Chairman of Haibaoquan Investment Co., Ltd. A legend in the futures circle, he has been profitable for 22 consecutive years, with a very high winning rate in transactions and has never had a position blown up.
As the first generation of red vests in the domestic futures market, he is extremely sensitive to price fluctuations. He once shorted LME copper futures at a high level above US$10,000, and also went long when the yen fell to 80. His investment style is a combination of short-term, medium- and long-term, and arbitrage models.
●Started to participate in foreign exchange transactions in 1994;
●Since 2009, it has mainly shifted to the global market, focusing on foreign exchange, futures and oil trading;
●On January 23, 2015, "Baofeng Asset Management Plan No. 1" was established. The product scale is 364 million, and the cumulative return as of August 7, 2015 is 19.1%;
●Baofeng Asset Management Plan No. 2 was established on February 27, 2015. The product scale is 138.9 million, and the cumulative return is 15.3% as of August 7, 2015; "Baofeng Asset Management Plan No. 3" has been successfully raised, with an initial scale of 155.1 million.
In the 1990s, Wang Baofeng gave up his job in a state-owned enterprise, which was known as an "iron rice bowl" at the time, and entered the immature futures market. However, as a freedom-loving person, he ended his "red vest" job after six months and started trading on his own. More than ten years of work as an on-site trader had a great impact on Wang Baofeng's investment career, making him sensitive to price fluctuations. As a daring and adventurous person, he was always frivolous in his youth and boldly reached out to unfamiliar products. He soon encountered setbacks, but thanks to his good talent and high comprehension, he began to act carefully after that. Fortunately, he was inspired and established the concept of stop loss and fund management.
In the traditional concept of many people, taking shortcuts is a derogatory term. Most education tells us not to take shortcuts. However, Wang Baofeng does not follow the beaten path. His natural character is not very receptive to traditional things. He has been interested in speculation since he was a child. He believes that one can speculate without talent, and the ability to speculate can be cultivated. As he said, when trading, he often intervenes from another aspect. For example, Wang Baofeng said that if he wanted to compete with Liu Xiang in running or Yao Ming in basketball, he knew he would definitely not win, so he might compete with them in swimming, because they might not be better at swimming than him. If they were also good at swimming, then he would always be better than them in one aspect in bridge. This is doing things from another side. At the same time, this is also a shortcut allowed by the rules, not dishonesty.
Wang Baofeng has his own strict plan when doing transactions. He believes that "God rewards hard work". He emphasizes concentration and hard work, which are fully reflected in himself. When he was a "red vest" in the market, he would write down some things he would do today, including his positions, on some colorful sticky notes when he left the market every day. If he made a wrong position, which ones must be cut, which ones may be closed at what price, and major reminders would be written on them. His own positions were also written clearly, and he would check them during the trading session.
Gradually, Wang Baofeng formed a habit of writing a trading log every day, and he never stopped for more than 20 years. If something happened that required him to work until two in the morning, he would get up at five o'clock and fill in the previous day's trading log, such as the positions and capital status of each account. Although he had a very good memory, he would still write down many things, whether in a notebook, computer, or mobile phone's memo. In this way, he had a lot of records that could be verified.
Because of this, Wang Baofeng would do a ten to fifteen minute analysis, summary and recall every day when he got home. He believed that planning for the next day before going to bed was essential.
If you do it domestically,
Wang Baofeng will make an adjustment or re-plan his plan at around 8:40, and will make another plan and adjustment during the trading session.
After the market closed at three o'clock, he began to make an outline of a plan.
Wait until eight or nine o'clock in the evening to make another adjustment to the plan. I do this every day.
At the weekend, Wang Baofeng would write down all his trading plans in full.
He gets up at five in the morning and finishes his work until seven or eight o'clock. Sometimes he has an interview or needs to wait for others, or other times, so he will make an adjustment during this period.
As Wang Baofeng said, if he might meet something in the next week, open an account, or have some family chores, he would write it down, and this habit has continued to this day. It is precisely because of this that Wang Baofeng rarely uses other people's technical analysis, but uses the technical applications he has summarized, coupled with his extraordinary memory, to be able to recount the daily highs and lows, the high and low price ratios of a week or even a month, the highest and lowest, the intraday trend, and the approximate position of the five-day line, or the position of the three-day line, the absolute retracement and other data.
However, unlike his way of dealing with things in the futures market, Wang Baofeng is a casual person without plans in his daily life. He likes freedom, yearns for a simple life, chooses to go with the flow, and is a person who wanders between heaven and earth. In addition to trading, his favorite thing is traveling. He never cares about the destination, but the scenery along the way. He can fly from London to Paris in one day, and then drive all the way to Switzerland. Over the years, his footprints have spread all over the world. This is inseparable from his ultimate financial freedom achieved in the futures market.
However, although Wang Baofeng loves freedom and traveling as he pleases, he never forgets his trading plan. When he thinks of important things or new ideas during the trip, he will still take out the notebook he carries with him and write them down. As he himself said: "There is no conflict between seeing the scenery and thinking about the price. Traveling and trading can complement each other."
Every time when he travels, he will find a place to sit down and think quietly when he encounters a good view, so that his thoughts will become clearer. And for Wang Baofeng, another benefit of traveling is that it not only allows him to experience the culture of Europe, the modernization of the United States, the natural simplicity of New Zealand and other national characteristics, but also opens his investment horizons and urges himself to learn new knowledge and understand the capital markets and trading concepts of other countries. For example, Wang Baofeng and his son once attended a farewell party for a professor at Oxford University funded by Kodak in Oxford. That night, except for the father and son, everyone else was a very high-level professor. When talking about Wang Baofeng's profession, these professors seemed to discriminate against him, thinking that such a profession is not good for social progress. But in China, people think that the more money they make, the more they admire each other, and they will not say how it contributes to social progress. This is the difference in concepts caused by the difference between Chinese culture and foreign culture.
In addition to traveling and trading, Wang Baofeng is also running a charity fund called "Zhima Kaihua Holistic Education Fund".
He mentioned two points about the charitable foundation:
First, change the domestic charity model, because now in China, when we talk about charity, we mean going somewhere to donate money. We can imitate the Yale model and donate money to Yale, hand it over to professional managers, and use the income to do something. However, this first requires donating capital and using this capital to make money. 5%-10% of it can be taken back as annual financial returns, and the remaining income can be used to provide educational funding through selection. It cannot be just the poor, because it is not enough to just feed people. We can also choose some excellent people with good character. Moreover, for such a model, the money spent is not considered donated, but only the principal is taken out, and income can be obtained every year.
Second, Wang Baofeng hopes that this kind of relative charity can be combined with the next generation, because many people now have good family conditions, but fail in the education of their children. They only think about passing money to the next generation, but ignore the cultivation of their independent ability, especially the culture or ideas are not particularly strong. If this is the case, the nation will collapse.
Wang Baofeng said: "The purpose of establishing this fund is to try to follow the Western model in selecting recipients and schools, so that the next generation can continue to provide funding, or even build a university." This is a lofty ideal of Wang Baofeng.