Reboot 2003

Chapter 211 119: Two respects (two in one)

On the rostrum, the bald man from Goldman Sachs was busy promoting their new financial product. From his description, it sounded like it was probably the recently popular CDO.

Just like at the press conference that day, financial elites in suits and ties listened carefully in the audience and discussed in low voices implicitly that this year ICBC went public. Goldman Sachs brought modern financial knowledge about handling non-performing assets to ICBC, which had just undergone shareholding reform. The bank went public.

Although Goldman Sachs has made a lot of money as a result, it is not necessarily a kind person, but for today's ICBC, Goldman Sachs does play a role like a mentor.

Chen Qin, who was sitting in the corner, scratched his head. Did he come to China for this purpose?

Feeling a little awkward.

I have just imagined a business war drama in which Goldman Sachs went to China to dig up the details of the "Red Water Fund" in order to make back-end rumors. I remember that Gu Wenjie said two months ago that this person was in China, and the possibility was indeed not impossible.

However, although his business is important, and it is probably worth more than one billion US dollars to Goldman Sachs, in the eyes of Goldman Sachs, it is probably not that important. At least it is not worth letting people spend more than half a year for a shell company. Boss Chen has so many behind-the-scenes dramas, so he is probably a bit pretentious.

The speech on stage continued, and the in-depth and simple part was over. Next, the bald man began to mention some difficult things - complex mathematical formulas, the frequently mentioned 'Nash equilibrium', and some unpopular international financial institutions. Although the bald head explained the name in a simple way, the audience gradually couldn't keep up. They just looked at the glittering Goldman Sachs managers on the stage in awe and struggled to identify those complicated English words...

Probably because he thought it was useless to talk too much, the big bald man also quickly finished the speech.When he left the stage after speaking, the audience burst into applause. The leader exchanged a few words with him and seemed happy. He also wanted to go up and say a few words, and invited the bald man to sit down below.

The bald man nodded, but turned around and saw an acquaintance who walked through the crowd and sat on an edge seat with Lao Xu.

Lao Xu brought his children to see the excitement. He didn't expect to be the center of attention like this, and he was a little uncomfortable. However, the bald man invited him to participate in this event and seemed to have something to say to him.

So while looking at the leader who was speaking on the stage, he talked to Lao Xu: "Xu, what do you think of this product?"

With so many people present, Lao Xu is probably the one who least understands finance... He could only laugh and say, "I don't understand finance. I just heard that you are very good."

Bex laughed: "You can't say that. The financial products your company is purchasing should be players participating in the same transaction as ICBC. Now that this game has reached the final stage, it will also be beneficial for you to have more people participating in the transaction." benefit."

Lao Xu vaguely felt that he was testing something, so he could only say: "Oh...well, I don't understand this very well."

"I understand. Of course, your company seems to be involved in some regulatory gray areas. I will not disclose the transaction with you. This is the judgment of our group. When you return, you can discuss it with your boss or investors. Let the department convey this meaning.”

"Oh... Okay, I'll remember it." Lao Xu promised, "I will ask the investment department to call you when I get back."

"That's not necessary. In addition, you can give this document to them. It has some confidentiality clauses. Remember not to show it to others."

The bald man seemed to be saying nice things, but by now, the core meaning he wanted to express was already clear.Galaxy Software is a short side, and it’s actually a bit inappropriate to appear in this place. However, Goldman Sachs is now going to do this deal with a big bank. For Galaxy Software, it means ‘Don’t meddle in other people’s business.’ Not only does it now have to remind the old Xu, he might have meant this when he mentioned the Red Water Fund in a pointed way during the day.

After the big bald man finished speaking, he gave Lao Xu a USB flash drive. Chen Qin listened and almost understood the whole story of this encounter.

Maybe it was just a chance encounter - not only did the big bald man have another purpose, but the reason why he mentioned the red water fund before was now clear.

Is it really just self-indulgent?
The leader's speech continued. Then, others patiently listened to the speech on the stage, but they seemed to gradually lose interest in what was being discussed here.

After the speech was over, the leader strode down and gathered with the bald man to talk about topics such as integrating with international standards.

Lao Xu also stepped aside wisely. In the splendid hotel lobby, the translator stood half a step away and lowered his hands professionally. A large group of well-dressed bank executives and financial consultants around him looked at the two people in the middle with blazing eyes. They are clustered in the middle like an arching moon, as if they can outline the specific shape of the peak of power in this world with their eyes.

At the moment when Bex and the leader picked up the wine glasses passed by their subordinates and clinked them together, the reporter pressed the shutter. However, Lao Xu had already withdrawn from the central position with his children in advance and quietly retreated to the periphery.

Someone came to accompany Lao Xu, the unexpected 'distinguished guest', but the two children seemed to have gradually lost interest. Lao Xu remembered what Bex had just said and wanted to go back and call the investment department. When leaving, Xu Lingling asked in a low voice: "Ah Qin…”

"Let's go. If you want to ask about Guazi's mobile phone, I'll ask you in two days."

"I don't dare to ask, that person is so cruel... but have you figured out what you want to know?"

"How can I say it, it helps a lot."

"hey-hey."

Xu Lingling seemed to be happy. As she was talking, a rough man in familiar clothes came out: "Mr. Xu, are you leaving?"

"Sorry, something happened..."

"That's right, during the day you said you lost something by the lake..."

"what?"

"At that time, you said that your daughter lost a mobile phone..."

The man handed over a small bag, but when he opened it, he found a Galaxy mobile phone. Lao Xu suddenly recognized him as the manager of the West Lake District during the day. When the day happened to mention it, he actually fished out the phone.

Lao Xu quickly thanked him, but when he turned on the phone, it still started up.

Old Xu was stunned: "Is this a new mobile phone? No need, our mobile phone is only for children to play with casually, I'm sorry to cost you so much..."

"What's the matter? This is the mobile phone you dropped. Please accept it! We are also acting under orders. If we cannot provide you with good service, we will be criticized when we go back."

"..."

Just like that, I left the banquet hall and returned to the room where I lived.

Maybe it was because the meeting just held was too formal, maybe it was because of the mobile phone, or maybe it was because they were tired from playing during the day. In short, after returning, the three adults and children had nothing to say, and the mobile phone was also put away. , Xu Lingling also lost interest.

Because of Becks' request just now, Lao Xu had to inform the people in the corresponding department. Xiao Chen happened to have brought his own laptop, and there was Skype on the computer...

Lao Xu finished using the computer for a few minutes, and then went back to live in a room by himself.

After Lao Xu left, the account had been canceled. However, Chen Qin used the decoder to look through the local cached chat files and found that he only mentioned the matter between Bakers and ICBC today to the investment department, and did not specifically mention the payment from Bakers. Specific investment projects provided by ICBC.

So Chen Qin opened his mailbox and wrote a document...

Now it seems that today's matter may indeed have nothing to do with my family, and now is a critical period. Of course, it is better to do less than to do more.

What's more, good words can't persuade the damn ghosts. In the current subprime mortgage market of Meili Jian, bulls are still the mainstream, and blind investors have poured in one after another. Although the number of short sellers has gradually increased, CDO buyers It's still mainstream.If ICBC wants to buy it himself, he has no control over it.

But then again, there are too many interests involved, and this is no longer as simple as 'buying financial products'.

From a pessimistic point of view, small retail investors with no power and power who go to Wall Street to make money may be unplugged that day.

It's just that with a great opportunity right in front of you, it's a bit too shameful to run away in fear without even giving it a try.

Since there is a problem, we must first try to solve it. If he hides from everything he sees, he was scared away when he saw Telecom. Of course, these high-level forces themselves are reasonable, at least to a certain extent.

And although the key is not that insiders will not know it, in the modern financial market, connections and behind-the-scenes methods are still issues that cannot be avoided in many cases.

Therefore, based on some future experiences, if you want to do this kind of big business that you are not familiar with and want to rise peacefully on your own, there are indeed some experiences that can be used... In summary, it is called 'two respects'.

One is to respect existing conventions, and the other is to respect the existing order.

Conventions are easy to understand, laws, norms, standards, and even morals... these are conventions.Some of them are rules written in black and white, and some are tacit consensuses. They may not be useful, but as a new entrant, abiding by convention is the foundation of everything.

Chen Qin had been preparing for so long before, and the purpose was just for this - there was basically no possibility of secret operations in this financial operation. Not only must it be legal and compliant, but ethically, there must be a way out in advance.

In addition, observing order is relatively difficult to understand, but this one is actually simple to say, that is, don't provoke the boss.

In Meili Jian, who is the boss?

To put it simply and crudely, Meili Jian’s boss is Meili Jian.
For Chen Qin at this stage, this target should undoubtedly be a bank.

In the financial field, the bank is the boss. Not only is it the pinnacle of today's beautiful and strong society, it is better than the government in some fields. Moreover, if you buy CDS now, you will earn money right under the nose of the bank.

But apart from that, he is in China after all. Considering the worst case scenario, he has to establish relationships with banks here in China.

Chen Qin first asked Ji Xianglin for a risk report from some time ago, and then asked for a recently purchased ABX index document, which he attached to the attachment of the email.

Then he said in the email that he had recently received news that ICBC was preparing to purchase Melician's CDO. As a partner, of course he had to remind his friends.

Finally, the logo of the Red Water Fund was glued on. This was specially designed by the artist of Shamke. With the official header, it was sent to the manager of the Luxembourg branch through the Russian server... Now the Luxembourg branch has a cooperative relationship with the company, so the document Give it to them and they can forward it to the ICBC headquarters.

After sending this, there is nothing left to do next.

There is still tomorrow's schedule, and the adults are urging the children to rest.

However, after falling asleep, Chen Qin had insomnia in the middle of the night. The warm air from the air conditioner in the hotel was blowing loudly. Chen Qin was thinking about the cocktail party just now, and he had a strange feeling...

Meeting this kind of person in real life is indeed a different experience, but apart from that, the vibrant business reception just now really left a deep impression on him...

When it comes to finance, Chen Qin himself is not an expert, but he knows something about it. After all, in 2023, mathematical tools have just emerged in China's financial world, and financial products including quantitative investment, bond instruments and other financial products are not very popular in China. With a history of more than [-] years, in today’s financial world, there are indeed not many people who understand these financial products. This is actually a good thing.

So they probably didn’t understand the financial products that Becks was talking about, and they didn’t seem to be interested. Becks talked for a long time, but the leaders only heard about good pictures such as being in line with international standards, and basically didn’t care about these risky things. Interested, even if he didn't remind him, Chinese banks would not buy many CDOs that were hit by thunderstorms.

However... this kind of business would not have been done by Tianchao Bank in the first place.

CDOs and CDS are bond instruments. They cannot be traded by people outside the subprime mortgage system, let alone sold abroad.

Now that Bex has gone to China, he is simply selling this thing as ABS. ABS is bad debt. He packages junk bonds into a hodgepodge like CDO and sells them, but this is not ABS. After all, whether it is junk bonds or ABS, they are They are all financial products that are legal, reasonable, and beneficial to the market. In a sense, they are similar to venture capital. Although they are very unreliable, the yields are also high. However, the CDO market is different. Although it maintains the market to a certain extent Stable, but as an investment product, it is not only sold to people outside the system, but also sold abroad...

Vaguely, it seems that we do see something dangerous - now the crisis is likely to be out of control, and Goldman Sachs is transferring the risk in advance.

Of course, this thing should be something that the reborn person has seen a long time ago, but it is indeed new. After all, he has relied on future vision before. This is the first time that he has seen real signs of an approaching crisis from the perspective of this era. .

Of course, now it seems that it is not really close to him.

For a primary school student, this kind of thing is indeed too far away. Being far away has its advantages. Since he knows the correct answers, he only needs to let these correct answers become funds in his hands.

Chen Qin was thinking wildly about subprime mortgages, and the more he thought about it, the more energetic he became.

I was thinking about how to continue buying the bottom after the subprime mortgage crisis officially broke out, when suddenly my phone rang.

The Motorola phone was on the table, and Chen Qin didn't want to touch it at first, but for some reason, emails came one after another, and the phone kept buzzing.

Lao Chen muttered something to sleep impatiently, and Chen Qin quickly got out of bed to get his phone. Before he could turn off the vibrate, he saw the contents of the messy text messages sent.

"Aotian, something seems to have happened to HSBC..."

“Just now, HSBC’s North American headquarters seems to have said that this year’s annual report will be postponed. There is internal news that their mortgage department is experiencing a storm.”

"Part of our CDS are issued by HSBC..."

"The manager of the Luxembourg branch just confirmed that to us. What is going on?..."

It seems that something big has just happened. The rise in default rates is the first to be affected by lenders. HSBC's Meilijian branch is engaged in a large number of real estate subprime mortgage businesses. It seems that the paper is now unable to contain the fire.

Chen Qin regained his energy and replied with a text message asking, "Does it have anything to do with us?"Gu Wenjie replied that it was okay, but you just wanted to send an email to ICBC. Did you know any other news?
All the necessary preparations were made, and after a busy exchange of information, it seemed that this matter had little to do with the Red Water Fund. After that, Ji Xianglin took a briefcase and ran to inquire about the news from HSBC. Gu Wenjie seemed to be going to They were preparing for the IPO roadshow of Kuaikan Media, and they also had time to catch up on the news. They were in Los Angeles, and the big news happened just in time for work, so they didn’t have to worry about affecting their sleep quality.

Chen Qin was originally a little insomniac, but after replying to the text message, he felt sleepy and fell asleep quickly...

"Get up!"

Early the next morning, Chen Qin still wanted to sleep in. Xu Lingling ran in, lifted his quilt and ran away, while Lao Chen watched happily.

It seemed that the day was still the same as usual. Chen Qin yawned and went to wash his face and brush his teeth. He had to catch an early train to Qiandao Lake today and his schedule was quite tight.

"I checked out today, won't I come back tonight?"

On the elevator going downstairs, Xu Lingling seemed to be yawning. She was actually asking Chen Qin, but Chen Qin didn't say anything. Lao Xu told her: "Well, I'm done playing this morning and will go back to Longshan in the afternoon."

Xu Lingling asked: "Dad, have you booked your flight ticket?"

Lao Xu said: "This time I will stay for two days before leaving, but it depends on the company's arrangements. If nothing goes wrong, I will stay for another two days, and then it will be the Chinese New Year..."

Xu Lingling remembered something again and asked Chen Qin: "By the way, Aqin, we agreed that we would hire a classmate to record this holiday."

"There's still one semester left, why are you in a hurry? Besides, there's one right in front of the school..."

Just talking like usual, we arrived at the first floor of the hotel and the elevator door slowly opened.

When he was about to check out, Lao Chen was carrying a travel bag. When he went out, he encountered a large group of people in suits pouring into the elevator. Grandma Xu quickly reached out and grabbed the two children behind.

When I arrived at the lobby, I saw a tall figure standing there in the distance.

"It's that person..." Xu Lingling said softly and turned to look at Chen Qin.

Lao Xu was walking in front, probably because he thought it was impolite to go around, and Becks was standing alone in the middle of the lobby. Several people who looked like hotel managers were standing next to him at a loss. Seeing that the atmosphere was a bit wrong, he said hello: "Becks Good morning, Mr. Si."

However, the tall man suddenly turned around. Yesterday, when he saw him, he was a polite and powerful Wall Street manager. Today, his eyes were bloodshot and his face turned black. When he turned around to see Lao Xu, his eyes suddenly exploded. Bare.

Lao Xu subconsciously took a step back, but Bex stepped forward and grabbed him by the collar. Without saying a word, his iron tower-like body carried pressure and pushed Lao Xu back a step. Under the surprised eyes of everyone, During the process, it hit the drink rack at the back.

(End of this chapter)