The Bottom Area Is Very Characteristic &Nbsp; We Must Dare To Be Greedy And Dig For Value.

At present, the market is the bottom. judge market There are many ways and indicators to make use of valuation indicators. market Carry out the whole Analysis And value judgments are simpler and more robust. At present, the A share price to earnings ratio is always at the bottom of the history, no matter the vertical to itself ratio or the horizontal and global market ratio. In addition, the stock market breaking up is increasing, the breaking rate of the new shares has been innovating repeatedly, the market capacity has been extremely atrophic, and the investor confidence has been seriously frustrated, all of which show that the market is in the extreme depression. At the same time, large shareholder holdings, Huijin Company's launch, social security and endowment insurance funds indicate the management's change to the current market attitude. Although the problems that plague the market still exist, the bottom of the market may experience more painful tribulations, but the market at the bottom of the market is very obvious.

Opportunity comes, dare to be greedy. The trend of the market is like the tides and waves of the oceans. The tides of the ocean are similar to those of the market cycles, but the sea waves are random and random like the short-term fluctuations in the market. Value investing is to grasp the big market cycle, use market bias to find value, buy hold and wait for market value discovery.

About valuation, investment master Warren Buffett said: valuing is to evaluate a wife, to estimate love, the more conservative, the more reliable, the simpler and the more correct. For the market, Buffett did this: greed when others fear, and fear when others are greedy. The torment of the bottom is painful. The darkness before dawn may be long. Do not expect anyone to tell you how low the market is and when the market will go strong or reverse. What we can do is to widen our eyes when we panic in the market, seize the opportunity that history brings us, and dare to be greedy.

Mining value. Although the overall valuation of the market is not high, the structural differences are very large. It is extremely important to choose what kind of investment. The most important thing in value investment is the margin of safety. The most reliable thing is revaluation. Of course, value investing does not reject growth and asset restructuring. Operational concerns are as follows: (1) low earnings and high growth sectors represented by banks. Bank shares, which have the lowest market price earnings ratio, still have a growth rate of 25% this year. (2) the low net market rate represented by iron and steel, the future integration expectations and the broken plate. The low market rate, especially the broken stocks, has absolute investment value in accordance with the market revaluation method, and thus has a reliable margin of safety. (3) the discount arbitrage of closed-end funds, A-H and A- B-share premium arbitrage opportunities. The closed-end fund has an average discount rate of 8%, a discount rate of 3%, and a certain margin of safety. (4) convertible bonds have investment value. At present, the average price of convertible bonds is close to the face value of the 19 listed companies, of which 9 are below the face value. In addition to the fixed interest enterprise convertible bonds, the price of convertible bonds can be amended according to the stipulations. Buying bonds at a low price is equivalent to buying risk-free call options.