The Son of Finance of the Great Age

  Chapter 22 Crazy Beginning

Central, Hong Kong.

Central is the area with the highest concentration of skyscrapers in Hong Kong. The Hong Kong Government, the Court of Final Appeal, the Legislative Council Building and the Governor’s Office are all here. Similarly, many large banks, multinational financial institutions and foreign consulates are also located here. This is the center of Hong Kong. political and commercial center.

  Standing on the top floor of the Far East Financial Center, Zhong Shi couldn't help sighing as he looked at the HSBC headquarters not far away and the Bank of China International Building, which was under construction, through the golden glass curtain wall.

It’s true that things are different. At this time, the three-sided Bank of China International has not yet been built, and the fort on the top floor of HSBC has not been erected. The Cheung Kong Industrial Building between the two can’t even be seen. , the Yangtze River Group Center was completed.

   Buildings that are familiar to later generations, such as Central Center, International Finance Center, Pacific Place, Hong Kong Police Headquarters, and Queensway Government Offices, have not yet appeared. The few skyscrapers Zhong Shi can recognize are HSBC, Bank of China, and the Lippo Center (under construction) known as the "koala".

  Now Hong Kong has the appearance of a world financial center, but it has not become one of the three major financial centers like later generations. In 1978 and 1982, the Hong Kong government relaxed the restrictions on bank licenses and abolished the interest tax on foreign currency deposits, which caused a large number of international banks and international funds to flow into Hong Kong. By the mid-to-late 1980s, Hong Kong had become an important financial center in the Far East.

  In fact, only Tokyo can be called an international financial center in the Far East, and Hong Kong has just left Singapore behind.

  Andrew is a futures broker focusing on the US capital market. He received an arrangement from his manager two days ago to receive a big client today, who is said to have a net worth of tens of millions. Andrew attached great importance to this meeting and made thorough preparations early on. He not only put on a custom-made suit, but also learned a few words of Cantonese temporarily.

  "Neihou", Liao Chengde and Zhong Shi appeared at the door of the futures company, Andrew graciously opened the glass door and greeted them respectfully.

  Under Andrew's surprised eyes, Zhong Shi calmly walked in front of Liao Chengde and walked into this futures company with seats in the Chicago Board of Trade. Liao Chengde, who was walking behind him, had a calm face, as if he didn't realize the overstepping between primary and secondary.

After a group of people sat down, Andrew took out a thick stack of documents and explained in English: "Mr. Liao, we have already studied the question you asked before. Here are the relevant information. I can assure you that If you open an account with our company, the commission is definitely the lowest among our counterparts in Hong Kong.”

   What shocked him again was that the ten-year-old kid took the materials unceremoniously, bowed his head and started to read them. Liao Chengde, whom he considered to be an important target this time, widened his eyes and shook his head mockingly, indicating that he could not understand English.

  Andrew realized this time that the protagonist this time might be someone else, maybe this kid!

   "The initial deposit is 6%, and the maintenance deposit is 5%. It's much better than I imagined. Let's open an account with your company!"

  Zhong Shi glanced at the stack of materials like a horse on a horse, and nodded to Liao Chengde.

   "Can you give us a few minutes?"

  Liao Chengde was stunned when he heard that, and then he said to Andrew. He said this sentence in English. He has been in Hong Kong for so many years, and he can still speak a few words in general English.

  Andrew shrugged, expressing his understanding. After he went out, he decided that the kid was the key. How to please that kid and let this deal be finalized? He raced through his mind.

   "Zhong Shi, have you really thought about it?"

   Seeing that there was no one in the reception room, Liao Chengde couldn't wait to ask. No wonder he was in a hurry. This time, Zhong Shi not only cashed out all the shares of "Cheung Kong Enterprises", but also borrowed five million Hong Kong dollars from him, for a total of ten million Hong Kong dollars. Compared with Liao Chengde's current net worth, this amount of money is not a small sum.

  Since Zhong Shi ordered him to inquire about futures information last time, Liao Chengde has studied the knowledge about futures. It's okay to not know, Liao Chengde broke into a cold sweat as soon as he figured it out. Futures is a scary thing, and the risk is dozens or hundreds of times higher than that of stocks.

  Liao Chengde didn't want his hard-earned wealth to be wiped out like this. He also wanted to see what kind of skills Zhong Shi had to survive the extremely dangerous futures market?

"Um."

  Zhong Shi chuckled, with a disapproving expression on his face. What a joke, if this once-in-a-century opportunity for several major powers to join hands to intervene in the foreign exchange market is let go, I'm afraid it will be struck by lightning!

  Of course, these things cannot be said to Liao Chengde. As for Liao Chengde not following him, it is his loss. Zhong Shi is also very considerate, but in his heart, he faintly looks down on him.

   Seeing that the persuasion was ineffective, Liao Chengde no longer insisted, picked up the water glass and drank water on his own.

   "Two gentlemen, is there a conclusion?"

  Andrew winked very much. Seeing that the two of them stopped talking outside, he knew that the conversation inside had come to an end. He waited for another two minutes before knocking on the door and coming in.

   "Everything is settled, please, please put all our money into bullish yen futures!"

  Zhong Shi nodded and said expressionlessly.

  The computer network is not as developed as it is in the later generations. Generally, transoceanic commissions still have to be placed by phone, which adds a lot of variables. This is why Zhongshi placed the order a week in advance.

   "What? Buy yen call futures for 10 million yuan?" Andrew was dumbfounded, as if he couldn't believe what he heard. This kind of cross-margin operation is a big taboo in the futures market, because if the futures market changes slightly in one direction, there will be calls for margin calls if the balance in the account is insufficient. If the margin is not called, then the futures company or the exchange will The right to forcibly close the position until the balance in the account is sufficient to maintain the margin.

  The so-called liquidation is the most extreme situation, that is, the balance in the account does not even have the margin of the first contract after the last contract is closed. Even in some cases, the person who opened the account still owes the loss on the contract after the contract is paid, which means that the money is lost in the true sense.

  Foreign exchange futures, the other underlying currency is generally the US dollar. For example, bullish yen futures refer to futures that the yen is bullish against the U.S. dollar, and bullishness means that the yen appreciates and the U.S. dollar depreciates.

  Andrew wanted to say something else, Liao Chengde coughed lightly, and said: "We do macroeconomic research, based on the research and forecast of the international economy..."

  He said a lot in a crackling manner, and the sweat on Andrew's forehead couldn't help but burst out, and the full air-conditioning couldn't stop Andrew's inner anxiety.

  Liao Chengde speaks Chinese, but Andrew doesn't understand Chinese very well. This is where he feels deeply anxious. It is undoubtedly a very unprofessional behavior not to understand what the customer is saying. In the end, it was Zhong Shi who saw his embarrassment and explained in English: "Mr. Andrew, follow my instructions! Also, if there is any important information to be released, please call me immediately!"

  The phone number he mentioned was naturally Liao Chengde's. In fact, the account opened was also in the name of Liao Chengde.

  Hearing Zhong Shi's words, Liao Chengde couldn't help rolling his eyes.

   "Yen is bullish on futures, the delivery month of December, full position buying! Immediately! Are you clear?" Before leaving, Zhong Shi shouted to Andrew who was still in a petrified state with a solemn expression.

  The reason why I want to buy the December contract is because it is already late September, and because the delivery time is approaching, most of the funds have been transferred to the market in November and December. The reason why futures are called futures is that most of the delivery deadlines are in the future, and most of the contracts that are active in the market are hedged out in the end instead of choosing to deliver.

   "Yen, bullish..." Andrew hastily repeated Zhong Shi's words, and nodded again and again. Only then did Zhong Shi feel relieved, took a sip of the coffee, couldn't help frowning, and said: "Black coffee without milk and sugar is suitable for me, I wonder if you can change it for me?"

   Keeping the guests, Andrew was in a good mood, and hurriedly went to change the coffee himself.

  Waving his hand to stop Liao Chengde who wanted to say something, Zhong Shi walked to the French window and looked at the scenery of Central in the distance. This is very different from the Central District where he lived in later generations, but it is still the most prosperous place in Hong Kong.

   "Pity Qin Huang Han Wu, slightly lost literary talent, Tang Zong Song Zu..."

  Looking at the tall buildings in the distance, and the busy traffic below him, Zhong Shi suddenly became overwhelmed with pride, and couldn't help but recite this familiar phrase.

   "Liao Sheng, do you think I can buy HSBC?"

  After reciting the words, Zhong Shi pointed to the HSBC headquarters in the distance, and said in a tone of disdain for all sentient beings. His expression was indifferent and his tone was flat, as if he was talking about a trivial matter.

"crazy!"

  Liao Chengde shouted in his heart. HSBC is of great significance to the hearts of Hong Kong people. HSBC, which was founded in Hong Kong, has grown into a giant in the world's financial industry step by step along with Hong Kong. Hong Kong people have always regarded HSBC as a local bank. In fact, under British rule, HSBC was indeed a local banking giant. Before 1990, HSBC was registered in Hong Kong!

  HSBC in the 1980s has already started its internationalization strategy. As early as the 1970s, HSBC acquired Haifeng Bank of the United States to expand the North American market, and entered Canada in 1981. HSBC has gradually grown into a multinational bank based in Hong Kong and with businesses all over the world.

  In Hong Kong, only Bank of China International can challenge HSBC. This is not only a grievance between the two banks, but also represents the two big countries behind them.

   Such an important bank, Zhong Shi actually said that he would buy it? How could it prevent Liao Chengde from shouting in his heart that it was ridiculous!

   This day is September 17, 1985. Soon, Liao Chengde will shake his current thoughts!

  (end of this chapter)