Reborn as a Hong Kong Tycoon

Chapter 564 Prepare in advance
Internationally, although the price of oil is still rising, the long positions of oil futures operated by Vivien Kelly have already been flattened a lot.

The current situation is that Vivien Kelly is not planning to close all long orders, and she reported her plan to Lin Baicheng.

Vivien Kelly was in charge of long oil futures, using a principal of 3.8 million US dollars to operate 20 billion US dollars of funds, and the cost price was reduced to 13.1 US dollars per barrel after several short positions.

When the price of oil exceeded US$15 per barrel, Vivien Kelly had already started to liquidate long orders in a small amount.

Now the price of oil has risen to around $15.8 a barrel.

Vivien Kelly's original plan was to close all long orders and end this operation. Even if she wants to do oil futures later, no matter whether she is long or short, she will not use such a large amount of funds. There is a small amount of hundreds of millions of dollars. Just operate it.

Now she has changed her mind, and the reason why she changed her mind is because she read media reports, saying that there was a military mobilization on the border of Hongsu, and now she is not sure what Hongsu thinks, maybe it is just a drill, maybe Hongsu will Which country started the war.

Once a war breaks out, based on the relationship between Hongsu and Western countries today, it will inevitably lead to geopolitical tensions, and people will even worry about the outbreak of a wider war, and risk aversion will heat up.

Oil prices, as well as precious metals like gold, are bound to rise.

Now these are uncertain, but Vivien Kelly believes that the oil futures long orders operated by the company now have a large floating profit, so it is entirely possible to choose to close part of the long orders, and the remaining long orders are temporarily closed. Take it, as long as the price of oil does not fluctuate violently down, then you can gamble on the rise in oil prices caused by geopolitical changes.

It is absolutely possible to bet on a larger upside with a small downside.

Therefore, Vivien Kelly reported to Lin Baicheng that he hoped that the oil futures long order would be temporarily liquidated by 10 billion US dollars of funds, and the remaining 10 billion more orders would still be held, and decisions would be made later based on changes in oil prices.

In fact, Vivien Kelly never thought that she would be able to leave as many orders as much as US$10 billion. If Merrill Lynch, Goldman Sachs, Citigroup and other institutions where she worked before would choose to pocket more profits, and then Give her some funds to operate.Let alone 5 million US dollars, it would be nice to have 3 million US dollars left.

Of course, in the case of Vivien Kelly, it is more likely that she will not be able to operate 20 billion US dollars of funds like she is now.Her gender and seniority determined that she could not operate so much funds so quickly.

After listening to Vivien Kelly's report, Lin Baicheng naturally agreed.Because he knew that the war in Afghanistan would break out, but he didn't know when it would break out.

There is a long order of US$10 billion in oil futures. The cost price of buying is US$13.1 per barrel, but the average selling price is US$15.53 per barrel.As oil prices continue to rise, more and more long orders are flattened.

The 18.55% increase may not seem like much, but after enlarging the amount of funds to 10 billion US dollars, it will be a profit of 1.855 million US dollars.

Of course, $10 billion in leveraged interest will be deducted from these profits. The 9% annual interest rate is almost two months, so the leveraged interest alone will cost about $1500 million.

The remaining US$1.7 million will be subject to tax deduction. Fortunately, it only needs to be about 4%, and the handling fee is also required. Fortunately, the handling fee is even less.

Finally, there are bonuses. Although there are still more than 10 billion US dollars in operation, this operation is not over yet.But since half of the long orders have been closed and the profits have been pocketed, it is necessary to give the team a part of the bonus, so that they can be more motivated to make money.

If you want the horse to run, but don't feed the horse, don't think about such a beautiful thing.

In the end, only 1.57 million US dollars of net profit belonged to the Golden Fleece Company, that is, Lin Baicheng himself.As for the principal of US$10 billion, this is leveraged financing and belongs to the bank, and of course it will be taken back by the bank after the long position is closed.

Of Golden Fleece's remaining US$10 billion more orders, US$3.8 million belongs to principal and US$6.2 million belongs to leveraged financing.

The Golden Fleece Company evened out the $10 million profit on the $1.57 billion oil futures order, and Lin Baicheng directly transferred $1.5 million.He has a lot of places to use his money now, and there is no need to put too much money in the Golden Fleece Company, so he asked Mori Haruko to be responsible for transferring the funds to several funds registered under his name.

When you need money, just let the fund transfer the money to the corresponding place in a roundabout way.

Lin Baicheng first found a suitable time in Xiangjiang and New York, and contacted Haruko Mori.

"Haruko, what do you think about Vivien Kelly telling me about setting up a fund?"

"Didn't you agree that she would be in charge of managing the fund?"

"I have no intention of going back on my word."

Lin Baicheng listened and said: "I mean, what is the appropriate size of the fund, what direction the fund is mainly responsible for investing, and so on."

Haruko Mori immediately said: "Cheng-kun, I think this should be something she should report to you, not for you to consider."

Lin Baicheng said: "It's true to say so, but I don't want problems with the funds managed by the company."

Haruko Mori thought for a while and said, "If that's the case, you should make a framework for her."

"I think I understand what you mean."

Lin Baicheng understood, and then he chatted with Haruko Mori for a few more words, and then hung up the phone.

After that, Lin Baicheng got in touch with Vivien Kelly.

"Vivien, how do you plan to establish a fund? Do you have any preliminary ideas now?"

Lin Baicheng got straight to the point.

"Yes, I have already taken the time to make a plan. Chairman, please wait for a while, and I will report to you immediately."

After Vivien Kelly spoke, there was silence on the phone, obviously she had left and was not on the phone.

After a while, Vivien Kelly's voice rang on the phone: "Chairman, are you still there?"

"I'm here, tell me."

Lin Baicheng picked up the microphone on the desk.

"As for the fund, I made a preliminary plan. If there is anything wrong, please correct me, the chairman."

"The first is the amount of funds raised by the fund. Our company is not well-known on Wall Street. Although there are some achievements in oil futures that are deliberately put on the bright side, our company is still a newcomer on Wall Street after all."

"In addition, we are a newly established fund, and it is difficult for clients to believe that we will bring them a high rate of return. Therefore, I think the initial fundraising amount should not be set too high. About US$ million is enough. gone."

"To be honest, with the current size of our company, it may be impossible to raise more funds, so million US dollars is more appropriate."

"Then it is about the types of funds. I think it can be a hybrid fund, which is both stocks and futures bonds."

"After all, we are a small fund. Too much risk will make investors worry. Therefore, too high leverage is not suitable for the fund. The funds for futures and bonds can only be to % of the position."

"About Fund Commissions"

Vivien Kelly talked about her plan, and it could be seen that she was paying attention. Lin Baicheng listened carefully, and responded or asked some questions from time to time.

After nearly half an hour, Vivien Kelly finished his report, and Lin Baicheng also had a detailed understanding of Vivien Kelly's plan.

Regarding Vivien Kelly's plan for the fund, Lin Baicheng has no major problems with the general direction, and he agrees. After all, the fund should be controlled by Vivien Kelly, so if there is no problem with the general direction, it should be based on Vivien Kelly's opinion .

"Vivien, I have no problem with your plan for the fund. I agree with it."

"Thank you for the chairman's affirmation!"

Vivien Kelly was very happy to hear that, it was her recognition.

Lin Baicheng: "About the fundraising amount of the fund, don't you think million is too little?" Although he didn't plan to make the fund too big at the beginning, only raising million US dollars was too much in Lin Baicheng's opinion. small.

Vivien Kelly said: "Chairman, in fact, I think that as long as the fundraising amount of the fund is not too small at the beginning, as long as we can make achievements, then we can open the second fund at any time and continue to raise funds externally."

"Since you think it's okay, then so be it."

After all, it was decided to hand over the management of the fund to Vivien Kelly, so Lin Baicheng did not insist: "As for the arrangement of the fund, I think it's okay. There is nothing to say, so let's do it."

"Thank you, Chairman!"

Vivien Kelly was overjoyed when she heard the news, so she left faster than the other managers of the company.

Entrusting the fund to Vivien Kelly does not mean that there is no supervision, there must be supervision, but how the funds are invested is decided by Vivien Kelly, so Lin Baicheng didn't say much about the details.

Lin Baicheng and Vivien Kelly then ended their conversation.

As oil prices rose, Lin Baicheng paid attention to the trend of international gold prices.

The international gold price has now stabilized, oscillating below $400 per ounce, and it has been oscillating for some trading days.If there is no big negative or bullish in the short term, then the international gold price is likely to fluctuate sideways for a while.

This is not a bad thing for Lin Baicheng. Hutchison Whampoa has not completed all the funds for long gold futures to build positions, and now is a good stage to build positions.

The next night, Iwasaki Mineryu, who left Xiangjiang and went back to Tokyo for a while, specially invited Lin Baicheng to his house for dinner, and Lin Baicheng naturally had no reason to refuse.

After chatting for a while, Iwasaki Mineryu said something.

"Lin Jun, there is something I want to talk to you about Bailong Commercial Club."

"What's wrong?"

Seeing Iwasaki Mineryu's solemn expression, Lin Baicheng knew that what the other party was going to say was not a trivial matter.

"The company's current net assets have reached hundreds of billions of yen. It is no longer considered a small company in the real estate industry. If the company wants to grow, it must introduce more shareholders and have more powerful partners. Talent will do."

Iwasaki Mineryu said very seriously and sincerely: "Mr. Lin, with the relationship between the two of us, I will tell you the truth. With my connections, I can still push the company up a bit, but at most the market value If it is doubled or tripled, there will definitely be some families who will take a fancy to our company and want to buy shares."

"Our company is in the real estate business. Not only the acquisition of land, but also the construction of projects and so on must cooperate with local families. Otherwise, if everyone wants to block our company, it will not be difficult."

"Iwasaki-kun, what you said is not unreasonable."

Lin Baicheng nodded slightly, and then asked: "Is there someone who wants to take a stake in our company now?"

"Not yet, Mr. Lin, don't think too much."

Iwasaki Mineryu waved his hand and said sincerely: "It was one of my elders who told me this, and I think what he said made sense, so I mentioned this to Mr. Lin, so that you can be mentally prepared. If Mr. Lin, you can't If you accept other people's shares, then you can just pretend that I didn't say what I said just now, but if the company encounters difficulties at that time, I'm afraid I can't do anything about it, but I want to say this first, so as not to affect us both friendship."

"Iwasaki-kun, don't worry, I understand what you mean. If there are really powerful capitals who want to invest in our company, if they contact you, you don't have to refuse. Tell me first, and we will discuss it in detail later."

Lin Baicheng is very clear that companies like real estate companies that rely heavily on local connections cannot avoid cooperating with more capital, so he doesn't think there is anything wrong.

"Lin Jun, you can understand."

Iwasaki Mineryu breathed a sigh of relief, as long as Lin Baicheng didn't think that he wanted to cross the river and demolish the bridge.

Lin Baicheng said aloud: "However, Iwasaki-kun, even if we have the capital to invest in our company, we can't give up too many shares at the beginning. We have developed the company with great difficulty, and it is impossible for others to pick peaches. You say yes no?"

"That's natural!"

Iwasaki Mineryu nodded heavily: "And then I can increase the company's valuation a little bit. It's okay if we want us to give up the shares, as long as the money is in place."

Iwasaki Mineryu holds nearly half of the company's shares, and his interests are consistent with Lin Baicheng's.If it weren't for the fact that his strength in the Iwasaki family is not very strong, and Bailong Commercial Club is a joint venture company after all, and the other party of the joint venture is not an American company, otherwise there would be no such troubles at all.

To put it bluntly, replace Lin Baicheng with Logan Rockefeller, even if Logan Rockefeller is only a branch of the Rockefeller family, but his surname is enough to make Japanese conglomerate families dare not make trouble.

The United States is the father of Japan. American capital has not troubled the Japanese conglomerate family, and the Japanese conglomerate family can already burn incense.

However, Lin Baicheng was thinking about one thing, that is, if he has capital to invest in Bailong Commercial Club next time, then he will sell part of the shares to the fund under his name at that time, and his left hand will turn his right hand, so that he will hold Some shares will not be too many.

That way, it's less visible and easier to get away with before the real estate bubble bursts.

(End of this chapter)