Yang Weiqing, president of the Kai Ying Group: Gem price-to-earnings ratio leads the world

August 17 News, Yang Weiqing, president of the company, said today in an interview with Tencent Technology, China's gem has been formally opened, now the average P/E is still 5-10 times, this is a very high P/E ratio in the global market, I think only China's capital market can have such a P/E. In 2009, including the first half of 2010, the largest IPO market in the global capital market was in China, Yang Weiqing said. The best market for China to be listed as an exit has already been ahead of other securities markets, including the US, Europe and Japan.　　So in this big context, everyone wants to invest in the renminbi to participate in China's growth projects. The following is an exclusive interview Yang Weiqing record: Moderator: Everyone netizens, good morning! Very happy to come to Tencent Network in 2010, the report of the Internet Conference site, we are now invited to the guests are Kai Ying Group President Mr. Yang Weiqing.　　First please Yang always say hello to the netizens. Yang Weiqing: Everyone Tencent net Netizen, everybody good!　　I am Yang Weiqing from the Kai Ying Group.　　Moderator: We mentioned Yang's general name, we all know that it and Eric, and investment in China, first of all please yang to introduce us to the company's structure is what? Yang Weiqing: I was 2009 years late last year, the November formal and plum blossom network, including a number of other companies to set up a Chinese information consulting group. It should be said that we are now China's first trans-industry information Consulting Group, we include Internet research, including the Chinaventure investment group in charge of VC/PE, including the plum blossom net and plum blossom information in the field of advertising media, as well as the art consulting for the research of entertainment industry and life related services.　　, and an Eric E-commerce company that specializes in E-commerce.　　It should be said that in China, we hope to build a trans-industry information Consulting Group, which can replicate the successful model of Iris in different industries, and provide a better information consultancy service for more new industries in China.　　Moderator: In general, we still focus on the information consulting service.　　Yang Weiqing: Yes. Moderator: Because I am a journalist and editor of the reasons for VC, PE this piece of things relative to understand, so I would like to talk with Yang about this topic, first of all, please ask Yang how to look at the domestic venture capital this wave of upsurge?　　In particular, RMB funds, including foreign capital of the big PE is also investing in renminbi funds, how do you think of this matter? Yang Weiqing: China's gem has been officially opened, now the average P/E is still 5-10 times, which is very high in the global market, I think only China's capital market can have such a price-earnings ratio. The other is in 2009, including the first half of 2010, the largest IPO market in the global capital market is now in China. So both of these messages tell us that China has become the best market to be listed as an exit and hasLed by the United States, Europe, Japan and other securities markets.　　So in this big context, I'm sure everyone wants to invest in the renminbi to participate in China's growth projects. Everybody now invests the project to take the PE as the main, the renminbi real risk fund, is the investment growth period project is still relatively few. In fact, there is a relatively simple economic truth, because we say PE is listed before, for example, 10 times times, 15 times times into the listing, immediately after the gain of sixty or seventy times times the return on the book can reach 3 times times, 300% of the profit, or even higher. So in this regard, if you can have good resources to better help the project to get the IPO, then your time is very short, the return is very high.　　So there is a very simple truth behind the renminbi fund that the benefits are very visible.　　Moderator: China's capital market is very good, the interests of more substantial, so everyone flocked. Yang Weiqing: We say this is a superficial phenomenon, the deep reason is the development of China's economy, the upgrading of residents ' consumption, the upgrading of industry, there are a large number of science and technology, including services, consumer-type emerging companies. These companies should say that it is just enough to meet the development of China's industrial upgrading and create a lot of investment opportunities. Many investment institutions if there is a vision, on the one hand can be invested enterprises, such as the listing may be a PE way to premium, on the other hand can also get the company's own profit growth, may be a lot of enterprises in two or three years after the doubling of profits, or more than 300% or 400% of growth. We had a project in the past and found that the return on its projects in the second year reached 300% or 400%.　　So it's very attractive to the fund. Moderator: We know that investment in China is positioned in VC, PE, venture capital and private equity research in the field of a company, from your research or data, now VC or PE or what industry is more concerned about?　　More investment? Yang Weiqing: Now the renminbi investment industry is relatively broad, the original dollar fund we observe the investment is related to technology, we talk about TMT or some other technology-driven advanced manufacturing industry and so on are related to technology. In terms of renminbi investment, its relevance to technology should not be so strong that it should invest in a wider field.　　We have seen such things as agriculture and the medical industry, especially China's larger consumer and consumer-service industries.　　Moderator: There are channels. Yang Weiqing: Yes, there's a lot of investment.　　So in China, the difference between renminbi investment and dollar investment is that the dollar is characterized by technology, and the renminbi is characterized by consumption. Moderator: Because of the time of chat, there are some activities under Yang, we have a brief interview here, thanks to the participation of netizens, once again thank Yang to visit our studio. Thank you!