How to become a winner in the long-term foreign investment

 CIFM fortune overseas investment manager Wang Bangqi
difficult, difficult financial security, Hunan businessman in the early twentieth century Nie head, after getting rich in the middle-aged business, declared in 1942 in Shanghai, published in to persuade the world financial donation homes, Salford rehabilitated, only believe cause and effect, then let it go open source, love cherish reported that BFI is the best way to protect the rich; books cite several examples of person who, after getting rich, not much to do charity, the family will soon decline, like the long-term development, we must learn the Song and Yuan Fan Zhongyan large Yelüehucai, donate money to build schools, to take care of the poor, so that it can be developed from generation to generation.
However, these Great good man alive, in fact, are quite poor, not only Zhongyan and Yelüehucai, even Mr. Nie family elders, Zeng Qing Daru, is to chip in a model of personality to play the funeral, they used the money to invest in virtue, God give them in exchange for the blessings from generation to generation to descendants of the family they really worth the price performance; to some extent, this approach is the It is not easy, put the resources invested in virtue and good name above, God is responsible for the return.
1100 years ago in the Yuan Dynasty, 1000 years ago in the Song dynasty, the Qing Dynasty 400 years ago, say it is too long , from the early twentieth century began to invest in what you want to invest long-term target to be able to maintain adequate purchasing power? bonds it? inflation in 1947 has long been eaten, even the base money have changed; gold? know Jinyuan Quan's History will know, 1947 to 1948 will be the Government for the period to go, Jinyuan Quan is not worthless after 1949; land and real estate it? liberation movements in all the systems made in China, paid long-term investment in real estate is very limited; stock it? Zhejiang then ran after the Revolution of the young man opened Chiang securities firms have long known that when the Chinese soldiers in the troubled than when speculators have a chance, even after 1949, he can be a marshal, if the run stocks, Compensation will not be much better than real estate.
short, half of the 20th century, rich in Greater China, often half of the very few rich people can continue to be; overseas example is the same, ABN AMRO Bank cooperation with the London School of Economics published an interesting work, called many of the poor is actually the most conservative investors like investment bonds .1900 ten thousand pounds in the year 2000 revenues of approximately £ 1,880,000, the annual income of about 5.4%, if the long-term inflation minus 4.1% average annual income is only 1.3%, this is the world's few good fortunes of the 20th century bond market, yield at least is positive; defeated if the luck went to investment in bonds, including Germany and Japan all have to bankrupt more than once, excluding the Department of copies, or negative long-term yields. In short, experience tells us that the twentieth century, long-term loan to the government, but three generations of the rich is easy.
invest in real estate, 1900, detached houses, there are still many in Europe and America in 2000 the real estate market transactions, however, the wooden house that year, after a century in which the maintenance cost is difficult to bear, unless the family is still rich as ever, or return on investment needs to be a positive or much luck; As for gold, in 1980, the Dow is still 1,000 points below the gold to trade at $ 850 probably, to 2009, the Dow Jones was still between 8000-9000 points, gold, or fail to get $ 1,000, relatively speaking , a substantial return on investment of gold is lower than the stock, wrote this, the most worthy of long-held wealth, in addition to their good fortune with virtue, is the stock.
book, for example, even the most horrific hit the 20th century stagnation-type inflation ,1922-1923 years of the Weimar inflation in Germany, the German stock market is obediently at the old German mark currency rose by 300 billion times, the stock of assets held by investors, provides the capacity; the 20th century in the United Kingdom shares yield about 10.2%, from the investment of ten thousand pounds in 1900 to 2000 was 169 million pounds of principal and other markets, including better rate of return of 8.2% in Sweden, Australia 7.6% United States 6.9 %, other Germany, Japan and France are all at 4%, and further said that almost all beat inflation; wrote here, we can say, really need to do long-term investment, the only investment vehicles may have a chance of success is stock.
the next question is, what kind of stock is worth the long-term investment? worth the long-term investors have?
the state's history, a series of Japanese Emperor Jesus Christ is the world's most qualified to talk about heritage places, But if the centralized government of view, the beginning of the second century AD, the Eastern Roman Empire to Constantinople was defeated 1453 to date, about 1200, each dynasty can really last more than 300 years have been very few; to the private sector, the world's most qualified to speak on the long-term investments are family enterprises, such enterprises in what is now France, Italy and Japan also find the longest has been passed more than 40 generations, 1400 years of history with the Islamic almost. family business and its heritage, until today, has been the main type of business survival.
While investment experts believe that American-style spread option is the holding company of the kingly, but how long the absence of professional managers controlling shareholders of the company faithful keepers, in fact, is a big challenge, until now the U.S. standard and poor, still 30% of the company is held by the family for more than 20% equity ownership control, history has proved family business enterprise to the most effective type of long-term development, including a very successful example is Sweden's Investor (Investor AB, INVEB SS) holding, business in 1846, listed in 1916, listing 93 to 2009. < br> This is not the company reputation in Asia, but it holds the largest Nordic bank SEB shares were 20.7%, 19.8% of total aerospace company Saab shares, Europe's second largest power plant a total of 7.3% stake in ABB, the world's first Three pharmaceutical Astra Zeneca shares were 3.6%, telecommunications equipment maker Ericsson (Ericsson) were 5.1% of the shares, machine tools maker Atlas of approximately 16.6% of the shares, consumer appliance maker Electrolux approximately 12.7% of the shares, Many of the core holdings of more than 50 years. In addition, they also invest in management, 2000 to sell its Volve car General Motors, has now become a drag on business of the general, IT investments have since, and medical equipment manufacturers and make new profits. can survive a long time observing their four reasons: scattered holdings investment; isolated subsidiary debt and sufficient cash to maintain the parent site; the last one is holding steady right to the family silver Investor 22% of the stock, but the design through the equity portfolio, holding 48% of the voting rights, the status of the family firm.
best investment long-term investment tool for the stock, to the operation of the oldest businesses often have a family background, Investor example then look to invest in a portfolio is best to avoid the risk of a single industry appears periodically; However, there is a problem must be clear commitment, in case heirs of the wild prodigal heir similar situation, how control? In addition, many family after the death of the previous generation, the next generation there will be fighting over the estate of the situation, so many companies on the choice of the holder of shares in trust or foundation in the name of the ownership of assets and personal isolation, in order to maintain the integrity of future assets, including Microsoft's Bill Gates, Berkshire's Warren Buffett, Hon Hai's Gou Taiwan, Hong Kong's Li Ka-shing, they suddenly all become great kindness, their stocks have suddenly become a charitable foundation assets? In fact, from the front of the Rich Act now you know, want to pass on property, do not donate that is not certain, at least God is not allowed; by way of internal trust or foundation can prevent unscrupulous child-opportunity, to guard against hostile acquisitions of foreign, like last year's example of Sun Hung Kai Properties of Hong Kong, Guo brother and two younger brother had a falling out, but the option is completely unable to be cut, and outsiders do not have any opportunity to attack. a charity coat, while holding entity of substance charitable foundations, private companies want long-term stability to become the greatest common divisor.
want Taiwan to maintain wealth? investment tool to pick stocks; want to make sure their interests and major shareholder of the same? to pick the family business; sought to determine whether the family can pass down? depends on whether there is a trust type of legal framework for the support, the last depends on whether enough good things done, God bless it be possible; to keep foreign investment having a long rise Some people think little trick worth the investment.
reasonable allocation, in recovery, see.