Rebirth Tokyo 1986

Chapter 363 The Inescapable Giant

After visiting various parts of the country, Masato Takeshita then relayed the good news to the American elite by telephone.

"That's right, I plan to go to the United States next month and then hold a celebration party."

"Okay, I'll definitely be there."

"OK, see you next month, bye-bye."

In 1994, the United States was not only experiencing a rise in national power, but its stock market was also booming.

At this point, even if he liquidates his stocks and goes to the United States, he won't offend anyone.

Because while you are making money, others are also making a fortune, which will not arouse people's jealousy and hatred.

If it were 2000, the young man would absolutely not have dared to travel to the United States openly, for fear of becoming a scapegoat for American public opinion.

After the 08 financial crisis, a major short seller was labeled the culprit by the public.

He was constantly criticized by Americans and even stock market investors around the world, and his family also suffered.

My elderly mother, in her seventies or eighties, is bombarded daily by a group of reporters at her doorstep with various angles and rhetoric.

It can only be said that some journalists are utterly shameless and have no conscience whatsoever.

Masato Takeshita first contacted the Bush family, and only after hanging up did he contact the current president's family.

Because the relationship was relatively unfamiliar, the tone was very polite and professional, and there were no other items mentioned.

Unlike when he talked to George W. Bush on the phone, where they agreed to go to a farm in Texas together.

Of course, his relationship with the Bush family was also superficial, because politicians are the kind of people who can turn on you in an instant.

Masato Takeshita didn't believe that he, a foreigner from the East, could gain the genuine friendship of the Bush family.

But that's just how the world is; there's truth and falsehood, and there's no need to spell everything out.

After the political arena, the economic arena naturally follows.

This time, he chose to notify Goldman Sachs first.

As for those established chaebol leaders, they weren't qualified to contact them when the youth started the second phase of the Zodiac Fund; they only contacted agents.

However, this year, when the third phase of the Zodiac Fund raises funds, the heads of major conglomerates should all take the initiative to attend.

On the one hand, Xinghai Investment has grown into a financial giant, which can create more profits for major financial groups.

On the other hand, after several years of development, Xinghai Group has become a well-known giant group and is qualified to access higher levels.

"Mr. Paulson, you must have heard about our fund's stock market liquidation that began in March, right?"

After exchanging a few polite words, Masato Takeshita tentatively inquired about the new president of Goldman Sachs.

"Yes, although the US stock market is very secure, I still..."

"OK, I'll just get straight to the point now."

Although the young man was dismissive of Paulson's words, many people knew that there were no secrets in the American stock market.

The only difference is whether someone is willing to put in the effort to find it.

But with major clients, it's best not to confront them head-on. Masato Takeshita, who isn't that thick-skinned, simply stated his purpose directly.

"That's right, the revenue of the fund that our two companies are working on together has been calculated."

"The initial $10 billion has grown to $52 billion after several years of operation."

The fund jointly invested by Xinghai Investment and Goldman Sachs is relatively small, so its rate of return is naturally much higher.

After all, there are relatively few stocks with the potential to make a lot of money, and even if you fight desperately, it's hard to buy too many.

"As expected of the fund managed by Takeshita-san, its profitability is absolutely number one in the world."

Paulson was overjoyed, because he had invested a large sum of money in it, about a third of his assets.

This investment effectively doubled his net worth.

Besides, he was the one who strongly advocated for this project. This means that all Goldman Sachs leadership who invested in the joint venture fund had to accept his favor.

His influence at Goldman Sachs will be further enhanced, and he will be able to get more people to cooperate with him in whatever he does in the future.

"Not at all, Mr. Paulson, you flatter me. I only have a superficial understanding. When it comes to investment, Mr. Paulson is far more capable, having strongly suppressed Morgan Stanley."

Since Paulson took over as president of Goldman Sachs, the firm has grown rapidly and is now the undisputed king of the financial world.

Starsea Investments is indeed more profitable, but its status is far inferior to that of Goldman Sachs.

Investment banks are the financial institutions with the greatest influence on the world economy today, even surpassing traditional banks.

Of course, this refers to the right to speak.

If we're talking about the difficulty of getting a job, then the pinnacle in the world is definitely hedge funds, where the minimum educational requirement is a bachelor's degree from Tsinghua University or Beijing University.

After exchanging compliments for a while, the young man casually asked, "Now that all the stocks have been sold, does Mr. Paulson have any other needs for the second phase of the fund?"

"Could you give us three days?"

"Of course, feel free to do so; you can form the team whenever you like."

The money in the cooperative fund is half of Masato Takeshita's own property, and it doesn't matter if it's left there unattended; it can be considered as asset cash flow.

"Okay, then I'll leave it to you, Takeshita-san."

"Okay, we'll contact you again after your company has finished discussing this."

"OK, see you in three days."

"OK Bye Bye!"

There are no secrets on Wall Street, and soon news that Goldman Sachs and Xinghai Investment's joint venture fund had made billions of dollars reached the ears of major financial companies.

"We are the kings of Wall Street, and Xinghai Investment's cooperation must include us."

Although Goldman Sachs' growing strength has dethroned Morgan Stanley from its position as the top investment bank on Wall Street, most Morgan Stanley employees are unwilling to admit it.

Deep down, they still felt that Goldman Sachs was the guy who was causing them trouble everywhere, and that they could still be crushed at a certain cost.

Before the 90s, Morgan Stanley was a force to be reckoned with on Wall Street, and most financial institutions dared not challenge it.

In this situation, Morgan Stanley became complacent and recklessly engaged in hostile takeovers in the financial markets.

In other words, regardless of whether the listed company is willing to be traded, it will forcefully acquire controlling stake in the company, thereby completing a series of financial operations and obtaining greater profits.

The simplest approach is to break up the company you acquire. Sell off the valuable parts and leave the empty shell to the market.

Morgan Stanley's arrogance presented an opportunity for Goldman Sachs. It began acting as a white knight, helping unwilling companies escape Morgan Stanley's hostile takeover attempts.

The advantage of doing this is that you can make a small profit while building good relationships with the company, thereby enhancing your network and reputation.

With a strong network and positive reputation, resources naturally flowed in, and Goldman Sachs gradually narrowed the gap with Morgan Stanley.

By the 90s, with Paulson in charge, Goldman Sachs' influence on Wall Street had begun to surpass that of Morgan Stanley.

However, Morgan Stanley is no pushover either. Unable to compete in the US stock market, it leveraged its previously accumulated reputation to pursue a global expansion strategy.

It works very well, and it will only get better.

However, Paulson is no pushover either, and sooner or later he will chase Morgan Stanley to developing countries.

China, in particular, will become a new arena for Goldman Sachs and Morgan Stanley to repeatedly clash.

Unfortunately, Xinghai Group's strength is not yet comparable, so they can't even get a share of the profits.

In response to President John Mack's anger, Morgan Stanley's head of investment business, Royce, immediately responded loudly.

"Yes, please rest assured, President, I will go to Xinghai Investment immediately to reach a cooperation agreement."

"Go ahead, I'm waiting for your good news."

Neither Mike nor Royce believed that Xinghai Investment would refuse the offer from Morgan Stanley. They were the left hand of the Morgan family, controlling Wall Street; anyone wanting to make money on Wall Street couldn't avoid them.

It's quite interesting that after Morgan Bank was forcibly split into Morgan Stanley and JPMorgan Chase, JPMorgan Chase, whose name literally includes "big," became "Little Morgan," while Morgan Stanley, whose name doesn't reveal much, became "Big Morgan."

This demonstrates the current dominance of investment banking in the financial sector, leaving commercial banks like JPMorgan Chase completely outmatched.

Soon, Xinghai Group received a visit request from Morgan Stanley.

"No problem. Tell them that Xinghai Investment welcomes Morgan Stanley's visit."

Of all the major investment banks on Wall Street, only Goldman Sachs and Morgan Stanley were completely irresistible to Masato Takeshita.

He wasn't going to refuse.

With these two giants as insurance providers, Xinghai Investment will be even more successful in the US stock market.

Morgan Stanley is taking action, and other major US investment banks are not idle either.

The presidents of Merrill Lynch, Lehman Brothers, and Bear Stearns are all in a meeting, wanting to receive the same treatment as Goldman Sachs.

But these three investment banks may be disappointed, as Masato Takeshita is not prepared to cut his losses again.

Because on Wall Street, only Morgan and Rockefeller are the eternal protagonists.

As for investment banks outside the US such as UBS and Deutsche Bank, it's even more impossible. The capital behind them doesn't have the power to make Xinghai Group concede.

Soon, Royce, who was playing a leading role for Morgan Stanley, came to Starsea Investment.

As the company president, Masato Takeshita would certainly not be foolish enough to personally receive them; their statuses were simply not equal.

Masao Nagasawa, the vice president of Xinghai Investment, is the most suitable person.

"Okay, I understand. We are the ones in control, so there's no need to rush."

"Okay, that's fine, take it slow."

Although Masato Takeshita also wanted to cooperate with Morgan Stanley to deter more prying eyes, the Star Sea Group wanted to become the dominant party.

Therefore, in response to Masao Nagasawa's report, he reiterated the core idea of this meeting.

"Yes, please rest assured, Chairman."

Masao Nagasawa knows it all too well; it's just a matter of playing the game of tai chi, and he's incredibly skilled at it now.

For three days in a row, Masao Nagasawa's attitude remained unchanged.

Where does Royce want to visit? Okay, no problem, Xinghai Investment can arrange it.

As for specific investment matters, well, sorry, Masao Nagasawa simply laughed it off and didn't respond at all.

Reus could no longer tolerate Xinghai Investment's unwavering stance.

He bluntly told Masao Nagasawa, "Our company wants to cooperate with you to establish a fund. Please tell us your conditions."

Headquarters was pressuring him, so Reus couldn't afford to be as relaxed as Masao Nagasawa.

"Of course we have no problem with that, but it would be better if your company took the initiative to suggest comparing prices."

Xinghai Investment, being the party with the advantage, naturally wouldn't reveal its hand first.

"No problem, but I need to go back and talk to President Mike first."

"Of course, Xinghai Investment is available anytime."

A hint of joy flickered in Masao Nagasawa's heart, for this was exactly what Xinghai Investment wanted to achieve.

When Xinghai Group partnered with Goldman Sachs, they primarily negotiated with Paulson.

On the one hand, Starsea Investments doesn't have a very big reputation in the United States, and on the other hand, they value Paulson's future prospects.

At present, Royce doesn't have the face to deal with Xinghai Group; only Morgan Stanley CEO Mike would be willing to come in person.

Morgan Stanley knew about it, but they still wanted to give it a try, since there was no cost involved.

"Okay, I understand. I'll fly there tomorrow."

Everyone is eager to make money, and Mike wants to finish quickly to increase his influence at Morgan Stanley.

"Good afternoon, President Mike. I am Jia Benlongzheng. It's a pleasure to meet you. I look forward to your guidance in the future."

"I am John Mack. I look forward to working with you, President Gabbon."

When in Rome, do as the Romans do; President Mike is quite adept at putting on a show.

After bowing to each other and exchanging a few simple pleasantries, the two headed straight for the airport's VIP area.

Here, Xinghai Investment provides luxury cars that can take you directly to a luxury hotel near the company.

Since it was their first meeting, they naturally wouldn't start discussing business right away.

After settling into their accommodations, the next step was naturally to welcome them with a feast.

Xinghai Group is already very skilled in this area of business, and they simply follow the usual practice of their American customers.

The next day, neither side showed any intention of formal negotiations. Kamoto Takamasa then took Mike on a leisurely stroll through various tourist attractions in Tokyo.

"It's so beautiful, as expected of Japan."

John Mack loved the beautiful scenery of Senso-ji Temple in Tokyo and was still a little reluctant to leave.

"Thank you, there are many beautiful places in America too."

In fact, Japan is probably the non-Western country that has the greatest influence on the United States.

A whole host of American celebrities are big fans of Japanese culture.

The most well-known examples today are probably Steve Jobs and Larry Ellison. One is the founder of Apple, and the other is the founder of Oracle.

"Have you secured the agreement with Goldman Sachs?"

While Mike appeared to be enjoying sightseeing in Tokyo these past few days, he was actually quite busy behind the scenes.

This included leveraging Morgan Stanley's dominant position in the financial world to obtain a cooperation template from Starsea Investment and Goldman Sachs.

"I'm sorry, Goldman Sachs has very big requirements, and it will take some more time."

"Then forget it, let's just reach an agreement with Xinghai Investment directly."

Mike frowned and decided to give up on seeking answers from Goldman Sachs.

In any case, the cooperation was nothing more than using Morgan Stanley's influence in the US political and economic circles to withstand the profit pressure on Xinghai Investment.

As long as money can be made, these things are irrelevant.

Capital knows no borders, especially top investment banks like Morgan Stanley.

Yes, we know.

"Hmm, does the board of directors have any different ideas?"

"Not for now, everything is up to the president."

"That's good."

John Mack was very satisfied, even feeling a sense of relief.

Since Goldman Sachs overtook him, his days at Morgan Stanley have been rather difficult.

In work, many things are not as smooth as they were at the beginning.

He knew that the board of directors was considering changing the management.

This is the most important reason why he was so eager to come to Xinghai Investment.

He intends to use this collaboration to regain the board's trust.