Chapter 622: The Great Cemetery

"By the way, Tingsheng, what is the CDO?" Huang Yaming suddenly asked Xu Tingsheng.

"I want to ask too. Lao Jin said.

"You also ask this?" Xiao Jinshan, who had drunk two glasses of red wine, looked up at his father dizzily and said, "It's English...... You know? You can't spell it. Uncle Xu, let's talk about this kind of problem, let me tell you, my English tutor has a very big breast......"

Lao Jin slapped him into silent mode.

"Where did you hear this?" Xu Tingsheng asked rhetorically.

"There's a half-breed guy named Wayne Young, who said he knew you, and he came to us and sold us this," Huang Yaming said, "By the way, he also said that a lot of investment banks on Wall Street are doing this." ”

"This bastard is really pervasive and does everything. Fortunately, he is not an arms dealer, otherwise it would have been a world war. Xu Tingsheng shook his head and said.

Wayne Young is probably working as a middleman for Wall Street banks, and he has also sold this to Xu Tingsheng before, and Xu Tingsheng asked him to help get Apple. didn't think about it, he even found Lao Jin and Huang Yaming.

"Then what do you say?" Xu Tingsheng asked.

"I said I didn't know what the hell it was...... And I never listened to people who wanted to sell me tell me what it was. Then let him fuck off. Huang Yaming said, "If I ask you now, it is pure boredom and curiosity." ”

"It's complicated. Xu Tingsheng said.

"No, you don't know, do you?" Ha...... "Xiao Jinshan, who has drunk too much, is energetic again."

Xu Tingsheng followed the old gold model and slapped him into silent mode.

"It's good that the stinky fish didn't see it......" Xiao Jinshan rubbed his little brain melon and said pitifully, "I'll be photographed as an idiot by you sooner or later." ”

"Collateralized Debt Obligation, referred to as CDO, we have learned in the professional course of the Department of Finance. If you want to expand it, it is indeed like Tingsheng said, it is very complicated. Fu Cheng, who was from a professional background, interjected next to him.

Lao Jin and Huang Yaming wanted to prove with expressions that they didn't understand anything.

"Well, I'll simplify it and give you an example," Xu Tingsheng thought for a while and said, "You all know about housing loans, right? ”

"Nonsense. These days, you ask an eighty-year-old lady to know. Lao Jin said.

"I thought you local tyrants didn't need it, you wouldn't know about this", Xu Tingsheng said with a smile, "What about the mortgage, including the unpaid principal and interest of the house itself, the general amount is not small, and the cycle is relatively long." And then in general, the house itself is collateral. ”

"Now, for example, I'm a bank. Xu Tingsheng pointed to himself, and then said: "Then, Lao Jin bought a house today and applied for a housing loan with me, with a cycle of 30 years. As a bank, I have money to make, but I think the recovery of funds is too slow. In order to quickly recover the funds, he took out his mortgage to make mortgage mortgage-backed securities, and then found some institutions to guarantee it...... Then take it out and sell it. This is the CDO, which is a mortgage-backed debt security. ”

"Oh. Huang Yaming said.

"Do you buy it? Share the proceeds with the bank. Xu Tingsheng asked him.

"If you have money to spare, no problem. Anyway, you don't lose money. Old Jin, will he not be able to repay the mortgage?" Huang Yaming responded cheerfully.

"That's right, if you know that this person is a local tyrant like Lao Jin, I think many people will be willing to buy it. But will I, the bank, be so honest and lose money? I won't sell it alone, I'll sell it in a package...... For example, packing 100 mortgages at a time, some of them are local tyrant bosses like Lao Jin, some are small businesses, and some are teachers and civil servants...... In short, I take the mortgages of all walks of life and all kinds of people as the basis, make a CDO, price it in several levels, and then take it out and sell it. Do you still buy it?"

Xu Tingsheng looked at Huang Yaming and asked with a smile.

"Is the benefit big?" asked Huang Yaming.

"The higher the risk, the greater the return. Of course, it doesn't seem so bad at the moment, at least in the United States, it's really popular right now. Xu Tingsheng said.

"Under what circumstances will I lose?"

"Among those who take out loans to buy houses, there are a large number of people who default on their payments. And the bank has to take back the house and can't sell it. ”

"You mean, a lot of people don't want their houses?"

"Don't. Not only did I lose the house, but I also didn't want the down payment I had paid before, and I didn't want the money I had paid back. ”

"Then I'll rest assured," Huang Yaming said, "buy it, you can buy it." ”

"Why?" Xu Tingsheng continued.

Huang Yaming glanced at him, and had the meaning of asking more, but still explained: "I don't know about the things in the United States, anyway, taking our situation in China as an example, housing prices are rising...... Among the 100 people, I have never seen a single person who is willing to cut off the supply and the house is gone. ”

"It seems like that...... In fact, the situation in the United States is similar now, the government has lowered interest rates to encourage home purchases, and the real estate market is very hot. Xu Tingsheng said: "But have you ever thought that if someone has to cut off the supply because of unemployment and bankruptcy, although he is reluctant, he still has to give up his house?"

"Even if there is, one or two, it won't lose anything, right? Besides, the bank can still take back the house and sell it." Huang Yaming said: "What is there to do without risk in doing business? This is already considered to be very risky." ”

"Then what do you mean, do you buy it?" Xu Tingsheng asked again.

Huang Yaming was a little creepy by his question, and hesitated to ask Fu Cheng: "Professional, what do you think?"

Fu Cheng thought for a while and said, "At present, I think 90% of people think the same way as you. Including me. ”

"Then buy it, who are you scaring about?!" Huang Yaming said, "Anyway, now is an example, when you really want to buy it, you have to make the idea." ”

Xu Tingsheng smiled reluctantly...... It's not an easy idea.

"In this way, let me tell you another thing, it is the opposite of the CDO, under normal circumstances, if there is no artificial false intervention, the CDO rises, it falls, and the CDO falls, it rises. Xu Tingsheng said.

"What is it?" asked Huang Yaming.

"CDS, Credit Default Swap. It is generally used as a hedge to avoid risks, or ......"

"Or what?"

"Short. ”

“…… , how to play?"

Xu Tingsheng thought for a moment and said to Huang Yaming: "In that case, let's continue the example just now." Now that you've gotten on, you've bought a lot of CDOs. ”

"Well, and then what?"

"Then, for example, Xiao Jinshan", Xu Tingsheng pointed to Xiao Jinshan lying on the table and said, "Xiao Jinshan now thinks that the CDO in your hand will become a pile of waste paper...... So, he decided to short you. ”

"That's because he's drunk, right? Or you're being shot stupid. Huang Yaming said with a smile.

"It's okay, anyway, he just thinks that the CDO in your hand will become a pile of waste paper now, and decides to short you...... So, he will go to a bank or insurance institution and buy an insurance policy for you. This insurance is what I just said about CDS. ”

"What's the situation?" Huang Yaming said, "I'm confused. Why did he buy insurance for me, and who is the beneficiary?"

"Good question. If it is the insurance industry that we are usually in contact with, for example, if you suddenly go to the insurance company now, and you want to buy a personal accident insurance for the son of Li Er, the school doorman, you pay the money, and then the beneficiary is you...... This is not allowed. Xu Tingsheng said.

"Nonsense, if this is allowed, wouldn't the world be in chaos? Buy one, kill one. Buy one, kill one. It's not my own anyway. Lao Jin interjected.

"Yes, but as soon as I said this CDS, it allowed it. Xiao Jinshan buys insurance for your CDO, and he pays the handling fee and annual premium. If the CDO in your hand becomes waste paper, you will lose money...... Banks and insurance institutions, lose him money. Xu Tingsheng said.

"Do you want to pass me?" asked Huang Yaming.

"No, I don't. Xu Tingsheng said.

"I'll ...... I'm playing with this, but it has nothing to do with me, right?"

That's what it means. He doesn't even need to know you. The only connection between the two of you is life and death...... Completely relative. You lose and die, and he earns and dies. You earn and die, and he loses and dies. ”

"Don't make a fuss, according to you, this is not insurance at all, it is ......"

"What is it?" ”

"Gambling. ”

"Bingo, that's right. Xu Tingsheng took a deep breath, "This is a gamble, and it is a super gamble that can be expanded infinitely." He can not only bet on you, but also on Zhang San, Li Siwang, Ermazi, and anyone...... As long as there is a bank or insurance institution willing to sell, as long as he has the money to pay the premium, he can even bet on the whole Wall Street. ”

After Xu Tingsheng finished speaking, his eyes looked around at everyone on the table, and there was a cold ...... It was as if he was really about to make a bet of the century.

"How much does that cost?" said Old Jin seemed interested.

"CDS, which comes with 10 to 20 times leverage. In other words, because in terms of cash payment, you only need to pay a few percent of the annual premium...... So, if you have a billion in your hand, you are bold enough, and the judgment period is short enough, you can ...... Bet on 10 billion, 20 billion in other people's hands.

The problem is that your bankroll has to last until the day you win. Also, the bank or insurance institution that sold you CDS can't go bankrupt, and if it does, it's useless for you to win. No one loses money to you. ”

After Xu Tingsheng finished speaking, he poured himself a glass of wine, raised his head and killed it.

Lao Jin looked at him, suddenly smiled and said, "You are excited." ”

"Yes, isn't it an example?" Fu Cheng also looked at Xu Tingsheng.

"Damn, you don't want to come to the real thing, do you?" Huang Yaming stood up and said, "Don't make trouble, let's make good money now, don't play so exciting." Okay, let's not buy CDOs, CDS, and don't buy them...... Whoever you love, let's make money steadily. ”

Xu Tingsheng thought about it and nodded.

"Let's be serious, Tingsheng, don't scare me", Huang Yaming was still not at ease, and continued, "I understand what you mean. Don't bully me for not studying hard in college, I also studied history seriously in high school, CDS really wants to say that winning method, winning so big, unless ......"

"Unless what?" Xu Tingsheng asked.

"Economic crisis!" Huang Yaming said.

Xu Tingsheng smiled brightly.

"I'm talking about it. I don't like to gamble in my life, and you don't know it. I don't even know mahjong. ”

In fact, Xu Tingsheng was really hesitating...... And it's ready to move.

He knew that Zhou Yuandai wouldn't give himself too much time. And her assets are too rich, and her strength is really too strong, just revealing the tip of the iceberg of soft gold, under normal circumstances, it is enough for Xu Tingsheng to gnaw on it for several years.

And a pit like Saipan, no matter how deep Zhou Yuandai falls into it, it is just an itch in his boots. She had plenty of room to turn around.

Xu Tingsheng was afraid that he would not have the opportunity to develop slowly, and he did not dare to hope that Zhou Yuandai would suddenly be kind enough to let him go......

His only chance, perhaps only once, is to set up an earth-shattering situation and dig a super hole...... A large pit that allows ants to bury the elephant and bury her in one go.

Xu Tingsheng wants to find a super cemetery for Zhou Yuandai...... Like, the subprime mortgage crisis, Wall Street.

However, how difficult it is for her to enter the game completely and not be recognized.

Many things are often written deeply, and they will be scolded and made up randomly.

Regarding the 2008 U.S. subprime mortgage crisis, CDO, and CDS, I have tried to introduce them in the most concise and clear way, and as for the intention, everyone can naturally see it.

Of course, this also makes my statement inaccurate and even wrong. There are a lot of people who know more than me in book friends.,Please don't mind.,In addition, it's as white as me.,Let's roughly understand it.,You can look back at the short tool CDS paragraph.。

Also, our national CDS seems to have been released...... Of course, the brothers can't really gamble!