The American Kill Line: I Can Predict the Future

Night falls.

At the Peninsula Hotel's rooftop bar, the evening breeze carries the scent of the city, and below you is the dazzling river of cars on Fifth Avenue, while above you is the magnificent Manhattan skyline, offering a panoramic view of the entire city's nightscape.

Ron and Victor hadn't eaten dinner, but ordered two glasses of red wine and two snacks.

The two enjoyed their meal while admiring the night view.

At this moment, Ron briefly recounted his ordeal.

It wasn't to gain sympathy, but to prepare for what would happen later.

As Ron finished speaking, his eyes were bloodshot, and he gritted his teeth, saying, "Victor, you probably don't know, but I was prepared to lose everything. Consider this my final indulgence, and then I'll kill those two sons of bitches."

"It's all over now, Ron. You won your gamble."

Viktor felt comforted, and his doubts were completely dispelled.

"That doesn't count as the past!"

Ron finished his glass of red wine, then said fiercely, "This isn't enough. I'm going to earn more, and then I'll make those sons of bitches wish they were dead!"

Viktor remained silent.

Honestly, if I were in Ron's shoes, I probably would have thought the same thing.

Realizing he had been too radical, Ron's expression softened, and he changed the subject: "Let's not talk about these unpleasant things, Victor. How much do you know about investment taxes?"

He couldn't possibly start by exploring bullish European financial markets.

If the intention is too obvious, it is easy for others to become suspicious afterward.

"The personal income tax on ordinary investments is approximately 35%."

Victor paused, noticing Ron's frown, then smiled and said, "However, we have a Section 1256 contract, so the maximum percentage won't exceed 23%."

Section 1256 contracts are a type of financial derivative defined in Section 1256 of the U.S. Internal Revenue Code and are subject to special tax treatment rules.

Ron still thinks this tax rate is very high, which means that of his profit of more than $240 million, he will have to pay more than $55.

"Isn't there a lower-priced option?"

What is finance?

It includes not only various investments, but everything related to money.

How to reduce tax rates, or even avoid taxes, also falls under the category of finance.

"It depends on your future plans. If you choose to leave the market, I advise you to follow this tax rate."

Victor gently swirled his wine glass, his gaze sweeping over the women around him.

In the afternoon, he discussed Ron's investment with his colleagues and concluded that it was "luck".

Furthermore, he also labeled Ron as a gambler.

Even if these types of customers win by chance this time, they will lose everything next time.

Therefore, his suggestion was the most pertinent.

Pay your taxes honestly, then take your money and leave.

However, it's clear Ron has no intention of leaving: "What if I want to continue investing?"

Merrill Lynch is happy to assist you.

Victor raised his glass in a respectful toast.

He had said everything he needed to say. If Ron was destined to lose everything and leave the game, he hoped it would be in his own hands.

After all, who can turn down money?

Next, Victor earnestly explained how to reduce the tax rate.

For individual investors like Ron, who have almost no other assets, tax avoidance is extremely difficult.

23% is already the most favorable rate at present.

If he acquired the shares through this purchase, then that would be 35%.

Unless it's a long-term investment, you should allocate most of the proceeds from this investment specifically for investing and holding the shares for more than a year.

In this case, it can be classified as a long-term capital gain.

The current highest tax rate on long-term capital gains is no more than 15%.

Of course, this operation also carries risks.

It's very likely that we'll lose even more money a year from now.

"Thanks!"

A 15% tax rate is still a lot, but Ron can barely accept it.

Ron then asked about the European debt crisis.

Victor is a competent stockbroker; he not only discusses the current situation in various EU countries.

In particular, the potential impact of this flash crash in US stocks in the future.

Finally, he joked, "If you want to buy options in European countries, Merrill Lynch can do it for you, but the put option price is currently quite high, so the profit may not be what you want, and you might even lose money."

As night deepened, a slightly tipsy Viktor noticed a lone woman in the room.

It just so happens to be his type.

He finished his glass of red wine, stood up, and said:

"Ron, as a professional stockbroker, my advice is that if you want to hold for the long term, it's best to buy some tech stocks."

As he spoke, he patted Ron on the shoulder and raised an eyebrow, saying, "You know, those internet companies may not have much else to offer, but they're very good at making their financial reports look good."

After saying that, he disappeared into the mingling crowd.

Ron remained alone.

Before I knew it, the open-air bar had been filled with all sorts of people.

The crystal chandelier scattered sparks like stardust, and the luxurious fragrance and sweet champagne scent intertwined to create a glamorous warm mist, filling the room with elegant attire and dazzling jewelry.

Some people hold a cigar between their fingers and casually make multi-million dollar investments, while others boast about their entrepreneurial legends with great enthusiasm.

There was even a Hollywood actress that Ron knew, dressed in a floor-length gown, her jewelry gleaming with a cold, elegant light, nestled softly beside the dignified and wealthy businessman.

Humans are never born content; they simply haven't seen the true nature of extravagance.

Once you truly reach the pinnacle of extravagance and have witnessed the glamorous and dreamlike world of fame and fortune, you can never go back to the ordinary and mundane life you once had.

"This stuff is for sissies."

Ron finished his glass of red wine, finding it bland and tasteless.

He snapped his fingers, summoned a waiter, and ordered a whiskey.

.......

The next morning at nine o'clock, Ron sat in front of the computer and logged into his account.

First, they withdrew 16.7 yuan into their bank account.

He then called Viktor:

"Victor, can you help me figure out which EU call option is the most cost-effective to buy right now?"

"Bullish? Ron, are you serious?"

Victor couldn't understand what Ron was thinking, since he had made himself so clear last night.

With the entire EU in deficit, buying at this time either means you have inside information or you're insane.

We found out most of Ron's basic information yesterday; he's just a country bumpkin from Texas.

After five years in New York, even his wife ran off with someone else.

That's why I chose to take a desperate gamble.

This type of person is a typical desperate gambler.

Therefore, Victor is more inclined to believe that this guy is addicted to gambling.

Nevertheless, Victor did not intend to persuade him further, but instead, out of professional ethics, carefully helped Ron choose the right product.

After a moment, he said, "The market is currently at the lowest point of panic. I expect there will be a lot of sell orders after the market opens. If you plan to buy today, I suggest you buy options on the French CAC40 index, the German DAX30, and the UK FTSE 100."

"Can."

Ron also checked the three stocks through his computer trading platform.

"So what should the strike price be? At-the-money, or slightly out-of-the-money?"

"Could you tell me the values ​​for the attribution and slightly out-of-the-money values?"

"The French CAC40 index is currently at 3390 points, with a slightly out-of-the-money value of around 3400 to 3480 points."

"What about depth imaginary value?" Ron asked.

Viktor was taken aback and muttered under his breath, "What a madman!"

Thinking about what happened to this guy, it all seems so natural.

A Texan with millions of dollars in his pocket, a bad temper, and who's been cuckolded.

It's understandable that such radicals, having tasted success once, would try again.

After all, Victor could tell that the guy's threat to kill his ex-wife last night didn't seem like a lie.

He took a deep breath and said, "Based on the current market conditions, it's probably above 3500 points."

"Can."

Such important news has not been leaked to the market at all.

Instead, everyone is predicting a downturn.

There is only one possibility: some people are deliberately concealing the truth.

They're just waiting for the meeting to end, for the news to be released, and then they can start reaping the benefits.

With such a good opportunity and such a tight secrecy, Ron believed it was impossible that the increase would be so small.

Next, on Victor's advice, the $250 million was converted into euros, or 196 million euros, and then split into three parts.

To avoid causing market shock, we will buy in batches.

The first batch is 30% of the funds.

Half an hour later, the second batch of 40% of the funds arrived.

Then buy the remaining 30% when the price is at its lowest.

The French CAC40 saw the largest purchase, amounting to €125 million.

German DAX30, 50 euros.

The remaining 21 euros were used to buy FTSE 100 stocks in the UK.