Starting with a fully invested A-share portfolio to become a capital...

Chapter 291 A Newcomer Arrives in the World of Speculative Capital; Lee Boo-jin Meets Zhang Yang Again at the Peace Hotel
"Holy crap! Wuyingjiao invited Zhang Yang, the investor from Fuchun Road, into the speculative investor group. What's he up to?!"

Upon seeing Zhang Yang's photos and his self-proclaimed status as a "newcomer," Shu Yimin immediately lost his composure and even raised his voice.

"What the hell?"

"Which groups did you join?"

Which group did Zhang Yang join?

"Who approved it?"

Ma Xinqi, Sun Guodong, and Xu Haiou were all taken aback when they arrived at Zexi Private Equity's trading office area. Even Xu Xiang was somewhat surprised, completely baffled as to what this "Fuchun Road" guy was up to.

2009 was a year of unbridled growth, with weak financial regulation. As long as speculative capital didn't touch the four major banks or important blue-chip stocks, it was generally not punished.

The same applies to insider trading; unless someone reports it or provides concrete evidence, almost no one will bother to investigate.

To put it simply, as long as you don't go too far or cross the line, there won't be any problems.

Because of weak regulation, it is common for speculative funds to band together, not only online but also offline.

It is worth mentioning that the scope of the definition of disrupting the financial market order is actually very vague. Not to mention speculative capital institutions, even large investors with tens of millions of yuan could be guilty of disrupting the financial market order.

For example, if a major shareholder of a small-cap stock with a market capitalization of over one billion yuan urgently needs money and sells tens of millions of shares, causing the entire market to decline, this can also be considered as disrupting the financial market order.

To avoid being penalized, you need to keep a low profile and try to avoid a trend of eight consecutive limit-up days.

"Which group?" Shu Yimin glanced at the group owner's information and replied, "The one created by A God's alt account. It's now called the A-share Leek Association. I don't know why it changed its name a few days ago."

Xu Xiang opened the QQ group chat page. He wasn't in many QQ groups, only a dozen or so. He immediately spotted "A-share Leek Association".

He opened the group chat, which was already buzzing with excitement.

[Brother Zhao]: This photo, this ID, are you really Zhang Shen?

[joker]: flamboyant, genuine.

[Hujialou]: Fuchun Road big shot, please guide me. I've been a fan of yours for ten years. I'd like a copy of the "625 Million Times Profit Strategy". I also want to bear that damned infamy.

[Yanjing Speculator]: @joker, welcome, welcome! Once you're in the group, we're all family. Please let me know in advance next time you want to vote. Thank you.

[Stock Trading to Support the Family]: I apologize for any offense I may have caused in the past. Our "Zhangjiang Gang" was desperately short of money during that period.

[Zen City Shadowless Kick]: That's right, that's right. Our gang is really short of money, especially since I have an eighty-year-old mother and a three-year-old baby at home. Oh right, I also have a younger sister who is about to go to college.

[Tai Ran Jiu Lu]: A gambling dad, an unemployed mom, and a three-year-old crying incessantly. It seems Wu Ying Jiao has been going to foot massage parlors quite a bit lately, since he knows the masseuses' sales pitches so well.

[Hongwu East Road]: Zhangjiang gang? No wonder they're so violent and barbaric. But on another note, Joker, could you give me a friend slot? I'm so desperate to improve.

The circle of speculative investors is very small, with only a hundred or so people in the group chat. Many speculative investors don't use QQ often, such as Zhang Jianping and Qiu Baoyu, whose statuses are all shown as offline.

However, when the news of Zhang Yang joining the group spread, Zhang Jianping, Qiu Baoyu, and even Chen Sanrong's QQ accounts all showed as online.

Zhang Yang also noticed this. The QQ group, which had 59 people online just a moment ago, now had more than 80 people, and they were obviously all lurking.

"Joker won't say a word."

"The number of people online in the group has skyrocketed."

Liao Guopei and Lin Guangchang both showed expressions of anticipation, as "Fuchun Road" was indeed too famous and was undoubtedly the strongest new generation of speculative capital.

"Let me think about what to say."

Zhang Yang thought about it carefully, then typed: "The kids were just being silly and didn't know any better. Please forgive them."

"Snapped--"

When the message was sent out, Liao Guopei, Lin Guangchang, Zeng Lingshan, Feng Weiqiang, and Chen Xiaoqun all burst out laughing. They hadn't expected Zhang Yang to have such a humorous side.

Even if the speculators in the group had opinions, they didn't dare to say much, after all, they had witnessed this guy's "fishing profit strategy".

It was at this moment that Zhang Jianping, who had just gone online, sent out a message.

[Zhang Mengzhu]: Brother Zhang Yang, how have you been? Welcome to the group.

[Asking]: Welcome to the friendliest and least likely to crash the market, Fuchun Road big shot. On another note, how exactly was the 625 million-fold return achieved in nine months? Could you share your trading strategy with us?
Compared to Zhang Jianping, Qiu Baoyu clearly had some issues with Zhang Yang.

Recalling the rush to buy Haitong Foods, Qiu Baoyu was furious. However, he also understood that there's no smoke without fire; it was his own control of the market that gave Zhang Yang, the "evil manipulator," the opportunity to intervene.

[joker]: Observe the trend, become the leader, and success will come naturally.

Zhang Yang's statement was formulaic; everyone knows that speculative funds make money by targeting leading stocks. However, Qiu Baoyu clearly wanted to ask about deeper trading strategies, such as those at the macro level.

Although he sensed that Zhang Yang was being somewhat perfunctory, Qiu Baoyu still shamelessly continued to ask, "What about the macro level? I can actually sense that what you, Fuchun Road, are really good at is dealing with macro trends, not small-scale concepts."

The macro trends and conceptual trends are somewhat like the Hinayana and Mahayana scriptures in "Journey to the West". The Hinayana scriptures focus on self-liberation and becoming an Arhat, while the Mahayana scriptures emphasize universal salvation and attaining Buddhahood.

Those who only follow concepts and trends may never be able to leave the A-share market, because there are no concepts or price limits outside of A-shares, and investment logic needs to be reshaped.

Those who can grasp macroeconomic trends can often adapt to any capital market, including the gold, foreign exchange, and futures markets.

It is often said that wealth in life depends on cycles, which is essentially about investing in line with macro trends.

A grain of sand in the era can be an unbearable burden for ordinary people, while a grain of rice in the era can enable ordinary people to transcend social classes.

Just like pagers and CRT TVs in the 90s, many repairmen thought their skills would provide a comfortable retirement. However, feature phones replaced pagers, and LCD TVs replaced CRT TVs. Many repairmen who couldn't keep up with the times were abandoned by the times and had no choice but to change careers or repair other simple appliances.

"The macro trend is indeed Zhang Yang's forte," Xu Xiang murmured to himself.

He is waiting.

He wanted to know Zhang Yang's reply.

Whether it's Xu Xiang, Zhang Jianping, Wang Tao, or Qiu Baoyu, none of them have a formal financial background. They are only good at finding related concepts to control the market and profiting through their terrifying trading talent. They often cannot control the real macro trends well.

"I feel like A-God's evaluation of that guy is too high. Macro trends, could it be that Zhang Yang is even better at catching the trend than us?"

Because of their differing stances, Shu Yimin remained unconvinced by Zhang Yang's actions.

Moreover, he felt that Zhang Yang might be someone's front man, and that Kaino Technology, Shancheng Beer, and China Unicom were the best proof of this.

No one answered Shu Yimin; everyone was waiting for Zhang Yang's reply.

Not a moment.

Zhang Yang's reply popped up.

[joker]: There are so many things involved in the macro level, I could talk about them for three days and three nights and still not finish. But in the end, it all boils down to one sentence: raise your thinking to the national level and treat the country as a group of interest groups. There are intricate games and countless riches involved. If you want to learn about macroeconomics systematically, you can follow my financial research channel. I will share trading ideas from time to time.

At the end of the message, Zhang Yang didn't forget to advertise his financial research website.

When Caiyan.com was first established, he emphasized the hot money channel, hoping to attract A-share hot money to join and thus increase user stickiness.

Now that the opportunity for publicity has arrived, he certainly won't let it pass.

As for the macro level, although Zhang Yang is a reborn person and roughly remembers the development of the world, he does not rely on it excessively.

Because he knew very well that some things could change. For example, in his previous life, Zhang Yang did not develop his career in China and did not have much contact with top speculative investors such as Xu Xiang, Zhang Jianping, and Qiu Baoyu, let alone make enemies with them.

But in this life, he chose to develop in China, which inevitably meant he would clash with them and become their adversary, thus changing his development path.

Since variables exist, rather than relying on frozen memories, it's better to trust your own logical thinking and re-examine the development of the world.

[Master Xu Xiang]: Welcome to the group. I also have a question. China Unicom has clearly made a strategic mistake. Why are you still buying up large quantities of goods?
As soon as the message was sent, Xu Xiang quickly added another message: "I thought you wanted to dump the shares today and settle accounts with me and Ge Weidong at a lower price, but you didn't. I'm very curious about your underlying logic for buying China Unicom."

Upon seeing Xu Xiang's message, Zhang Yang was taken aback for a moment, then looked at Lin Guangchang and Liao Guopei and asked, "Is today the settlement day?"

"Um...it seems so."

"Oh no, I forgot the time too. I thought it was December 3rd."

Liao Guopei and Lin Guangchang were both shocked. They only remembered that it was a one-month deadline and thought that the settlement would be on December 2nd. However, November 2nd was the date of their bet with the Hong Kong Island organization, and the date of their bet with Xu Xiang and Ge Weidong was October 30th, the day the iPhone 3GS was released.

"I've been so busy lately that I forgot about it, but it doesn't matter. I'll just go and settle the bill with them tomorrow."

Zhang Yang smiled and said.

Recently, due to being exposed as a "malicious dealer on Fuchun Road," he is under immense pressure, which is not as easy as it seems on the surface.

Because one wrong step could wipe out Caiyan.com.

How to describe this feeling?
It's like building with blocks; when you're almost finished, a relative's child suddenly bursts into the room. The pressure and tension are indescribable.

As a man, and a man who has been reborn, Zhang Yang does not show his emotions outwardly, but keeps them tightly hidden in his heart.

Fortunately, both the Caiyan.com and Fuchun Road seats have been secured.

"I need to check China Unicom's closing price. I completely forgot about something so important. Looks like I should cut back on massages."

As soon as Liao Guopei sat down again, Zeng Lingshan quickly announced the closing price of China Unicom: "Brother Jiao, the closing price is 6.19 yuan, an increase of 2.82%."

What about Hong Kong stocks?

Liao Guopei asked the question.

Zeng Lingshan: "The Hong Kong stock price is HK$10.27."

“If I remember correctly, our anchor price was 7.25 yuan for A-shares and 11.68 Hong Kong dollars for H-shares. That means we earned 1.06 yuan per A-share and 1.41 Hong Kong dollars per H-share,” Liao Guopei said, explaining the price difference per share.

Upon hearing this, Lin Guangchang continued, "We borrowed 5000 million A-shares of China Unicom and 5000 million Hong Kong-listed shares of China Unicom from Ge Weidong and Xu Xiang respectively, totaling 2 million shares, and made a profit..."

While he hesitated for a moment, Zhang Yang had already given the precise figures: "1.06 million and 1.41 million Hong Kong dollars. Converted from Hong Kong dollars to Chinese yuan, that's 1.2425 million Chinese yuan. We made a small profit of 2 million. But the good news is that we will have another 4 million in usable funds because the frozen margin can also be refunded."

Zeng Lingshan: "..."

Feng Weiqiang: "..." Chen Xiaoqun: "..."

At this moment, the "three little ones" dared not respond at all. What did they mean by making a small profit of 2 million? Was this something a human being could say?

2 billion!

That's a whopping 2 million!!!
Take Zeng Lingshan for example. Let alone 200 million, even 2 million would have been enough to settle all of his father's debts and build a European-style villa in his hometown.

How many times is 200 million compared to 2 million?
100 times!
That's a full 100 times!

If someone else had said this, Zeng Lingshan, Feng Weiqiang, and Chen Xiaoqun would probably have accused them of bragging. But coming from Zhang Yang, it seems quite reasonable. However, upon closer inspection, it still seems absurd.

"Then I'll go find them tomorrow. I'm currently fully invested, so it's really difficult to do day trading."

"Yes, the funds have run out."

Liao Guopei and Lin Guangchang sounded helpless. Their funds were already fully tied up, and Zhang Yang hadn't allowed the price to rise. Instead, he chose to manipulate the market through day trading, and they didn't know what he was up to.

"Okay, you guys should go back and get some rest."

Zhang Yang nodded slightly.

Immediately afterwards, he looked back at the computer screen, where Xu Xiang sent another new message.

[Master Xu Xiang]: It's okay if you don't want to talk about it. Since I lost the contract, I'll take the beating and stand at attention. I look forward to our next meeting.

The last time Zhang Yang and Xu Xiang met was at yesterday's "Fuchun Road Situation Briefing," but their offline meeting and conversation took place at the Shanghai University of Finance and Economics graduation ceremony.

[joker]: I was just busy, sorry. I bought Huaguo Unicom shares not to dump them or lower the settlement price of the contract, but because there are too many new stocks going public recently, so I bought some to hold my positions for IPOs.

Zhang Yang didn't tell the truth; instead, he used the excuse of participating in an IPO.

According to the IPO rules of the Shanghai Stock Exchange and Shenzhen Stock Exchange, for every 5000 yuan of A-shares held in Shanghai or Shenzhen stock markets, one can subscribe to 500 new shares in the corresponding market. If the value is less than 5000 yuan, it will be calculated as 0 yuan. If the value is less than 1 yuan, one cannot participate in the online subscription of new shares.

With the acceleration of IPOs, three more stocks have been listed on the A-share market: Sante Electronics, Rihai Communication, and Yazhi Shares, with a total fundraising amount of RMB 15 billion.

Besides small-cap stocks, there are also rumors that Huaguo Heavy Industry will have an IPO soon.

For a large-cap stock like this, the fundraising amount will not be less than 100 billion yuan, and may even reach 200 billion yuan, after all, it is a state-owned enterprise.

"..."

Xu Xiang remained silent for a while.

Does he look like a 3-year-old?

To deceive himself, he even came up with such a lame excuse as subscribing to new shares!
When Zhang Jianping saw "stockpiling for IPOs," he couldn't help but laugh and said, "Pfft, Zhang Yang, that guy, actually used the term 'stockpiling' to appease Xu Xiang."

It's not July anymore. Back in July, IPOs were subscriptions, and retail investors were worried about the share price falling below the issue price because IPOs had just restarted.

Don't be fooled by the high returns from IPOs; if the price falls below the issue price, you can get trapped in a few minutes, and there's no guarantee you can get out of the trap.

Do speculative investors buy stocks specifically to accumulate shares for IPO subscriptions?

In short, utter nonsense!

Not only Zhang Jianping laughed out loud, but Qiu Baoyu, Wang Tao, and other speculative investors also laughed out loud in private. Zhang Yang really didn't take Xu Xiang seriously at all, and actually used such a clumsy reason.

[Social Brother Min]: If you don't want to talk about it, then you don't want to talk about it. Why talk nonsense about IPOs? I bet you have some inside information. Some people, you don't know how much of the money they make will actually go into their pockets.

In an instant.

The smell of gunpowder began to spread.

Shu Yimin's intervention was clearly to stand up for Xu Xiang, subtly implying that Zhang Yang was a front man.

"How childish." Zhang Yang smiled calmly and closed the group chat.

He had no interest in arguing with Shu Yimin, because arguing would be pointless.

Two people with different stances, if they don't rely on force and just talk, can argue for three days and three nights without reaching a conclusion.

Instead of arguing, you'd be better off using that time to complete a debt cycle research report.

Zhang Yang's delayed response caused the group chat to gradually fall silent. Shu Yimin, stopped by Xu Xiang, did not continue to spread rumors.

A return of 625 million times does indeed resemble a white glove for capital.

If it takes 10 years to achieve a 625 million-fold increase, then that's acceptable.

However, Zhang Yang achieved this rate of return in just 9 months.

Any doubts?

It's normal to be skeptical.

Because this is simply too outrageous!

Looking at the increasingly quiet group chat, Zhang Jianping asked in a daze, "Is Zhang Yang really a front man for capital?"

Qiu Baoyu, who was far away in Fucheng, had long suspected that Zhang Yang was a puppet put forward by some big capitalists, but he had no evidence.

Now that Shu Yimin has come close and is using his full power, he has no choice but to question Zhang Yang.

A return of 625 times in nine months is understandable, but a return of 62.5 million times is something Qiu Baoyu would prefer Zhang Yang to be a front man, because if nothing unexpected happens, no one will be able to break this return in the next 10 years, no, maybe 100 years, or even 1000 years, after all, the time span is only nine months.

……

As night fell, Zhang Yang did not return to the talent apartment to rest, but instead drove straight to the Jiuxiao Hall private room at the Peace Hotel.

"咚咚-"

There was a knock on the door of the private room. Lee Boo-jin, who was sitting at the head of the table, stood up and greeted him in fluent English: "You're here, Zhang Yang. Please sit down."

Just two hours ago, Zhang Yang was compiling a market research report on the debt cycle, and also took the time to answer retail investors' questions about tomorrow's A-share market trend.

Zhang Yang is actually very optimistic about the A-share market in the next few days, because he has not seen any negative news. On the contrary, the tone set by the top economic meeting means that there is no need to worry about a policy shift in the next year.

The recent short selling of B-shares by foreign investors was primarily due to market concerns that monetary policy might tighten, leading to a liquidity crisis.

There are no problems with policy, economy, technology, or funding. The external Dubai World debt has been initially resolved, and he sees no downward trend.

Of course.

Black swan events cannot be ruled out.

While Zhang Yang was compiling market research reports and replying to retail investors, he received an invitation call from Li Fuzhen, who asked him to meet at the Jiuxiao Hall private room of the Peace Hotel.

Zhang Yang sat down and looked at Lee Boo-jin in front of him, saying, "President Lee, what progress has been made on the screen contract that you sought me out today?"

"Correct."

Lee Boo-jin seemed unwilling to beat around the bush, stating directly: "If you sign a 200 billion won dual contract with me, I can promise you additional benefits, with the same conditions, clearly rejecting Lee Jae-yong and only recognizing me as the contracting party."

"A detailed explanation of dual contracts."

Zhang Yang had already vaguely guessed what was going on.

The so-called "dual contract" refers to a contracting party entering into two or more contracts with different contents on the same matter. The "public contract" is used for illegal purposes such as tax evasion and regulatory avoidance, while the "private contract" is the true expression of the parties' intentions.

"The contract states a net profit of 200 billion over five years, but in reality, it's still 100 billion over five years. As for the missing 100 billion, I will find a way to make up for it myself, so you don't need to worry." After saying that, Lee Boo-jin asked, "Just name whatever benefits you want, as long as the contract is signed."

"I need to go back and think about it." Zhang Yang frowned, not wanting to give an answer tonight.

Lee Boo-jin: "Are you afraid I'll trick you?"

"Yes, I do have that concern." Zhang Yang was also very frank and nodded directly.

One drawback of dual contracts is that they are easy for people to set traps for. Zhang Yang has to be wary of ruthless women like Lee Boo-jin, who are willing to sacrifice the interests of their families for personal gain.

"Once I become the president of Samsung Group in China, I will decide the net profit. You might as well tell me your concerns, and we can discuss them slowly."

A hint of tension flashed in Lee Boo-jin's eyes. Zhang Yang was now her only bargaining chip in negotiations with the Samsung Group, and she absolutely could not afford to lose it.

"Um…"

Zhang Yang thought for a moment and asked, "Assuming I don't meet the net profit target, what method would you use to inflate revenue? Furthermore, if Samsung Group headquarters discovers something amiss and investigates, how would we make up for the shortfall in net profit?"

“And another thing is…” He paused for half a second, then said bluntly, “We’ve only met less than five times in total, I don’t trust you.”

Risk and reward go hand in hand, but the risks are now far too great.

Lee Boo-jin was not surprised; she had already anticipated that Zhang Yang would not agree easily. She explained, "Mr. Zhang, you have a background in finance, so you should know how easy it is to fabricate transaction records. As for the matter being exposed, I will take full responsibility."

As Lee Boo-jin said, it is actually very easy to inflate revenue. Many shell companies that specialize in defrauding banks use fake trade to generate 100 million in revenue with 5000 million in goods, then use the 5000 million in revenue to apply for bank loans, and finally run away with the money.

Inflating revenue is not the key issue; that's an old trick in the financial industry. The real issue is how to absolve Zhang Yang of responsibility.

promise?

Zhang Yang never believed it.

After a brief moment of thought, he looked at Lee Boo-jin and said, "The contract can be signed, but the responsibilities need to be clearly defined. In addition, President Lee needs to record a video of you holding your passport and reading the contents of the dual contract as evidence of compensation."

"Of course."

"And the most crucial one."

Zhang Yang smiled and said, "If President Li takes office smoothly, I hope to be able to use more Samsung components, and you must give me the green light unconditionally."

(End of this chapter)