Vol 6 Chapter 161: Wait for the wind

At this time, not only the Steve Jobs and his wife, but even the Google brothers were a little uncomfortable.

The next day, after the regular meeting of Google, he cooperated with Brin and came to his office in harmony, "Feng, how much can we gain this time?" Peppa asked very directly without any nonsense.

"For the last A-level securities we bought, theoretically, they have a return of 200 times," Feng Yiping did not directly answer his question, only talking about some of the possible returns.

Because of the final return, he can't answer it now.

"200 times!" Brin sat down on the sofa, and Page sat down on Feng Yiping's desk.

If this scene is told, not many people will believe that these two are also world-renowned rich people, emerging representatives of Silicon Valley, there will be times when they will be unstable?

But this is not incomprehensible.

Even if you are a rich old man like Bill Gates, he will feel a little dizzy when he hears such a number.

200 times return!

That is too high to make people feel unreal.

It is estimated that only Buffett can maintain a certain level of calm before such a rate of return. However, if you count the investment this time and the time of this operation, then it is estimated that he will also need a few cans of cherry Coke to suppress the shock.

Page and Brin had never asked about this before. It was because they not only believed in Feng Yiping, but also for their worth of more than 10 billion US dollars, the investment of 1 billion US dollars, although much, was not worth them. Too much time to pay attention.

They also believe in Feng Yiping's promise. Feng Yiping said that there will be two to three times the return. Then they think that in the end, at least one time return will be guaranteed, but 200 times?

Although they also know that the funds used to short A-class securities will not exceed $1 billion, this is already very impressive.

One billion US dollars, 200 times the return, that is, 20 billion!

According to Feng Yiping's rate of return, wouldn't it be that the return on this investment alone would exceed the net worth of either of them in just over a year?

To be honest, after seeing the valuation of their wealth on various rankings, they sometimes feel that their own money is really too easy, but now, it will be easier to come.

In this situation, these two are regarded by many people in the world as being in the forefront of the times, and I can't help but want to sigh with emotion. It's not that I don't understand, but the world is changing fast!

"It's just, two, this is just a theoretical rate of return," Feng Yiping took a bottle of water for each of them.

The two looked at him without speaking. It is estimated that they were still a little numb from shock, and they didn't know if Feng Yiping's words were heard.

"Grumbling," Brin filled most of the bottle in one breath and wiped his mouth with the back of his hand. "Why?"

It seems that they will finally regain the ability to think, but it sounds like they don't mean much disappointment in these words.

This is also the reason why Feng Yiping did not mention this number in front of Jobs yesterday. Jobs's apparently declining physical state cannot withstand such stimulation. Moreover, he will definitely care more about and like this than these two. Return.

"It's like when the debt reaches a certain amount, and greater autonomy is actually in the hands of the debtor. The same is true for our investment this time," Feng Yiping explained to them as plainly as possible.

"In the financial field, there is actually a conservation law..."

"Can you understand it this way," Page put aside the nearly empty water bottle. "We short A-class mortgage securities for 1 billion US dollars. Correspondingly, someone will go longer by 1 billion US dollars?"

"Yes, of course, the one billion dollar long may not be the work of a company," Feng Yiping nodded.

In fact, according to Li Ruiyuan's report to him, there is now a situation where some Wall Street guys are also doing vacant mortgage securities like them, but they are shorting B-class mortgage securities.

At the same time, in order to offset the risk, they also do more A-level, which is considered to be very high-quality and similar to mortgage securities guaranteed by the US government.

What they don't know is that these so-called A-level securities are considered high-quality securities guaranteed by the U.S. government. Among them, one-fourth of the high-quality securities is really good.

Most of the rest are other non-high-quality securities packaged in by them. In a nutshell, it can be said that they are **** securities.

More importantly, for such a system, if the lower-rated securities, that is, the so-called subprime mortgages, have more than a certain proportion, the ratio is about 10%. , That is, more than 10% of subprime mortgages become worthless, and then it will cause an avalanche.

As a result of the avalanche, the so-called high-quality securities of the 2A3A level at the top of this pyramid will collapse.

Therefore, they are treated as safety ropes, and in the end, they will become nooses around their necks.

But this is not injustice. These products were originally developed by their Wall Street counterparts. In a general sense, they fell into their own pits and considered suicide.

"Then there must be such a situation. In the next storm, Wall Street, which bears the brunt, will definitely have long companies go bankrupt."

Shorting will be found in the end, which is correct, but the rate of return is low.

Longing, which was originally used as a hedge against risk, exposes them to great risks, and that is precisely an investment with a loss ratio that exceeds their imagination. The return of shorting cannot offset the loss of longs. The result can only be Bankrupt.

But this is still good. For more companies, this will still only collect premiums happily. Maybe you can do more by the way. Anyway, for fear that the noose around your neck is not strong enough.

"Including some companies that we are currently paying premiums, they may not be able to survive this storm in the future..."

"Wait, wait," Brin stood up and interjected, "You mean, it is possible that even Goldman Sachs, Morgan, Merrill Lynch, Bear Stearns... may also go bankrupt?"

He was really surprised by the meaning of Feng Yiping's words.

Although they are unhappy with Wall Street, they know the strength of the big companies on Wall Street.

Even those companies may not be spared?

"There will be such a possibility, so it means that some companies that accept our premiums now will go bankrupt in the future~www.wuxiaspot.com~ Given the situation at that time, because we all know that among the companies on Wall Street, There are many connected transactions, that is, when the storm occurs, those companies on Wall Street will still grab the high-quality assets of those companies that will go bankrupt."

For example, before Lehman Brothers confirmed its bankruptcy, its Wall Street counterparts, that is, its creditors, had already divided up the most valuable part of the remaining assets.

"We, it's not bad to get a little return,"

Feng Yiping probably remembered the investment banks that fell down on Wall Street during this crisis, at least, he remembered the ones that survived.

But this time, he can't just deal with the companies that survived. Sometimes, his vision is too precise, which will definitely make people doubt.

Therefore, including Lehman Brothers, they are also collecting their premiums at this time. Of course, the investment that knows that it is to send money naturally only accounts for a small part, but it is indispensable because it seems normal.

"There are still some companies, if they pay us in accordance with the originally agreed ratio, then they have only one way to go out of business. In that case, they will take the initiative."

"Originally, we were going to give you 1 billion, but now, we can only give out 300 to 5 billion at most. Either you accept it, or we close down and let the contract in your hand become waste paper."

"Do you think that in that case, we can still insist that we must get back what we deserve according to the contract ratio?" he asked.

"There is no choice," Page said. "Wall Street, hum!"

Part of the return will definitely be squandered, which makes his impression of Wall Street even worse.

"It doesn't matter," Brin patted him on the back. "Let's just wait for that day."