The richest person in Chinese entertainment

Chapter 520: Hundreds of billions of dollars in revenue, a fleeing “dog”

One week. A whole week.

Unbeknownst to the outside world, a fierce "consultation meeting" was held on the top floor of the Morning Glory Group.

For the merchants and white-collar workers around the building.

In the past week, there have been all kinds of tall people wearing headsets wandering around the Chenguang Group.

The people of Yanjing, who were used to seeing big shots imposing martial law, began to wonder if there was any big shot inside the Morning Light Building recently.

Of course, there are also people who are well-informed and know about it.

A group of people who can influence the world situation have arrived within the Chenguang Group.

It’s not that there aren’t people at a certain level who want to come out and receive us.

But as soon as they submitted the proposal, it was rejected.

They just secretly sent some experts and think tanks from various fields over there.

As for whether these people played a role in this incident, or whether they could influence the progress of the negotiations between Zhang Chen and others.

No one knows.

So only a few people know what’s going on here.

But even so, it can let people know something indirectly.

Zhang Chen is doing something that affects the entire world situation, which is far from as peaceful as the outside world is now.

However, even though the outside world didn't know, the results finally came out a week later.

【Morning Light Group and 35 Wall Street investment banks reached a memorandum of understanding on global systemic financial risks. 】

【Wall Street banks are facing major changes.】

[The global public has won a great victory in the financial war against Wall Street! ]

[The global rich list may usher in major changes! ]

[After today, how much has Lyon's wealth expanded? ]

Today marks two weeks since La La Land was released in theaters.

The film has now successfully grossed more than 13.89 billion US dollars worldwide.

Everyone is confident that "La La Land" will break the global box office record of "Titanic".

But when today's news suddenly turned and started reporting Zhang Chen's wealth, many people were a little confused.

"Just a movie that broke $10 billion, right? How come it blows up Leon's wealth."

"Yeah, even though the movie makes a lot of money, Leon probably doesn't have much money, right?"

"It's still expanding. I think it's Zhang Chen himself who's expanding, right?"

“Wall Street and Lyon, could it be that the fund we bought has skyrocketed?”

"I looked at the performance of CG Fund today, and it's only up 30% from when I first bought it. Isn't that exaggerated?"

"Exaggerated? The size of this fund is as high as 560 billion US dollars. What if Lyon has a large share in this fund?"

"Now that you mention it, I actually looked at the list of shareholders of Lyon in several listed companies, and it seems that he has been removed as a shareholder."

"What happened?! Were you kicked out?"

“But this seems to explain the source of Leon’s funds?”

"Did he use this money to short Wall Street?"

The outside world was also confused after seeing these sudden news.

Everyone is wondering what kind of deal Zhang Chen is making with those vampires on Wall Street when he is not promoting the movie during this time.

But ordinary people are destined not to reach the level of Zhang Chen and others, and it is impossible for them to understand all the transaction contents.

Zhang Chen wouldn't be stupid enough to advertise it all over the world.

The main reason is that the gains from this transaction were too great.

Big enough to bring down the image he had previously built for himself.

"It's a headache to spend so much money."

On the top floor of Chenguang Building, in Zhang Chen’s chairman’s office.

There were boxes of documents in front of him.

The content is the result of negotiations with Wall Street banks over this week.

The one in his hand was a summary of all the contents.

The reason why I feel like I don’t know how to spend the money is that the gains this time are really too great.

The main part of this negotiation is still conducted within the framework originally proposed by John Michael.

But the various numbers in it were heavily tilted towards Zhang Chen's side.

At the same time, the content requested by Zhang Chen was also added.

This part is also the main reason why this meeting lasted so long.

Because Goldman Sachs has been dragging its feet.

【memorandum】:
Party A: M&G Group, Vanguard, BlackRock, Disney, Warner Bros., Universal Pictures.
Party B: Morgan Stanley, Citibank, Goldman Sachs Group. (35 banks)
Based on Party A's purchase of CDS from Party B, the following consensus is reached:

1. Party A accepts 50% of the compensation from Party B in cash and equivalents. The total amount of compensation is calculated as 70% of the face value of CDS, that is, the total amount is US$6314 billion, and the cash portion is US$3157 billion.

Cash portion:

1. Citigroup has $180 billion, Goldman Sachs has $500 billion, and Morgan has $230 billion in cash.

2. Goldman Sachs Bank’s $1800 billion of US Treasury bonds.

3. The remaining banks are responsible for $447 billion

Assets:

1. CDO collateralized debt obligations held by Citigroup and Morgan Stanley (at 235% off), totaling US$2350 billion (current actual value: US$ billion).

2. Thirty-five investment banks transferred their equity.

These include:

Google 7% ($101.6 billion)
Microsoft 5% ($137.5 billion)
Apple 2.3% ($23.3 billion)
Amazon 2.5% ($4.46 million)
Nvidia 1.2% ($1.36 million)
Oracle 2.1% ($18.06 billion)
Total: $367.5 billion (current share price)

Exhibition period:

In addition to the equity, all cash will be repaid gradually over the next three years.

The interest rate is LIBOR + 5% (the current LIBOR rate is 5.2%)

For periods exceeding one year, an additional 2% interest will be added each year.

cooperate:

Party A and Party B jointly established "ED (Eye of Dawn) Asset Management Company"

Party A invested 439.5% of the remaining compensation of USD 70 billion
Party B invests 30% of the shares with capital, management, technology, and operating sites.
Party B undertakes to establish an initial capital of no less than US$50 billion.

Among them, Party A’s shareholding ratio is:

Chenguang Group: 19.8%
Pioneer: 15.5%
BlackRock: 10.6%
Disney: 5.3%
“How much would it be if all the money could be deposited immediately?”

Zhang Chen looked at the columns of numbers and couldn't help but sigh.

But he also knew that this was unrealistic.

These investment banks themselves are already in debt crisis.

If their liquidity is drained at this time, they will immediately go bankrupt.

And in this transaction, each party has its own demands.

For example, Vanguard and BlackRock need more stable income, so their focus is on the cash part.

Although this part needs to be obtained annually in the next three years, but for such a high interest rate.

Even if they don't have to do anything, they can still get high salaries every year.

For Hollywood studios, "ED" shares are more important.

For them who mainly engage in the film business, having a stable income in the future is the most important thing.

After all, every project requires a large amount of capital investment.

If they could acquire shares in an asset management company composed of the world's top investment team, it would definitely be a shot in the arm for their future film business.

If the asset management company's operations are in good condition, they will no longer have to rely on the bank for loans in the future.

The problem was that they were short of money and could not invest much money in this "feast" led by Zhang Chen.

So although they want to invest more, given the total share, they still cannot compare with Vanguard, BlackRock and the leader Zhang Chen in actual shareholding.

However, Zhang Chen knew that his identity as a Chinese was too conspicuous in this transaction.

So I took the initiative to take the "worst" part - shares of technology companies.

BlackRock and Vanguard now dislike shares of Google, Microsoft and others.

The reason is that although this crisis broke out not long ago, for any listed company, a fall in stock prices is inevitable.

Although the stock prices of these companies have fallen a lot now.

But in their eyes, it is far from hitting bottom.

If you take over the shares of these listed companies at this time, you may lose all the money you earned this time.

However, Zhang Chen was not stupid enough to calculate these shares based on the current stock price.

Doing so would make these people think that he has some other plan.

If something unexpected happens at that time and he cannot get the shares of these core technology companies, it will be difficult for him to deal with it.

So he bought all the shares of these companies directly from the investment bank at a price of 40%.

Even so, in the eyes of BlackRock and Vanguard, he still looks like a fool.

There is no way, the current stock prices of these companies are really too bad.

Zhang Chen also knows that the stock prices of these companies will fall sharply in the future.

And the decline ranges from 39% to 80%.

He acquired these shares at a price of 40%, which in the eyes of these people meant a loss of at least several billion dollars.

But Zhang Chen didn't care. He had originally planned to buy a large number of shares of these companies after the crisis broke out.

It's just time.

Now that you can get a large number of original shares from investment banks, you will definitely not lose much.

He accounted for 40% of the share in this "short selling".

That is $9020 billion out of $2608 billion. According to the 70% compensation standard in the "Memorandum", he has a share of $1825.6 billion.

Among them, it paid US$147 billion to acquire all the investment banking shares of these technology companies.

There were still 1678.6 billion US dollars left, and Zhang Chen spent 124.31 billion US dollars to acquire a 19.8% stake in the "CD" asset management company.

Took $115 billion (currently actually worth $1150 billion, and non-synthetic CDO) of CDO bonds.

Investment banks hope to transfer both AAA-rated CDOs and "synthetic" CDOs.

But Zhang Chen's side would naturally not take the kind of "synthetic" CDO containing high-risk subprime loans that they were already shorting.

Therefore, although no one in the market dares to take over the CDO that Zhang Chen has acquired.

But according to the prices after 09, it can still be sold at a price of 30%-40%.

In other words, the actual value of this part should be around 400 billion US dollars.

The remaining $1563.6 billion was extended, just like Vanguard and BlackRock.

In other words, this part of the funds will gradually reach his hands in the form of "repayment".

On the surface, Zhang Chen didn't have a penny more in his account this time.

But in fact, Zhang Chen’s evaluation of this transaction is - it’s a huge profit!

Not to mention the US$1563.6 billion, which is a sum that can be recovered within the next three years.

Just take these shares of technology companies as an example.

Just look at the stock prices of these companies in 23 years to get a rough idea of how much Zhang Chen has earned.

Zhang Chen is not very clear about the specific data, but he knows that these companies will definitely be the "cash cows" of the future.

Compared to 07, the stock prices of these companies will see a huge explosion in a dozen years.

Google increased 3.4 times

Microsoft rose 11.9 times

Apple increased 19.7 times

Amazon increased 74.4 times

Nvidia rose 61.5 times

Oracle Zhang Chen 17.3 times

The price Zhang Chen got was 40%
That is to say, for Zhang Chen, in 23 years, the stock price increase of these companies will have to be multiplied by 2.5.

Based on the current value of these companies' shares of US$367.5 billion, it will reach US$23 billion in the next 4098 years.

The overall increase is 11.15 times, with an average annual return of 13%.

The total yield is higher than "LIBOR (07% in 5.2) + 5%".

But Vanguard and BlackRock have no idea about the future technology world and how high the stocks of these top technology companies will rise.

After all, the development of the Internet is still in its infancy.

It is not yet time for a collective outbreak.

Before the Internet can flourish, mobile Internet must also become popular.

So these technology companies are definitely undervalued today.

Zhang Chen can roughly calculate the profits these companies can bring him in the future, but Pioneer Navigation cannot.

Moreover, for Zhang Chen, the actual increase should be 28.75 times, a terrifying annual increase of 32.5%.

For investments with larger amounts of capital, being able to achieve a return of several points per year is already a myth in the investment world.

For example, when Buffett invested $100 million of his own money, between 1950 and 1956, his annualized return was about 50%.
After the establishment of a private equity fund in 1957, the amount of funds increased significantly, but he could only maintain an annualized return of about 31.6%.

By the time he was at Berkshire, his annualized return was around 20%.

At this time, the scale of assets he managed had exceeded 100 billion.

With funds of hundreds of billions and an annualized return of 20%, Buffett has become very popular in the circle.

Zhang Chen's average annualized return is 32.5%, and the scale of assets is also hundreds of billions.

This shows how much one can achieve in the financial circle if one knows the general direction of the future.

This is the result of Zhang Chen's collection.

However, he cannot remember the stock price trends of all listed companies and can only judge the stock prices and future earnings of these technology companies that often appear in the news.

But even if he could remember the future trends of all stocks, it would be impossible for his huge amount of funds to change completely according to his "memory".

If you make a small investment, you can still achieve annualized returns of dozens, hundreds or even thousands of times with this stock price trend.

But Zhang Chen had too much money in his hands.

He can now turn the global financial industry upside down with just a flick of his finger.

It is simply impossible to double your assets without anyone noticing.

Overall, Zhang Chen is in this deal.

For now, that’s $1825.6 billion.

In the next three years, only the deferred repayment will be calculated.

That is US$1719.96 billion (paid off in one year) to US$2081.16 billion (all the money is paid off in the third year).

This has to take into account how much banks like Morgan will repay each year.

However, considering the repayment ability of these banks, Vanguard and BlackRock estimate that this part of assets is about US$2200 billion.

If we take into account the annual investment income of "ED", based on the initial capital of US$50 billion, it would not be difficult for Zhang Chen to successfully earn over US$2500 billion from this transaction in three years.

After all, “bottom fishing” during a crisis is something capitalists are good at.

The reason for establishing this asset management company is to prepare to buy up a large amount of high-quality assets around the world during the inevitable financial crisis.

This part of the profit may not improve much in the next few years.

But if we put it in the next ten years or so, it will definitely exceed the investment of more than 400 billion US dollars by Zhang Chen and others.

In addition, after the financial crisis is over, the recovery of CDO value will cause Zhang Chen's assets to surge again.

If we calculate another ten years from now, the skyrocketing stock prices of technology companies will allow Zhang Chen's wealth to rise to a level that others dare not even imagine.

“I have too much money, it’s a headache”

After Zhang Chen looked at the profits from this transaction, he looked at the total amount of all funds in his account.

Among them was $56 billion contributed to him by those rich young men.

This was earned from selling the stocks of listed companies in which he openly held shares.

In addition, there are some fixed assets, gold, real estate, etc. with a value of over 10 billion US dollars.

However, these assets that have not been converted into money were not included in his calculations.

In addition, before the crisis broke out, he secretly sold his shares in Facebook, Google, Apple and other companies.

Although it was impossible to sell all of them to someone else, about $1600 billion worth of them were sold.

The total amount of funds is close to 2000 billion US dollars, which makes Zhang Chen have a headache about where to invest.

Now that the share prices of listed companies are falling, investing in stories is absolutely the stupidest thing to do.

Only gold, crude oil and other trading products are assets worth buying nowadays.

However, Zhang Chen is not particularly good at this.

Fortunately, over the years, he has trained a large number of professionals to help him manage his assets.

Don't worry about losing money.

Besides, I have control over the general direction of the future, so it is difficult to lose money.

"knock knock"

A knock on the door interrupted Zhang Chen's imagination of the future.

"Enter."

When the door opened, it was Xue Yining who came in.

"Boss, it's ready over there."

"Oh?" Zhang Chen instantly perked up, "Are all the people focused?"

"Yes!" Xue Yining asked after a moment's hesitation, "Boss, you should not watch this kind of scene, right?"

"No, I have to see them with my own eyes."

Zhang Chen sneered, "These guys have caused me a lot of trouble in the past few years."

As he said that, he turned on the computer Xue Yining gave him.

There is nothing else on this computer, only a live broadcast screen.

"Hi, my dear BOSS!"

What caught Zhang Chen's eyes was a big fat face with a rosy complexion.

"William, are you ready?"

"I'm ready!" William licked his lips and showed a cruel smile, "Shall we start now?"

Zhang Chen was stunned: "You're going there in person?"

"Of course!" William chuckled, "I haven't hunted for a long time, so this is a good time to practice my marksmanship."

Then, William looked at Zhang Chen on the screen seriously and asked, "Boss, do you want to record the scene later? I think this kind of image will be a good regulator in the future."

"Oh?" Zhang Chen looked at William meaningfully, "Aren't you afraid?"

William smiled and said nothing. He took an AK-47 from outside the camera and said, "This is the first time I use this model. I may not be able to aim well."

“Ugh—wuwuwu—”

"Let go——"

A lot of howling sounds similar to those of wild dogs came from the computer.

Zhang Chen looked at the screen on the computer, carefully distinguished it for a while, then turned on the recording function and said to William, "Let's start."

Da da da da da.
Under Zhang Chen's gaze, William took a DNA test tube, collected something from the ground, and smiled at Zhang Chen in the camera: "Boss, mission accomplished!"

Zhang Chen looked at the sealed test tube and smiled nonchalantly: "I want to see if the wild dogs that fled to the desert are related to their dog relatives in China."

This was part of his private deal with Goldman Sachs.

A fugitive.
"dog".

(End of this chapter)