Core Viewpoint - Li Ka-shing is rapidly selling off properties in the Bay Area at significantly discounted prices, signaling a strategic retreat rather than a typical business operation [3][4][6]. Group 1: Asset Disposal Strategy - At 97 years old, Li Ka-shing is executing asset sales at an unprecedented pace, reflecting his lifelong capital philosophy [4]. - His approach is characterized by a unique asset value arbitrage model, which is now being challenged by changing market conditions [8]. - The strategy of "buying low, holding long, and selling high" has been effective, but recent policy shifts are altering the landscape [10][17]. Group 2: Market Conditions and Policy Changes - The Chinese government's 2025 directive to "activate idle land" is fundamentally changing the rules for property developers, ending the era of land hoarding [17][18]. - Longfor Group's land reserves in mainland China have decreased from 6.59 million square meters in 2020 to 5.57 million square meters in 2024, marking a historical low [20]. - The company's sales in mainland China plummeted over 90% from their peak in 2020, indicating a shift from expansion to strategic contraction [22]. Group 3: Recent Sales and Financial Implications - Longfor Group's recent sale of 400 properties at "fire sale" prices, with some starting at approximately 400,000 yuan, reflects a shift towards minimizing risk and ensuring cash flow [25]. - Since 2013, Li Ka-shing has liquidated over 200 billion yuan in assets, with 70% of these sales occurring in mainland China, indicating a significant capital reallocation [27]. - The company is also divesting from politically sensitive assets, such as global ports, while investing heavily in stable public utility sectors in the UK [29][31]. Group 4: Long-term Goals and Wealth Preservation - Li Ka-shing's recent actions are not panic-driven but rather a calculated strategic shift aimed at wealth preservation and ensuring a stable legacy for his family [33]. - The ongoing global capital flow signifies the end of a specific business model in China and raises questions about the future of accumulated wealth and the role of new investors [35].