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

Where is the lowest point? Will it go even lower?

she does not know.

But Lu Chenzhou knew not where the lowest point was, but when to leave.

10:12.

China National Building Material reached HK$4.53, and CEFC China Energy reached HK$14.10, both current lows.

However, Lu Chenzhou did not close his position at this lowest point.

He is waiting.

Wait for that signal, the signal that the decline has turned into a rebound.

If not, then keep holding onto it.

If so, then close the position.

10:13.

China National Building Materials rebounded from 4.53 to 4.60.

Huaxin Taifu rebounded from 14.10 to 14.20.

Lu Chenzhou's fingers moved.

Without hesitation, he opened the trading software and clicked on China National Building Materials' short positions.

Short selling volume: 939.38 shares

Average cost: HK$8.48

Current price: HK$4.60

Unrealized profit: HK$3645 million

Close out positions.

939.38 million shares were bought and liquidated at a price of HK$4.60.

The order confirmation flashed briefly.

After closing out China National Building Materials, Lu Chenzhou's fingers did not pause for a moment, and directly switched to Huaxin Taifu's short position.

Short selling volume: 101.02 shares

Average cost: HK$23.15

Current price: HK$14.20

Unrealized profit: HK$904 million

Close out positions.

101.02 million shares were bought and liquidated at a price of HK$14.20.

The order confirmation flashed again.

The two operations took less than ten seconds in total.

After the transaction, China National Building Materials fluctuated around 4.60 for a few seconds before rebounding to 4.65.

Huaxin Taifu fluctuated around 14.20 for a few seconds before rebounding to 14.30.

Wen Zhiyu stared at the screen and let out a long breath.

He bought at the turning point where the decline ended and the rebound began.

It's not the lowest point, it's the turning point.

The lowest points were 4.53 and 14.10, which he missed.

But that's a fish tail.

It has thorns.

Lu Chenzhou put his laptop into his backpack and turned to walk towards the lobby of Central Centre.

"Let's go, let's sign the contract."

Wen Zhiyu followed behind him, glancing down at her phone again.

10:15.

There is still nearly an hour and a half until the morning session closes.

But he has already closed out all his short positions.

The lobby of Central Centre is the most densely populated area of ​​Grade A office buildings in Hong Kong.

It is surrounded by the Citibank Tower, Exchange Square, and Jardine House.

White-collar workers in suits poured in from all the entrances, like swarms of black ants.

Lu Chenzhou looked up at the eighty-story glass curtain wall building.

The real estate agency is on the 68th floor.

The receptionist looked at their student IDs, then at the appointment information, and her expression became somewhat subtle.

"Mr. Lu? Your appointment was at eleven o'clock. Our General Manager Chen is already waiting."

The elevator stopped on the 68th floor, the doors opened, and a man in his early forties was already standing at the front desk waiting for him.

Chan Wing-yan, a Hong Kong native, has been a financial intermediary for over a decade, specializing in helping mainland clients apply for licenses and acquire backdoor listings.

An intermediary with abundant resources and a complex background, capable of quickly getting things done with the Hong Kong Securities and Futures Commission.

His business actually improved after the financial crisis because there were many companies that went bankrupt, and many shell companies that were eager to sell.

"Mr. Lu?" Chen Yongren reached out his hand, his gaze sweeping over Lu Chenzhou and Wen Zhiyu, clearly taken aback.

He probably didn't expect that the person on the phone who said he wanted to buy the No. 9 brand shell company looked like a college student who had just finished class.

"Mr. Chen." Lu Chenzhou shook hands.

Chen Yongren led them into the conference room, where three thick stacks of documents, all in English, were already laid out on the table.

"Mr. Lu, this is the shell company's information. It has license number 9, obtained in 2007. It has been two years since then, with no violations or debts. The shareholder is an offshore company, and it's clean."

Lu Chenzhou opened the document and began to read it.

He wasn't reading it word by word; he was scanning it.

My gaze swept across the page like a scanner, pausing occasionally to fixate on a particular clause before continuing.

Wen Zhiyu sat next to him without looking at the contract.

She was looking at the computer.

Hong Kong stocks are still trading.

Half past ten.

China National Building Materials (CNBM) continues to fluctuate from its rebound platform of 4.60, with levels at 4.65, 4.70...

Huaxin Pacific Securities continued to fluctuate from the rebound platform at 14.20, reaching 14.30, 14.40...

Wen Zhiyu calculated that if Lu Chenzhou hadn't closed his position at 10:13, but had held it until now...

The unrealized profit from China National Building Materials' short position will shrink from 3645 million to about 3500 million.

Huaxin Taifu's short position profit will shrink from 904 million to about 850 million.

The two short positions resulted in a loss of approximately HK$200 million.

Less than half an hour had passed.

She looked up and glanced at Lu Chenzhou.

He was quietly reviewing the contract, his expression unchanged.

It was as if those two closing positions were just a small thing done on a whim.

11 o'clock.

Lu Chenzhou finished reading all the documents.

He closed the file and placed it on the table.

"Mr. Chen, how long will the property transfer take?"

Chen Yongren paused for a moment: "The normal process takes three months. But you said you want it expedited, so the fastest would be five days."

"Five days?"

"Yes, it will take five days to complete all the formalities, transfer the company to your name, and change the shareholder information on the license plate."

Lu Chenzhou nodded: "What about the cost?"

"The shell company costs HK$150 million, the expedited fee is HK$50, and the intermediary fee is HK$20, for a total of HK$220 million."

Wen Zhiyu gasped in shock.

220 million to buy a shell company.

Lu Chenzhou's expression remained unchanged.

When will the original shareholders arrive?

Chen Yongren glanced at his watch: "Two o'clock in the afternoon."

"it is good."

Lu Chenzhou picked up the pen and signed the contract.

At noon, on Wellington Street in Central, a roast meat shop.

Lu Chenzhou and Wen Zhiyu sat facing each other, with two servings of roast goose rice on the table.

The shop is small, with yellowed menus on the walls and mosaic tiles on the floor. The air is filled with the aroma of roasted meats and soy sauce.

Wen Zhiyu picked up a piece of roast goose, chewed it, and her eyes lit up: "Delicious."

Lu Chenzhou ate quietly, his movements neither fast nor slow.

Wen Zhiyu looked at him and suddenly asked, "What were you thinking when you closed your position just now?"

Lu Chenzhou finished chewing the food in his mouth and then said, "I'm thinking about the contract."

Wen Zhiyu was taken aback: "You didn't think about stocks?"

"I didn't think about it."

Why?

He picked up his teacup and took a sip: "Because everything that needed to be thought out had already been thought out before the market opened, after the market opened, there was only one thing left, and that was execution."

Wen Zhiyu stared at him for a few seconds, then lowered her head and continued eating.

2 PM, 68th floor of Central Centre.

The original shareholder arrived; he was a Hong Kong man in his fifties, wearing a grey jacket.

The lawyer has arrived as well.

Lu Chenzhou sat on one side of the long table, with another stack of documents in front of him.

This time it's not about looking, it's about signing.

He carefully read each page and then signed it.

Wen Zhiyu sat next to him, responsible for checking the page numbers and signature positions of the documents.

Her movements were swift and efficient, unlike the first time she had done this.

Chen Yongren watched from the side, unable to resist taking a few more glances at the little girl in front of him who was dressed in bulky clothes but moved nimbly.

It was already four o'clock in the afternoon when Lu Chenzhou finished signing the last document.

Chen Yongren carefully collected all the documents and put them into a brown paper bag.

"Mr. Lu, I will complete all the transfer procedures in the next five days, and the company will be transferred to your name before next Monday."

Lu Chenzhou nodded: "Thank you for your hard work."

Chen Yongren stood up and extended his hand: "It's my pleasure. I wish you all the best in Hong Kong."

Lu Chenzhou shook his hand: "Thank you."