Rebirth of the Tech Madman

Xiangjiang's volley jump just happened to pass this hurdle, but it was by no means pure luck.

As one of the insiders, Dong Jianhua, the chief executive of Xiangjiang, broke out in a cold sweat with lingering fear, and felt more and more that the richest man, who was once his boss, was too unpredictable! I didn't expect a seemingly unrelated decision a few days ago to have such a magical effect.

When Tang Huan arrived in Xiangjiang, the Financial Secretary Zeng Yinquan, the President of the Monetary Authority Ren Zhigang, and the Secretary of the Treasury Xu Shiren joined hands to greet him at the airport; and he also went to the Government House, the official residence of the Chief Executive of Xiangjiang in the afternoon, and called on Dong Jianhua .

Obviously, the content of the conversation between the two was first and foremost about how to resist the attacks of international speculators on the Hong Kong financial market.

However, Tang Huan made Dong Jianhua bewildered and concerned about an irrelevant issue, that is, the arrangement of the next Hong Kong public holiday.

It is not difficult to imagine that the return of Xiangjiang is no less than a change of world, and there are too many places that need to be decolonized.

For example, although the official residences of the Chief Executive of Hong Kong and the Governor of Hong Kong are in the same place, they must not be called Governor's Mansion, so they were renamed the current Governor's Mansion.

There are similar situations in Hong Kong public holiday arrangements, such as the Queen's Birthday celebrating the birthday of Queen Elizabeth II, commemorating the victory of the Allied Forces in World War II in 1945, and the Hong Kong commemorating the British retaking Hong Kong from a book. Remembrance Day, also needs to be adjusted.

In fact, this job is not something that can be done directly by taking Xiangjiang Special to publish a one-size-fits-all article. Xiangjiang is indeed a small place, but there are many ways to do it.

To be precise, there are two main types of public holidays in Hong Kong, namely, the 17-day public holidays excluding Sundays each year according to the Public Holidays Ordinance, and the 12-day statutory holidays per year according to the Employment Ordinance .

In addition to the different number of days, public holidays and statutory holidays are also applicable to different objects.

Generally speaking, banks, educational institutions, public agency offices and government departments have holidays according to the Public Holiday Regulations, and their employees can enjoy 17 days of public holidays every year.

If the units are not within the above scope, they only need to take statutory holidays according to the Employment Ordinance, and their employees are only entitled to 12 days of statutory holidays per year.

Of course, if this kind of unit pays well, it can also allow employees to enjoy the 17-day holiday stipulated in the Regulations on Public Holidays.

Holidays with strong colonial colors such as The Queen's Birthday and Xiangjiang Chongguang Memorial Day belong to the scope of public holidays.

Needless to say, you can understand the truth. This kind of holiday can be adjusted, but it can only be replaced with other names, and cannot be cut off. Otherwise, it will definitely cause public resentment.

Well, then replace according to this principle, but it's still not that simple. Gein's interest groups who can only enjoy statutory holidays took the opportunity to ask whether statutory holidays and public holidays should be unified.

Well, then respond to this seemingly innocent request, but it is still not that simple, because this is only the voice of the labor side, and the management side clearly opposes the addition of statutory holidays.

This can be regarded as a characteristic of Heung Kong, and Dong Jianhua, the chief executive of Heung Kong who has been restless because of the Asian financial turmoil, had to ponder over and over again, how to come up with a compromise plan that can be accepted by both labor and management Come.

The richest man made a request to Dong Jianhua: Isn’t August 15th and August 16th a Saturday and Sunday? You must make at least Monday, August 17th, a public holiday.

Seeing what Tang Huan said was so precious, Dong Jianhua started thinking about the Xiangjiang Chongguang Memorial Day originally scheduled for the last Monday in August and the previous Saturday, in the name of Anniversary of the Victory of the Anti-Japanese War , temporarily included Monday, August 17 and Tuesday, August 18 as public holidays.

Anyway, amidst all kinds of disputes,

This year, don't try to come up with a new plan for the arrangement of public holidays that is acceptable to all parties. It's time to try it out.

As soon as this announcement came out, no one in Xiangjiang felt it was sudden or unexpected. They thought it was a compromise arrangement tentatively introduced by the chief executive of Xiangjiang to see if it was feasible.

In fact, what everyone really cares about is the combination of statutory holiday and public holiday, not which day belongs to public holiday.

Ever since, on August 15th, August 16th, August 17th, and August 18th, from Saturday to the next Tuesday, the Xiangjiang Stock Exchange was closed for four consecutive days.

As a result, at this point in time, the Russian financial crisis broke out.

Specifically: after the Russian Duma rejected the reform plan proposed by the International Monetary Fund, it went on vacation; all senior Russian officials, including Russian President Yeltsin, also went on vacation; and then a statement was suddenly issued come out.

These include: depreciation of the ruble, default on domestically issued government bonds, suspension of repayment payments to foreign creditors, and more.

In vernacular it is: Anyway, Dad has no money to pay you back now, so what the hell are you doing!

The various European and American bank oligarchs among the Russian creditors did not expect such financial dishonesty even though they had seen it extensively, but the fists of the fighting nation were hard enough, and they could only blow their beards and stare.

Furthermore, the degree of turbulence in the global stock market this time, let alone how serious it is.

Fortunately, the Xiangjiang stock market, which was closed, got a buffer and avoided the shock.

After the little cousin Meng Jing realized it, she couldn't help admiringly said to Tang Huan: Brother, you are really Zhuge Liang who knows things like a god.

Zhuang Menghua said worriedly: The Hong Kong Stock Exchange will reopen soon. Even if the Hang Seng Index escaped for a while, it will still have to face the impact of the Russian financial crisis like other stock markets around the world. A natural reaction, and those short-selling international speculators will definitely not let go of this opportunity.

It is true, but as long as we withstand this wave of attacks, the international speculators will be powerless. The richest man smiled slightly, I am sure that this Russian financial crisis will quickly transform into a powerful impetus for the United States to strengthen financial control .”

...

I am afraid that many people may not be able to encounter such a spectacular scene of Russia's debt default throughout their entire careers.

Warren Buffett’s direct reaction to this was: the global stock market plummeted, and the Xiangjiang stock market was no exception; international speculators must have seized the opportunity to attack, and the Xiangjiang stock market collapsed; Bank of America followed suit; their own investments were also implicated.

Thinking of this, Warren Buffett shook his head again and again, and quickly called the Bank of America headquarters in San Francisco.

Unexpectedly, the other side's mouth is quite stubborn: Compared with the losses caused by the Russian financial crisis to others, our side, at least for now, is doing well. If you don't believe me, go to the latest Yahoo news.

Warren Buffett was so choked that he almost dropped the Coke on the table, but he still collected himself and ordered his subordinates to collect more and more brilliant Internet media reports.

As the top hunter in the ecosphere, Warren Buffett doesn't care much at this stage, the so-called latest reports of portal websites that are doing everything they can to compete for traffic.

Still, Warren Buffett gasped when he saw the Yahoo Finance News printout.

...

The Deshaw Group failed to invest in Russia, and the loss may reach 1.4 billion US dollars.

...

Long-term capital management company failed to invest in Russia, and the loss is estimated to be at least 1.85 billion US dollars.

...

Warren Buffett can no longer scroll down calmly because he has more ties to Long-Term Capital Management than he has to Bank of America.

So, Warren Buffett quickly picked up the phone again and called John Meriwether, the founder of Long-Term Capital Management, but the phone line was busy; he changed the number and redialed, but the line was still busy!

Warren Buffett, who had to put down the phone temporarily, cried out inwardly: This is troublesome!

...

Among all the sad reminders who were turned pale by Russia, the one that really shook Wall Street was none other than Long-Term Capital Management, and even the Federal Reserve held a special meeting for it to study the countermeasures for saving it.

There is no other reason. The key point is that Long-Term Capital Management has contacts with almost all Wall Street bigwigs. It is not an exaggeration to say that it has kidnapped the entire Wall Street.

In other words, if LTCM collapsed on its own, it would spell disaster for the American financial community.

This is no exaggeration. The life and death of Long-Term Capital Management Company is so touching.

The founder of this fund, John Meriwether, was originally the vice chairman and head of the bond trading department of Salomon Brothers. By recruiting a group of mathematical geniuses from Harvard Business School and MIT, and combining financial models and computer technology Combined, they make a lot of money for Salomon Brothers every year.

But in 1991, when John Meriwether was forty-four years old, one of John Meriwether's traders had an accident because of fraud, and he had to be responsible for it, which led to the ruin of his career at Salomon Brothers. There was no room for advancement, so he simply resigned and started on his own, thus Long-Term Capital Management was born.

John Meriwether's performance at Salomon Brothers was so successful that Long-Term Capital Management could only be described as bullshit from the beginning.

For example, for a newly established fund, the amount of financing in the initial stage is usually tens of millions of dollars, but Long-Term Capital Management raised more than one billion dollars at once.

More importantly, John Merriweather's team is stronger than when he was at Salomon Brothers. In addition to those old subordinates following over, he also invited some leading figures to join him.

For example, two masters of finance: Myron Schuls and Robert Merton, who won the 1997 Nobel Prize in Economics for their Option Pricing Formula.

For another example, the vice chairman of the Federal Reserve, David Mullins, who is only behind the chairman of the Federal Reserve Alan Greenspan, was also pulled in.

According to the evaluation of Business Weekly at that time, Long-Term Capital Management is a dream team with a strong lineup and momentum. I don't know how many blocks it has left the richest man who used supercomputers combined with financial models to hype.

The same is true: In 1994, the first year Long-Term Capital Management was established, the annualized rate of return reached 28%; in 1995, the annualized rate of return was as high as 59%; in 1996, the annualized rate of return was 57%.

This year, Long-Term Capital Management, which has only a hundred employees, made a total of 2.1 billion US dollars, which is more than McDonald's, which sells countless hamburgers all over the world.

In 1997, despite the Asian financial turmoil, the annualized rate of return of Long-Term Capital Management reached 25%.

There are so many elites in the American financial circles, and of course there are many sensible people, so some experts asked, Where are your risks?

As a result, Myron Schuls, the researcher of the Option Pricing Formula, scratched his head, No one saw where the risk went.

Ever since, Long-Term Capital Management used its own bullshit to attract countless business owners, celebrities, private universities, etc. in the United States.

Ever since, when the long-term capital management company, which is too superstitious about mathematical models, ignores the small probability of human influence factors, the United States, which often shouted non-intervention after the Russian financial crisis collapsed, couldn't help but make a move. .

Many people may not be able to understand why Long-Term Capital Management has brought together so many elites among the elites. Why was it also cheated?

Perhaps it can be described in one sentence, which can best explain the problem, that is: geniuses are not incapable of making mistakes, but they are different from ordinary people, they are only good at making fatal mistakes.

In addition, Long-Term Capital Management also suffered another fatal blow that tore away all godhood, that is, it was revealed that it evaded taxes by at least 100 million US dollars.

In order to avoid the collapse of the long-term capital management company with a trading volume as high as trillions of dollars, and the spread of Wall Street being dragged into a mess, on Sunday, August 23, 1998, the Federal Reserve convened the heads of major financial institutions for the first time in New York. In the meeting room on the tenth floor of the building, discuss matters together.

Mobil Bank, Bear Stearns, Chase Manhattan, Goldman Sachs, J.P. Morgan, Lehman Brothers, Merrill Lynch, Morgan Stanley, Salomon Brothers...

The Wall Street giants are so crowded that there are not enough comfortable leather chairs to sit on, and many bigwigs can only use folding chairs to condescend.

Just when these prominent figures were discussing how to save the Long-Term Capital Management Company, so as to prevent everyone from being involved in the disaster, Warren Buffett received a call from Tang Huan from Xiangjiang.

Next week, I will push the Hang Seng Index back above 10,000 points before the delivery date of the Hong Kong Futures Index on Friday the 28th. If you have any short-selling operations, stop the loss immediately.

Warren Buffett, whose hands trembled and almost threw the phone on the ground, replied with a wry smile, Thank you for reminding me.

...

On Friday, August 28, 1998, the Hang Seng Index rebounded to 12,000 points in March this year despite the dying counterattack of international speculators, which was called the big miracle day by Hong Kong people.

The short-sellers who had planned to suppress the Hang Seng Index to 4,000 points were suddenly bleeding, and had only a disastrous end!