Soviet Godfather
Vol 4 Chapter 15: AAA
Sergei had only one requirement of Mikhail, and that was fast. Therefore, the company was established in just a few days, and the advertisements of the Sanjinhui have appeared in the prime time of major TV stations in Japan. In order to achieve the maximum publicity effect in a short period of time, Mikhail is almost the whole of Japan. Several of the largest advertising companies have signed promotion contracts. As long as it is a slightly influential Japanese newspaper, magazine, TV station, even subways, buses, and Shinkansen, they are flooded with Sanjinkai advertisements.
At the same time, Mikhail also began the acquisition of subprime loans across Japan. Mikhail’s business is mainly to acquire subprime loans, which are mainly provided by individuals who have poor credit but are in dire need of money. For example, some people want to buy a house but do not have a stable source of income. They cannot get preferential loans from formal financial institutions. They can only find financial companies with high interest rates (many of them are loan sharks) to pick up the money. These financial companies often require Every drop of blood on the borrower is squeezed out before he is willing to stop, and the debt collection methods are even more ubiquitous. Originally, these loans were not in the eyes of those large financial institutions, but these junk debts are bundled with some high-quality debts, and when they become derivative financial products, they will get very high ratings, and they will jump from junk debts. Health becomes a high-quality bond.
Mikhail’s three gold clubs are not responsible for the packaging of debts. For these matters, Sergey let Grigory’s data company (including Berezovsky’s data service team) to undertake the work. In addition, Sergey also drew money from Leningrad University and the National Housing Bank. A group of financial experts familiar with Western bond ratings participated in this work. According to Sergei Shah's request, a large amount of junk debt and a small amount of high-quality debt were mixed together in a certain proportion to become a brand-new securitization product. Each asset package probably contains debts of different natural persons ranging from 100,000 to 200,000. Sergey Shah provided a general idea, and the specific matters were left to the financial experts to handle.
And Sergei Sha, who was busy negotiating with the British in London, took the time to provide the complete product model of asset securitization to Rothschild Bank, Barclays Bank and Royal Bank of Scotland, which are still interested in it, for evaluation. See what value this product has in the eyes of bankers. The history is always similar. British financial experts have given this product model a +a credit rating. This allowed Se Leo Sha to completely let go of his hanging heart, which means that Se Leo Sha borrowed the method decades later to successfully package some of the current junk bonds into a security level comparable to that of the British sovereign bond + A-level bond portfolio products.
"Congratulations, Xie Liaosha, you are a genius, you have created a new kind of high-quality investment derivatives! When will we see the real products?" Atkins of Barclays Bank asked eagerly. .
"In a few weeks' time, the first batch of products will be released one after another. Each asset package is worth between 10 million and 100 million US dollars. I don't know if the market will accept these brand new ones. Financial products?" Xie Liaosha asked pretending to be worried.
"If you let me take a look, I am willing to buy these products. Because Japan's economy provides protection for these products! Many people predict that Japan will surpass the United States to become the world's largest economy in the next ten years. According to the current economic growth rate of Japan, these products have a good safety margin and good income expectations!" Belford of the Royal Bank of Scotland said seriously.
"There is still a question now, that is, how does the American rating agency evaluate these products, and can it also give a +a level? I am worried that my status as a Soviet official will make the U.S. rating agency vigilant!" Asked uncertainly.
"Don't worry, these things will be done by us. The three of us will fly to New York tomorrow to help you handle this thing! James is in charge of Standard & Poor's, I am in charge of Moody's, and Belford is in charge of Fitch! I believe What the three of us said still weighs in!" Atkins said confidently.
Soon after Sergey Sha’s identity as a Soviet official was leaked, for the purpose of protecting the financial derivatives he created and made public, Sergey applied for an international financial patent for this financial product. The United Kingdom is the first country in the world where a patent law was born. The patent system in this country is very complete and has many special forms of existence. International financial patents are one of them. As long as it is a financial product, including financial business methods, it can be used. As a financial patent. Obtaining this patent means that this type of product will be exclusively enjoyed by Sergey Sha in the next few decades. Originally, Sergei wanted to establish an approval agency to raise the industry entry barrier for this product, but then many bankers gave up the idea of cooperating with Sergei after learning that he was a Soviet official~www.readwn .com~Seriosa is worried that others will take advantage of his own ideas to get ahead, so he must use legal means to protect his own interests.
After the three bankers Sergey knew in the UK left London, Sergey continued to focus on trade negotiations with the British government. Secretary Gorbachev was obstructed by Gromyko and has not yet obtained the approval of the Politburo for this visit. Anyway, the matter of the visit to the UK has been determined. Although the British side has extended an invitation to Gorbachev, it will not matter if it is replaced by another leader such as Gromyko. But who came to the UK in the end has a bearing on the future status of Gorbachev and Gromyko in the party. In order to preserve the fruits of his victory, Sergei had to work hard to reach an agreement with the British government in favor of the Soviet Union as soon as possible and clear the obstacles for Gorbachev's visit.
The coal trade was the first to sign an agreement, because Sergei had already reached a supply agreement with the two major coal users, the British Steel Company and the British National Power Company. Now Sergei only needs to sign another agreement with the Coal Bureau. That's it. The British are more anxious than him. Even before the agreement was signed, coal freighters had already queued up on the Mediterranean. Therefore, soon after Yakovlev arrived in London, Selesha had completed all the negotiations with McGrady of the Coal Bureau.
At the signing ceremony for the supply contract between the National Coal Bureau represented by McGrady and the Mediterranean Trading Company of Seriosha, three telegrams from New York were handed over to Seriosha by the hotel staff who hosted the signing ceremony. Except for the different senders, the content of the telegram is almost identical, with only three letters-+a.
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