Key points

● Rogers insists on a global investment trip and travels around the world many times to gain an in-depth understanding of investment opportunities in various countries.

One of the investment secrets of ● Rogers is to never lose money, do what you are familiar with, and wait until you find a great opportunity.

● Rogers is firmly optimistic about China's development in the 21st century, and continues to buy Chinese assets for a long time, obtaining a huge return on investment.

Jim Rogers, known as the "global investment master", worked with Soros to build Quantum Fund into a world-famous hedge fund early in his career. Since 1980, Rogers, who left Quantum Fund, began his original global investment journey, from Portugal, Austria and Germany to Singapore and Brazil. Rogers gave full play to the investment concept of "betting on one country is all bets".

In recent years, Rogers is firmly and continues to be optimistic about China's development, investing heavily in Chinese assets. With the continuous growth of China's financial market, Rogers has achieved an excellent return on investment.

Investment rule

Rogers seldom teaches his investment theory at great length in his investment career, but often uses concise investment philosophy to warn people around him to cultivate the ability to think independently and to do things they are familiar with. wait patiently until you find a great opportunity to invest.

At present, the investment community has summed up seven investment rules based on the investment experience of Master Rogers:

The first point is diligence.

"I don't think I'm smart, but I do work very, very hard," Rogers said. If you can work very hard and love your work very much, you have the possibility of success.

Second, think independently.

"I always find it useful to study hard," Rogers said. I find it easy and profitable if I only do what I understand, rather than asking others to tell me what to do.

Rogers has said that there is nothing remarkable about the securities analysts on Wall Street, who follow the crowd, when in fact no one can make a fortune by following the crowd.

"I can assure you that the market is always wrong," Rogers said. We must think independently and put aside the herd mentality.

Third, don't go to business school.

"learn more about history and philosophy," Rogers said. "anything is better than going to business school, even as a waiter and traveling to the far East."

When Rogers teaches at the Columbia School of Economics, he always tells students that they should not come to the school of economics, which is a waste of time, because it costs about $100000, taking into account the opportunity cost. It's better to invest in business than to go to school. Although it is possible to make or lose money, there is more to be learned than sitting in a classroom for two or three years and listening to "senior professors" who have never done business talk about it.

Fourth, the rule of never losing money.

"Don't do anything unless you really know what you're doing," Rogers said. If you make 50% profit on investment in two years, but lose 50% in the third year, you might as well put your money into the government bond market. You should wait patiently for the right time, make money and take profits, and then wait for the next opportunity. Only in this way can you beat others. "

Rogers says the advice to investors is--Never lose money, do what you are familiar with, and wait until you find a great opportunity to invest your money..

Fifth, the law of value investment.

Rogers believes that if investors buy because the goods have real value, even if the timing is wrong, they will not suffer significant losses.

Rogers said: "in normal time, it is best to sit still, buy as little as possible, and always patiently wait for investment opportunities to come."

Rogers insists that he is not a speculator, but an opportunist. Wait for the opportunity to arise and attack with full confidence.

Sixth, wait for the emergence of catalytic factors.

Rogers believes that market movements often show a long period of depression. In order to avoid plunging money into a stagnant market, investors should insist on waiting for the emergence of catalytic factors that can change the direction of the market before making decisions.

Seventh, be quiet as a virgin rule.

"one of the rules of investing is to do nothing unless something big happens," Rogers said.

Rogers says most investors like to go in and out and find something to do. They may say, "look how smart I am and make three times as much money," and then they go to do something else, but they just can't sit down and wait for the trend to develop naturally.

Rogers dismisses the idea of "try your luck", which he believes is actually a desperate way for investors to lose their money.

Rogers said that some people who suffered losses in the stock market would say, "if I lose a lot of money, I must try to earn it back." In fact, the more you encounter this situation, the more you should calm down and wait until something new happens in the market before taking action.

Case study

The key to Rogers' success lies in his original investment method-targeting the whole country. In the process of global travel investment, Rogers analyzed various countries by means of investigation and tourism, relying on his profound knowledge of history, politics, philosophy and economics. judge the macro fundamentals of these countries as well as the investment risks and opportunities of the stock industry. Once he thinks a country or region has a future, Rogers invests heavily in that country's assets.

The Austrian and Chinese markets are Rogers' two most classic investments.

Father of Austrian stock market

In 1984, Rogers learned that Austria's stock market was so depressed that trading volume was only half what it was 20 years ago, when many European countries were stimulating their capital markets by stimulating investment. Rogers believes that the Austrian government is preparing to do the same.

Rogers first went to the New York branch of Austria's largest bank and asked how to invest in Austrian stocks, only to get a "We don't have a stock market." Subsequently, Rogers personally went to Austria for an inspection and learned in government agencies that there were no political factions or interest groups opposing foreign investment or opening up the stock market.

In contact with Austrian government officials in charge of the stock market, Rogers learned that the government has understood the importance of capital markets and that there may be policies to encourage people to invest in the stock market.

Rogers realized that this was a huge opportunity. If you have confidence in a country, you should buy all the decent stocks on the stock market. Through detailed investigation, Rogers spent a lot of money on a large number of high-quality companies in Austria, including a home decoration company, some financial and industrial companies, banks, as well as other construction companies and a large machinery company.

Rogers' action attracted the attention of many investors, and the Austrian stock market became active again. By the time Rogers sold his Austrian shares in 1987, the Austrian stock market as a whole had risen four or five times higher than in 1984.

The 21st century belongs to China.

Rogers, who visited China in 1984, has an unusual enthusiasm for investing in Chinese assets. He claims to have missed two opportunities in 1978 and 1992, but since 1999, Rogers has continued to buy Chinese assets on a large scale in 1999, 2005, 2008 and 2013, and says he has not sold any Chinese stocks so far. Rogers has told people around him countless times that the 21st century belongs to China.

When Rogers went to China for the second time in 1999, he made a special trip to Shanghai to open a Chinese B-share account. Since 2005, Rogers has bought a large number of B-shares and H-shares (Hong Kong shares), while also continuing to buy Chinese concept stocks in the Singapore market and the US market. In the year before the 2008 financial crisis, Rogers decisively made the decision to short Fannie Mae and other American stocks, even sold the mansion that had lived in New York for more than 30 years, and the whole family moved to Singapore, not only to enable the two young daughters to grow up in a Chinese environment, but also to get closer to the Chinese investment market.

Rogers said frankly that the direction of investment in China is to firmly follow the policy. If the Chinese government is willing to focus on investing in some areas, it means that buying shares in these areas can help investors succeed. Since 2013, Rogers has increased investment in China's agriculture, railways, health care, financial services and other areas; in 2017, Rogers said that investment in China's education has already begun; in 2021, Rogers expressed interest in tourism, entertainment, transportation and other industries affected by the epidemic, while saying that the focus of future investment is still optimistic about the prospects of China's agriculture and new rural construction.

Classic quotation

1. It's easy to sell low and buy high, but the key is to know when it's low and when it's high.

two。 If everyone thinks in one way, it is probably wrong. If you can find out that it is wrong, you are likely to make a lot of money.

3. I cannot invest in the world as I wish. I must invest in the world in its own way.

4. It's almost hard to make money when you follow someone else's ass.

5. Bull markets always end in frenzied hype, bear markets always end in panic selling.

6. If you want to make a lot of money, don't diversify.

7. If someone laughs at your idea, take it as a sign of your success.

8. The low point of the stock market does not occur in a four-year cycle, it often occurs in a 10-year or 15-year cycle.

9. Smart people in 1807 will choose to live in London, smart people in 1907 will choose to live in New York, and smart people in 2007 will move their families to Asia.

10. The inside information from the president may cost you half of your investment; the inside information from the chairman will cost you all your money.

Conclusion

In 2022, Rogers, who is nearly 80 years old, is still active on the world investment stage, and his every move will still attract the attention of investors all over the world. According to media reports, Rogers believes that most countries in the world will face serious economic difficulties in 2023 and will experience a recession that will last for several years.

Rogers believes that a recession in the US economy is inevitable. The only way out now is to admit your mistakes and accept the pain. Survive the recession and start all over again.

And this is the essence of Rogers' great investment career--Always wait patiently for investment opportunities to come.