Reinventing the Millennium.

Chapter 1005 Regulations (4k)

EST.

On Friday, April 4, Yike held an ordinary press conference late at night, announcing a total of 17% of its disposable equity.

On April 4th and 18th, after two days of news dissemination and deliberation over the weekend, the SEC conducted an informal investigation of Yike.

On Monday, April 4th, YIKE opened normally on Nasdaq, soared strongly, squeezed short hedges, and created a new richest man in the world.

On Tuesday, April 4, a number of hedge funds around the world announced liquidation, U.S. bank stocks plunged, the financial sector suffered a sell-off, and technology stocks rose against the trend. The Nasdaq closed up nearly 21%, the Dow fell slightly It fell 3 percent.

A butterfly flaps its wings and a tornado blows in Texas.

The birds of prey flew wildly, and financial markets around the world exploded.

Nasdaq closed at 600 o'clock on Tuesday afternoon, and YIKE's stock price broke through the 603.28 mark, closing at $1723.66, with a book market value of $[-] billion.

This market capitalization figure surpassed IBM and became the IT company with the third highest market capitalization in the world, ranking 17th in the world.

Underneath it are world-renowned companies such as Google, Cisco, Oracle, Intel, Samsung Electronics, Qualcomm, and Amazon...

Everyone knows that the book market value will eventually recede, but when it comes to "famous", the name of Yike Company has really resounded all over the world this time, and many people in the financial industry even directly have uncomfortable physiological reactions when they see this name.

The Nasdaq closed the next day, but things were far from over.

Because of the chain reaction and because the SEC's action was too slow, many institutions and officials issued warnings about the Yike incident.

——British LSE: Pay close attention to changes in the U.S. financial market, or disrupt the economic recovery process.

what happened?what's the situation?Why hasn't this matter been settled yet?

——German FWB: The U.S. financial system should learn the lessons of last year's economic crisis, release positive signals, and solve the problem as soon as possible.

Squeeze?We are familiar with each other, it will be solved in two days, and it will be the third day for you.

——Huaxia: Well, we have always required Huaxia companies to strictly abide by international rules and the laws and regulations of the host country in their overseas operations, but we also resolutely oppose some media's rumors and smears against companies, and firmly support relevant companies in safeguarding their legitimate rights and interests.

Um, um, this, this is so strange, we are also very confused, you should see how the parties concerned solve this problem.

The Yike short squeeze became one of the most eye-catching events in the world in mid-to-late April.

On Tuesday night, there were still all kinds of news flying all over the sky. Some people noticed the large transactions that were included in the total volume of transactions after the market closed. Some people thought that the SEC would order YIKE to suspend trading tonight. Some people firmly believed that Yike would become the world's largest The market value of the company, and some people say that Yike's Fang Zhuo has been killed...

Amid all the commotion, the "Los Angeles Times" published a special feature titled "Fang Zhuo from the Bottom" on its online website, which attracted quite a lot of attention and was reposted.

The Los Angeles Times is the third largest newspaper in the United States. Since getting the news on Friday night, it has been investigating the relevant situation with great interest, especially the personal situation of Fang Zhuo, an important person.

Yike stock has opened for two consecutive days. Even if it is suspended on the third day, it will not have any positive significance. Instead, it will extend the institutional bomb to the back in a more disguised form. Therefore, this short squeeze will inevitably end in a settlement.

Whether it is the third day or the fourth day, the madness of these two days is enough to make people confused.

The Los Angeles Times believes that Tuesday night is already a good time to spread.

And, from the perspective of news content, they also think it is enough to attract everyone's attention.

"Before April 4, Fang Zhuo, the founder of Yike, left us with the impression that he was an enterprise leader who was good at leading the company. Enough interest."

"In addition, he is also good at finding friends and partners for the company. Even Sony, which used to have fierce competition, has turned enemies into friends. On this list of cooperation, we can see Google, Samsung, HTC and even Apple, and even Sony. Now it is rumored that Microsoft sat down to discuss patent mutual granting.”

"anything else?"

"As for the public's impression of him, the impression of a yellow-skinned rich man from the East, it seems that this is the end."

"When Yike held a press conference, and when many financial institutions were caught off guard, we were surprised to find that this legendary company founder had a more vicious side."

"Soon, we discovered an even more shocking fact. This is far from the first time he has been so vicious."

"As early as 8 years ago, the first company he founded used the method of transferring funds to debt to trap 8 investment institutions. To this day, these institutions are still silent about what happened back then."

"Seven years ago, Fang Zhuo secretly collected funds and initiated a hostile takeover of a listed company. This company is also Sina, which became a bargaining chip in his hands this month."

"Although this standard hostile takeover has been whitewashed in the following times, it can still be regarded as a textbook hostile takeover."

"Obviously, Fang Zhuo was extremely good at dealing with capital long before Huaxia even joined the WTO."

"He's not as moderate as the public makes out."

"In the eastern countries, people there called him the 'hunter'. In connection with the premeditated tactics demonstrated by Yike's short squeeze, the failure of hedge funds is more easily accepted."

"Fang Zhuo is extremely professional, extremely vicious, and extremely skillful."

"According to a grammatical usage of Huaxia, we are still willing to use 'fraudster' to praise his ability, and hope that Mr. Richest Man in the World will not sue us for our derogatory praise."

"Fang Zhuo is an extremely professional, vicious and skilled fraudster."

"Oh yes, it's worth mentioning that Jinrui Company, which was named by the richest man yesterday, soared 83% inconspicuously today. GLG Fund had to clear its positions and leave the market. Jason, the fund manager, resigned to take responsibility for this loss. .”

"What a magical world this is, as if an Unforgivable Curse really came out from the hands of the mysterious man along the magic wand called Twitter."

"This crazy green light didn't hit Jason, it hit our financial order and system."

The eloquent beginnings of the "Los Angeles Times" quickly spread on the Internet.

Many people suddenly realized that Fang is always a professional, that's what he does, and short-selling institutions are not wronged.

What does it matter about this reintroduction of the label "fraudster"?
Compared with this, today's "world's richest man" is what people care about the most.

Many Twitter users reposted and spoke one after another.

"What's so magical about this? Isn't the organization greedy? I brought up Mr. Fang's words again. Greed is a crime. In this wave, the organization committed crimes first, and Mr. Fang was forced to cheat later. It is a legal fraud!"

"I would like to learn Mr. Fang's professionalism, viciousness and skill, and hope that one day I can make these damned hedge funds kneel in front of me like him!"

"Professional fraudsters from the East successfully defrauded the world's most elite financial institutions? Isn't this the most magical?"

"No, no, the most magical thing is that the SEC doesn't do anything about it."

"Perhaps, the SEC did receive a report about the fraud, but it saw the sum of the parties and the hedge fund, and it was temporarily unable to distinguish which party was referring to the fraud."

"As an investor from China, I would like to point out the error in this article. There is no fraud. The so-called 'trap' is just that we and Fang are overcoming difficulties together. Well, even if we are really trapped, trap me It’s Boss Fang who lives here, it’s not because we have good vision and fate, why doesn’t Boss Fang set you up?”

There was a new commotion on Twitter because of Luo Bao's start.

Fang Zhuo, who has been on patrol for the past two days, flipped through twitter after he was so fierce at night, and then he saw another slander against himself.

He was a little angry, why did he still investigate it?
Su Wei saw that the man was a little unhappy, and said lazily: "It's too hateful, who bought this public opinion, and it's too irresponsible, just tell what you have done and it's over?"

"Hey." Fang Zhuo liked two tweets, put down his phone, "It doesn't matter who bought it, Luobao is a liberal, and prefers to promote trade protection, and he has expressed his dissatisfaction with Yike's mobile phone before. .”

He thought for a while, and then said: "I don't know if it has something to do with the dive of the bank stocks today. Behind the Los Angeles newspaper is the Bank of America, and Morgan and the others."

Su Wei turned over, stretched out her hand to hold the phone in front of her, and said with a smile: "Isn't there any one that praises you? You, the founder, are closely related to Yike's reputation, can't you just leave it like this? I've collected so much money this time. Even if you smash it, you will become a hero."

Fang Zhuo snorted, "I'm not the type to spend this kind of money."

Su Wei was about to run.

Fang Zhuo said frankly again: "This is the money the company should spend."

Individuals spend money as individuals, companies spend money as companies, and public and private must be clearly distinguished.

Su Wei: "..."

Fang Zhuo calculated the time between the two places, and was just thinking about having a video conference later when a call came in from a number that had been noted today.

First make sure that this side is Boss Fang himself, and then replace it with Lu Peining.

His tone was a little dignified: "Boss Fang, I'm under a lot of pressure now."

Fang Zhuo was not in a hurry, and asked, "Then tomorrow morning, I will announce the option settlement with the SEC and Nasdaq?"

"No, no, wait a little longer." Lu Peining immediately rejected the proposal, "I mean it will definitely not last until the fourth day, and it doesn't matter if you persist until tomorrow."

Fang Zhuo let out a "hmm", knowing that the clients might have tried their best.

Now even other countries have spoken out about this, which is indeed quite influential, and regardless of the SEC or Nasdaq, it is not just one that has the final say.

Lu Peining sighed regretfully.

Fortunately, he quickly brought up another important matter: "Mr. Fang, we are paying close attention to the matter of Yike's patent. No matter what, the rights and interests of the enterprise and the development of the industry must be protected. .”

Fang Zhuo is still "hmm".

"The MIGA Fund is very professional, and we all believe in Mr. Kong." Lu Peining paused, his tone a little subtle, "There is no need to worry about the MIGA Fund, and we will do our best to strive for the profits we have the opportunity to strive for."

Fang Zhuo heard the change in tone on the phone, and he had some thoughts, but he didn't know if it was what he thought. The only concern of MIGA Fund now was customer information, and the profit that needs to be strived for now is not this time but the next time.

Next time, the importance of customer information will be raised to another level.

However, he didn't want to ask or test it out. No matter what actions Lu Peining and the others did to cover up the best president in the world, it was their business, and it was all their subjective initiative.

Yike only makes mobile phones, and does it if it can be done well. MIGA just makes money, and it makes money if it can, that's all.

Lu Peining stated the important guarantee, but did not get a strong response from Mr. Fang, and continued with some regrets: "Mr. Fang, since last year to now, the financial market has always been turbulent because of this 'naked short sale', including Lei Both Mann and Merrill Lynch were short-sold at critical moments, and there have been voices calling for a ban on 'naked short-selling'."

Financial institutions are good at using naked short selling to make profits, but they also fell prey to naked short selling especially last year.

Financial giants such as Bear Stearns, Lehman Brothers, Washington Mutual, Wachovia, and Merrill Lynch were all short-sold last year and eventually became part of the financial crisis.

Fang Zhuo gave a calm "hmm", wondering why Lu Peining mentioned this, and wanted to investigate back?
"This time, because of the opportunity of Yike's short squeeze, perhaps the SEC will completely pass the regulations prohibiting naked short selling. If passed, it may be called the 'Yike Regulations'." What Lu Peining wants to say is this.

"It's difficult to completely ban it, but it just adds some difficulty. Financial derivatives can also achieve this effect, making the short positions in the market higher than 100%." ​​Fang Zhuo commented first, and then said, "It doesn't seem like a good name. head?"

"I think this is more like a memorable medal." Lu Peining looked at it this way, and said tactfully, "I know that many people want to know Mr. Fang this time, and many people also think that Mr. Fang's New York Institute Great for the SEC."

NYE was the emerging institution, and Summers was the head of it.

Fang Zhuo turned a few more turns in his head. Is Teacher Summerssa going to become the boss of Yike this time? After all, Summers is also closely related to the Carlyle Group, a large organization, which is easy to mislead, and can also help Cover up Shi Yi's good president.

These people are more politically minded, and I don't know if that's what they mean.

"Tomorrow, I'll wait for the SEC's notice." Fang Zhuo put these aside temporarily.

"Well, Shapiro will call in person tomorrow, and she will prevail." Lu Peining said the name of the head of the SEC.

His tone was a little faint, the short squeeze is not endless, it will end after all.

Fortunately, there can be multiple times.

……

The Nasdaq has not yet opened on the third day, and many hedge funds have already liquidated and sold out their positions, which has affected many investors.

It is said that the mainland also has funds invested in the other side of the ocean via Xiangjiang.

It's just that it's not clear who they are.

However, affected by the fierce competition in the mobile phone market, on April 4, Lenovo Mobile suddenly announced that it was looking for buyers.

Don't play it anymore, it's not fun, sell it, just let it go.

(End of this chapter)