Oma of the Kingdom Holding Company was very interested in Su Yehao's proposal.

However, as a senior executive, Mr. Oma didn't actually have much say. He had to discuss it with their chairman before making a decision.

Su Yehao couldn't possibly wait foolishly in San Francisco. He handed the matter over to Vice President Lin Youfeng of Koko Venture Capital to follow up, stayed in Silicon Valley for another day, and then took a plane back to Hong Kong.

According to his idea.

Even if a fund management company was really established in the Middle East, it would only be operated independently of 5S Asset Management, just like in Japan, and would have almost nothing to do with 5S Asset Management.

An initial start-up capital of several tens of millions of dollars would be enough, and the rest would depend on its own future development.

There were countless talents in financial asset management, and it was especially easy to build a platform, so there was basically no need to worry about it. Anyway, whether it was driving one sheep or a flock of sheep, it was all the same.

There were many investment opportunities all over the world, and Su Yehao could just cash out the projects he didn't like through the asset management company, so as not to waste his own advantages.

The mainland had strict controls on finance, while the Japanese business, which was temporarily managed by Kinjo Kenjin, launched a fund for overseas markets from the very beginning and also formulated a profit-sharing agreement.

It stipulated that closed-end private equity funds would not be charged management fees if the annualized rate of return was within 6%, and the excess would be divided between investors and the asset management company at a ratio of 60/40.

This meant that if a customer invested $100,000 and it turned into $150,000 within a closed year, Su Yehao's asset management company would, according to the agreement, take away $17,600.

Ordinary private equity funds, on the other hand, charged a fixed annual management fee of 1.5% to 2.5% from the principal and income, regardless of profit or loss.

While the fixed management fee seemed more cost-effective, users preferred to choose profit-sharing products. After all, a portion would only be extracted from the profits if enough profit was earned, otherwise, it would almost be equivalent to zero management fees.

This not only avoided customers spending money unnecessarily but also demonstrated the strong confidence of the asset management side. If the strength was not enough, even if it ultimately helped customers earn 6% profit, it would mean no return at all, and they would be working for investors for nothing.

After Kinjo Kenjin had the platform built by Su Yehao, he used his network resources and the resources of Dai-Ichi Kangyo Bank of Japan to help raise funds equivalent to more than 2 billion Hong Kong dollars. He had just jumped ship from Dai-Ichi Kangyo Bank two weeks ago and transformed into the president of "SU Asset Management Co., Ltd."

The US interest rate hike cycle had ended, and the view that the global economy would fall into recession was now the mainstream.

Out of consideration for risk avoidance, Su Yehao only allowed Kinjo Kenjin to temporarily bring this part of the funds to Hong Kong and New York.

In Hong Kong, they bought shares of old-fashioned real estate companies such as Wharf, Sun Hung Kai Properties, Hang Lung Properties, and Emperor Group.

They also used some funds to continue shorting the NASDAQ index. This was considered milking a sheep to death, after all, even if it fell by half, there were still bubbles in the internet industry.

The overall environment was not good.

Apart from the mainland market, Su Yehao didn't have any particularly confident short-term investment directions. He could only invest based on feeling for the time being, wanting to see if those two buildings would really collapse a few months later...

——————————

Back in Hong Kong, he leisurely rested for a few days.

Time flew by, and it was May 5th.

Nan Gongtian's mother came to Hong Kong, and Su Yehao invited her to his home as a guest.

Although he wasn't married to the little girl, they were only one step away from marriage. Mrs. Nan Gong agreed to his invitation this time mainly because she wanted to be closer to her daughter.

On weekdays.

Mrs. Nan Gong often contacted the little girl, but she didn't have much contact with Su Yehao.

This morning, she sat across from Su Yehao eating breakfast, reading the newspaper, and said:

"Xiao Hao, I remember my daughter bought some funds in your company that invest in the mainland stock market? The increase in the mainland stock market seems to be particularly good recently. Factories in Malaysia, Japan, and the United States are all going to the mainland to open factories. Several acquaintances of mine are like this."

Su Yehao had many private equity investment projects of his own and hadn't paid attention to the mainland stock market for some time, at most only investigating a few specific companies.

Unexpectedly learning that the mainland stock market was doing well, he suddenly thought that the northern stock market had been bullish for a long time, and he was inexplicably a little worried. He smiled and said to Mrs. Nan Gong:

"Yes, the infrastructure in the mainland is great, and the cost of opening a company is very low. She plans to do cinema business in the mainland, and she put some spare money with me. She should have made money, right?"

Nan Gongtian looked at him and joked:

"You really don't care about the funds you manage at all. I just looked at them a few days ago, and they've been doing particularly well this year, earning me nearly 20 million Hong Kong dollars."

"So much? That's really outstanding. For the time being, it's mainly supported by the positive news of joining the WTO, plus the economic growth rate remains at a high level, so investors are of course confident."

After Su Yehao finished speaking, he felt more and more that something was wrong.

There was positive news to support it now, but... what about next?

During this period of time, he had mainly focused on the trends in the international market, such as economic recession, the US fiscal deficit, and traditional market bubbles, all of which were foreshadowing that the next economic situation would be relatively severe.

Even Su Yehao would worry about where to invest.

So, when he suddenly heard that the mainland stock market was very prosperous, he immediately sensed something was amiss.

The US interest rate cut was not large, and hot money had not really receded from the US. In the first quarter of this year, foreign investment in the US reached as high as 950 billion US dollars. High-interest rates were pressing ordinary US residents to the point where they couldn't breathe, so economists generally predicted that it would fall into recession.

There were fewer people spending money on things, so the economy was of course not good. On the contrary, the US stock market, most of the listed companies on the New York Stock Exchange had bubbles, and the NASDAQ had collapsed, but it was still stubbornly holding on, but there were also signs of recession.

Many signs were telling Su Yehao that the business in the future would probably not be easy to do, but the mainland stock market was still rising.

After finishing breakfast, the worry in his heart lingered.

He asked people to check the average price-to-earnings ratio of the A-shares. This number seemed not so important and could not truly reflect the value of a company, but if they were generally at a high level, it could indicate that the market bubble was serious.

He didn't know until he checked, and he was shocked when he did.

Learning that the average price-to-earnings ratio of the mainland stock market had basically remained at around 60 times, Su Yehao didn't say a word and asked people to bring the holding data table of 5S Asset Management, selected the assets that could be sold first, and secretly reduced holdings in batches to cash out a portion.

Linda Yun pointed to the list of Wuliangye Company and asked him puzzledly: "I heard you mention that it is suitable for long-term holding, is that not right?"

"Yes, long-term holding, but I'm worried that before the future comes, investors will lose confidence in me first. If the company is gone, how can we continue to play?"

Su Yehao looked down at the documents, ticked the projects he decided to keep, and sighed:

"If there were a fund that could be closed for management for 20 years, then I wouldn't have to worry about anything. Open-ended funds have the benefits of open-ended funds, and closed-ended funds also have their advantages. Maybe the higher-ups are worried that investors will be indecisive, so they have been hesitant to launch open-ended funds. Do you believe that as long as we encounter a crisis and the decline of our products exceeds 10%, investors will dare to redeem 10 or 20 billion RMB?"

Linda Yun calmly said:

"What's unbelievable? Mainland investors are not mature enough, even I know they like to treat funds as stocks to speculate. Wait for me a while, I'll go sell the stocks I bought first, so I won't be killed by your reduction."

Su Yehao was stunned for a moment and asked her: "Huh? You're my secretary, and you dare to secretly speculate in stocks?"

"Why wouldn't I dare? You never said I couldn't speculate in stocks, and I've already earned more than 300,000..."