speech, Wang Liling didn't wait for everyone's response and called Team Leader Lu Changjun into the fund manager's office.

After about ten minutes, Lu Changjun returned to his workstation with a somewhat unhappy expression.

At this moment, everyone logged into their trading accounts and found that their account permissions had been modified. Several people had their maximum trading permissions reduced, while some had theirs increased.

Lu Changjun's trading account fund permission was adjusted from 25% to 20%.

Zhou Kai's trading account fund permission was adjusted from 5% to 2%.

Fang Wanqing's trading account fund permission was adjusted from 10% to 20%.

Su Yue's trading account fund permission was adjusted from 2% to 8%.

However, because the overall fund position was still relatively high at the moment and, apart from 'Shushun Special Steel,' all other positions were in a loss, everyone's accounts were restricted to selling only and were unable to make new purchases.

(End of this chapter)