Becoming the King of Bottom Fishing After Going All-In on A-Shares

Zhang Yixing looked at Lu Chenzhou: "Even if we can manage to set up a shell company, what about the funding?"

How can I transfer the money from my Hong Kong account to the new company's name?

"No need to transfer funds. The account is already in Hong Kong. The new company will open a new account, and the funds can be transferred there. It's a matter of one day."

Xia Yaozong hung up the phone, his expression not looking good.

"We've made contact. The other party does indeed have a shell company, license plate number 9, clean, and without any debts."

The normal asking price is HK$150 million, but if you want the transfer completed within a week, there's an expedited fee of HK$50, bringing the total to HK$200 million.

Zhang Yixing gasped, "200 million? Robbing me?"

Xia Yaozong said with a hint of helplessness: "During the financial crisis, surviving companies are selling off assets, but the premiums for those that are in a hurry to buy are also high."

The other party said this was the fastest; the other two would take at least a month.

Lu Chenzhou didn't hesitate: "Buy it. Fly to Hong Kong on Monday to sign the agreement."

Xia Yaozong was taken aback: "You're going?"

"I'll go."

Upon hearing this, Wen Zhiyu immediately replied, "I'll go with you."

Lu Chenzhou glanced at her: "What are you going to do?"

"I am your secretary, in charge of your schedule."

Lu Chenzhou was silent for two seconds, then nodded.

He then sent a message in a QQ investment group.

[Lu Chenzhou]: Everyone, as you've seen from the public opinion, there have been reports recently, which have drawn regulatory attention.

To protect everyone's interests, redemption is now open.

If you want a refund, you can register in advance.

The position was closed on Monday, and the funds arrived on Tuesday.

The penalty for breach of contract will be waived.

Every penny of dividends will be distributed.

The moment the message was sent, the group chat exploded.

"??? What's going on? Did someone report it?"

"Brother Lu, I won't back down, I believe in you."

"I'm not backing out. It's a 1.6 million yuan business; do you think I'm stupid to ask you to back out now?"

"Brother Lu, is there pressure from the school?"

"Damn, it must have been Zhao Xianglong who did it. That bastard lost his own account and can't stand seeing others make money."

"I'm not backing out either. Brother Lu, you continue managing the market and don't worry about us."

"I won't refund +1 either."

+10086.

Hundreds of messages were sent, but not a single person said they wanted to cancel.

On Baidu Tieba, a new post was featured on the homepage, with its title highlighted in red:

[Breaking News] Renmin University formally summoned Lu Chenzhou, known as "Leveraged Money Bro," demanding that he return all raised funds within a week and terminate his wealth management business; otherwise, the university will take serious action.

The main post is short, but it contains a lot of information:

According to insiders, on the morning of October 11, the office of the School of Finance and Economics of Renmin University formally met with Lu Chenzhou.

The college explicitly requires that all raised funds be returned to their original source within one week, and the asset management business be terminated.

Otherwise, the school will impose disciplinary action in accordance with regulations, and those who commit serious offenses may face expulsion.

Currently, Lu Chenzhou's investor QQ group has exploded with activity, with some considering redeeming their shares and others resolutely refusing to withdraw.

We will continue to monitor how things unfold.

The post received over 10,000 replies in less than half an hour.

"Holy crap? The school's made a move?"

"A week? Isn't that forcing Lu Chenzhou to liquidate his positions?"

"He held short positions in CEFC China Energy and China National Building Material, with a floating profit of over 40 million. Closing these positions now would mean losing tens of millions in profit."

"Earning tens of millions less? His investors' principal was only 150 million, and it has increased more than tenfold. Earning less is still earning more."

"The problem is that closing out now is like getting off the bus halfway through the journey."

"Getting off halfway through is better than being expelled from school, right?"

"Stop arguing. The key issue is the investors' attitude. If the investors aren't going to withdraw, how can he?"

The post's popularity peaked at noon.

Someone posted a screenshot of the message Lu Chenzhou sent in a QQ group: "Open for redemption, no penalty fees, and all dividends will be distributed in full."

The comment section exploded instantly.

"Wait for breach of contract? Is he crazy? The contract states that early termination will result in a 20% deduction of profits."

"That's vision, that's vision. On Zhao Xianglong's side, investors lost everything, while on his side, they opened up redemption and waived penalty fees."

"So Zhao Xianglong's account was wiped out, and he made a fortune. This wasn't luck, it was responsibility."

"His responsibility is a joke. He's using this as a pretext to advance. He knows the investors won't back out, so he offered to waive the penalty for breach of contract."

How do you know the investors won't back out?

"Look at the screenshots yourself. There are hundreds of messages in the group, and not a single one of them mentioned a refund."

But some people disagree.

"Don't be too happy yet. The school has given you a week to return all the funds. If the investors don't return the money, what will they use to return it? Their own money? Their money is also tied up in Hong Kong stocks."

"He can close out his positions. With the profits from closing out his positions in CEFC China Energy and China National Building Material now, he can easily get his principal back."

"Closing the position? Closing the position now is tantamount to admitting defeat."

"Isn't admitting defeat better than dropping out of school?"

"The outcome of this matter depends on two things: first, the performance of CEFC China Energy and China National Building Materials next week; and second, whether his Hong Kong license can be obtained within a week."

If the stock price continues to fall, investor confidence will be even stronger.

If the license can be obtained within a week, managing clients' assets will become a legal asset management practice, and the school's requirements will naturally no longer apply.

But getting a license in a week? Almost impossible.

"Getting a license in a week is impossible, but buying a ready-made shell company is possible."

"Acquiring a shell company takes time—due diligence, transfer of ownership, change of shareholders—is a week enough?"

"If you want expedited service, that's enough, but it will cost more."

"Is Lu Chenzhou short of money? His net worth is 1.6 million."

"So he's planning to buy a shell company?"

"That's highly likely, otherwise he wouldn't be so calm."

"If he really gets the license done within a week, then this crisis will not only not hurt him, but will actually help him complete the compliance transformation."

From a gray area of ​​managing client funds to legitimate asset management.

From the "Leverage Guy" on the Renmin University campus to a licensed fund manager in Hong Kong.

What's this called? This is called using someone else's strength against them.

Zhao Xianglong reported him, the school summoned him for a talk, and the public questioned him.

Instead, it forced him to take the most crucial step.

"You're dreaming. Getting a license in a week? Even buying a shell company wouldn't be that quick. Doesn't the China Securities Regulatory Commission's approval process take time? Doesn't a change of shareholders take time? Who does he think he is?"

"He's Lu Chenzhou. He turned 10,000 into 160 million in just over twenty days. You think he couldn't handle a shell company in a week?"

"That's stock trading, this is compliance; they're two different things."

"In the face of absolute strength, there are no two different things."

Lu Chenzhou didn't check the forum, but Zhang Yixing did.

"Shenzhou, the fact that the school gave you a week has been posted online."

Lu Chenzhou glanced at it and said, "I understand."

"Don't you see what they're saying?"

Lu Chenzhou picked up his water glass and took a sip: "No need to look. There are all sorts of opinions. Some say I can't handle it, some say I can, but no matter what they say, it won't affect my operation."

Xia Yaozong walked over from the window: "What if the investors see this and someone wants to withdraw?"

"Then we'll refund you. I've already said in the group that redemption is open and there will be no penalty fee. If anyone wants to refund, I won't stop them."

Wen Zhiyu sat in the corner and said softly, "No one is leaving."

The room fell silent for a moment.

Zhang Yixing looked at Lu Chenzhou: "So, what are you planning to do?"

"It's all arranged. I'll fly to Hong Kong on Monday to sign the contract."

Transfer of ownership is scheduled from Tuesday to Friday.

All procedures will be completed by next Monday.

The school gave us a week, which was just right.

Xia Yaozong asked, "What if there are problems with the transfer of ownership?"

Lu Chenzhou turned around: "Then let's find a solution. There's always a way out."