A century-old wealthy family that rose from Shanghai

Chapter 349 Hong Kong Migration Wave

In the summer of 1946, the smoke of civil war had spread across China, and the wealthy once again began migrating from north to south, with Hong Kong becoming their final destination.

At this time, Hong Kong's population had recovered to pre-war levels, reaching 160 million.

With an increasing influx of wealthy individuals, Hong Kong is finally ushering in its 'greatest development opportunity in history,' and this historic moment is the key to Hong Kong's true rise.

Because among this influx of people were many entrepreneurs from Jiangsu, Zhejiang, and Shanghai, who brought capital, equipment, technology, and management expertise, propelling Hong Kong's industry to new heights.

Without the industrial development of Hong Kong in the 1950s and 60s, there would have been no real estate boom later on.

Chen Guangliang stood in front of the window of his office on the 10th floor of the Ping An Bank Building on Des Voeux Road in Central, looking at the bustling scene of Victoria Harbour, and seemed to be in a very good mood.

He wasn't gloating; rather, he was glad he got there first. This feeling was like when he was out of the market in his previous life and the stock market crashed—it was even more joyful than making money.

Back at his desk, Chen Guangliang pondered some things.

After arriving in Hong Kong, he did not stop speculating, with gold being his biggest speculative investment.

He transferred more than $800 million to Hong Kong, which can be described as a large-scale move.

In reality, the investment in 'forced Hong Kong dollars' has already reached US$50, the shipping budget is US$150 million, and the real estate budget is US$600 million, which is exactly the amount of US$800 million invested.

Fortunately, of the $600 million budgeted for real estate investment, only slightly more than $300 million is expected to be used by the end of this year (construction costs will be paid in installments); and of the $150 million budgeted for shipping investment, less than $100 million will be used by the end of the year (the Liberty ship will be paid in installments).

In this way, Chen Guangliang used a considerable portion of his funds to purchase physical gold.

"Boss, these are the recent gold purchase records from the Gold and Silver Exchange!" Ye Ximing walked into the office and handed Chen Guangliang a document.

"Hmm, let me take a look. Keep buying spot gold. Hong Kong is about to see a huge wave of merchants from Jiangsu, Zhejiang, and Shanghai. It would be strange if they didn't speculate on gold!"

Ye Ximing was shocked. Although he had worked with his boss for so many years, his boss's foresight still amazed him.

It's worth noting that the boss seemed to have known about today's events long before the war ended.

“Okay, Ping An is now a director of the Gold and Silver Exchange and is continuously purchasing spot gold. If we weren’t lacking someone to manage gold trading, we could also try to become a permanent director of the Gold and Silver Exchange. If the boss were to step in, you could become the chairman.”

Chen Guangliang laughed and said, "We buy spot goods and don't import gold, so we don't get a chance. Besides, sometimes the real winners don't rely on trying to control the market, but on understanding the big picture."

"Okay, I'll go get back to work now!"

Back then, Cheng Linsheng and Qixing Enterprise both attempted to control the Shanghai Gold Exchange, but both failed miserably.

Although the situation is different in Hong Kong's gold and silver exchanges, the best way to gain control is to control the channels for importing gold and importing 'cheap gold' from regions such as India, South Africa, and Mexico.

Although Chen Guangliang wanted to do this kind of business, he still chose the most conservative approach—slow acquisition.

Subsequently.

Chen Guangliang looked through the documents and found that Ping An Bank had already absorbed 30,000 taels of gold for him, totaling US$1.5 million, at a price of around HK$200 per tael (37.5 grams).

Half of the plan has been completed. The remaining part involves purchasing '99 gold' worth $150 million, but the cost may increase slightly.

However, in Chen Guangliang's view, Hong Kong's gold prices should not be driven up so wildly until next year (1947).

In short, he will choose to cash out his gold in batches at a price of over HK$600 per tael.

In fact, Chen Guangliang still had about 12 taels of gold (31.5 grams per tael, made in mainland China) in a vault in the United States, which he planned to take back to Hong Kong when the opportunity arose.

Global Shipping poached four of the best Chinese captains from China Merchants Group in mainland China with high salaries: Teng Shibiao, Xu Zufan, Yang Zhixiong, and Zhang Chentong. All four were also from Ningbo.

Originally, outstanding Chinese captains of this era all shared one virtue—patriotism. However, Zhao Tieyi, the persuader sent by Chen Guangliang, explained the prospects of joining Huanqiu Shipping and the troubles of staying with China Merchants Group, and thus convinced a group of senior Chinese crew members.

That evening, Chen Guangliang met with everyone in a private room at a restaurant.

During the meal, Chen Guangliang, emboldened by the alcohol, said happily, "I am very glad that everyone chose our Global Shipping. They were not blinded by patriotism, but chose a good future for their families."

This statement surprised many, given that Chen Guangliang was considered the most patriotic businessman.

Teng Shibiao then asked, "Mr. Chen said we chose Global Shipping for its high salaries and benefits, and we won't refute that. But why do you say that patriotism can cloud judgment? You are..."

Chen Guangliang laughed and said, "When the civil war broke out, how could your families stay in the country and expect to remain uninvolved? So coming to Hong Kong for temporary refuge was a wise choice. Of course, developing the shipping industry in Hong Kong is also something that brings glory to the nation."

By this time, the civil war had already begun, and Chen Guangliang's choice was somewhat justified.

Xu Zufan suddenly asked, "Mr. Chen, who do you favor?"

We're all from Ningbo, so we're from the same hometown. When Chen Guangliang was the general manager of China Merchants Group, he was very concerned about and trained senior seamen of Chinese descent, so we were old acquaintances.

Captain Ma Jiajun, who was once a captain, is now the Director General of Shipping at China Merchants Group. When Zhao Tieyi went to Shanghai to recruit senior seafarers, Ma Jiajun turned a blind eye and even provided some convenience.

Private shipping companies offer high salaries, but domestic private shipping companies have declined. Even the once-great Sanbei Shipping Company failed to thrive after Yu Qiaqing's death, and his son was unable to carry it forward. Of course, the overall environment also played a role.

The salaries and benefits at China Merchants Group are not high, but the advantage lies in working for the country.

Chen Guangliang said, "It doesn't matter who you favor. In short, things will be very chaotic in China. So for the safety of your family, I suggest you settle your family in Hong Kong. Moreover, in the long run, Hong Kong is the treasure land for Chinese people to make their mark in the world."

Chen Guangliang offered these senior Chinese seamen very high salaries and also provided them with housing for their families.

"Okay, thank you for taking care of us, Mr. Chen."

At this point, everyone had no doubt that things would be chaotic in China, and they also wanted their families to have a better life. The new boss was a capable shipping expert, and following him was a good choice.

In early July, Chen Guangliang's father-in-law, Yan Zhiduo, hurriedly came to Hong Kong and hosted him at his home.

The male members of the third generation of the Yan family did not achieve much in the business world. Yan Zhiduo inherited the family business and ran a money exchange and a gold shop. Yan Zhiduo had two younger brothers who worked in the wool textile industry, but they were not bosses; rather, they were engineers or similar professionals with some shareholding.

On the contrary, the women of the third generation of the Yan family produced three highly educated intellectuals who also married well-known figures.

During the meal, Yan Zhiduo asked, "Guangliang, do you think the war might affect Shanghai?" This was normally a distant possibility, but having dealt with Chen Guangliang for many years, he knew Chen Guangliang wouldn't have moved to Hong Kong without a reason. Moreover, Chen Guangliang's judgment had never been wrong.

So when the civil war started, he rushed to Hong Kong to consult with the officials in person.

Chen Guangliang poured wine for his father-in-law before slowly saying, "If I were your father-in-law, I would feel that we should sell our assets and either come to Hong Kong or go abroad. After all, no matter who wins, your Yan family will not have a good ending."

Yan Zhiduo was taken aback; those words were too direct!

"The Nationalist government's army is three times larger, equipped with American weapons, and also has received Japanese equipment. Their chances of winning are much greater, right?"

Chen Guangliang shook his head and said, "The root of the problem is rotten. No matter what weapons you give them, they won't have the courage to fight. Besides, it's not scarcity that's the problem, but inequality. As a soldier, I see my superiors getting rich. Who would be willing to risk their lives for him?"

"What if the other side wins?"

"Father-in-law, we are capitalists; that's our original sin."

Yan Zhiduo shrank his neck and said, "I'll sell my assets when I get back and prepare to move to Hong Kong. Luckily, I saw that you also gave the Shangri-La Hotel to Ping An Bank some time ago, so I exchanged some US dollars and gold."

Chen Guangliang nodded.

If Yan Zhiduo comes to Hong Kong, he'll probably only be able to live a retirement life, since he's not good at business, while money lending is the specialty of local Cantonese people.

That's fine too. Buy some properties and become a landlord.

Chen Guangliang led Zhuang Zhujiu and Lu Hanzhang to No. 220 Qingshui Bay. They found it to be a wasteland, but it was nestled against the mountains and by the water, with a charming and dreamlike landscape.

"What do you think about Times Pictures setting up a 'movie factory' here?"

Lu Hanzhang was the first to speak, saying, "Although filming a movie is not like running a stall where you have to choose a prime location, this place is inconvenient to get to and far from the city center, so it's probably a bit too remote."

Chen Guangliang laughed and said, "You know that you don't necessarily have to choose a prime location, so this place is naturally no problem. Moreover, what I mean is to clear the mountains and rocks here and build a huge film city, with soundproof film factories, set construction sites, sound stages, administration buildings, production buildings, darkrooms, photo processing plants, prop rooms, warehouses, projection rooms, living quarters, and even antique-style buildings, tourist attractions, and hotels."

The former Clearwater Bay later became a high-end villa community, and Shaw Brothers Studio certainly played a part in that early development.

Now that Era Films has become the dominant force in Hong Kong cinema, it's only natural that Era Film City should be built here.

Zhuang Zhujiu asked from the side, "The studio at Mingyuan Hill in North Point is already sufficient. Wouldn't it be a waste to build another film city?"

Chen Guangliang said, "This is a long-term plan. We're considering buying the land first, and then gradually developing the plans in about five years. The recent war in mainland China has given me an insight: Hong Kong will experience a population surge, so the land in North Point, Yuen Ming Hill, has great potential. Our Times Film Studio also needs a more professional production facility. Therefore, I think we should buy this place first and then develop it when the time is right."

Zhuang Zhujiu was shocked. These words had already revealed something, but there were still other people around, so he couldn't ask.

So he simply said, "The land here isn't expensive. Times Pictures has the funds to buy it. How much area does Mr. Chen plan to buy?"

Chen Guangliang said, "The bigger the better, ideally around 800,000 to 900,000 square feet, and the plan can be spread over ten or twenty years. In addition, given the situation in mainland China, I would like to sell the Times Cinema on Jing'an Temple Road."

This is the core asset of Era Films. Chen Guangliang never intended to sell it before the Japanese occupied the concession.

Zhuang Zhujiu had no further questions and immediately said, "Okay, I'll go back to Shanghai as soon as possible to handle it."

At the scene, Chen Guangliang divided up the land to be purchased next, and then handed the task over to Zhuang Zhujiu and others.

Since the victory in the War of Resistance against Japan, Times Film Industry's investment focus has been entirely on Hong Kong and Southeast Asia. During this period, the Shanghai municipal government raised the entertainment tax to 30%, indicating that although the mainland market was large, it was no longer suitable for investment.

That evening, Chan Kwong-leung and several senior executives from Era Films dined in a private room at a restaurant in Wan Chai.

After many years of changes, apart from Zhuang Zhujiu and Lu Hanzhang, the rest of the senior executives were basically promoted.

Some early directors, such as Ren Pengnian and Wang Yuanlong, were still shareholders, but their status was limited to directing. Today, Times Pictures operates on a corporate management model, where professionals only need to do what they are good at.

Under Chen Guangliang's leadership, Times Pictures has consistently mitigated risks ahead of time, resulting in continuous asset growth. Its property assets in Southeast Asia and Hong Kong alone constitute a substantial amount, with total assets exceeding HK$800 million.

In Southeast Asia, its cinema market share was more than double that of Shaw Brothers, because many of Shaw Brothers' cinemas were located in rural areas, while Era Films preferred to buy land and then build properties.

During the meeting, Lu Hanzhang also pointed out the current state of the film industry: "In the Southeast Asian and Hong Kong markets, as long as you make a film, you can make money, and low-budget films are even more profitable. If the investment is large, it may not necessarily make money."

Chen Guangliang understood that this phenomenon would last for ten years, since postwar entertainment was relatively simple and people no longer wanted to recall the suffering.

He said, “In that case, let’s go with the flow. And I’ve always told you that a good movie is one that sells well at the box office, but winning awards doesn’t necessarily make it a good movie. The characteristic of a good movie is that it makes money. Take director Ren Pengnian, for example. He understands this principle very well: he will do what the market needs him to do. Since he came to Hong Kong, he took the initiative to make Cantonese films. Isn’t that a way to regain the market?”

Ren Pengnian was one of the "three major directors" of the early Era Film Company. He also held some shares in Era Film Company, making him a shareholder. Last year, Ren Pengnian began directing Cantonese films, returning to his forte—the female knight-errant series.

Although he can no longer produce any blockbuster films, he is at least a director who makes money.

Lu Hanzhang nodded and said, "Yes, that's what we think too."

Taking the opportunity, Chen Guangliang said, "The mainland market is no longer the main focus; we need to turn our attention to Southeast Asia and Hong Kong. Once this war breaks out, the mainland entertainment industry is very likely to be affected."

Zhuang Zhujiu finally asked, "Mr. Chen, what are you talking about regarding this war?"

Before he could finish his question, Chen Guangliang said, "Bring your family over. No matter who's in charge, we capitalists have no future in the mainland. The former mainly relies on bureaucratic capitalism and suppresses private enterprises; as for the latter..."

Upon hearing this, everyone broke out in a cold sweat. No wonder this top Chinese businessman ran away so quickly; he knew there was no room for 'capitalists' to survive in the country anymore.

Zhuang Zhujiu couldn't help but say, "Doesn't this require business?"

"Those merchants are called unscrupulous merchants. Just look at the Soviet Union, just look at the landlords and unscrupulous merchants in the JF district. That's called 'Communism'! If we don't overthrow capitalists like you Changzhou Zhuang families, then 'Communism' won't succeed. Workers and peasants are the future masters."

Zhuang Zhujiu said sincerely, "After listening to Mr. Chen's analysis, I suddenly understand that Ai Yi still misses the prosperous life in Shanghai."

Chen Guangliang said with a smile, "If we're nostalgic now, we can clean the outhouses and tidy up the huts later, and then we won't be capitalists anymore!"

Zhuang Zhujiu said, "That's well said. I'll pass it on to her."

He had always wanted to settle in Hong Kong, since following in Chen Guangliang's footsteps was the right thing to do.

(End of this chapter)