Review: The sensational futures "PVC 1501" contract operation case

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Financial website website on November 18th, Zhang Xiaojun, spokesperson of the China Securities Regulatory Commission, announced at a regular press conference on the 18th that the CSRC recently imposed administrative penalties on six cases, including three cases of manipulating the market and two cases of insider trading. One intermediary agency has not diligently done its duty.

It is worth noting that one case was the manipulation of the futures market. In October 2014, Liu Zengqi used multiple accounts to manipulate the “PVC 1501” contract price, with a loss of 37.57 million yuan, and the CSRC imposed a fine of 500,000 yuan.

According to network information, Liu Zengqi is a well-known trader in the Guangzhou futures industry. From 2006 to 2010, the company participated in the national futures trading competition for the fifth consecutive year. In 2010, with a huge gain of 689%, the “Trend Investment Cup” national runner-up and the “Mixed Investment Award” national third-place awards were included.

On October 23, 2014, the city head changed to the king flag. When Liu Zengqi’s blog homepage still stays on the display page of the 2013 China Private Equity Fund’s highest honor, the “Champion” medal, the turning point is quietly coming: Yin Yigong No. 5 on October 23, the net value of the investment target price fluctuations A day's 0.8 yuan / share fell to 0.647 yuan, the day's decline reached 23.16%, while also fell below the warning line of 0.75 yuan and the stop loss line of 0.70 yuan, thus triggering liquidation claims.

On June 21, 2015, Liu Zengqi was detained on suspicion of illegally detaining his ex-wife Wang Hua (pseudonym).

PVC contract encountered hunts by spot dealers

According to Liu Zengqi’s letter of apology and relevant informed sources, the general resumption of the matter is as follows:

Before October 23, Liu Zengqi's net worth of most fund products was between 0.8 and 0.9. He needed an excellent market to complete the reversal. Liu believes that the recent crude oil in the outer disk has fallen sharply. Most of the domestic chemical products have experienced considerable declines. Only the PVC futures fell less, and the last straw was put on the PVC futures.

On the 23rd, the opening of the PVC futures main contract 1501 is very similar to the way of going down. Liu will be short-selling 1501 contracts, and PVC futures 1501 contracts will go down.

Liu Zengqi’s expectation was to take profits on the second day, but what he did not expect was that shortly after the daily limit, the 1501 contract emerged as a long-term bullish force. The contract began to rebound sharply after a few minutes on the limit. And touch its stop loss. Liu Zengqi made a decision to close the position, but because the contract liquidity was weak, he did not close the position as he wished, resulting in a large decline in the net value of its fund products with the fluctuation of the market.

It is thought-provoking that PVC futures is an inactive variety. Most of the time, the volume is less than 10,000, and the position is no more than 30,000. Why is such a weakly mobile breed ruining Liu Zengqi’s dream of fighting against the Jedi? Who is the Terminator behind it?

“Don't be small and not active. Although PVC futures are not active, they have been listed on May 25, 2009. Many stock companies have been deposited for a long time. They have a keen judgment on the market and have the need for hedging and arbitrage. Moreover, the logic of Liu Zengqi’s bearish PVC futures has its own loopholes, which allows the spot dealers to seize the opportunity of market correction.” An informed person, Mr. Wang, told reporters.

Mr. Wang said that the bulls are mainly leading companies in the domestic plastics trade field, and there are other 5-6 spot dealers or private equity institutions to track this market. "These spot companies and private equity have rich experience in futures trading. They think that the current PVC futures have been discounted relative to the spot, and the basis after the daily limit on the 23rd is very rare. The decline in crude oil futures does not support the soaring of PVC futures."

According to Mr. Wang, on the 23rd, the 5th type of electric stone material in the East China market was quoted at 5990~6060 yuan/ton, and the mainstream in South China was raised at 6070~6100 yuan/ton. At that time, the futures had been discounted, and the daily price was 5350 yuan/ Tons, basis (spot-futures) is as high as 600 yuan / ton.

“A spot dealer who communicates with us daily thinks that such a large basis is rare and unreasonable, so we call us and say that there are many opportunities. After analyzing, we recognize his logic and do it on the same day. It turned out that the logic of the spot dealers was correct. Everyone did not expect Liu Zengqi to be short and only know afterwards." A private equity person who participated in the long-term business said

Illegal detention of ex-wife

According to the victim’s prediction, she was only one of the three women who Liu Zengqi had contacted at the same time. In October 2014, when Liu Zengqi’s “Jinyi Gong No. 5” broke out, she was pregnant and she was forced to join Liu Zengqi’s trade team. Joined two other women and Liu Zengqi in a villa to help Liu Zengqi conduct futures trading. This ridiculous and painful day made Wang Hua escape from the villa, but was taken back to the villa by Liu Zengqi and was also tied in the room by Liu Zengqi with a chain.

When the reporter saw Wang Hua for the first time in recent days, she was with her mother and came to the villa with the police, looking for Liu Zengqi. But Liu Zengqi at this time is not in the villa, only two women are in the villa, and these two women are the other women of Liu Zengqi in Wang Huakou.

The reporter saw that Wang Hua was full of edema at this time, and there was a large area of ​​blood clots on his body. She told reporters that she had just escaped from the villa. These injuries were caused by her ex-husband Liu Zengqi being imprisoned in this villa.

Wang Hua and his mother were very excited and told reporters about the unbearable past between Liu Zengqi and Liu Zengqi.

Wang Hua told reporters that at the end of 2010, she and Liu Zengqi met at a gathering of friends. At that time, Wang Hua himself had a successful career. She used to be in the clothing business. She has many real estates and shops, and she is a woman full of charm. Liu Zengqi said that he was a civil servant when he introduced himself to Wang Hua, but he usually engaged in futures business.

After acquaintance, Liu Zengqi pursued Wang Hua. In November 2012, the two married. However, the way the two people get along is not the same as other couples - "weekend couples."

One-hearted helper: all worthy of futures investment

In June 2011, in order to support the cause of his lover, Wang Hua registered and established an investment company with his own funds. Liu Zengqi served as the chairman of the board, and Wang Hua was the general manager and legal representative. In the internal work, Liu Zengqi is mainly responsible for the core operations, while Wang Hua is responsible for the company's external business.

However, the business development of investment companies has not been smooth.

Wang Hua told reporters that in fact, at the beginning of the company's establishment, the entire company's maintenance relied on its own capital injection. In order to raise funds, she sold the real estate and shops under her name, or mortgaged the loan.

Until February 2014, the investment company's business can be said to be slowly on the right track.

At the beginning of 2014, Wang Hua was pregnant, but at this time she was 36 years old and her condition was not good. It can be considered that Liu Zengqi has always wanted a child, and he is still taking risks, while taking huge business pressure and preparing for production.

She told reporters that in order to enable the company to continue to develop, she has to wait for her business with her big belly and often exhausted.

However, when Wang Hua was pregnant for 26 weeks, Liu Zengqi suddenly asked her to stop the activities outside and join the team to help him.

At this time, Wang Huacai learned from Liu Zengshao that she was not Liu Zengqi’s only woman. In addition to the “weekend couple”, Liu Zengqi had two women, Lin and Li, and Lin had already given birth to two children, a 6 Years old, one is 3 years old. Li was also pregnant at this time, and the expected date of birth was only two months later than Wang Hua.

In addition, these two women, Liu Qiang's trade team members, and Liu Zengqi live together in a villa in Conghua.

Wang Hua told reporters that Liu Zengqi confessed to her only because of the pressure on the trade at that time, and it was urgent to increase the manpower. In Liu Zengqi's view, as long as Wang Hua joins the team, he will certainly know the truth, but it is better to be straightforward.

Hard choice: continue to help after divorce

In October 2014, the investment company suffered a lot of crisis.

At that time, because of the unsatisfactory operation, many customers divested, causing large-scale fund liquidation. Wang Hua and Liu Zengqi were busy dealing with the relationship between the company, customers and various cooperative institutions. For this crisis, some financial media also reported that Liu Zengqi broke the position and was "hunted" by the spot giant.

On one side is the crisis in business, and on the other is the cliff of feelings and marriage.

In November 2014, Wang Hua divorced Liu Zengqi after giving birth to his daughter. Subsequently, Liu Zengqi and Li were married.

What is puzzling is that after knowing the truth, Wang Hua still chose to stay with Liu Zengqi to help him. In this regard, Wang Hua’s explanation is that he can say that he has entrusted everything, money, feelings, and children in his stomach to Liu Zengqi. In this case, he can only choose to let go of his personal feelings and help Liu Zengqi to get through this. One level.

Under this complex emotion, Wang Hua not only continued to help Liu Zengqi in his career, but even divorced Liu Zengqi, so that another woman who was pregnant could legally give birth to a child for Liu Zengqi.

The reason for the divorce is because the previous children were all daughters, and Liu Zengqi thought that Li would have a son for him!

In the end, Li gave birth to a daughter.

Years of detention: tied up by chains and beaten

Since Wang Hua promised Liu Zengqi to join his trading team, she was also taken to this villa.

However, the life of the four people living together is not only ridiculous, but also makes Wang Hua feel painful.

Wang Hua said that when she was about to produce, she was taken to the villa and engaged in high-intensity futures trading every day. Even after the birth of the child, she was not taken to the end of the month, she was taken back to the villa and continued to operate.

Wang Hua also told reporters that Liu Zengqi was very violent in the course of his work. As long as they made a mistake, they would be roared and roared, and they were often subjected to bad insults.

In the contact, Wang Hua learned that Lin has been with Liu Zengqi for more than 20 years and has been a cohabitation relationship, while Li has been with Liu Zengqi for nine years. Prior to this, Liu Zengqi had an original wife and later divorced.

"In those days, when I wanted to buy daily necessities, all four people went out together and went out together. I wanted to meet with my friends and I was rejected by Liu Zengqi." During this period, Wang Hua repeatedly wanted to leave, but Liu not only Fury, and even issued a death threat, only to be stopped under the control of Lin and Li.

On May 2, Wang Hua finally fled the villa that made her deeply fearful, and did not dare to stay in Guangzhou, went to the field with her mother, and did not return to Guangzhou for almost a month. However, Wang Hua’s whereabouts were controlled by Liu Zengqi. Liu Zengqi even knows which flights she took, which cities she went to and which hotels she lived in.

On May 28, Wang Hua and his mother returned to Guangzhou and wanted to sell their cars. In the second-hand car market of Nanzhou Road, Liu Zengqi suddenly appeared, and Wang Hua was taken back to the villa of Conghua. "We don't even know how he can accurately know that we are on Nanzhou Road." Wang Hua said.

Wang Hua, who was arrested back to the villa, was less likely to be beaten, and was also tied in the room by Liu Zengqi with a chain. "He tied me up and beaten him. After two days of tying, he tied me up and thought that he had done my job, thinking that I would be willing to stay with him." Wang Hua said.

Decisive alarm: Liu Zengqi has been arrested by the police

In order to save her daughter, Wang Hua’s mother also called the police. However, Wang Hua’s mother told the reporter that although the police arrived at the villa after arriving at the villa, they did not enter the room where Wang Hua was detained, otherwise the police would definitely be able to see the daughter who was tied up.

Finally, the rescue of her daughter is still a group of young people who Wang Hua’s mother occasionally knows. After hearing about Wang Hua’s mother’s experience, the young people came to the villa with Wang Hua’s mother and rushed into the villa to save people.

Wang Hua’s mother described to the reporter that when they rushed into the villa, the daughter was about to jump off the building, and Liu Zengqi took the knife and caught her daughter and said, “You ask your daughter to follow me with you.”

Wang Hua, the mother who saved the woman, couldn’t care so much. She rushed to grab her daughter from Liu Zengqi’s hand and hugged it. Wang Hua, who was rescued by his mother, continued to ask the police for help. The reporter was informed that Liu Zengqi had been arrested by the police.

Reporter's visit: Two women's moving villas have been vacant

Recently, the reporter visited the villa located in the Shishe Community of Guanghui Village, Hengjiang Hangkou, Conghua City, and visited the site. Located on the edge of a two-lane road, this villa is a three-story structure next to the farmland.

But when the reporter came to the villa, the door was closed and the curtains of the window were pulled. Only the screaming of the watchdog showed that it was once inhabited. Outside the house, the reporter found that there were many newspapers and magazines that were burnt down. It can be seen from the fragments that most of the articles are about Liu Zengqi. In addition, there are many baby milk powder cans, diapers and so on.

The nearby villagers told reporters that two days before the reporter’s visit, the two women in the villa had packed and removed the items in the house, and it was said that they went to Qingyuan. However, the situation of the two women, the villagers said that it is not clear. (Financial website comprehensive daily economic news, China Securities Journal, etc.)

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