The first half of 2024 has ended, and the first-half performance of private placement has also been released. The overall performance of private placement is in a loss state, and only billion-dollar private placements have performed well. The overall average loss of securities private placement products (including the five major strategies) is 1.88%, among which the average subjective stock strategy loss is 5.45%; the average annual income of billion-dollar private placement is positive.

The subjective stock strategy performed poorly.

According to data from the Private Placement Network, as of June 30th, 5156 private placement products under the five major strategies of 3000 private placements with performance records have an average loss of 1.88% in the first half of the year, among which 2157 have achieved positive returns, accounting for 41.8%.

In fact, among the five major strategies of private placement products, the four major strategies of bonds, multi-asset, futures and derivatives, and portfolios have achieved positive returns, while only the subjective stock strategy performed poorly.

The bond strategy performed the best in the first half of the year, with an average yield of 4.79% for the 434 private placements included in the statistics, of which 343 achieved positive returns, accounting for 79%. The average yields of multi-asset strategy, futures and derivatives strategy, and portfolio funds in the first half of the year were 3.82%, 3.03%, and 2.03%, respectively.

In the first half of this year, the A-share market continued to fluctuate. Except for the Shanghai 50, the CSI 300, and the CSI A50 indexes, other major indexes fell to varying degrees. The Shanghai Composite Index fell slightly by 0.25%, but the Chinext Price Index and the SSE Science and Technology Innovation Board 50 Index both fell by more than 10%. The Wande Micro-cap Stock Index fell by more than 25%, and the Bei Zheng 50 fell by more than 30%. Among the industry indexes, a few sectors such as banks, coal, public utilities, and home appliances rose, and more than 70% of industry indexes fell.

Affected by this, the overall performance of subjective stock private placement products was in a loss in the first half of the year. The average loss of stock strategy of 3000 private placements with performance displayed was 5.45%, among which 897 achieved positive returns, accounting for 29.9%.

Forty percent of billion-dollar private placements received positive returns.

Compared with the overall negative performance of private placement, billion-dollar private placements have achieved good results in the mid-year exam. According to data from the Private Placement Network, as of June 30th, the mean return rate of the first-half earnings of 79 billion-dollar private placements with performance records is 0.40%, of which 32 have achieved positive returns, accounting for 40.51%.

Among the billion-dollar private placements, quantitative private placements had a rather dismal income performance and were the only billion-dollar private placement type with an average negative income in the first half of the year. Among the 31 billion-dollar quantitative private placements with performance records in the first half of the year, the average yield rate fell to -6.18%, and only 3 achieved positive returns, accounting for only 9.68%.

The performance of subjective+quantitative private placement is still good. In the first half of the year, the mean yield rate of the 12 subjective+quantitative private placements with performance records was 2.85%, of which 7 achieved positive returns, accounting for nearly 60%.

Billion-dollar private placements with subjective stock strategy performed well. As of June 30th, the mean yield rate of the first-half earnings of 36 billion-dollar private placements with performance records of subjective stock private placements was 5.25%, of which 22 achieved positive returns, accounting for 61.11%.

Bin VS Hong: The Battle between AI and Dividends

In the first-half performance comparison of billion-dollar private placements, Dongfang Port, led by Bin, won the championship with a return rate of 47.92%, and Hainan Xiva, led by Hong, won the runner-up with a return rate of 29.48%. The yield rates of Lu Rui Asset, Rui Pu Investment, Shanghai Liren Private Placement, Jinglin Asset, Zhe Hao Asset, and Panson Asset all exceeded 10% in the top ten earners of the first half of the year.

In June, the performance of Dongfang Port soared, and the company's performance exceeded the high point in 2021, reaching a historical high. In addition, the returns of Dongfang Port have remained close to 56% in the past year, continuing to lead the top private placements. Since the performance was displayed in October 2014, as of the end of June 2024, the annualized return rate of Dongfang Port has exceeded 22.5%.

In the first half of the year, the Nasdaq index rose by 18.13%. As the global leader in AI computing power, Nvidia rose 149.50% from $49.52 per share to $123.54 per share in the first half of the year after a 240% increase last year, and temporarily topped the global market value in June.

Dongfang Port's performance benefited from seizing the AI market in the US stock market in the first half of the year. Since last year, Bin has repeatedly stated that he has a heavy position in Nvidia and remains bullish on AI investment. On July 5th, Dongfang Port commented on the 'cloud large model + local small model' architecture of the WWDC Large Conference and the IOS18 operating system to be released soon, stating that the upper limit of AI inference computational power demand in the future is "incalculable", and any estimation at present is meaningless.

Hainan Xiwa, which is led by Liang Hong, achieved a new performance high in June, with a revenue growth of 37.17% in the past year, also winning the runner-up of hundreds of billions of private placements. Since the performance display in April 2015, Hainan Xiwa's annualized return has exceeded 26%.

The good performance of Hainan Xiwa is attributed to its capture of the bullish trend of Hong Kong stocks. In early June, Liang Hong had expressed on social media that many high-yield stocks on the Hong Kong stock market were still cheap and had attractive dividend yields. In addition, Liang Hong also mentioned his fondness for oil and gas stocks several times.

In the first half of the year, the Hang Seng China Enterprises Index rose by 9.77%. The oil and gas representative symbol of the Hong Kong stock market, CNOOC, has accumulated a rise of 81.52%. Some predict that this is one of Liang Hong's heavy holdings.