"Professor Huang is not only a senior professor in our school, but also a very famous scholar in the country. What cases are he afraid of and dare not analyze? What a joke!" Chen Zhihua didn't know who Professor Huang was at all, but at this time he was very unhappy. Someone actually insulted such an injured old man, so he immediately fought back. "Although the AVIC incident was a major international sensation last year, it was actually very simple to analyze."

"Teacher, then tell us something!" The student who had cared about Professor Huang before was obviously on Chen Zhihua's side at this time.

Chen Zhihua felt a little embarrassed when he was called a teacher, but he also knew that he was unable to get rid of the tiger. He let go of all the words just now. Can he still take them back? After thinking about it for a while, he described the incident of China AVIC in his memory.

China Aviation Oil was established in 1993. It is an overseas enterprise controlled by China Aviation Oil Holdings, a large state-owned enterprise directly under the central government. Its headquarters and registered location are both in Singapore (Note: Singapore is very famous for oil chemicals and electronic machinery). At the beginning of its establishment, it had a very difficult operation and was on the verge of bankruptcy. Later, under the leadership of President Chen Jiulin, it turned losses into profits and gradually expanded from a single imported aviation oil procurement business to international oil trade business. It was listed on the main board of the Singapore Stock Exchange in 2001, becoming the first Chinese-funded enterprise in China to use overseas free assets to list abroad.

"After a series of expansions, AVIC has successfully developed from a trade-oriented enterprise to an enterprise entity that combines industry and trade, and its strength has increased greatly. In just a few years, its net assets have increased by more than 700 times, its stock price has also risen, its market value has increased by four times, and it has become a shining star in the capital market for a while." Chen Zhihua praised the achievements of AVIC. "According to the information of the Singapore Exchange, we can see that at that time, AVIC almost monopolized China's imported aviation oil business. At the same time, it continued to integrate downstream to invest in related operating facilities, infrastructure and some enterprises. Through a series of overseas acquisition activities damaged in the capital market, the market has been expanded to ASEAN, Far East, the United States and other places. At that time, even the State-owned Assets Supervision and Administration Commission stated that AVIC is a successful example of state-owned enterprises going abroad and implementing cross-border operations."

Chen Zhihua's narrative attracted all the students present. Although they had generally heard about AVIC, they did not know in detail. At this time, Chen Zhihua's narrative seemed to have seen it with their own eyes.

"However, in less than two years, AVIC Oil fell from its peak and fell very heavily. On December 1 last year, it officially filed for bankruptcy in the court, with a cumulative loss of US$550 million, equivalent to more than RMB 4 billion." Chen Zhihua smiled slightly and said: "Do you know why a company with total assets once exceeded RMB 3 billion will become a big hole with debt of more than RMB 4 billion in less than two years?"

Everyone looked at Chen Zhihua on the podium with a confused look, and even their breathing became lighter.

"The failure of AVIC Oil is actually the failure of the futures market, and the futures market has high risks, but we should not be afraid of risks. By carrying out effective risk guidance and risk management, we can quantify the risks and make it possible for me to grasp them on a certain basis. In the incident of AVIC Oil, if we want to analyze its failure, we must start from three aspects: people, investment materials and market situation. Among these three aspects, the most important thing is people. Different people will have different results when operating the same financial product, so people are the key to success or failure." Chen Zhihua paused slightly and continued: "What I have summarized is that AVIC Oil's success and failure is Chen Jiulin." While speaking, Chen Zhihua told Chen Jiulin's resume again.

Chen Jiulin graduated from Peking University with a bachelor's degree and studied Vietnamese. After graduation, he worked in Han Air Company. Later, he obtained a master's degree in international law at China University of Political Science and Law. He participated in negotiations on some projects in China as a translator. In 1997, during the Asian financial crisis, Chen Jiulin was ordered to become the president of China Aviation Oil. At that time, Chen Jiulin brought only US$219,000 to Singapore to start a business. In 2003, China Aviation Oil's net assets had exceeded US$100 million, and its total assets exceeded

With such performance, AVIC Oil, led by Chen Jiulin, is called the "seven-year" miracle by the outside world. In 2004, among the Chinese-funded enterprises listed in Singapore, Chen Jiulin ranked first with a salary of 4.9 million Singapore dollars, or approximately RMB 16 million. At that time, she was praised by Singaporeans as the "working emperor". Chen Jiulin was once selected as the "New Leader of Asian Economy" by the World Economic Forum and was also included in the "Peking University Outstanding Alumni" list.

"It can be seen that Chen Jiulin has not experienced any setbacks in his life. His rapid success in life made him unable to afford to lose. Conceit and pride are not only the fatal enemy of a manager, but also the obstruction of a futures trader." Chen Zhihua paused and said: "I'm sure Chen Jiulin is a gambler from the bottom of his bones, and his heart is full of adventurous Western cowboy spirit."

Hearing Chen Zhihua's teasing words, a chuckling suddenly came out in the classroom and the atmosphere became much more relaxed.

"Since the second half of 2003, AVIC has participated in the trading of oil derivatives, that is, futures trading. Unfortunately, AVIC has made a profit in the initial 2 million barrels trading!"

"Teacher, why is it unfortunate to make a profit?" a classmate asked with a smile.

"Have you ever heard that losing money starts with winning money?" Chen Zhihua smiled slightly, "In fact, after initially making huge profits, AVIC began to increase their bets. In the first quarter of 2004, AVIC lost $5.8 million. The company decided to extend the delivery contract, hoping that oil prices would fall back and trading volume would increase. But in fact, in the second quarter, oil prices continued to rise, and AVIC's losses increased to $30 million. In order to extend the delivery, the trading volume would be

Once again. In October 2004, oil prices hit a new high. AVIC Oil's trading market reached an unbearable 52 million barrels, and the losses quickly hit a huge profit." Chen Zhihua shook his head and smiled, saying: "AVIC Oil's annual profit is 60 million SGD, but in the oil futures market, their transactions rose from 2 million barrels at the beginning to 52 million barrels. This is obviously a big gamble, betting on the decline in oil prices, and betting on the survival of the entire company."

"Analysis, Chen Jiulin has a completely gambler mentality. After tasting the sweetness of the first time, he wanted to continue to win. However, after losing the first game, he didn't know how to reflect. Instead, he continued to increase his bet and continued to make a bet. After losing, he continued to raise, and he lost and continued to raise. He looked forward to a time when he could come back all of a sudden. However, in fact, the huge bet this time finally exceeded what Chen Jiulin could bear. In the end, he lost all his money and owed a lot of debt."

Listening to Chen Zhihua sorting out the whole time carefully, all the students in the classroom listened to his analysis with relish, feeling that what he said was really well-informed.
Chapter completed!