Reborn Capital Empire

Chapter 56: Asset Management

Chapter 56 Asset Management

…

As one of the top five investment banks on Wall Street, Merrill Lynch was faster than Guo Shouyun imagined. Before the three-day deadline, he had already called him.

“Mr. Guo, after our investigation and comprehensive evaluation, Merrill Lynch is willing to issue this ABS asset-backed securities for you based on the income rights of your five sets (books) of novels in the next ten years. We will also actively assist you to obtain the rating company 3A rating!”

Danny Lewis, who was sitting opposite, said solemnly.

“Merrill Lynch made the right choice.”

Although Guo Shouyun’s expression was calm, his tone was extraordinarily confident. Without it, Westerners eat this set. In business, the law of the jungle is more naked than in life.

“I also think so!”

Next, the two parties began formal negotiations on the issuance and repayment methods, financial supervision, and the nominal value of the bonds. Forget the rest, Guo Shouyun is most concerned about the way of repayment.

After negotiating with Merrill Lynch, Guo Shouyun’s proposal to ‘repay when due’ was passed. This also means that the ABS bonds he issued will have to repay the principal and interest after the 10-year issuance period.

There are three main reasons for this choice. First, in the early stage of his career development, he needs more funds to lay a foundation for his future. Second, the depreciation of the dollar makes the repayment cost significantly lower after ten years. Third, the subprime mortgage crisis. When the crisis prevails, the price of his bond will undoubtedly depreciate. If the depreciation exceeds 10%, he can not only offset the interest after buying it, but even make a profit if the price is low enough.

After nearly a week of negotiations, with the help of George Davis, a professional who is proficient in business law, who specially flew over from San Francisco, Guo Shouyun signed a cooperation agreement with Merrill Lynch, and obtained a 3A-level buy rating from Moody’s.

…

“Boss, this is the registration document of the ‘Phoenix Asset Management Company’ you want!”

Wendy Solo took out a file bag and handed it over. After she was busy with the acquisition of Valve Software, she rushed to Guo Shouyun in Los Angeles.

Taking it over and opening it, Guo Shouyun nodded after carefully reading the contents of the file. This is the third subsidiary he registered under Phoenix Holdings. It is also the real starting point for him to play capital!

“what time is it?”

“At 14:35 in the afternoon, there are still 25 minutes before you meet the headhunting target provided by Heidrick & Struggles!” Wendy Solow said quickly.

Guo Shouyun nodded, twenty-five minutes was enough for him to arrive at the meeting place. Thinking of the next meeting, he couldn’t help but open the background information of the target person provided by the headhunter. After reading it twice and making sure that there was no omission, Guo Shouyun, who was sitting in the back seat of the car, closed his eyes. During this period of time, he has to write, negotiate with Merrill Lynch and Moody’s, and worry about the sales of new books by Matrix Pictures and Thornbird Publishing Company. Even in his prime, he feels a little tired.

Through the mirror in the middle, Wendy Solo, who was driving, glanced at Guo Shouyun in the back with admiration, pinched the time on the watch, and only said when it was necessary to remind Guo Shouyun, “Boss, we are here!”

“Arrived?!” Glancing at the sign of the Hays Resort outside, Guo Shouyun nodded, “Let’s go down.”

When the two got out of the car, Heidrick & Struggles’ accompanying staff hurried forward and guided them to the meeting place.

In a quiet tea room, Guo Shouyun met the person he wanted to hunt.

“Mr. Zhang!”

Wearing a black suit with a thin face and slender eyes, the middle-aged Chinese man with gold-wire glasses stretched out his right hand towards him with a smile while Guo Shouyun reached out to him.

“When Mr. Guo’s age and achievements are combined, it is really admirable!”

“You’re welcome, please take a seat!”

Guo Shouyun no longer felt the compliments he heard a lot. Of course, being polite and thoughtful was a must.

In order to save time and energy, Guo Shouyun stopped talking nonsense, “I believe Heidrick & Struggles has made our conditions very clear. I wonder if Mr. Zhang has any objections?”

“The conditions of $500,000 plus performance dividends per year are very good. I have no opinion on this. But I am very curious, why did Mr. Guo choose me? With the amount of trading capital and treatment you provided, you can definitely hire someone who is better than me. more fund managers.”

Guo Shouyun smiled and said, “Does Mr. Zhang think he is not good?”

“On Wall Street, and even in the global capital market, not many people dare to say that they are very good!” After taking a deep look at him, William Zhang said indifferently.

He is a second-generation Chinese. Although he accepts the free thinking of the United States, he also retains the humility that is unique to China because of his parents.

After Guo Shouyun smiled indifferently, he took out a document from his briefcase and handed it over.

“This is all the information Heidrick & Struggles provided me about Mr. Zhang’s life experience in the past 52 years. Let’s not talk about the information before your doctoral degree. I am interested in the 24 years after you entered the **** asset management department. The performance in the past 20 years….Except for the first 7 years and the next 17 years as a fund manager, the average annual growth rate of the fund and asset management plan you are in charge of is 8%! And the growth is stable, there is no big ups and downs, I value the most This is it!”

After taking a brief look at the information, William Zhang put it down.

“Not many people on Wall Street like stability, they prefer fund managers that deliver high returns!”

After looking at him, Guo Shouyun smiled and said, “Mr. Zhang is of Chinese descent, I wonder if you have heard a word?”

“What?”

“A good fighter has no illustrious achievements, and a good doctor has no glorious name!”

William Zhang nodded after some thought.

“My father was a professor of medicine at Long Island University in New York, and I once heard him say that.”

“What it means is: true strategists often have no outstanding military exploits, because they can often use political, economic, authoritarian and other factors to gain benefits before the war begins, and at the same time eliminate the war in the bud. Smart doctors often They don’t have much reputation, because they often cure the disease through preventive means before the patient has the disease! The same is true. In my opinion, the fund manager who can really ensure long-term stable profits is the one The real top financial elites, such talents are exactly what I need.” Guo Shouyun affirmed.

“Mr. Guo’s words really make people feel very comfortable. But I am 52 years old, and I will retire in a few years. I am afraid that my energy will not be able to support Mr. Guo’s ambition in the capital industry!” William Zhang shook Shaking his head.

“Mr. Zhang doesn’t have to worry about this. I am responsible for the company’s strategic investment direction, and you are only responsible for implementing my decisions and the daily management of the company!” Guo Shouyun said with a smile.

William Zhang frowned, feeling that he was just a manager without much real power.

“The people Mr. Guo wants are all over Wall Street, so why bother to find me at such a high price?”

“There are three reasons: first, we are all Chinese. Second, your past achievements make me feel trustworthy~www.readwn.com~ Third, you have worked in the Wall Street capital market for many years, and you have enough contacts to be able to Get a higher margin and securities lending quota in the secondary market!”

William Zhang nodded knowingly. After thinking for a while, he stared deeply at Guo Shouyun, “I’m afraid the third point is the reason why Mr. Guo found me!”

Guo Shouyun smiled and did not deny it.

The capital market in the United States is very mature, with various conditions and restrictions. If Guo Shouyun intends to invest in the stock market and bond market, he must have more than six months to open an account. In addition, out of risk considerations, securities companies will also impose certain restrictions on private customers who conduct margin financing and securities lending on the company’s platform. For example, the total amount of personal assets, the proportion of risk assets in total assets, and so on.

In addition to the above, the core reason is: the amount of margin financing and securities lending, that is, the multiple of financial leverage. Although the financial regulations in the United States are not as strict as they were after the subprime mortgage crisis, the amount of margin financing and securities lending is mandatory at 50%. But a newcomer in the capital market like Guo Shouyun, don’t think about leverage. So, in order to make a lot of money, you have to be flexible.

Just like now, he established Phoenix Asset Management Company, and then William Zhang, as the company’s fund manager, designed an asset management plan and submitted it to the China Securities Regulatory Commission, and then Guo Shouyun put his funds into this plan. In this way, on the surface, it appears that William Zhang is the operator of this asset management plan, but the actual decision-maker is Guo Shouyun. When Guo Shouyun needs margin financing and securities lending, with the connections and credibility accumulated by William Zhang in Wall Street for many years, he can definitely get a very high amount.

Previously, it raised US$350 million in ABS securities issued by 5 books in the next ten years, in order to provide sufficient funds to stir up the situation in the capital market.