America's Road to Wealth

Chapter 171 Doing Yoga and Continuing to Maintain the Persona
Around eleven in the morning.

Abel and Annie do yoga together in a hotel in Los Angeles.

Abel suddenly discovered that yoga is a good exercise.

good for health.

When seeing Annie's graceful figure, she made a curvy, very tempting and difficult yoga movement.

Abel immediately fell in love with the sport and decided to do yoga with her.

While Abel and Annie were concentrating on learning to do yoga.

The mobile phone placed by the bed was vibrating non-stop.

Seriously interfered with his yoga studies.

"Darling, how about... you'd better... check your phone, in case... anything important?"

Annie bit her lip and said.

She has sweat all over her forehead, and practicing yoga is very strenuous.

It is necessary to maintain a fixed posture for a long time, which consumes a lot of energy.

"Don't worry about it, you should concentrate on teaching, you know?"

Abel supported Anne's slender waist and helped her fix her posture.

"Yeah!" Annie hummed lightly, and ignored the phone call.

After more than an hour of yoga, Annie was covered in sweat, and Abel also sweated a little.

He found that the difficulty of some yoga movements is really good.

After doing a set of yoga moves, you will feel refreshed and relaxed physically and mentally.

Abel carried the exhausted Annie to the bathroom to take a comfortable bath.

After taking a bath, he carried her back to the hotel suite bedroom and got into bed.

Annie half-closed her eyes, lying lazily in Abel's arms, looking extraordinarily coquettish.

Abel hugged her while picking up his phone and flipping through it.

He has three mobile phones in his daily life.

One is mobile number 1.

Only his wife, family and relatives know this mobile phone number.

It's what he uses for intimacy.

Usually when he is with another woman.

He won't take this phone.

This phone will be placed on David.Jones there.

As is the case now.

The other two mobile phones, one is for business calls.

When connecting with people inside the company and those business friends.

This is the phone I used.

The last one is the satellite phone, which is basically only used when the mobile phone is not convenient to use.

The phone that rang at this time was number two.

He didn't see who was calling first.

Instead, he looked at the text messages on his phone.

Most of the seven or eight unread text messages were sent by those investment bank giants and Wall Street oligarchs last night.

Philip Purcell: [Hey, dear Mr. Smith.I would like to treat you to a meal. I wonder if you would like to honor me? "]

Paulson: 【I heard that there is a very good Chinese restaurant in Lower Manhattan. Are you interested, Mr. Smith? 】

Richard Fuld: [Mr. Smith, Lehman Brothers would like to speak to you]

【.】

The content of the text messages sent by the top executives of these investment banks is similar.

They all want to invite Abel to dinner, or want to chat with him.

Even last night.

Because of Abel's operation, these investment banks basically suffered a small loss.

Most of them lost some money.

But now, they don't seem to care about it.

One by one wanted to make contact with Abel.

Even if the valuation was as high as 5000 billion U.S. dollars, they shouted cheating at the time.

But after that, those who should want to talk will still want to come and talk.

"Sure enough, the benefits are touching!" Abel shook his head lightly.

He looked at the unconnected call log again, and found that it was marked with [Fuguo, Richard Kovacich].

Richard Kovacich is the current CEO of Wells Fargo.

Wells Fargo, the largest mortgage lender in the United States, has been a mediocre performer thanks to its sound, pragmatic business strategy.

But it also has the most stable yield among the major banks in the United States.

This makes it popular among conservative American investors.

It is the only bank in the United States with a AAA rating.

It is also one of the banks with the highest market capitalization in the world.

Its total assets under management have reached US$8000 billion this year.

This is for those big banks in the United States that generally like investment banking.

It is an outlier.

In line with the practice that eggs cannot be placed in a cage.

Smith Capital has cooperated with each other many times before.

It is the ordinary financial cooperation that lets the other party act as a middleman and a guarantor.

About four days ago, Abel had an idea, wanting to make a wave of empty and long money.

At the same time, let Wall Street realize that he, Abel Smith, is not free from conflicts with Wall Street.

It's not necessary, but once he has this idea.

He can make Wall Street suffer.

So in four days, he passed Smith Capital and David Mellon.

He secretly dispatched his brain trust to contact Wells Fargo and Citibank.

By mortgaging his assets in Los Angeles, as well as his personal line of credit.

Obtained a loan fund of 30 billion U.S. dollars, and then used these funds to enter the international foreign exchange market.

Through the guarantee of these two banks, seek funding leverage from many other banks.

Compared with before, he did not conceal the flow of funds at all.

This time, his cooperation with these two banks was very secretive.

Those short-selling Wall Street giants are used to his previous openness and relaxation.

He didn't keep any vigilance about his operation in this area.

Let him succeed in stealing the chicken in the end, Xiaoxiao made them suffer a lot.

After that, if you want to operate like this again, it will be more difficult to deceive them.

Unless it takes longer and more complicated methods are used.

That way, you can't go through other banks, you can only let Smith Capital do it yourself.

And must also have at least one bank of their own.

a bank of its own.

Abel marked this matter in his heart.

This will be his next greatest effort in the financial field.

This Richard Kovacich who called just now.

It was Wells Fargo, the CEO who was in contact with Abel throughout this transaction.

It must be mentioned that Richard Kovaciewicz was not the CEO of Wells Fargo two years ago.

At that time he was the CEO of a bank called Norwest.

In December 1998, he broke with his usual practice.

Acquired Wells Fargo, a bank with assets of $350 billion, for $930 billion.

However, Richard Kovasivic paid only a premium of 9% above the market value of Wells Fargo to complete the acquisition.

This is very rare in daily large-scale commercial acquisitions.

It was a very successful acquisition.

Contrast this trade with Richard Kovacevich.

Not long ago, there was a deal of similar size in the international banking industry.

That was Credit Suisse First Boston, which bought Fleet Boston Bank.

In contrast, the latter paid a 40% premium for this.

If you buy something worth 100 yuan, you will be given 109 yuan or 140 yuan.

I believe everyone can understand the gap here.

After the merger, Wells Fargo became one of the largest banks in the United States.

For two years, Richard Kovasiewicz ran it very well.

Holding the mobile phone, Abel called the past.

The phone didn't ring twice, and the other side was quickly connected.

"Mr Smith?

"It's me. Good morning, it's already noon. Mr. Kovacich."

"Hahahaha~ Good afternoon. Also, I think if you can call me Richard, it would be more beautiful!"

"Okay, then Richard. But Richard, you can also just call me Abel."

"Understood, Abel."

Across the phone, Richard Kovasiewicz was very enthusiastic.

From the very beginning, they wanted to win over their feelings, but before this transaction, the two of them hadn't even spoken once.

This is normal.

Although Smith Capital likes to disperse funds among major banks when operating capital.

But this kind of dispersion also has some preferences.

Some banks have a good relationship with Smith Capital, such as the four major investment banks-this is really not a joke. Since Smith Capital was established, it has indeed had the best relationship with these four banks.

This may also be the reason why these four investment banks pay close attention to Smith Capital's actions every time.

For the four major investment banks, Smith Capital provides fast and stable commissions and interest.

It is their best quality customer template!
If they have ten clients like Smith Capital a year.

It is estimated that their annual profit can be doubled on the current basis.

Among these banks, Wells Fargo belongs to a financial group that is not very close to Smith Capital.

In the banking industry, Smith Capital, which likes short-term, flat and fast operations, and has a large monthly transaction volume, has always been the most popular type of company.

Because this can provide them with more interest and commission income for middlemen and guarantors.

Smith Capital has always been generous.

In other words, cooperating with Smith Capital in this area can bring in lucrative commissions.

Wells Fargo had no personal relationship with Abel before, and this time it took advantage of this opportunity.

Richard Kovacevich, obviously wanted to be close to Abra.

So that Abel will choose a middleman guarantor in the future.

You can cooperate more with Wells Fargo.

Again, everything is for profit.

"Abel, according to your request. Since last night, we have started to close your account."

On the other side of the phone, Richard Kovacevich said with a regretful tone:

"Total floating profit started out at $11.56 billion."

"But you asked to close the position too fast, we had to give up some floating profits, and eventually a profit retracement occurred, and your actual profit is currently $6.9 million."

What the CEO of Wells Fargo is talking about is a long dollar transaction that Abel started to build a position four days ago.

After ten o'clock last night, he contacted the other party and began to close the position.

Because those giants who shorted the dollar, after discovering that the general trend cannot be violated.

They chose to cut their flesh one after another, and exited at a loss of billions of dollars.

According to Richard Kovasivic's thinking at the time, if the closing speed could be slowed down a bit.

Higher profits were guaranteed at that time.

But Abel refused, and he asked Wells Fargo and Citibank to close their positions as quickly as possible.

This made the originally very beautiful Fuying shrunk by more than half.

This is a common occurrence in foreign exchange and futures transactions with a little carelessness.

This call from Richard Kovasiewicz now.

It is to tell Abel the final situation of this investment that Abel has planned for three days.

"That's pretty good, Richard. I've never been greedy. $6.9 million is a lot of profit," Abe said with a smile.

Earning 6.9 million US dollars in one investment, which is not common in the capital market.

It's just him, a talented person, who uses high leverage every time like a gambler.

Under the high risk, the high return will be so exaggerated.

Switching to a normal investment manager requires at least a principal of US$200 billion.

It is possible to make so much money in two or three days.

And they can't guarantee a steady profit, not a steady loss.

"Haha~ okay." Richard Kovasivic laughed over there.

"So Abe, I'm on a plane to New York right now. I'm off the plane in an hour."

"Would you like to show me your face at that time? I would like to treat you to a meal ~ to celebrate your profit in this investment!"

"Huh? I'm so sorry. I'm in Los Angeles now."

"Uh," Richard Kovacich wanted to say, weren't you still in New York in the middle of the night?
But if you think about it carefully, it takes about six to five hours to fly from New York to Los Angeles.

Besides, businessmen of their level.

Flying up and down all over the United States, that is also a very normal thing.

Richard Kovacevich said regretfully: "Well, that's a pity."

"It's a pity." Abel said with a smile:
"By the way, Richard. Help me return the funds in my mortgage account to Wells Fargo. For the specific commission and interest, just give me another bill."

Richard Kovacevich immediately said over there:

"Ah? So fast? Abel, I can give you another 50% discount on the previous interest."

"You don't need to repay this loan right away. You can use this loan to make more money."

"I believe that with your ability, this is not a difficult task."

The financial industry or the banking industry is this urine.

For successful businessmen, they hope that the other party will lend as much as possible.

The interest is also given as cheaply as possible, and some are close to interest-free.

Even for such businessmen, sometimes they don't need a loan at all.

And those businessmen who are in urgent need of funds and need loans.

The interest on the loans they get in the bank is often very high.

Umbrellas are sent on sunny days, and umbrellas are drawn on rainy days.

That's the best way to describe these people.

"Sorry, Richard. I'm not short of funds. You know, I chose Wells Fargo because it's more stable," Abel said softly.

Richard Kovasiewicz was silent there.

Finally, he smiled and said on the phone: "Okay, no problem. Wells Fargo will serve you wholeheartedly!"

"Thank you, Richard. I still have something to do here, so I won't talk to you for now."

"Understood, no problem."

After hanging up the phone, Abel thought about it and found another person's name in the phone.

Hit it.

About the same amount of airtime as Richard Kovacevich.

The object of the call this time is John Reed, CEO of Citibank.

The content of the conversation is similar to that of Richard Kovasivic.

It's about paying off the mortgage and knowing where the funds are at the same time.

After the mortgage and line of credit are all paid back.

Partial interest and commission deductions.

This time Abel conducted this operation quietly through Citigroup and Wells Fargo.

A total profit of 6.9+4.5, a total of 11.4 US dollars.

The reason why there is a gap of more than 2 million US dollars.

It was Abel who invested slightly less money in Citigroup for insurance.

The funds do not go to Smith Capital's account.

It is considered Abel's own personal money, and has not gone to a specific company account.

This means that if the money is not subject to tax avoidance and tax reduction operations.

A large part of this money will be collected by the IRS as taxes.

But that's also Abel's purpose.

He is the kind who is really paying taxes legally, and he doesn't even deliberately avoid it.

But he is not really completely transparent about his income, let. The IRS can just take a cool jerk.

It is still necessary to go through proper procedures to avoid taxation.

For example, now, the big head of Smith Capital.

Tax avoidance is about to begin.

Otherwise, if the profit of more than 100 billion is used to pay taxes, it will be too painful.

But in order to maintain a good relationship with the IRS, there is also a good image of him paying taxes according to law.

And you can't stop supporting the work of the IRS all at once.

After much deliberation, Abel decided to use his private account to trade once or twice a month.

Try to achieve an annual profit of about 40 billion U.S. dollars, all through the full tax channel.

This counts as his expense in maintaining the character set.

It is also the protection fee for the most powerful department in the United States, the IRS, to always stand firmly by his side.

With the IRS, I'm afraid of FBl!

If the IRS is looking for trouble, it can randomly check the FBl headquarters at any time!
Like last time with the Manhattan District Attorney's office.

If there is no response from Robert's side after the lawsuit storm.

He wanted to go to the IRS.

Let the IRS play with Robert Morgenthau!
He had already implicitly expressed his intentions to the IRS at that time.

Jed, the deputy director of the IRS, also implicitly expressed that they were very happy.

This is what protection fees do.

To pay protection fees, the money earned from this kind of investment generally has two names.

Investment income In the United States, the normal tax that should be paid is capital gains tax.

Capital gains tax is around 15%-20%.

In addition, if it is a stock, there is a dividend tax and another tax.

However, the U.S. tax law stipulates that profits from financial transactions such as stocks, futures, and bonds held for no more than [-] months do not need to pay capital gains tax.

Pay more expensive personal income tax
According to the current tax law.

The personal income tax in the United States is divided into 10 grades from 37% to 7%.

The income of Abel's level is naturally the highest at 37%.

This 37% tax rate includes the taxes levied on personal income by the US federal, state and local governments.

According to different levels of collection, it is divided into federal personal income tax, state personal income tax and local personal income tax.

The bulk is basically in the federal personal income tax.

States and localities accounted for a small percentage.

Therefore, some states in the United States that are richer or have complicated situations do not levy personal income tax at all.

For example, in Texas, only the federal personal income tax is required in Texas, and no other income taxes are required.

The state tax is in the personal income tax, and the rate is generally 1% to 11%.

This is why Texas has been favored by those new rich in recent years.

It can be tax-free, even if it is only a little bit, that is money.

If Abel's profit of US$11.4 billion is not tax evaded and paid normally at all.

Almost one time to pay 4.2 million US dollars.

It hurts so much.

This will probably be in the next few years, maybe even the last few decades.

Maybe ever.
In terms of personal income tax, the IRS has obtained the largest record of the highest tax paid by a single individual.

But in order to maintain the human design, and mainly for this purpose.

At the same time, he continued to build a good relationship with the powerful department of the IRS, and Abel still chose to pay the money.

It's just that later on, he'll ask the IRS to do certain things in certain ways.

Elsewhere, compensate yourself.

According to the urgency among various powerful departments in the United States, the IRS will most likely be very cooperative.

You must know that within these powerful departments, they have their own work indicators.

A good baby like Abel who pays taxes according to the law, in the eyes of the IRS, is a good baby who meets their targets.

Like last time, Jed, deputy director of the Federal Internal Revenue Service.

When Abel created his own character.

Jed, as the deputy director of the IRS, did not hesitate to stand up and endorse his personality.

This can be said to be the first time in the history of the IRS.

For the First Time, the IRS Endorses a Billionaire's Good Tax Ethics
You must know that before this, the IRS has always been the department that the richest Americans fear the most, and at the same time, the department that they hate and resist the most.

It can no longer be said that it is rare to be like Abel.

But unique.

After all, such a large sum of taxes made even Abel feel a little bit pained.

Fortunately, the money was easier for him than blown by the wind.

The money blown by the strong wind has to be "hard" to pick one by one.

And Abel makes all this money with just a few phone calls
Thinking about it this way, Abel didn't feel so distressed anymore.

He threw the phone back on top of the cabinet.

Turning around and hugging Anne who was so tired that she had fallen asleep.

"Get up~ honey, let's do yoga again!"

"Ah? Still coming~"

Annie, who was woken up, felt soft and numb all over.

Doing yoga by yourself will not work.

Doing yoga with Abel, it's hard work!
Think about carrying a big moving sandbag on your back while doing yoga.

Even this big sandbag itself has a certain role in maintaining posture.

But it will be very tiring.

But we haven't seen each other for over a month.

Annie couldn't bear to refuse him again.

She had no choice but to reluctance, worked hard, sweated again, and put on the yoga pose she had just practiced for a long time.

(End of this chapter)