The most outrageous news I heard today is that Mei Xiangrong, the founder of Yingke Law Firm, is suspected of illegal fundraising, has run out of funds, and has voluntarily surrendered himself to the authorities. Yingke has also severed ties with him, stating that he has resigned from all positions.
I saw the information circulating online: one-year investment returns are 5.5-8.5%, and three-year returns are 20.5-29.5%, with higher returns for larger investments. The entry threshold is low; even small investments of 100,000 or 200,000 yuan are possible. This interest rate is certainly much higher than bank wealth management products, but it's very low for private lending. The reason it's so low is because Mei Xiangrong used the name of Yingke Law Firm as a guarantee. People believed him when they saw his status as a co-founder, thinking they were investing in Yingke Law Firm, and thus eagerly subscribed.
In fact, these financings had nothing to do with Yingke. They were all invested by companies established by Mei Xiangrong's family. Rumors circulated that he invested a huge sum in a new energy company, which was poorly managed and faced a cash crunch. As a result, he was forced to resort to private financing to repay old debts, and recently he finally couldn't hold on any longer.
How much was raised? According to information from an insider at Yingke cited by 21st Century Business Herald, it was 1 billion yuan.
Given Mei Xiangrong's industry background, I conservatively estimate he has at least several hundred million yuan in wealth. So I guess this is a story of a billionaire who wanted to earn billions or even tens of billions, only to have his leveraged portfolio wiped out. If he had succeeded, he probably would have been close to making it into the Forbes China Top 500.
I suspect many netizens will be puzzled by this: why would someone who's already so wealthy risk using leverage? I think the main reason is that many successful people haven't encountered major setbacks in their careers; their path to success has been relatively smooth, leading to a relaxation of risk control. Furthermore, as they rise in social class, their social circles also expand, and the resulting comparisons and competition can lead to dissatisfaction with the status quo.
Even the incredibly wealthy Jia Yueting, Wang Jianlin, and Xu Jiayin used massive leverage, or conversely, they wouldn't have made so much money without it. People who can proactively apply the brakes during an upward trend without hitting a wall are extremely rare.
Of course, don't think that stepping on the brakes is a high-level skill. Most mediocre people step on the brakes frequently before they've even risen much. They may be safe, but they've also destroyed all the possibilities in their lives.
Today, the A-share market saw a turnover of 2.44 trillion yuan, with the median market decline of 1.04%. It was another day of gradual decline, and the previous tech sector cooled down across the board. Although the lobster AI craze is still spreading in society, the sentiment in the capital market has temporarily subsided.
Today's price increases were almost entirely driven by traditional industries, such as coal, oil, electricity, gas, steel, and chemicals. This is undoubtedly stimulated by the situation in Iran. Over the past 24 hours, the US and Israel continued bombing Iran. Trump stated that all the targets that could be attacked (nearly 6,000) have been bombed, leaving little to attack. However, the Iranian regime has not been defeated. They not only maintain control over the domestic social situation but also retain a certain level of military production capacity to sustain an asymmetric counterattack.
For example, they launch missile attacks on Israeli and US bases every few days, which the US cannot intercept entirely. Another tactic is the continued blockade of the Strait of Hormuz, laying mines, and launching suicide drones. This strategy, which caused the US military considerable trouble in the past, is still effective when used by Iran.
Iran launched frequent attacks on oil tankers in the Gulf region today, and also sent drones to bomb fuel storage tanks at the port of Salalah, causing the port to shut down. This incident spurred a rise in oil prices today. I looked up the location of the port of Salalah on a map, and it was quite surprising. It's located in southern Oman, thousands of kilometers from Iran. It's an important alternative logistics hub after the Strait of Hormuz was blocked, and the shutdown further squeezes the space for detours in the global supply chain.
Drones are indeed powerful, reshaping the landscape of modern warfare. Their biggest advantage is their low cost, enabling low-cost saturation attacks; they are invaluable for killing, arson, and destruction. The US military's defense system is still based on outdated thinking, with high costs for single interceptions, making it unsuitable for swarm tactics.
Brent crude oil has recently risen back to $100. Even the IEA's announcement last night of releasing 300-400 million barrels of reserves couldn't suppress oil prices. When oil prices rise, the A-share market suffers, and the technology sector will likely see a correction.
Iran announced a ceasefire with three conditions: 1) recognition of Iran's legitimate rights (such as retaining its nuclear capabilities? lifting all sanctions?), 2) reparations from the United States and Israel for war losses, and 3) a firm guarantee from the international community to prevent future acts of aggression.
This is using oil prices to pressure the US and Israel into surrendering. These unrealistic conditions are primarily a show of strength, not a genuine desire to negotiate. On-chain casinos have significantly lowered their expectations for the ceasefire's duration; the latest probability of it ending before March 31st is only 25%, and less than 50% by the end of April. The whole world will have to pay the price; they'll have to bear it.
1. Hong Kong's Independent Commission Against Corruption (ICAC) uncovered an insider trading case involving two Chinese securities firms (ZX and GTJA) and a hedge fund, arresting six men and two women aged between 35 and 60. The main details of the case involve a HK$4 million bribe from the hedge fund to obtain information about an upcoming share placement by a listed company. The hedge fund then opened short positions in advance, profiting HK$315 million after the information was released.
Hong Kong regulators started with unusual transactions, tracing the leads up the chain of command until all those involved were apprehended. HK$4 million isn't a huge sum for these professionals, yet they sold their careers for it—their moral character is truly appalling.
2. Interestingly, BlackRock has invested $100 million in training electricians and other skilled workers, and it's projected that the US will need over 300,000 new electricians over the next 10 years to meet the demands of AI development. China likely has similar job demands, perhaps even greater. University graduates without high-level professional skills may find themselves less sought after in the job market than skilled workers. Don't assume manual labor jobs are inferior; skilled workers have a strong market in developed countries.
3. Hong Kong media reports that Hong Kong will issue three stablecoin licenses soon, estimated to be issued by HSBC, Standard Chartered, and Bank of China (Hong Kong). However, speculating on stablecoin concept stocks in the A-share market carries the risk of a sudden halt in activity. A year ago, the government might have been hesitant, but since the fourth quarter of last year, it has been determined to ban them, with only limited implementation in Hong Kong.
4. After taking office, Haftar finally spoke out, stating that he would not give up revenge against the United States and Israel, and would maintain the closure of the Strait of Hormuz. Previously, some international media suspected that he might be dead or seriously injured, but this statement at least proves that he can perform his duties normally and that he has fought in this war.
Original Article: View Chinese Version
