I just want to enjoy life

Chapter 302 310 manages ISDA in a 700 trillion dollar market, Zhang Xiaolei's shock

On the 15th, Tuesday, after breakfast, Lin Haocang came to receive a call from Liao Jingling.

Liao Jingling on the phone: "Xiao Cang, I have already made an appointment with our president, come to the office to talk to her this morning!" Lin Haocang asked her to make an appointment with their president, Zhang Xiaolei, as if he wanted to talk about something important. Yingda Bank signed a written agreement, but she was not easy to ask.

Lin Haocang immediately said: "Okay, I'll go over and talk to her right now!"

The president she mentioned naturally refers to Zhang Xiaolei, the president of Yingda Securities Company (Yingda Investment Bank). Now Lin Haocang's funds have reached 1 million US dollars, so Lin Haocang wants to sign an extremely important agreement with Yingda Bank. To ensure the safety of their transactions!

And this famous agreement is called ISDA agreement!

What is the ISDA agreement?

Ordinary people naturally don't understand, or even heard of, of course, they may not be able to understand what kind of ghost agreement is this?

The ISDA agreement is a standard agreement text and its subsidiary documents provided by the International Swaps and Derivatives Association for international over-the-counter derivatives transactions.Founded in 1985, the International Swaps and Derivatives Association currently has more than 800 members from 56 countries.Its branches are all over the United States, Europe, Jiangdao, ... Lion City and Tokyo. The ISDA agreement documents include the main agreement, attachments, credit support attachments, transaction confirmation and various product definitions.

The market value of ISDA's core market has reached 700 trillion US dollars, more than 10 times the global economic aggregate.This organization is relatively low-key, mainly composed of banks, hedge funds, and investment institutions.

Tsk tsk, 700 trillion U.S. dollars, it scares people to death!
Looking at this figure of 700 trillion US dollars, you will feel that you are just a drop in the ocean in this world!
Any powerful investment banks, hedge funds, and investment institutions will join in to ensure the safety of the transaction. As for retail investors, they are not eligible to enter.

Similar to the majority of banks, Merrill Lynch Capital Services, ING Bank, and Fortis Bank have formally signed the International Swaps and Derivatives Master Agreement (ISDA Agreement) and the Credit Support Agreement (CSA).

The ISDA master agreement is a credit document on swaps and other related derivatives transactions, mainly including the standard contract format, attachments and confirmation of specific transactions drafted and published by the International Swaps and Derivatives Association.It can not only reduce legal uncertainty, but also reduce the credit risk of derivatives transactions through terms such as net settlement, offset, and early termination.As an annex to the ISDA agreement, the CSA stipulates the specific details of the mutual delivery of collateral, including the time and method of market price assessment, the type and quantity of collateral, the threshold amount for mortgage delivery, mortgage interest calculation, dispute resolution, etc.

But the threshold for signing the ISDA agreement is very high. Anyone who has watched the movie (The Big Short) knows that when the two genius protagonists went to Morgan Stanley Bank (Morgan Stanley), they wanted to sign the ISDA agreement with the bank, but they were told by the bank , Their funds are still short of 13 billion US dollars, let them work hard to achieve 14 billion US dollars of funds!
The ISDA agreement threshold is frighteningly high. Similar to the ISDA agreement of Yingda Bank, the threshold is 10 billion US dollars. Lin Haocang’s current capital is only more than 1 million US dollars, and he is not qualified to sign the ISDA agreement with Yingda Bank, so he had to ask Liao Jingling to make an appointment Zhang Xiaolei, the president of Yingda Securities Company, went through the back door.

If Zhang Xiaolei doesn't have any problems in her mind, she will help herself to settle this ISDA agreement!
·
After Lin Haocang finished the phone call with Liao Jingling, he drove to Yingda Securities Company.

Liao Jingling was already waiting for him. Lin Haocang who came down from the Ferrari, Liao Jingling trotted over immediately, kissed him, and said, "Xiao Cang, you are finally here, our president is waiting for you in the office!"

Lin Haocang smiled and said, "Well, thank you, Sister Lingling!"

"We have such a relationship, do you still want to be polite to me?" Liao Jingling looked at Lin Haocang intently.

"Hey, I will definitely love you from now on!" Lin Haocang said with a smile.

Liao Jingling's face suddenly became hot, Lin Haocang's words really made her feel elated.

After a while, Liao Jingling brought Lin Haocang to Zhang Xiaolei's office. The decoration of the female president's office was rigorous and elegant, with a poetic feeling.

The female president is wearing a pink temperament suit skirt, white high heels, and a silver diamond necklace. She is very particular about her matching and is full of aura!

No wonder Liao Jingling has always regarded her as an idol!
"Mr. Zhang, Mr. Lin is here!" Liao Jingling left the office after speaking.

Zhang Xiaolei looked at Lin Haocang with a smile, and said, "Mr. Lin, hello, please sit down!"

"Hello, Mr. Zhang!" Lin Haocang took his seat with a smile, looking at the mature, beautiful, charming, intellectual and elegant female president, Lin Haocang liked it very much in his heart, as for what kind of like he did, he didn't need to say it out, so as not to appear vulgar.

After the two chatted for a while, Zhang Xiaolei looked at Lin Haocang in admiration, and said with a smile, "Mr. Lin, you are the most talented trader I have ever seen!"

"Then you are worth hundreds of millions of dollars at a young age, and becoming a financial giant in the future is just around the corner!"

"No wonder Xiao Liao loves her so much!"

When Liao Jingling found her and told her about Lin Haocang, it was admiration and admiration.

Lin Haocang was able to achieve today's 1000 million US dollars with a principal of 1.2 US dollars, he is simply a genius among geniuses!
She has seen people who use a few million dollars to make hundreds of millions or billions, but she has never seen people who use 1000 dollars to make hundreds of millions of dollars.

And Lin Haocang is still so young, which shocked her heart.

·
"Mr. Zhang, it's serious!" Lin Hao smiled faintly, and said bluntly, "I want to ask you to do me a favor and ask Yingda Bank to sign the IADS agreement with me!"

Zhang Xiaolei smiled and said, "Mr. Lin, the threshold for the ISDA agreement of Yingda Bank is 10 billion US dollars. You make me a little embarrassed!"

Lin Haocang said frankly: "Mr. Zhang, I believe you have heard about my investment level. In the future, everyone can cooperate with me in depth. My funds will increase in the future. Isn't it very good for you? I became the Bank of Yingda When the major shareholders enter the board of directors, they will nominate you to be the CEO of Asia!"

When Zhang Xiaolei heard Lin Haocang's words, she was stunned. This kid only has 1.2 million US dollars in funds. How dare he say that he will become the major shareholder of Yingda Bank in the future?

The current stock price of Yingda Bank is 314 yuan per share, and the total share capital is 32 billion. The market value of Yingda Bank is as high as 1 trillion. Calculated according to the exchange rate, that is nearly 1300 billion US dollars!

A major shareholder, um, counting 5% of the shares, it would cost more than 65 billion U.S. dollars. If there is a premium, it might cost 70 billion U.S. dollars!

You are only worth 1.2 million U.S. dollars, and you actually want to become the major shareholder of Yingda Bank?
This is impossible!
(End of this chapter)