Dong Qiangqiang's Story of Leaving Germany

Hearing the whirring sound of wind coming from the receiver of his mobile phone, Dong Qiangqiang knew that Duanmuren had arrived outdoors.

"Speak again slowly." Duanmu held the cigarette in his mouth and took out the newly purchased windproof lighter. He protected the outside of the lighter with his left hand. The blue flame instantly ignited the life of the cigarette.

"We bought a few bullish options by the public by mistake," Dong Qiangqiang said frustratedly, "because I made a stupid mistake."

"What mistake?" Duanmu was confused, "When was it discovered?"

"I just read the reports you sent me, and one of them mentioned the preferred shares of SAP in Germany. I suddenly remembered that Volkswagen also has preferred shares and ordinary shares. The one I screened out before and you have bought Although the 10 long options are all public (long options), only 6 of them (options) are anchored to preferred stocks, and the remaining 4 are anchored to common stocks. This is a very low-level mistake. It’s my fault that I didn’t carefully check which Volkswagen stock the option corresponds to after I selected it. I’m sorry for you, Duanmu.”

"Don't be too busy apologizing. German listed companies have always had a tradition of concurrently holding preferred shares and common shares, so is there any problem with this?" After listening to Dong Qiangqiang's explanation, Duanmu did not show any anxiety or panic, which made Dong Qiangqiang immediately Realizing that the other person didn't understand what he was saying.

“Preferred stocks have no voting rights but pay high dividends, and are mainly aimed at financial investors, while common stocks with voting rights pay less dividends, so the stock price of common stocks has always been higher than that of preferred stocks.”

Duanmu understood after this explanation: "So what you mean is that if the public has only one stock price like the Munich Re we bought before, when the option expires, we only need to look at its only price, but now ( The corresponding long options of public) preferred stocks and common stocks have respective exercise prices, so we have to predict the price direction of the two stocks. "

"Volkswagen now has two stock prices and there is a price difference between the two stock prices. Then four situations may occur after the option expires: First, both the preferred stocks and common stocks rise sharply. There is nothing to say about this. The second is that the preferred stocks Both stocks and common stocks have fallen. This means that we are completely in the wrong direction. Part of the option will make money, but the part of the common stock option will lose money. The last one is that the stock price of the preferred stock falls but the stock price of the common stock remains unchanged or rises. In this case, we make money with the common stock option but lose money with the preferred stock option. What I mean when I say we bought wrong is that our original intention was to buy long options anchoring preferred stocks because the preferred stock prices were lower, but now we are holding 4 options anchoring common stocks, so we have to consider ordinary stocks. The possibility of the stock falling in the future, even if the common stock falls to the price of the preferred stock, will bring us considerable losses. "

Although the words were convoluted, Dong Qiangqiang felt that he had made it clear.

"Well, I understand." To Dong Qiangqiang's expectation, Duanmu did not fall into the accusations and complaints against him. "I don't blame you for this. You are responsible for the screening. I am the one who completed the transaction in the end, so I am responsible for the results. . Besides, now is not the time for review. Is there any way you can clear out those 4 long options?”

"Although American options can be delivered at any time, they must meet the exercise conditions. The exercise conditions stipulate the exercise price, that is, how high the common stock must rise before the long option is allowed to be sold, so for the time being we are still Can't move."

"Then when the common stocks rise, won't we have no risk and start making money? Then what the hell am I doing?" Duanmu continued to ask after scolding, "You just said that there was a report mentioning Aisip's preferred shares, right? "

"Correct."

"Did it mention whether it was more preferred shares or more common shares?"

"I've read it several times, but it really doesn't mention strategies. I think you can try using Chaichan's stock selection system to screen past analysts' articles to see if there are any mentions of this kind of thing. I don't have access to the Internet at home."

"I'm really not telling you. It's too much trouble for you to not be able to access the Internet at home. You have a salary now. With the price level of the city where you live, it shouldn't be difficult for your salary to afford a house with internet, right? The worst thing is the room. It's a little small, but having an internet connection is still convenient after all." Dong Qiangqiang didn't expect Duanmu to start complaining at this time, and could only smile bitterly. Living here has pros and cons for him. It's really inconvenient not to have an internet connection, but other than that, everything is fine. Not to mention anything else, every morning when he opened the curtains he could see the high-spirited and lively courtyard. It made him feel in good spirits when he got up, and he could devote himself to the day's study and fighting in a more energetic state. He was happier than before when he stayed in the building in Hannover. too much.

"What if, I mean what if Ai Si Pu Na doesn't find the answer in the end, what else do you think you can do besides waiting?" Duanmu asked.

"We are optimistic about the development of Volkswagen in the past two years, but the current price of common stocks is not low. If common stocks continue to rise in the future, preferred stocks will only rise more. However, if there are temporary fluctuations or adjustments in the stock price, and short-term declines, Then common stocks should fall more than preferred stocks. Looking at it this way, the reasonable arbitrage method seems to be to buy more preferred stocks. As for whether to short common stocks at the same time, we have both now, so we might as well wait and see. Change, sell one at maturity, the saying goes that it is better to be still than to move, after all, fewer transactions mean fewer mistakes. "

"What you said before makes some sense, but what you said later is completely out of control. What a big deal." Duanmu criticized, "Didn't you just buy 4 more options? It's just a small amount of money. What if everything goes up this time?" What if something like this happens again in the future? I won’t be able to just wait.”

The four options were bought for a few hundred thousand euros, which was by no means the small amount of money Duanmu said. However, Dong Qiangqiang could only think about this and could not really criticize Duanmu. Both of them originally had full confidence in the public, but the unexpected incident made both laymen a little nervous. Listening to the tone of Duanmu's words, Dong Qiangqiang guessed that he must have had an idea. After all, there was still more than 4 million euros in Chanchan's account. That was Sergeyla and Anderson's investment money. The two of them took it for a long time without daring to touch it. , agreed to keep it for buying stocks, Dong Qiangqiang thought to himself: Could it be that Duanmu is starting to use this money?

"This is what I think. If you buy public preference shares and more bullish options now, you can wait for the dividends. Last year's annual report should be out around the middle of the year. For bullish options, you can choose several stocks with lower exercise prices and The product cycle should be as long as possible and the overall process should be more decentralized. What do you think?”

Dong Qiangqiang worried: "Then how much do you plan to spend? Even if you buy the same thing, the investment amount of hundreds of thousands of euros and millions of euros feels different. I suspect that their investment logic is also different."

"I haven't thought about it," Duanmu admitted. "I'll first check if there are any similar investment strategies in Aisip. If I can't find it, I'll tell you. Don't worry, I'll talk to you before buying."

Dong Qiangqiang knew very well that the person who made the final decision was under great pressure. Duanmu seemed radical but was actually cautious. In addition, if he reinvested, the money of those two people would definitely be used, so Duanmu would not really care.

Another week passed quickly. Reading, studying reports and coordinating projects took up a lot of his time. His days were busy and full, and his sleep time was getting less and less. But strangely, he became more energetic, even he I feel strange.

Zheng Chunhua lived up to expectations and won more events, including Tai Chi and Mantis Boxing provided by the University of Applied Sciences in Trier. Because the two universities are close to each other, the performers quickly arrived on site to complete the first rehearsal.

The rehearsal project of the cheongsam show encountered many difficulties. Since the dressing room was in the bathroom of the teaching building, it was almost impossible for a model to complete three or four sets of cheongsam changes in a short period of time. The dressing time seriously exceeded the time limit. Subsequent models and music could not be perfectly connected, the rehearsal scene was disorderly, and the speakers also had problems. The first rehearsal failed, and the only person who gained something on the scene was Dong Qiangqiang, who was taking pictures everywhere with a high-end camera.

People from the Saarbrücken Conservatory of Music came to the University of Trier for an on-site visit. By chance, Zheng Chunhua went to watch a lion dance out of town. Fang Shuang and Dong Qiangqiang received each other and tried their best to satisfy each other's requests. People from the Conservatory of Music showed the two pipa and guzheng performance videos and promised to rehearse one day in advance. At the same time, they repeatedly emphasized that the Trier Students' Union did not need to bear any expenses for them. Dong Qiangqiang was so moved that he didn't know what to say.

The professor of the Department of Sinology agreed to give a one-hour lecture on the last day of China Week, but he did not have time to rehearse. Feng Chong also hoped to give a one-hour lecture, but he could give it to Zheng Chunhua and other people in the preparatory team as a trial lecture. He only asked Dong Qiangqiang to recuse himself. Zheng Chunhua felt confused and asked Dong Qiangqiang what the conflict was between the two. Dong Qiangqiang explained it vaguely.

The students from Hanover sent Dong Qiangqiang a video of their performance and also saw the photos of the venue that Dong Qiangqiang sent. The two parties agreed to rehearse on the last day of April.

Good news spread all of a sudden, the curtain of China Week was slowly raised, and the preparations entered into a countdown in full swing. (End of chapter)