Source: Brokerage China Author: Qu Hongyan Recently, China Yangtze Power hit a historical high and once again showed the slow bull stock trend of "tripling in ten years". The slow bull market has left behind many passers-by and brought good returns to the steadfast investors. It is "rare for those who triple in one year to be like carp jumping over the dragon gate, while those who double in three years are few and far between." On the other end of the investment world, however, violent collapses are also deafening, with many financial products suspected of "Ponzi schemes" ceasing payments, leaving investors with no hope of recovering their investments. Both positive and negative cases illustrate the importance of forming a suitable mentality towards money in one's lifetime; otherwise, sooner or later, you will divorce yourself from your money. "I call this the money mind, a person's IQ can reach 120, 140, or even higher levels, and perhaps some people's minds are good at doing one thing, while others are good at doing another. They can do things that most ordinary people can't do. But I know some very smart people who make very foolish decisions because they lack the money mind." Buffett once said so. The so-called money mind refers to believing in common sense, believing in compound interest, being cautious and rational, thinking independently, prioritizing security over return, not dealing with people with questionable character, not easily guaranteeing for others, not believing in windfall profits, and not trying to cross legal norms for extra benefits. In today's world of ubiquitous information, everyone's wealth may become the "prey" of those with ulterior motives. Only with the money mind, can one form good behavior habits and shield oneself from separating from one's wealth. Do not entrust your wealth easily. Wealth is easy to lose but hard to accumulate, and trust is a vital reason leading to the rapid loss of wealth. "Do not allow anyone else to manage your business unless you can watch their every move closely and understand their behavior; or you have strong reasons to believe in their character and ability. For investors, this criterion determines when you can let someone else make investment decisions for you." Graham's criterion written eighty years ago is so clear. Almost all the investors who lost their wealth in the financial products have violated the above two criteria. They did not have the ability to closely supervise the whereabouts of their funds, nor did they have sufficient reasons to believe in the character of the product issuers. They easily invested their own wealth solely based on others' glib tongue and a piece of commitment paper. They did not act as gatekeepers of their own wealth and ended up with nothing left even if the government punished the wrongdoers. "An ounce of prevention is worth a pound of cure." This is a phrase Munger often says. Destiny must be in one's own hands, and investors with a suitable money mind will try their best to find suspicious points in their investments to protect the safety of their principal. For example, whether the manager is trustworthy, whether the underlying assets are profitable, whether oneself can timely monitor the risks in the investment process, and whether the sales staff is obtaining large commissions. As long as any unreliable signs are found, these investors firmly will not invest their money. Do not desire to get rich quick. As in the capital market and anywhere else, making money is not easy, and desiring to get rich quick will lead to quick loss of wealth. In the capital market, the desire to get rich quickly often leads to investors over-allocating specific stocks, industries, or assets at the worst time. For example, buying high-risk stocks that can gain huge returns once an adventure succeeds, but the chance of success is very small, also known as "whispering stocks" by legendary fund manager Peter Lynch. "They often tell investors a story with explosive effects. These 'whispering stocks' have a hypnotic effect on people, and it is easy for you to believe that the story the company tells has an emotional appeal that can easily confuse you." This is like hearing a very tempting "sizzling" sound, making you salivate, but you did not notice that there is no steak on the grill. In the eyes of investors who lack the money mind, stable yield provided by blue chips such as China Yangtze Power cannot meet their demands. However, historical experience clearly shows that buying stocks lacking in safety solely based on imagined high yields is unwise. The long-term average investment return of general stocks is 9%-10%, which is also the average investment return of stock indexes in history, a benchmark to measure one's investment performance and the benchmark to measure fund investment performance.
Author: Chen Ming. Over the weekend, tech giant Apple announced three major news in the AI field. First, Facebook's parent company Meta is discussing an AI partnership; second, Apple will not launch three major AI features in Europe this year due to concerns about EU regulation; third, there are rumors that Apple has had talks with several Chinese companies that develop AI models, including Bai Chuan Intelligent, to find local partners for its AI services. However, the Chinese companies mentioned above have not responded publicly to this. Apple and Meta discussing AI and Apple Intelligence (AI) in iPhone and other devices. Sources said that in addition to Google and Meta, AI startups Anthropic and Perplexity have also been in talks with Apple, hoping to introduce their generative AI into Apple's intelligent system. Currently, the above discussions have not yet been finalized, and may fail. Reports said the deal with Apple would help AI companies gain wider product distribution. Negotiations reportedly involve high-end subscriptions for AI companies to sell their services through Apple Intelligence. On June 11, Apple, the iPhone maker, announced its long-awaited AI strategy. Apple launched Apple Intelligence, which will integrate generative AI into its latest operating system and inject it into its voice assistant Siri in a tool-based form that appears on iPhones, iPads, and Macs. These applications’ capabilities include writing assistance, email assistance, photo editing, personalized emoji generation, and language retrieval, among others. It is reported that Apple has reached a cooperation agreement with OpenAI, and ChatGPT will be integrated into iOS 18, iPadOS 18 and macOS Sequoia operating systems, and injected into Apple's voice assistant Siri, which is expected to be launched in the second half of this year. However, Apple's cooperation with OpenAI is not exclusive, and Apple is likely to add other large AI models in the future. Tianfeng International analyst Guo Mingchi wrote on social media about Apple Intelligence, saying that Apple Intelligence fully demonstrates Apple's ecological integration and interface design advantages, and mainly emphasizes integration convenience (through in-app and between-app integration) and existing application reinforcement. This is very practical for users, but it is just icing on the cake for investors. Investors expect to see original and indispensable features. In addition, investor concerns include the fact that Apple Intelligence cannot be listed globally at the same time and whether the key selling point of integrating ChatGPT can be used in all major markets worldwide.

The weather is good today The weather is good today.$Apple (AAPL.US)$with$Meta Platforms (META.US)$Please use your Futubull account to access the feature.$Baidu (BIDU.US)$/$Baidu (BIDU.US)$, $Alibaba (BABA.US)$/$BABA-SW (09988.HK)$Rumors are circulating that Apple has had talks with several Chinese companies developing AI models, including Bai Chuan Intelligent and others, to find local partners for its AI services. However, these Chinese companies have not responded publicly to this.

Apple and Meta are discussing AI cooperation.

According to The Wall Street Journal on the afternoon of June 23, Facebook's parent company Meta has discussed with Apple and plans to integrate Meta's generative AI model into Apple Intelligence, which was recently released for iPhones and other devices.

According to sources, in addition to Google and Meta, AI startups Anthropic and Perplexity have also been in talks with Apple to introduce their generative AI into Apple's intelligent system.

The negotiations reportedly involve high-end subscriptions for AI companies to sell their services through Apple Intelligence.

On the early morning of June 11, the iPhone maker Apple announced its long-awaited AI strategy. Apple launched Apple Intelligence, which integrates generative AI into its latest operating system and injects it into its voice assistant Siri in a tool-based form that appears on iPhones, iPads, and Macs. These applications' capabilities include writing assistance, email assistance, photo editing, personalized emoji generation, and language retrieval, among others.

It is reported that Apple has reached a cooperation agreement with OpenAI, and ChatGPT will be integrated into iOS 18, iPadOS 18, and macOS Sequoia operating systems, and injected into Apple's voice assistant Siri, which is expected to be launched in the second half of this year.

Later, Tianfeng International analyst Guo Mingchi commented on the release of Apple Intelligence on social media, saying that Apple Intelligence fully demonstrated Apple's ecological integration and interface design advantages, and mainly emphasized integration convenience and existing application reinforcement. This is very practical for users, but it is just icing on the cake for investors. Investors expect to see original and indispensable features. In addition, investor concerns include the fact that Apple Intelligence cannot be listed globally at the same time and whether the key selling point of integrating ChatGPT can be used in all major markets worldwide.

Apple announced that it will delay the launch of three major AI features in Europe this year due to concerns about EU regulation.

Apple said in a statement, "We are concerned that the interoperability requirements of the Digital Markets Act may force us to compromise the integrity of our products in ways that compromise user privacy and data security."

Apple did not elaborate on how the Digital Markets Act might force it to compromise user privacy and security.

In 2023, the European Union passed the Digital Markets Act aiming to prevent Apple, Meta, Google, and other large tech companies from acting as "gatekeepers" and impeding small companies' competition. The Digital Markets Act requires these large internet companies to provide more openness and interoperability for their respective platforms starting in 2023. Once internet technology giants violate the regulations, they will face huge fines or even the risk of being broken up.$Amazon (AMZN.US)$ $Alphabet-A (GOOGL.US)$In March, the European Commission announced a comprehensive investigation into Apple, Google, and Meta, focusing on their compliance with the Digital Markets Act. The European Commission said that Apple and Google's app store rules, Google's biased search engine, Meta's new subscription fee for Instagram and Facebook platforms were all subject to investigation.$Microsoft (MSFT.US)$On June 18th this year, Vice President Vestager of the European Commission in charge of competition policy warned that Apple has some very serious problems under the new rules as the Digital Markets Act officially enters into force in the European Union.

According to a recent report by the Financial Times, the European Commission is preparing to sue Apple. The reason is that the agency believes that Apple has not fulfilled its obligation to allow application developers to guide users to buy products outside of their App Store in the absence of charging.

Analyst Guo Mingchi's above statement seems to have been confirmed. On June 21, local time, Apple said that it will not release new AI technologies, including Apple Intelligence, iPhone images, and SharePlay screen sharing for European users this year due to the regulatory uncertainty brought by the EU's Digital Markets Act.

According to the Financial Times, the European Commission believes that Apple has not fulfilled its obligation to let developers guide users to buy products outside the App Store without charge, and the agency is preparing to sue Apple.

Vistage said in an interview with the media, "We have found many problems with Apple. I think they are very serious. I am surprised that we are so suspicious of Apple's compliance." She added that she hopes to announce the conclusion of the investigation soon.

If found to have violated the rules of the Digital Markets Act, Apple will become the first tech giant charged by the EU antitrust agency for violating the DMA law. The latest estimate from the Financial Times is that Apple's fine may be calculated as 5% of its daily turnover, which is roughly $1 billion a day, meaning the company would have to pay a daily fine of $50 million.

Looking to partner with Baidu and Alibaba?

Currently, Apple's AI partners in China are undecided. Recently, foreign media reported that Apple is actively exploring opportunities to work with local Chinese companies to promote its Apple Intelligence services in the Chinese market.

According to insiders, Apple has already contacted several Chinese AI model companies, including Baidu, Alibaba and the AI start-up Baichuan Intelligence. Apple's move may be in response to competitive pressure in the Chinese market, especially as local competitors have already integrated AI functionality into their smartphones.

Market research firm Counterpoint Research's data shows that Apple's share of the Chinese smartphone market has fallen to third place, behind two domestic brands. Therefore, in China, Apple needs to find the right local partners to better adapt to the market environment and consumer demand.

In the United States, Apple has adopted a dual strategy of independently building AI capabilities and cooperating with companies such as OpenAI. This strategy has helped Apple's market value exceed $3 trillion.

Since announcing its artificial intelligence (AI) strategy at the WWDC conference and partnering with OpenAI, Apple's stock price has continued to rise. On June 12, Apple's stock price reached a historic high of $220.2, with a market cap of over $3.3 trillion. In recent days, Apple's stock price has declined, with the latest price at $207.49 and a market cap of $3.18 trillion, making it the second-highest valued company in the world, behind only Microsoft.

CITIC Securities analysts Xu Tao, Hu Yeqianwen, and Liang Nan believe that Apple's new round of phone upgrades will come from AI. Due to the threshold of 8GB of running memory capacity, only the iPhone 15 Pro and iPhone 15 Pro Max models can support Apple Intelligence. According to statistics, as of 2023, there were 1.46 billion active iPhone devices worldwide, even excluding the 230 million new iPhone shipments in 2023, the number of active devices still reached 1.23 billion, so the motivation for phone upgrades driven by "AI experience + hardware exclusivity" is worth looking forward to.

CITIC Securities believes that the trend of phone upgrades driven by AI will be stronger than that driven by 5G upgrades, because Apple's system-level AI advantages are more pronounced (specifically, during the 5G upgrade cycle, there is no essential difference between Android and Apple, both achieve higher network transmission rates; during the AI upgrade cycle, Apple's system-level AI advantages are significant, while the Android end has yet to connect cross-application data calls, so the short-term status is clearly widening), and AI is expected to bring users a better usage experience. Therefore, the iPhone's large user base is expected to have a strong upgrade cycle in 2025, with estimated shipments of 225 million, 240 million and 250 million units respectively in 2024-2026, and enter an upward trend in terms of shipments.

Editor / jayden