Rebirth 1991: My Financial Era

Chapter 32: Buy long Hang Seng Index options with full position

In the afternoon, Sun Chen took Zhang Xiping to Huifeng Bank.

The financial manager of Huifeng Bank who made the appointment was named He Linshi. She had a slender figure and was dressed in professional attire. She was very delicate and took Sun Chen to do business at the counter.

Sun Chen took out his passport, pass, and hotel accommodation receipt, and opened a Huifeng bank card.

He Linshi suggested: "Sunsheng, would you like to open a credit card from our bank? It can be used worldwide."

Sun Chen said: "No problem, but I would rather open Hong Kong stocks, futures and options business."

Huifeng has stock brokerage business and has complete stock market and futures business licenses.

"Okay, Sun Chen, please fill out these forms and I will apply for you." He Linshi brought over several forms and asked Sun Chen to fill them out.

Sun Chen can basically understand Cantonese and is basically proficient in English, but he is not very familiar with these financial terms. He Linshi patiently explained on the sidelines.

After filling out the form and drinking free coffee, Sun Chen waited for the results in the rest area.

He Linshi came back with the approval and said to Sun Chen: "Sun Sheng, your account has been opened. Do you want to make a deposit?"

"Deposit, deposit it all."

Sun Chen signaled Zhang Xiping to take out the US dollar cash and deposit it into his bank card account. The bank card was already linked to other accounts.

"Okay, Sun Sheng, please go to the trading room to operate." He Linshi took Sun Chen and Zhang Xiping to the third-floor trading area.

"He Sheng, please operate it, this is trading software." He Linshi guided him. It was fragrant. Sun Chen took a few strong sniffs, and He Linshi was a little embarrassed.

"Thank you, I know how to operate. I will buy all Hang Seng Index options. Which month is the furthest forward?" Sun Chen asked.

"Sunsheng, the longest term is six months. Should I go long or short?"

"Zha Duo, choose the contract with the lowest price for the six-month forward index futures." Sun Chen commanded.

"Sun Sheng, I have an obligation to remind you that the part of the futures index beyond its own value is a false value. If the Hang Seng Index fails to reach the expected point on the delivery day, the futures index may all return to zero." He Linshi felt that this strategy was too Taking risks means taking risks.

"Thank you, Miss He, for the reminder, but I am bullish on the market outlook. Please help me apply for the maximum leverage ratio for stocks and futures."

"Okay, Sun Sheng." He Linshi went to the leader to sign. The reminder was her obligation, but the power belonged to the customer.

Sun Chencai ignored the reminder. Index futures are the trading product with the highest leverage. For example, it is November, the Hang Seng Index is currently at 11 points, and Sun Chen buys six-month 3800 index futures for only 4800 yuan. If the Hang Seng Index rises to 0.8 points by then, the futures index value is 5000. If it is 200 points, the futures index value is zero.

Sun Chen remembered that in 92, the Hang Seng Index had a good upward trend driven by A-shares, reaching a maximum of more than 5500 points. Then, the expiration value of the futures index was 700 yuan. Therefore, if you give it a try and turn your bicycle into a motorcycle, you will get more than 700 times the profit.

The long-term out-of-value futures index indicated that Adult Education was not active. Sun Chen entrusted He Linshi to slowly build a position for him and left the hall.

He Linshi frowned when she heard this, but she had to carry out the transaction according to the client's entrustment.

Before dinner, Tang Dequan knocked on the door and entered Sun Chen's room.

Tang Dequan clasped his hands and said to Sun Chen: "Sun Sheng, my lady thanks Sun Sheng for helping her yesterday and sending her her business card. If you have anything in Hong Kong, you can contact her."

He Chaoqiong was newlywed and it was not convenient for him to show up, so he asked someone to send him a business card to express his recognition of his favor.

"Thank you, Uncle Quan. Please express your gratitude to Miss He." Sun Chen said respectfully.

"Easy to say." Tang Dequan turned to Sun Xiping who was on guard and said, "May I ask this little brother his name? I admire your skill."

"Xingyiquan Sun Xiping." Sun Xiping cupped his fists, not wanting to lose his reputation.

"I'm Tang Dequan in Wing Chun. I wonder if I can learn some moves from Brother Zhang?" Tang Dequan rarely encounters opponents in fists, and his hands are a little itchy.

Zhang Xiping was eager to try and looked at Sun Chen.

"That's it." Sun Chenxin said this is your business, what do you want me to do?

The two of them fought dozens of moves in the small space of the bedroom.

Tang Dequan clasped his fists and withdrew, saying: "Boxing is afraid of young people. I am old. Brother Zhang's boxing has reached the dark level. After ten years of immersion, he will definitely reach the state of transformation."

"Teacher Tang accepted, I admire your Wing Chun skills." Zhang Xiping said honestly.

"How many days will Brother Zhang stay? I'll come back to bother you another day." Tang Dequan asked.

"Uncle Quan, you're welcome. We still have three to five days to meet." Sun Chen took over and said.

"Okay, Sun Sheng, Brother Zhang, see you later." Tang Dequan turned and left.

Sun Chen looked at the gilded business card, "Executive General Manager of Xinde", and then put it on the first page of the business card holder. Mei Yanfang’s business card is on the second page.

Five days later, Qian Cheng came over with the company's registration information. Mou Zhongzhong and Sun Chen went to Huifeng Bank to find He Linshi to open a corporate account.

Sun Chen made an overseas phone call to President Mo of the Bank of China in Shudu and asked him about the head office's opinions and procedures on the syndicate, and then went to visit BOC Port City.

Bank of China Port City received key account manager Zhao Yuecheng.

Sun Chen introduced the business plan of financial leasing by domestic and foreign syndicates. The difference from the previous plan was that the owner of the aircraft was changed to Gangcheng Nande.

Zhao Yuecheng felt strange when he heard the plan. In the past, he was the one who came up with plans for clients, but now it is clients who come to them with plans.

"Mu Sheng, Sun Sheng, I will now report your company's plan to the president. Leave a phone number and I will contact you later." Zhao Yuecheng did not dare to make the decision and needed to ask for instructions.

"Okay, we'll wait for your call." Mou Zhizhi nodded.

Sun Chen knew that the approval process was complicated and did not force it, so he returned to the hotel.

In the hotel, Sun Chen dialed Shadow's phone and said, "Brother, is Fatty ready to work?"

The shadow replied: "Fat man is ready, where can I find you?"

"The travel expenses haven't been paid yet. Help me ask Bank of China to let Fatty wait for a few days." Sun Chen asked for help.

"Okay." Shadow hung up the phone.

Sun Chen felt inexplicably depressed, so he took Sun Xiping to Lan Kwai Fong to drink again.

I met Tang Dequan at the door.

Sun Chen nodded, and he and Sun Xiping found a corner to sit down and order beers.

Tang Dequan walked to He Chaoqiong, whispered a few words, and then walked over to Sun Chen and said, "Sunsheng, my lady is here to invite you."

Being respectful is worse than obeying orders. Sun Chen followed Tang Dequan and walked to sit opposite He Chaoqiong.

"Little brother, thank you for that day!" He Chaoqiong said generously.

"Little things, who doesn't have some unforgettable things? Who can predict the consequences?" Sun Chen suddenly remembered Zheng Shaoqiu's song "Looking at the Storm with a Smile".

"It's very philosophical." He Chaoqiong sighed in his heart. "Where do little brothers come from?"

"My name is Sun Chen. Miss He can just call me Xiaochen. I come from Wucheng to handle an aircraft leasing business." Then he briefly introduced the financial transaction.

"Xiaochen, you are really a little financial genius. Can your parents let you go out alone?"

"The children of the poor should be in charge early. I came here with my business partners." Sun Chen laughed at himself. Compared with Miss He, we are all poor.

"How is the economy of Huaguo now?" He Chaoqiong did not treat him as a child at all. He asked about his economic views by the way. Xinde Group's shipping business is closely related to the economy.

"The economy of the Flower Country has bottomed out this year and will grow rapidly next year. Within ten years, it will surpass the Four Asian Tigers." Sun Chen was very confident, even though he was stating a historical fact.

"Really? Then how do you feel about Hong Kong City?" He Chaoqiong did not completely believe it, but was also impressed.

"The status of the port city has been determined. If Hua Guo builds a good port city, it will be even better. Moreover, the supply of land will be limited in the future, and we don't know how high housing prices will rise."

Historically, in order to limit Hong Kong's large-scale land sales for cash, the cooperation agreement stipulated the scale of land supply in the next few years. Because the agreement was signed relatively early and was not adjusted according to the economic situation, land supply became scarce and prices soared. Later, the land that was wanted could not be supplied because interest groups had formed an alliance and developers and citizens jointly blocked the land supply.

"No more than 50 hectares per year?" He Chaoqiong read the Sino-British cooperation agreement.

"Yes, from the 80s, 50 hectares was enough, but the faster the economy develops, the more land is needed, and it is no longer enough. Miss He, let's make an appointment in a year to see if land and housing prices will soar. How is it?" Sun Chen said.

"It's a deal!" He Chaoqiong swore a high-five.

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