Investor That Can See The Future

Chapter 485

Financial instability spreads and begins to affect the real economy. Now everyone could feel it.

Just like during the financial crisis, car sales were put to a halt.

The automobile industry is large and employs a large number of people. Even if the car is not sold, the factory must be returned, salaries of tens of thousands of workers must be paid, and customers must be maintained with parts makers.

In the case of Karos, the order volume had already been delayed for more than six months, so it was not enough to impede production right away, but it was difficult to execute a large-scale investment plan such as the construction of a new factory.

GM, Ford, Toyota, Daimler AG, and the Volkswagen Group have begun reducing plant uptime due to reduced orders.

When the flow of money was tight, everyone took an emergency. Not surprisingly, almost every automaker was jumping into the transition to self-driving electric vehicles.

Sales of existing vehicles are decreasing and investment is increasing, but the new industry is not yet making a profit.

Although the real crisis had not yet begun, screams erupted from all sides.

I spoke to President Trusova Rosatom.

[TWR orders are decreasing. Exhibitors are also reluctant to make additional investments.]

If the demand for electricity decreases due to the economic downturn, there is no need to build nuclear power plants. In fact, Britain and the Czech Republic have begun reviewing nuclear power plant construction plans.

If this happens, Russia’s plan to find a breakthrough in Western sanctions with the construction of the TWR as a weapon will inevitably be disrupted.

VRMMORPG game development conducted by OTK Games was also in crisis. There are more than 30 companies that are primarily related to them, and it is questionable whether they will follow suit. From the moment the data center was built, it appeared to be drifting.

In the meantime, we have been increasing our investments, expecting future returns. There is a lot of money to put in here and there, but if there is a crisis, the recovery time will be delayed even more, and it will be difficult to raise money.

Taegyu shook his head.

“The timing is the worst.”

I said with a frown.

“I must have chosen this timing on purpose.”

It’s the worst for others, but for the Rothschilds, it’s the best time to maximize their profits.

Taehyung asked me.

“But, as Rothschild said, wouldn’t it be impossible to develop Saemangeum and North Korea to claim $70 billion from Japan?”

I thought for a moment and then shook my head.

“It’s not out of tune. But it has been delayed since the financial crisis.”

No crisis lasts forever. Someday it will be overcome However, in the meantime, some people fall, and some people only make more money.

When the dot-com bubble burst, many Internet companies collapsed and many talented people lost their jobs. However, the insolvent companies that corroded the market disappeared, the industry’s credibility increased, and the government’s support was concentrated on healthy companies.

The surviving companies recruited layoffs from insolvent companies and developed the technology to dominate the unrivaled market.

This became the background to the birth of giant Internet companies such as Guble, AMZ, and Facenote.

The situation was still the same. Although many startups did not make any profits, their prices soared only with anticipation, and the global asset bubble became serious.

As Warren Boat said, now is the time to buy good companies at a high price rather than buying good companies cheaply.

So, is this crisis also necessary for the new era?

* * *

I got the call and headed to Saemangeum with Taek-gyu.

The reclaimed land, where only sand and dust flew, has now been turned into a huge construction site. Heavy equipment was in constant motion, and construction was in full swing in all directions.

In the place where the ground work was finished, roads were already being laid and buildings were going up. If the construction proceeds according to plan, a completely new city will be born in the next five years.

There, we met Nam Poong-hyeon, director of the Saemangeum Development Agency.

“Until before, there was a buzz about investing from all sides, but from a certain moment, contact was cut off like a lie. Even existing appointments are being canceled one after another.”

People gather where people gather.

Whether it is a satellite city connected to an existing metropolis, the development of a new city capable of self-sufficiency requires a strong driving force.

However, when the financial crisis comes, large-scale investment plans are disrupted, and momentum is lost.

He continued speaking with a dark expression.

“Investors are concerned that the development of Saemangeum will be delayed. A lot of companies are slowing down their investment.”

Even large corporations declared emergency management and started to improve management efficiency and reduce costs. So, you have to be careful with your investments.

Disneyland’s Universal Studios theme park construction also showed signs of delay. As anchor investors hesitated, other investors also delayed the start of construction and additional investments.

Usually, urban development builds infrastructure with money from the sale of land and apartments. If funds don’t circulate properly, everything comes to a standstill.

“Foreign investors also keep asking questions. They seem to want to hear the representative’s point of view.”

Saemangeum development is a project led by OTK Company.

No one can tell me directly because they are looking at me, but the rosy prospect that it will become a high-tech city that will lead Korea soon entered.

I thought of Dubai.

Dubai, which had developed a new city to the extent that it was called the miracle of the desert, went bankrupt due to the global financial crisis that just broke out, and many development plans were suspended or canceled due to the failure to pay money.

After that, he managed to survive thanks to the support of Abu Dhabi, the leader of the UAE, but he is still experiencing difficulties.

Fortunately, Dubai faced a financial crisis after the mid-term construction period, but Saemangeum is only in its infancy. It’s so easy to get your feet out.

“I will contact major investors directly. Please proceed as planned for now.”

“Okay.”

* * *

Governments around the world have made efforts to establish financial stability measures.

However, there was no answer unless the US stepped in, as it was triggered by the US key rate hike.

The world only wanted the US to stop raising interest rates.

But just before the start of the new year, Fed Chairman McClay announced another 0.5% increase.

“I am raising the federal funds rate, currently operating at 2.5 percent to 2.75 percent, from 3.0 percent to 3.25 percent. The global asset bubble is severe due to low interest rates. We need to take a preemptive response before there is a bigger risk in the future.”

As he said, the money released through low interest rates and quantitative easing flowed into the asset markets such as stocks and real estate, not into the real economy such as investment and employment, creating a bubble.

Liquidity is abundant even in a situation where the real economy is stagnant and income does not increase, and real estate prices in major cities have already exceeded the level that the middle class can afford.

Ultimately, the only way to solve this problem is to raise interest rates and recover the money loosed in the market.

The problem is that it’s too fast. In terms of percentage, interest rates have risen more than 70 percent in just two months.

Even within the United States, concerns about a recession are starting to emerge.

President Ronald spoke in front of reporters while the US Congress was debating the issue.

“It is the Fed’s decision to raise rates. Chairman Maclay is a very good person, and I believe he is making good judgment.”

This was, in effect, a statement that the US administration did not intend to put the brakes on interest rate hikes.

As the news spread, the stock, foreign exchange and bond markets fluctuated again.

* * *

With the US continuing its dominance in raising the benchmark interest rate, the world’s attention was drawn to China.

Compared to 10 years ago, China today has a completely different status.

China accounts for about 15% of the world’s GDP. If this economy collapses, an unimaginable shock will strike the world.

And Korea cannot be free from its influence.

As concerns grew, the KOSPI index broke the 3,000 mark, which had barely broken through. Foreigners sold stocks and bonds, exchanged money for dollars, and exited the Korean market, and the exchange rate soared.

It has risen over 10%. This may not seem like much, but in other words, all assets in the country have fallen by 10 percent.

10% of the entire nation’s wealth was lost without knowing it!

In the old days, thieves crossed walls and entered other people’s houses and stole money and precious metals. But these days thieves are just manipulating numbers.

Changing just a few numbers changes homeowners from individuals to banks, businesses go bankrupt, stores close, and people lose their jobs.

Houses, shops, and buildings are still there.

This must be the fear of finance.

I kept checking the financial markets. Fortunately, there has been no movement of specific forces so far.

After the aftermath of the US key interest rate hike passed, the stock market stopped its decline for a while to see if the government’s stimulus measures were working, and the exchange rate rises stagnated.

But this is just the calm before the storm. The real thing hasn’t even started yet.

Industrial capital has factories and offices, hires people, and everyone knows what to make and sell.

On the other hand, it is difficult to grasp a clear reality of financial capital.

It’s everywhere, like a ghost, but nowhere. They freely cross borders in pursuit of profits only.

Even if you understand the flow of money, it is difficult to determine who is the owner. The money doesn’t even have a name tag on it.

Taek-gyu asked.(Read more @ wuxiax.com)

“If the financial crisis breaks out, can’t we take a part as we did during Brexit?”

I sighed and shook my head.

“It’s not easy.”

Why didn’t you think of it as me?

I’ve been making money using the future that only I know of. But they know the future just like me.

No, as much as I know when, where, and how it will happen, it would be nice to have more information than I do.

In addition, they have more movable capital than me, have better management capabilities, and have a system to invest in them.

Most of the good investment opportunities have already been seized by the Rothschilds. The money I can earn by jumping in here is a new piece of blood compared to them.

“More than anything else, I don’t have much money to spend right now.”

There are so many things that I have been working on in the meantime, and money is constantly coming in.

As an investment company, OTK Company has acquired several companies so far. However, unlike other investment companies, he did not exit and grew the company through continuous investment.

Even if my fortune is over $1 trillion, it’s just an arbitrary estimate of my value, and I can actually move less than $100 billion in cash.

On the other hand, it is not even predictable how much cash they have, how much they can move.

As an example, Redstone Group’s assets under management are $400 billion, and Albert Management is also known to have more than $100 billion.

As much as they decided to cause a crisis, they must have turned their assets into cash before that, so in reality there will be more.

“You can hedge it to some extent, but the losses are much higher.”

Electric vehicles, batteries, TWR, VRMMORG, Saemangeum, etc. All subsidiaries are already taking a hit.

Hearing what I said, Taek-gyu narrowed his eyes.

“Then shouldn’t it be stopped?”

“How do you stop it?”

“Well. Isn’t there some way?”

“So what is the method?”

“I’ll have to look for it from now on.”

In the first place, Grace proudly told me her plan was probably because she was certain that she would never be able to stop it.

So, what is the best choice I can make in this situation?