Volume 7 I've Been Here Chapter 0973 Future Value
After chatting for a while, it was already time for lunch. Most of the participants who had not yet arrived had already gone late at night, so the meeting was suspended and continued at six in the morning of the next day.
Rather than the speed of the meeting, it is more important to ensure that every participant attends the meeting with an absolutely clear mind. After all, inventory is not just an inventory. Future development strategies will also be discussed during the meeting.
Nan Yi was in the cafeteria of the Intelligence and Policy Committee, eating a plate of seafood fried noodles in big mouthfuls. Opposite him was Liang Huiwen, who was slowly cutting a steak.
After eating half a plate of fried noodles, Nan Yi stopped to take a sip of water and glanced at Liang Huiwen, who seemed to have no appetite.
"Tired of eating?"
“Somewhat.”
Nan Yi put down the cup and picked up a bowl of fried noodles with his fork. "It's my fault. I set the bar too high at the beginning. The conditions in the cafeteria should be changed step by step. Should all the chefs be asked to do so?"
Liang Huiwen put down his knife and fork and wiped his mouth with his napkin. "Those who can rotate have already done so many times. Changing chefs won't solve the problem. I plan to reduce the variety of ingredients in the cafeteria from next week, make it more simple, and retrain everyone's taste."
"Heh." Nan Yi laughed, "You've become a picky eater. It's going to be difficult to lower your standards."
The food in the cafeteria was so delicious that Nan Yi couldn’t stop eating. You can imagine how high the quality was.
"That has to be reduced, otherwise there will be nothing to eat."
"We can let the chefs take some time off, and let the staff of the Information and Strategy Committee take turns to cook in the cafeteria. After eating what they cook for a few days, they will miss the ready-made food made by the chefs."
Liang Huiwen's eyes lit up, "This is a good idea, we will start implementing it next week."
"Um."
Nan Yi nodded and took out his vibrating cell phone from his pocket.
"Hello, who is this?"
"Hello, Senior Brother Nan, I'm Zhao Lulu."
"Senior brother? Zhao Lulu?"
Nan Yi thought for a moment and quickly put this unfamiliar "Zhao Lulu" in the position of Li Yizheng's new student. He was just wondering why there would be a new student in May.
"Hello, classmate Zhao, what can I do for you?"
"Senior Brother Nan, Teacher Li asked you to report to school within three days. He said there is a project that he wants you to participate in." Zhao Lulu said with some different thoughts.
"Please tell the boss that I'm not in Beijing. I will rush to school the day after tomorrow morning."
"Okay, I'll pass it on."
"Thanks."
Nan Yi hung up the phone, thoughtful.
Since becoming Li Yizheng's student, Nan Yi has only been to Peking University once, to pay the 500,000 yuan research sponsorship fee. He originally planned to pay it once a year until he defended his thesis and the degree committee issued him a certificate.
Now it seems that just paying the toll is not enough, I have to do some hard labor.
The next morning came in a flash and the inventory meeting continued.
"We have very few shares left in Taylor United Gold Group and no longer have a say, but the market value of the group has increased a lot in recent years. Currently, the shares we hold are worth $3.87 billion, and last year's dividends were $86 million.
Regarding gold, Mrs. Taylor also operated a plan a few years ago. Let Mrs. Taylor tell us what the plan is. "
"OK." Scarlett's voice came from the intercom, "A few years ago, Adam suddenly told me the story of the gold mine in Kalimantan, Indonesia. In the 16th century, a Dutch missionary went to Kalimantan and discovered something strange while exploring the island. There were sparkling yellow particles in a river called Busang on the island.
The missionaries took some sand from the river and found out that the yellow particles were gold after they returned.
Through this story, Adam gave me inspiration. If a mining company announced the discovery of a large gold mine on the island of Kalimantan with a reserve of 850 tons, and if this mining company is still a mining company, then the stock price will definitely rise to a very wonderful number. "
"Canadian Bre-x?" Ma Shimin exclaimed.
"Bingo, when I asked someone to find a suitable mining company to implement this plan, I unexpectedly heard the news that Bre-x bought the mining rights in the Busang Mountains.
Scarlett Mining Group has been operating in Indonesia for many years. Not only has it purchased all the exploration reports in Indonesia, our gold exploration teams have also been exploring all over Indonesia. The Busang Mountain area is one of the areas that has been explored, and the exploration team did find gold there, but unfortunately, the gold reserves there are very small and the mining costs are very high, so it is not worth mining.
Bre-x was making a big move in an area that had no mining value. It was very obvious that they had bad intentions. Ghost's people followed them for a while, and after reading the tracking reports, I concluded that Bre-x was doing what I wanted to do.
In March 1993 , our Indonesian partners went to Busan to visit Walsh, the owner of Bre-x. After friendly negotiations, we bought 40% of Bre-x's shares at 0.2 Canadian dollars per share, spending a total of 400,000 Canadian dollars.
With the help of us and our Indonesian partners, the subsequent exploration work of Bre-x became much easier.
In May 1993, Bre-x announced that it would implement a joint venture gold exploration project in the Busang area of Kalimantan, and revealed that the company's geological exploration experts had carefully studied the data from 19 drill holes constructed by predecessors in the Busang area and believed that this was an area with great potential for gold resources, and emphasized that predecessors had not realized its potential.
At the same time, Bre-x shares were listed on the Toronto Stock Exchange at $0.45 per share, and our stake became 35%.
In December of the same year, Bre-x released its first progress report on the Busang project, disclosing the drilling results of the first three drill holes: the first two drill holes revealed gold mineralization with good continuity at depths between 84 and 140 meters; the third hole penetrated a gold ore body 80 meters thick with a gold grade of 1.91-6.58 grams per ton.
Bre-X's stock price rose again after the announcement.
In April last year, Bre-x reported results from six more recent drill holes, announcing that one hole intersected a gold mineralisation averaging 12g/t gold from surface to a depth of 26m.
The disclosure sent Bre-x shares up to C$1.50 per share.
In September of the same year, Bre-x submitted a preliminary exploration report on the Busang gold mine project, in which the estimated gold reserves were 93.3 to 186.6 tons. The stock price rose again to 2.70 Canadian dollars per share.
After the operation of Walsh, the former stockbroker, the share price of Bre-x is now close to 10 Canadian dollars, which means that my investment has increased in value by nearly 50 times. Of course, it is not the end now. According to my evaluation of the follow-up plan formulated by Walsh, the share price of Bre-x can definitely rise to more than 200 Canadian dollars. "
The "story" told by Scarlett did not move the participants in the conference room too much. The stock price rose to 200 Canadian dollars, which was just 400,000 Canadian dollars multiplied by a thousand times, a considerable multiple, but the final number was only 400 million Canadian dollars.
Although this number is not a small number, it is not enough to qualify to appear in the conference room where Nan’s highest decision-making meetings are held.
After Scarlett finished speaking, Nan Yi took over the conversation and said, "Bre-x is just a small plan that cannot be put on the table, and the benefits it can bring are also very limited. The reason why it was brought up at the meeting is because an emerging industry, the Internet, is rising.
I have always been paying close attention to the development of the Internet. The Internet has brought many benefits to Nan's. It has changed the way we communicate internally and accelerated the speed of information transmission. In terms of finance alone, it has won us a lot of time and thus obtained more benefits.
If a person's life is divided into several stages, 20-30 years old should be the struggle period, 30-40 years old is the rising period of life, family and career will reach the best state at this stage. For most people, after the age of 40, the shape of life is basically set, and it is difficult to change in a better direction.
In other words, every person and every generation has a golden period of twenty years. The current 20-year-old generation will slowly replace the 40-year-old generation. Of course, this is for ordinary people who do not have much accumulation.
A car bought in full, two or three growing children, a house that is still under mortgage, a mere one or two thousand dollars in savings in the account, and a job that is already very boring and has little room for advancement.
These are the assets accumulated by an ordinary person in 20 years. Today, as long as a 20-year-old young man is a little luckier, a game of cards, a lottery ticket, or a high-paying job are enough for him to surpass the accumulation of his predecessors in 20 years in a very short time.
For an ordinary person, their wealth life is like this, and it is difficult to weave a new script.
For an elite young person who is not ordinary, it may take only one month or one year for him to surpass the accumulation of ordinary people in twenty years. Of course, the greater the ability, the greater the ambition. The elite young person will not compare himself with ordinary people, but with the elite middle-aged people.
One day, the elite youth will replace the elite middle-aged and become the mainstay of the elite world. Maybe he will be content with the status quo, or maybe he will challenge the genius world. Ladies and gentlemen, in the existing industry, what is the possibility that an elite will successfully challenge and become the mainstay of the genius world? "
"Without inheriting the accumulation of the previous generation, the possibility of an elite entering the world of geniuses is already very small, let alone becoming a mainstay." Liang Huiwen said: "There will be such people, but the number will never be large, there will only be a few lucky ones."
Elaudot von Mackensen: “It is almost impossible in Europe and North America. The existing industries are already occupied by large conglomerates and large companies. It is difficult for an elite with little money to defeat a well-funded interest group composed of countless elites comparable to him.
There should still be opportunities in Asia, where economic development is relatively slow. There are not many large companies emerging yet, and there is still a lot of room for development in the industry.”
Ma Shimin: "There are not many opportunities left in Asia. China, which is the country most likely to produce geniuses, has gone through two rounds of reshuffles. Those who are still alive are the best among the elites. They are very close to geniuses, and it will be difficult for later elites to compete with them."
Nan Yi chuckled, "If I say that the traditional industry, or the traditional track, is opening the door to the world of geniuses to the elites, it shouldn't be wrong, right?"
"That's right."
Everyone expressed their agreement.
“It’s hard to enter the traditional track, but the elites won’t accept their fate. They will look for a new track, a track where no one is standing at the finish line ready to laugh at them, a relatively fair track where competitors are all near the starting line.
The Internet is such a new track, which is long and complicated. There are no pioneers and no experience to learn or imitate. The elites can only explore on their own. This means that this track is difficult to follow and that there are no standards.
It doesn’t matter if it’s difficult, as long as it’s fair, and as long as the ‘difficult’ is not targeted.
Without standards, there will be no giants, no suppression from above, and it also means that future Internet giants are all at the starting line.
Although Washington has been promoting the development of the Internet and has listed the establishment of an information highway as a national policy, the Internet as a new thing is not indispensable to people. If you want people to pay attention to it and use it, you need someone to advocate and promote it. "
Nan Yi spread his hands and continued, "If you need to do something, you naturally need capital. Spreading the Internet requires capital, and developing software based on the Internet also requires capital. If you want to put the software online, you need a server. The number of users that a server can accommodate is limited. If you want to accommodate more users, you need to increase investment in servers.
Based on current server costs, building a server that can accommodate a thousand people at the same time will cost no less than $100,000. One hundred thousand people would cost $10 million, not to mention the monthly fees that need to be paid to telecom operators.
It is undeniable that as technology improves, this cost will decrease, but if it is a product or service with only 100,000 users, how much revenue can it generate?
Judging from the services and charging standards provided by AOL, charging $100 per user per year is already an excessive figure, which means that 100,000 users can provide a maximum turnover of $10 million.
You can all understand that this means huge losses without me explaining much.
The most ideal situation is huge losses. If we return to reality, among 100,000 users, how many will be willing to pay?"
"Adam, are you trying to say that the Internet requires a long incubation period and will cost a lot of money?"
" Bingo is not a new thing that is in urgent need. If you want to attract people to try it, you have to start with free. Back then, the East India Company sold opium in the Qing Dynasty by offering it to Qing nobles for free. On the one hand, they promoted opium as a tonic that could strengthen male potency, and on the other hand, they waited for the other party's drug addiction to kick in.
Likewise, Internet products have to wait until users become addicted before considering charging.
At the beginning, opium was only sold by the East India Company. It was an exclusive business and did not have to worry about competition from others. The price could be set very high. But later it was not the case. In order to prevent the outflow of silver, the Qing Dynasty also planted opium itself. The price was very cheap and almost everyone could afford it.
Competition is everywhere. Pioneers have cultivated the market to a certain extent and are preparing to enter the paid stage. Latecomers will also play the free card in order to promote similar services.
Therefore, I speculate that the Internet will have a very long incubation period, and for a long time in the future, the services provided by the Internet will be free. Since it is free, where will the server fees come from? Where will the staff salaries come from? "
Ma Shimin: “Continuous financing.”
"Yes, keep raising funds, keep burning money, burn competitors to death, burn until users are willing to pay or find other profit models. For Internet companies to succeed, ideas are not important, ideas are easy to imitate, and technology is not important either, not many technologies can be monopolized, and funding is the most important." Nan Yi shrugged and spread his hands, "After going around in circles, the Internet is still our game."
Nan Yi's words made everyone smile knowingly.
"We can be confident that the Internet will be a big deal. The Internet will be like an airplane, not an electric car. Eventually people will abandon it and choose a car that can run hundreds of miles with a little fluid."
"Hahaha."
The meeting room was filled with laughter.
"Hmm, the example I gave doesn't seem to be appropriate. Electric cars are a project we have already put on the agenda." Nan Yi waved his hand and continued, "The Internet will be like all the new things before. If you want it to become popular, it will take a process, and every step in this process will require funds.
We started planning for the Internet several years ago, and the next step is to start investing in Internet companies.
Investment patience depends on the thickness of funds. We can afford to wait, but some people cannot. The process from full confidence to extreme disappointment will be very fast, maybe a week, maybe a day.
Although we can afford to wait, I am not willing to burn too much of our own money on the Internet. Therefore, no matter what the Internet will become in the future, if we need it, it will definitely act as a tulip.
Invest, wait for or push up the valuation of the companies we invest in, cash out before the bubble comes, and then wait for the Internet to enter a trough, and then we rush back to buy at the bottom.
Now, back to Bre-x, why is Bre-x's stock price going up?"
Nan Yi did not wait for others to answer, and answered his own question directly, "Because shareholders are full of expectations for the future value of Bre-x, Bre-x needs false gold mine positive information to support its future value. The same is true for the Internet, which needs to make everyone believe in its future value. Of course, it is real value, not false.
Internet investment means investing in its future value. We don’t need to worry about when the future will come. What we need to do is to summarize the future value of the Internet and then promote it so that more people will know about it.”
Scarlett laughed and said, "Adam, you are still the same bastard. This time, you will cause a group of people who think God favors them to suffer heavy losses."
"No, the ones who suffer the most are the greedy people who think that there are people who will take over."
Scarlett: "Ahaha, they've been fooled so many times that they'll learn their lesson and sell it out earlier next time."
"That's easy. Next time, we'll get the price down before they do. The next time, after they sell, we'll continue to push the price up. We'll lose some money, and that'll make them suspicious and stop trying to be smart."
Scarlett laughed and didn't respond to Nan Yi. Nan Yi was just satisfying himself, but Scarlett had many similar practical experiences. When it comes to playing with people's hearts in the financial market, Scarlett is qualified to be Nan Yi's master.
After talking about the future value of the Internet, Sandeep continued to take stock.
"The Scarlett Fund has managed $37 billion in funds, which is not as good as the Madoff Fund," Sandeep said jokingly. "Besides, the returns are not as high as the Madoff Fund. The 2% return per month is too attractive."
Nan Yi knew what the Madoff Fund was, so he would naturally pay attention to it. He remembered that when the Madoff Fund case broke out, six or seven hundred billion US dollars of funds evaporated. After deducting the interest paid to previous investors, there should be a lot left. He was very interested in knowing where the money went.
Nan Yi is paying attention to the Madoff Fund, and the people in the Information and Strategy Committee can naturally see the report on the Madoff Fund. Everyone in the Information and Strategy Committee knows that the Madoff Fund is playing the Ponzi scheme.
"Last year, Scarlett Fund earned $1.105 billion in fund management fees, $1.217 billion in investment profit margins, and $923 million in profit from its own funds.
Scarlett Investment also owns Long-Term Wealth Management, a company that is not for profit. Its mission is to transfer profits from Scarlett Investment to Adler Future.
Adler's future, Nan's future, Nan Youqiong's future, Adam II Taylor Nan's future, thank God, Adam II's leadership ability is no worse than BOSS, Nan's future is bright. "
Sandeep's words stopped here, leaving some time for everyone to digest.
Everyone in the Intelligence and Policy Committee knew that Nan Youqiong would be Nan Yi's successor and the future head of the Nan family, but Nan Yi never mentioned this matter in front of everyone at the meeting. Sandep's mentioning of it now was considered an informal briefing.
Next, Nan Youqiong will participate in some of Nan’s projects to let the people from the Intelligence and Planning Committee see whether he is capable.
Although it is natural for Nan Yi to let his son take over and no one can say a word against it, however, whether Nan Youqiong can be recognized by everyone is related to the cohesion of the Nan family. Nan Yi cannot officially announce that Nan Youqiong is the successor right away. He needs to make some announcements first and then make an announcement. Once Nan Youqiong is recognized, succession will be a natural thing.
Of course, doing so must be based on Nan Yi's absolute confidence in Nan Youqiong.
The meeting room was quiet for a while, and no one showed any intention of expressing their views or opinions. They were all smart people and could see through what had just happened. It was not the right time to express their opinions.
Besides, Nan Yi is only a few years old, and it will be a long time before he can take over.
“Pan American Investment Holdings has four subsidiaries: The Richest Man, Entrepreneurship Hero Plan, Third World, and Qiongqi. Among them, The Richest Man has become independent and is no longer a subsidiary of Pan American Investment Holdings in name.
The richest man Wei Ye has no fixed assets of his own, only investments in external companies. I will introduce some of his more successful investments.
Dell, after seven long years of continuous investment, we have invested a total of US$67 million and the shares we hold are worth US$4.3 billion. After its listing, we have cashed out US$700 million and our investment has been recovered.
Microsoft, our total investment is $170 million, accounting for 16.5% of the shares, and the current value of the shares is $6.245 billion. Microsoft is about to release Windows 95, a groundbreaking operating system. I believe that in a few months, the value of our shares will increase significantly.
Compared to these two very eye-catching investments, the others are not worth mentioning. Some of them have amazing appreciation multiples, but the absolute values are too low.
Here I would like to point out the investment case of Apple, which is a really bad investment. The total investment of 70 million US dollars has increased by less than 100 million US dollars. If this money was put in a bank in China, the interest rate would be higher. "
Hearing Sandep's complaints, Nan Yi smiled knowingly.
"The overall valuation of Shoufu Weiye is US$47.1 billion, of which US$16.485 billion belongs to us, and the cash profit is US$4.2 billion, of which US$2.4 billion belongs to us. In addition, during the dilution of Shoufu Weiye's shares, Pan American Investment Holdings cashed out a total of US$12.6 billion, which is in the account of Pan American Investment Holdings.
The Entrepreneurship Hero Program has not yet generated any revenue.
Third World. We have invested a total of US$1.5 billion in third world countries, and as of yesterday, we have recovered US$720 million of our investment. Most of the projects we hold have huge room for future growth, and we believe that we can get good returns.
Qiongqi targets capital investment companies, including Sequoia Capital, KPCB, Draper Fisher Jurvetson, IDG, Carlyle Group, Blackstone Group, Goldman Sachs, Lijiapo Direct Investment Company, Capstone UK, Permira, 3i Group, HSBC Holdings, Barclays, Close Brothers, etc.
The United States, Britain, Canada, France, Germany, Italy, Japan, Lijiaopo, Hong Kong, China, and the three Nordic countries are almost all large capitals with good performance in the world, and more than 70% of them have funds from Qiongqi.
The total investment is US$5.9 billion. Over the past three years, the average annual return rate was 10.52%, which is a good rate of return and ensures the diversification of investment channels and financial security.
The companies directly invested by Pan American Investment Corporation include Wonderful, Tesco, Cisco, Walmart, Best Buy, Starbucks, McCormick, Qualcomm, Gilead Sciences, ARM, ASML, Vestas, Dassault Systemes, SAP, CA Technologies, Symantec, FILI, Infosys, PTC, Allen Robotics, KUKA, ATI, TSMC, AMD, Intel, Delta, Lite-On Technology, Artesyn, Keyence, Yaskawa Electric, etc.
Semiconductor-related companies such as Asahi Kasei, Synthetic Rubber, Nichia Chemical, Ohara Optics, Horiba, Kobayashi Kengyo, A-one Precision, Yamazaki Mazak, Shimadzu Corporation, Shibaura, Keyence, Nagase Industry, and Sekisui Chemical.
Over the past 13 years, Pan American Investments has invested in too many companies, especially those in the semiconductor industry. The investment has been so large that Pan American Investments has earned the title of "semiconductor weathervane."
Next, I will review a few particularly successful investment cases. The first one is Wonderful, an enterprise founded by our Nan family. After more than ten years of development, the profit from selling hamburgers was limited, but it made considerable profits through real estate investment.
In particular, the two purchases and one sale of Times Square earned US$1.18 billion. We are very grateful to the Japanese real estate developers for their contribution to Nan.
The properties held by Wonderful Real Estate Management Company not only have a growing market value every year, but also contribute nearly $300 million in rental fees each year.
The connection between Wonderfood and Wonderfood Real Estate Management Company has been clearly severed. Wonderfood will soon enter the IPO process. I believe it will have a good market value after listing, and Pan American Investment, which holds a 15% stake, will also have good returns.
Cisco, our total investment is $37.8 million, and our shares are now worth $5.625 billion. This company has huge development potential, and perhaps one day our shares will be worth 10 times more. "
Nan Yi just wanted to say that Sandep was too timid and did not dare to guess too high. But he remembered that Cisco's market value had reached a peak of hundreds of billions of dollars. He forgot the exact number, but it should be around 4, 5, 6 or other numbers close to the median.
While watching Cisco's stock price rise, Pan American Holdings slowly cashed out. The value of the shares in its hands is very likely to be close to US$200 billion, so cashing out US$50 billion should not be a problem.
There is no point in holding too many shares of a company that will reach its peak and then slowly decline. It is better to cash out most of it before the peak arrives and keep a small portion.
“As for Wal-Mart, it’s a pity that in 1992, when its market value reached $73.5 billion, we only cashed out 2.5% of the shares. Now Wal-Mart’s market value is only $59.3 billion, and the 5.5% shares we hold are worth $3.2615 billion.
The valuation of Pan American Investment is over 100 billion US dollars. It is the first company of our Nan Group with a valuation of over 100 billion US dollars, and it is also the only one for the time being. The Nan Group has 47.52 billion US dollars. In addition, there is 23.7153 billion US dollars in liquid funds in the account. Damn the US Internal Revenue Service, vampire, there are too many taxes to pay.
Boss, we need to spend at least half of the funds as soon as possible, otherwise the IRS will benefit from it.”
Nan Yi nodded and said with a smile: "Rachel, congratulations, although your shares are only 1.25‰, you will be admitted into the billionaire club."
When Rachel first became the president of Pan American Investment Holdings, her shares were only 0.25‰. Over the past ten years, it has increased by 1‰, and these resolutions were collectively passed by all shareholders time and time again. It can be imagined how much Rachel is recognized by the shareholders.
Rachel: "Thank you, Boss."
"You're welcome. I'll be submitting my business plan to Pan American Controls soon. I hope you won't hold me back."
It is time for Yiwan International to rush out to the world and accomplish what Nan Yi wanted to do in the silk industry. However, it is not enough to make a splash in the international arena relying solely on the profits gained in recent years. Financing is the only way forward.
"Boss, I will do my job impartially."
"That's enough. The company that wants to raise funds is a high-quality company with good profitability, and the risk control department will definitely give it a good score."
Nan Yi smiled happily, signaled to everyone that today's meeting was over, then packed up his things and walked out of the meeting room.
It’s almost time for lunch again and the meeting will continue tomorrow.
Nan Yi didn't plan to eat in the Intelligence Committee cafeteria today. He went straight downstairs and got into the car after leaving the meeting room.
Sit down and start to think.
Nan Yi plans to withdraw US$5 billion from Pan American Investment Holdings and invest it in China through Green Core Development. How to explain this to shareholders and where the money will go need to be carefully considered, as it is necessary to support domestic industrial development while ensuring returns.
If you don't run the business yourself, it's really difficult to invest the money. Not only do you have to consider the national support for the industry, but you also have to examine the actual situation of the company, the character and ability of the manager, and who should be sent to supervise the subsequent funds. All the tedious things need to be considered clearly.
If he closed his eyes and threw the ball, Nan Yi would end up in a difficult situation.
