No matter which industry leader he is, when his career is big, he will inevitably get involved in finance. Look at 'Mao's line, Chinese, and net

Some timid companies take smaller steps, some bold steps take bigger steps, some companies make money, some companies lose money, some companies become pure financial companies, and some companies retreat to their original fields to recuperate.

Qi Zheng is undoubtedly bold, of course, this is in the eyes of the outside world, in the eyes of Qi Zheng himself, if you know the hole cards on the table, then no matter how big you bet, you can't be called bold.

Su Fang, who was in charge of liaison with the Assassin hedge fund, spent most of his time communicating with the banks that the fund worked with, thus putting large sums of money into the New York futures market.

No matter how much money you have, in order to play a role in the futures market, you must go through banks and other financial institutions, and the goods that are purely involved in the futures market with your own funds have died out about 100 years ago.

"The deposit is 200 million US dollars, and the contract amount is between 1 billion and 2 billion. When Su Fang asked about the scale of capital investment, Qi Zheng said with great certainty.

Jiang Ping and Su Fang were slightly stunned, the pure investment of 200 million US dollars, five to ten times the leverage, even in the past few years of investment by the assassin fund, it can be called a large amount.

After a short period of surprise, Jiang Ping regained his composure and said, "A deposit of $200 million is enough for a $2 billion contract." But ten times the leverage is a very dangerous thing, the fluctuation of oil prices more than 10, may be lost in a few minutes, if it is a full operation, the danger of liquidation is not small. ”

As an "old man" who has been in the financial market for more than ten years, the investment of 200 million US dollars and the contract of 2 billion US dollars, although it is not small in absolute terms, but it has not yet reached the level of Jiang Ping's worship, what Jiang Ping needs to do is to remind Qi Zheng of the risks involved.

Ten times the leverage, which means ten times the profit, and the same ten times the loss - the equivalent of buying oil futures with a down payment of 10%. See 1 yarn 3 Chinese net

If the price moves in the opposite direction by 10, the margin as a down payment must be increased, otherwise the bank will force the position to close out and cover its losses. As a trader, it is natural to lose money.

"If it's not enough, I'll consider a margin call to $300 million. "The net worth of the Assassin Fund today is only $300 million, and Qi Zheng can be said to be the boss because he is the boss. Any trader who switches to a hedge fund can only invest in accordance with the established policy.

Liquidation is when the price fluctuates by a ratio that exceeds leverage.

For the Assassin Fund, if you put in a margin of $200 million to buy long operations with 10 times the leverage, once the oil price falls by 10, or even 8, the bank will ask for a margin call. If the additional position cannot be forcibly closed, it will be considered liquidated.

If the $200 million is lost, it means that the achievements of the Assassin Fund in the past few years have basically been wasted.

Qi Zheng knew that the hurricane would cause oil prices to rise, but he did not dare to guarantee that the oil price fluctuations before the hurricane would not exceed 10, so he would not invest all the $300 million, but set aside 100 million as a reserve for future use.

Jiang Ping also felt Qi Zheng's determination from this, and without saying anything, he began to enter the market and build a position.

......

On August 23, Hurricane Katrina began in a tropical depression southeast of the Bahamas and intensified into a tropical storm on the 24th. It slowly moved northwest before moving west through the Bahamas and continued to intensify in intensity.

At this time, the Assassin Fund had already bought 6 million barrels of oil by slowly building positions, and the oil futures market was still unstable.

On August 25, Katrina intensified into a Category 1 hurricane before making landfall in southern Florida, disrupting power to more than a million homes.

The hurricane brushed the top of the Florida Peninsula and continued to move southwestward, with winds slightly lower before entering the Gulf, but when it said goodbye to a few hours of stay on land and returned to the surface of the Gulf of Mexico, the warm waters quickly strengthened it to hurricane scale, and continued westward, until Hurricane Katrina intensified into a strong hurricane on the afternoon of the 26th.

At this time, the Assassin Fund had already bought a long order of 16 million barrels of oil, and the Gulf of Mexico was an important oil-producing area in the United States, and the impact of strong hurricanes could not be underestimated, and oil prices began to fluctuate.

Oil prices are slowly climbing as oil rigs in the Gulf of Mexico evacuate staff and close some wells to prevent the threat of Hurricane Katrina.

Over the next 48 hours, with sea temperatures exceeding 32 degrees Celsius in the Gulf of Mexico, weak vertical wind shear, and good upper-air divergence, Hurricane Katrina continued to intensify and became the highest Category 5 hurricane on the 28th and the fourth lowest pressure ever recorded for an Atlantic hurricane.

Not only that, but Hurricane Katrina is unprecedentedly large because it advances at a rather slow rate compared to other hurricanes of its magnitude, giving it more time to accumulate energy at the surface.

Hurricane Katrina is 320 kilometers wide, covering a vast area from west of New Orleans to Pensacola, Florida, and has hurricane-like winds 200 kilometers from the center of Katrina.

The threat of Hurricane Katrina is further fermenting.

On August 27, the state of Mississippi asked all residents living on the Gulf Coast to evacuate quickly, late at night on the night of the 27th, the city of New Orleans, Louisiana, requested the evacuation of nearly half a million residents in the city, and on the 28th, the President of the United States declared Louisiana a warning area for Hurricane Katrina......

Hurricane Katrina is approaching, and the refineries in the Gulf of Mexico have to be temporarily suspended, and under the influence of instant information from all sides, oil prices began to fluctuate violently on the 28th, as if they were overdrawing the fluctuations caused by the super hurricane.

Hurricane Katrina has yet to make landfall, and the damage is still unknown. Traders have been back and forth on the bearish and bullish judgments, but overall, the upward trend in oil prices is unstoppable.

At this time, the assassin fund had already bought nearly $2 billion in crude oil futures, which was about 30 million barrels when converted into total oil.

Jiang Ping looked at Qi Zheng with admiration, this investment, now it seems that it is quite stable.

Who would have imagined that a small tropical depression would eventually intensify into the strongest storm in U.S. history in the Gulf of Mexico and directly affect oil prices?

"$635 of oil, as long as it rises by $1, there is a profit of more than 15, plus ten times the leverage, there is a profit of 15. Su Fang was like a treasure, and he couldn't help but smile on his face.

The Assassin Fund opened positions at $635 on average, and now the price of oil has risen to $64, that is, the actual profit per barrel is $05, and the total number of long orders of 30 million barrels has already made a profit of $15 million.

The so-called windfall profits of financial speculation, this is it!

And everyone knows that this is definitely not the end, and now it's time to see the landfall of Hurricane Katrina.

Although the landfall of Hurricane Katrina meant a disaster, the high competitiveness of the financial sector determined that capital was not afraid of any form of competition, whether it was legitimate means, improper means, or even war, could not prevent capital from obtaining profits, and in the same way, it would not give capital another conscience.

Therefore, the "capitalists" of the Assassin Fund are all waiting for Hurricane Katrina.

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