"Looks Beautiful" May Be A Trap.

Famous in the last century Economics Dr Kissinger once predicted: "whoever controls the oil will control all countries; whoever controls the grain will control all the people; whoever controls the currency will control the whole world."

　　 financial crisis Now, how can we avoid financial risks and grasp our initiative? Recently, He Sijiang, an associate professor of Finance Department of the Zhejiang University School of economics at MBA advanced school of economics, Zhejiang University, told students present that the global financial crisis is difficult to end in the short term, and managers of enterprises should be prepared to prepare for psychological and material preparations for "protracted war".

Beware of financial products that can't be lost.

"Entrepreneurs must earn money in the financial market. careful 。 Maybe you are very competent in doing business, but you may not be able to make capital. He Sijiang said that in the past few years, China aviation oil has lost its fortune in Singapore's capital market. He estimates that Air China's fuel needs to be used in 2011 because it hoarded too much fuel for the purpose of hedging in June this year when raw material prices continued to rise.

He Sijiang thinks, industry enterprise We must set a good threshold for capital operation. "My view is that we can consider the capital operation when we have done a considerable amount of experience and have reached a certain scale." He was very sorry to say that last year, Hualian three Xin and several private enterprises in Xiaoshan jointly squeezes a futures market, resulting in "thirty years of hard work before returning to reform overnight."

In He Sijiang's view, some of Wall Street's financial products look "very beautiful". He gave an example of an enterprise bond linked to the stock market. The other Party promised that if the stock market is 10 thousand today, it will give you a 50% return if it rises to 15 thousand tomorrow. If you lose, you will not lose, and pay the interest on your bond. It is easy to ignore the hidden risks of the bond itself when it sees such a promise which is almost stable. The bond itself also has interest rate risk, default risk, inflation risk, liquidity risk and repurchase risk. For example, bonds with a yield of 4% which were ten years before maturity, and 2 years later, because the interest rate has dropped to 2%, issuers will repurchase the bonds. At this time, the market interest rate of investors who get cash is lower than that of the market when buying, so it is difficult for investors to find investment opportunities above 2%. Moreover, in case of a business failure or loss, what do you do? "Entrepreneurs must see with great eyes their risks when they see such a financial product."

Don't worry about drilling policy.

He Sijiang said an entrepreneur friend of Zhejiang wanted to move his paper mill to Anhui, which has relatively loose environmental protection policy, because of environmental restrictions.

"Can enterprises that cannot do in Zhejiang in Anhui can do it?" He Sijiang advised the chief executive that in China, "good days" to escape social responsibility by policy space have gone forever.

He Sijiang believes that now is the low cost of raw materials and other materials. Enterprises with strong ideas can try to expand or transform, and do not always want to take the wrong way.

Learn to "watch the computer grow crops".

What should we look at?

He Sijiang said that American farmers "watch computers grow crops", and many Chinese farmers "grow money for God of wealth". He explained that when American farmers want to grow crops, they will turn on computers to search for information on the futures market in Mexico and see what kinds of agricultural products they produce on the high autumn harvest price and what the market demand is big. This is called futures order. Many Chinese farmers only pray for "good weather and good weather".

Crops should be read by computers and information should be done. However, what concerns enterprises is not the agricultural product market, but the financial market: "the purpose of finance is to circulate money and avoid risks, rather than speculation." He Sijiang warned entrepreneurs to return to the original purpose of Finance and make the financial market a reference for their long-term planning, rather than thinking of "getting rich overnight."