Liquor product securitization performance difficult to improve

On November 6th, the liquor stocks rose, stemming from the fact that liquor can be used to issue wealth management products to expand sales, which is another product securitization. Although this is nothing new for international wine, but domestic liquor began to make products with financial attributes, it can be considered a way to no way. However, this column believes that even if liquor comes out of securitization, it cannot achieve the effect of improving performance. Ultimately, it needs to be improved in order to get out of trouble.

Liquor wealth management products are value-added channels based on real liquor, and are based on the expected product investment. After the contract expires, the investor can realize income through “physical + income” or “cash + income”. For example, the recent National Taiwan Liquor United Fuel Fund has launched a new financial asset package for wine products to transform high-end liquor into financial products in the form of guaranteed bottom-up value. Liquor is no longer a consumer product at this time, but an investment product.

Investors who buy liquor wealth management products do not really want to drink these liquors in the future. They ultimately want to make money through this wealth management product. Liquor companies cannot really think that the issuance of wealth management products is equivalent to the sale of liquor. This is actually a type of financing that uses future-produced products as a pledge. In the short-term, it can allow liquor companies to loosen their funds slightly, but In the long run, it is still necessary to find real consumer demand to achieve continuous growth in profits.

Yesterday, the rise in liquor stocks, investors have high expectations for liquor wealth management products. At the same time, there are also factors that investors are betting on the end of year-end liquor consumption season. Although the state imposes restrictions on public funds for liquor consumption, it does not restrict private companies from buying liquor. At the end of the year, liquor consumption may be slightly better than usual.

Perhaps a liquor company believes that if consumption of liquor cannot be improved in the future, financial products issued may be issued to investors who purchase wealth management products in the form of liquor. This column believes that this kind of behavior will bring huge losses to the company. Imagine that investors took 100,000 yuan of liquor and would they really drink it? They will definitely try to recycle funds, for example, through Taobao selling at a low price, such as selling alcohol at low prices to the traffickers. In short, most of these liquors will be returned to the market, and normal sales will be squeezed more severely.

Therefore, liquor companies want to get rid of difficulties through the issuance of wealth management products. Investors should not place their hopes on liquor financial products. The only way to truly rejuvenate liquor stocks is to work hard from the companies themselves, or increase the market through marketing. Share.