Investment Life

For most Chinese people, the Lunar New Year is still a long time away, but Chen Yuanming's spring break ended early.In the afternoon of the first day of the new year, he boarded a flight to New York.

This time he was accompanied by Song Kaiwen and Sun Guoqiang, director of Guoxing Fund, etc., a total of 8 people, and the destination was the headquarters of Yuanyang Fund in New York.Unlike most other commercial organizations, Chen Yuanming did not locate his company in crowded Midtown Manhattan or Wall Street, but rented an office building on Park Avenue, next to those low-key hedge funds.

For private equity funds, secrecy is almost a prerequisite.Although it is located in this financial capital, the headquarters of Yuanyang Fund is simpler than many people imagined. There are no signs hanging, and the decoration is not discernible. The only way to participate in the money game it is involved in is through internal channels. This internal channel is the key to all private equity funds.

It was the beginning of February, and the wave of New Year's dinners for major companies in New York had subsided, but the upper-class hotels in Manhattan were still booming.Like a hibernating creature revived in advance, the hedge fund partners started their own private receptions, guiding the flow of money between the toasts.This is a feast for the financial giants, with suits and leather shoes, warm smiles, and full gentlemanly demeanor, sharing the flesh and blood of those victims with knives and forks.

If you want to gain a firm foothold in the private equity circle, such communication is essential, and it is the best way for the circle to communicate with each other and advance hand in hand.Of course, the newly established Yuanyang Fund and Chen Yuanming himself are no exception.

Therefore, after arranging the inspection tour of Sun Guoqiang and others, Chen Yuanming began to prepare for a banquet.The host this time is a real "old friend", Mr. Robertson, the founder of Tiger Fund.

In the past two years, Chen Yuanming did not waste too much time in the field of Wall Street because he spent more energy in Silicon Valley and China.But his communication with Mr. Robertson has never been interrupted. As a window to the world of hedge funds, he has learned a lot from this real tycoon. Attitudes have also changed.

You must know that 1994 was the beginning of the decline of the American macro hedge funds from prosperity to decline. Not to mention the small companies in seventy-eight eighty-eight, even the real short-term giants like Steinhardt suffered huge losses. Quantum Fund barely relied on other income It achieved no loss and no profit, but Tiger Fund uncharacteristically made a profit in 1994.

And this profit is due to Chen Yuanming's reminder.Although he is full of arrogance and has never taken the words of this Chinese kid seriously, he is like an elephant in the house, as long as there is a reminder, he will inevitably pay attention.It was this attention that allowed Robertson to successfully avoid the plunge in European bonds, withdraw safely before the sharp drop, and keep Tiger Fund's annual income share.

This is a very happy thing for Robertson. You must know that in the past two years, no less than ten partners have withdrawn from Tiger Fund and opened their own new hedge funds. During the European bond crisis in 1994, these Half of the people in the group have closed their doors. Compared with the status quo of Tiger Fund, how can we not make people happy.

As for Chen Yuanming, if the bond crisis was just a blind cat hitting a dead mouse, then at the end of 94, his gains in international metal futures showed surprising talent.The appreciation of aluminum futures is not surprising, what is strange is that you can bet on the high point of 2000 US dollars, and then get out at the right time.As for copper futures, in Robertson’s investigation, copper prices have shown signs of man-made manipulation, and the practice of Mr. 5% is almost well known on Wall Street today.At the beginning, large and small institutions successively shorted the copper price, but Chen Yuanming was not affected by it at all, and actually went long with Binzhong Tainan, and made a huge profit on copper futures.

It's not uncommon for a hedge fund partner to make hundreds of millions of dollars a year.But a single speculator won 10 billion by gambling with borrowing, which is a very scary thing.Therefore, after the Yuanyang Fund was established, Mr. Robertson took the lead in extending an olive branch to Chen Yuanming.

Faced with such kindness, it is naturally impossible for Chen Yuanming to refuse.Due to the existence of the Philosopher's Stone and the excessive attention to Nasdaq technology stocks, in the hedge fund circle with financial derivatives as the mainstream, not many people pay attention to him and are optimistic about him. In the next few years, he will indeed A stronger ally is needed.Now, the weight in his hands is sufficient, and it is time to make some big moves.

With graceful steps, Chen Yuanming walked into the hotel lobby that was too luxurious. Without much effort, he saw a familiar figure in the center of the venue.With a slight smile, he took a glass of champagne from the waiter, and instead of squeezing into the circle surrounded by the crowd, he casually stood in the corner and looked at everyone in the room.

This is a real "elite party". All the people who enter the venue are familiar faces in the circle. There are no ordinary dinner stars or show politicians. Everyone has an arrogant smile that really belongs to Wall Street, personable and full of meaning.After standing for about a quarter of an hour, just as he put down the wine glass in his hand, a voice greeted him.

"Chen!" Mr. Robertson strode over with a smile on his face. When he held Chen Yuanming's right hand, a strange smile appeared on the corner of his mouth, "Have you heard? Mexico is over."

Chen Yuanming smiled and shook it back, "As expected."

Singing and harmonizing will make many outsiders puzzled, but the two of them know it well.They're talking about the recent Mexican financial crisis. On December 1994, 12, the Mexican government suddenly announced a 19% depreciation of the peso, and the market fell into chaos instantly. A large number of foreign investors began to sell pesos wildly and buy dollars, causing the exchange rate to plummet further.In just one month, the peso fell by more than 15% against the US dollar, and the Mexican stock market also plummeted by more than 50%, which further caused financial turmoil in Argentina, Brazil, Chile and other countries, and a large number of American investors suffered serious losses .

However, the Mexican financial crisis this time really has nothing to do with those macro hedge giants. After all, Mexico is the enclosure of the US financial industry. No one wants to destroy the industry they invest in. This financial crisis is purely a The Mexican government's financial policy missteps.Affected by this major mistake, a large number of American financiers have suffered losses. Even if some hedge funds did not suffer too much loss due to their short insurance positions, this unexpected incident is still not a good thing for them.

However, thousands of people suffered losses, and these two on the field were not among them.As early as the beginning of December, the newly established Yuanyang Fund established a short position of 12 million U.S. dollars in the peso, which is not too much and not eye-catching, but the profit is quite considerable, and it is becoming more and more eye-catching in this headwind of losing money. .However, Mr. Robertson has recently focused on the trading of metal palladium, and he has not done much in Mexico. Instead, it was a blessing in disguise and avoided this disaster.

However, Chen Yuanming's extremely clever action really made Mr. Robertson greatly admired. The only pity was that the principal was too small to capture more benefits.However, this battle completely opened his door to the financial hunting ground, and only then did he get this invitation.

"How is it? Recently withdrew from metal futures, and the U.S. government is also preparing to start aiding Mexico. Do you have any plans?" Mr. Robertson took two thin-legged wine glasses and handed one to Chen Yuanming.

"If there's nothing unexpected, I'm still planning to operate metal futures again." Chen Yuanming answered very honestly, his eyes shining with the light similar to the other party's.

"You also found that there is a problem in London?" Mr. Robertson was very satisfied with this reasonable answer, "Are you ready to end? Park Avenue has been crowded recently."

After taking a sip of the pleasant wine, the expression on Chen Yuanming's face did not change a bit.This is the real invitation, the opening ceremony of a hunting feast.The holders of this group of hedge funds are like a group of ferocious tiger sharks. They usually walk alone, but they will swarm up when they smell blood.And when this huge sum of money is gathered into one body, it is enough to overturn a country's economy.Now is the moment when the smell of blood begins to appear.

"If you have such a plan, I'd be happy to follow up." Chen Yuanming smiled without malice, "It just needs a specific time."

"At the end of February or early March." Robertson also smiled, "The group of people have to get out of the quagmire in Mexico."

That's right, this is the reason why it is easy to form a battle line.The Mexican financial crisis also had a huge impact on the United States. US$100 billion was wiped out in the turmoil, and US$500 billion was used to stabilize the market.This sudden incident also scraped a piece of meat off the financial giants.Now that flesh and blood are squandered, someone must fill it.London copper, which has soared beyond the reasonable range today, happens to be an excellent prey.You must know that since the Plaza Accord, the Japanese consortium has always been a fat sheep in the eyes of Americans. The existence of Hamanaka Yasuo has made many people dislike it.

Now that the sheep have been fattened, it is natural to go out of the circle.

"What about the scale?" This is also the key point. You must know that in Chen Yuanming's memory, this tug-of-war lasted for a whole year, and the resistance was unimaginably fierce. That Mr. Hammer was also a stubborn opponent. The confidence of the Quantum Fund was broken, and the failure was not announced until the double violation inspections in London and the United States began. That was in mid-1996.

"There are already six or seven." Mr. Robertson showed a bloodthirsty smile, "More than 6 billion will never escape."

Under the principle of leverage in the futures market, this amount of money is almost equivalent to a scale of hundreds of billions, which is already a very reassuring figure in theory.

Chen Yuanming smiled and raised his wine glass, "Let's celebrate together."

Two delicate and fragile wine glasses collided.

……

"I've read the documents from Mexico in the past two days. Is the situation really so serious?" Putting down the stack of documents in his hand, Sun Guoqiang's expression turned ugly.

At the beginning of this year, I will come to the United States directly. On the one hand, I will inspect the operation of the international futures market, and on the other hand, I will directly evaluate the recent financial crisis in Mexico. There is no place where I can be more informed than the United States.When Sun Guoqiang got the information at the headquarters of Yuanyang, the panic in Sun Guoqiang's heart was beyond words.

The Mexican crisis this time is entirely due to improper government regulation and excessive opening of the financial market, resulting in a large amount of foreign hot money pouring into the country and absorbing the existing foreign exchange reserves. As a result, the national currency can no longer be locked into the US dollar exchange rate. Beginning with the Mexican government, Then the avalanche was triggered by the retreat of foreign hot money, which caused a catastrophe.

Seeing such a case, who can not be frightened.We must know that there are not only one or two domestic advocates for further opening up of the financial market. How could those guys who are proud of themselves in the financial circle foresee such a tragedy.

Sitting on the sofa, Chen Yuanming gently sipped the coffee in his hand, and said unhurriedly, "There are still many things that can be learned from, not only in the foreign exchange corner."

Yes, in a few days, the collapse of Barings Bank will shock the world again.This purely man-made disaster is like a mirror, reflecting the terrible consequences caused by system loopholes.With such two cases, is it possible to cool down the domestic financial market a little bit?

However, this is not the focus at present. The real key is still the copper futures on hand.Chen Yuanming brought the topic back, "However, in terms of Mexico, we are currently only making money but not losing money. Let's start with the operation of fixed-term copper."

Hearing this, Sun Guoqiang raised his head, with a hint of hesitation in his eyes, "Are you really planning to do this? Our results in futures aluminum are also quite good. Isn't it too early to rush into the futures aluminum melee now? gone?"

"It's not too early." Chen Yuanming smiled, "And only when the crane and the clam compete, can the fisherman benefit."