Who makes the stock?

The stock market has soared recently. I saw an article, which is a good metaphor.

Post: "Who is the stock making? What is evaporation"

I have read a story before and turn around to see if I can answer your questions.

Assume that two people in a market are selling cookied cakes, and only two people are selling them.
Assume that their prices are not subject to the supervision of the price Bureau.
Assume that they can save the cost (including their labor value) by selling one dollar for each pancake)
Suppose they have the same quantity of biscuits.

-- There are many economic models.

Let us assume that their business is very bad, and no one buys the pancake. In this way, they were bored for a long time.

A said it was boring.
B said it was boring.
The story tells you: it's boring.

The market is very inactive at this time!

To keep everyone bored, Party A told Party B: do we want to play a game? B agrees.

So the story begins ......
A spent one dollar to buy B a pancake, and B spent one dollar to buy a pancake, which was delivered in cash.
A spent two more yuan to buy a pancake, and B spent two yuan to buy a pancake, which was delivered in cash.
A then spent three yuan to buy B a pancake, and B also spent three yuan to buy a pancake, which was delivered in cash.
......

As a result, the price of cooked cakes (including those who read stories) soared throughout the market. In a short time, they rose to 60 yuan each. However, as long as a and B have the same number of biscuits, no one has made any money and no one has lost any money, but they will "add value" to their assets after review! A and B have "wealth" many times higher than in the past. Their value has increased a lot and their "Market Value" has increased a lot.

At this time, there was a passer-by, who knew that the Pancake was a dollar one when he passed by an hour ago. Now he was surprised to find that it was 60 yuan.

One hour later, passer-by C was surprised to find that the pie had already been 100 yuan.

Another hour later, passers-by C found that the pie had already been 120 yuan, and he did not hesitate to buy one because he was an investment and speculative, and he was sure that the price of the pie would rise, there is still room for improvement in the price, and someone has given a "target price" of over 200 yuan (in the stock market, he is called a shareholder and the target price is called a researcher ).

With the demonstration effect of "making money" for burned cake a and burned cake B, and even the demonstration effect of making money by passers-by C, there will be more and more passers-by who will buy and sell them, as the price of biscuits is rising, everyone is very happy, because it is strange that everyone has not lost money ......

At this time, you can imagine who has less cakes, that is, who has fewer assets, and who actually makes money. The person who participates in the purchase, who has not burned the cake, will actually make money! And the people who sold it all regret it-because the price of the pancake is still rising rapidly ......

Who lost money?

The answer is: no one has lost money, because many people who buy cookied cakes at high prices hold a recognized high-quality equivalent asset-cookied cakes! The pie is obviously better than cash! How much interest can a cash deposit bank have? Which one is better than burning cakes with soaring prices? Even everyone agrees that the market is in short supply. Can I buy a pancake futures? So a warrant ......

Someone asked: Will I never lose money when I buy a pancake? It looks like yes. But this world is so strange, suddenly the market came up with a plum called Plum, plum said: there is a loss of money! Which day will everyone lose money?

Suppose 1: There is a price department in the market, and he thinks that the price of the pancake should be one dollar per dollar. (Regulatory)
Suppose 2: There are a lot of cookiers in the market, and the price is one dollar each. (Same subject)
Suppose 3: There are a lot of products available to play such games in the market. (Release)
Suppose 4: everyone suddenly finds this is just a pancake! (Value discovery)
Suppose 5: no one is willing to play the game of mutual buying and selling! (Truth and truth)

If one day, any assumption appears, then on this day, people who burn cakes will lose money! Who makes money? It is the person who owns at least the assets-the pancake!

This story is very simple. Everyone thinks that the person who buys the cake at a high price is a dumb, but let's look back at the people in our securities market. Why are some so-called asset reestimates and asset injection in this market not like this? When Roe is high and assets are injected at a high premium, the principle is actually the same as that of pie sales. Who owns assets at least, who is the one who makes money, and who is the one who gets high returns!

Therefore, as an investor, we must look at asset reassessment and asset injection rationally, so that others are not fooled, especially their money!

Asset injection under high Roe, especially asset injection, for example, stock-taking by brokers, additional purchase of major shareholder assets, and additional real estate, must keep your eyes open and polish, and be careful and careful!

Because, you are likely to become a passer-by holding high-price cookiers! Let's look at asset reassessment and asset injection. Don't fool others, especially your money!

Because, you are likely to become a passer-by holding high-price cookiers!