Is it stupid?

If you look at it from George King's point of view, it's stupid.

As a top banker.

George King is naturally well-versed in economics, finance, trading, and all sorts of related things.

Whether it's securities, futures, resources, and so on.

There will be some kind of pattern in its rise and fall.

This kind of law can be called a trend.

Trends are the result of a combination of a variety of causes.

In other words, the formation of a trend does not happen in a day.

In the same way, when a trend comes to an end, it doesn't break down in a day.

In terms of probability and statistics.

In an uptrend.

The probability of being able to reach the highest is very low.

If you calculate it on a 365-day basis, there is only one highest in the year.

If we take the statistics in 10 years, then this probability is 1 in 3,650.

The real estate industry moves in a cycle of several decades.

Then the probability that the price will become the highest is 1 in 10,000.

This is the easiest math problem ever.

But because it's simple.

It is as simple as the securities market, the futures market, or the material and real estate markets.

There will always be people who feel that they can sell for the highest or buy the lowest.

Every year, every day.

In a falling market, there will always be countless smart people who choose to buy, and in a rising market, there will always be countless smart people who choose to sell.

This is the cleverness of people, the simpler things are, the more complicated they are.

George King has seen so much about this.

George King's thoughts, Zhao Jiangchuan knows it.

So he was very happy with George King's reaction.

If the bankers thought he was too smart, he would have been able to walk away.

No one is going to do a deal that they know will lose money.

Zhao Jiangchuan raised his eyelids slightly.

He said nonchalantly.

"I only care about the solvency of your banks when the house price index falls. ”

What?

Solvency!

This is Standard Chartered.

One of the most well-known banks in the world and one of the banks that issue Hong Kong dollars.

You already look stupid about gambling on the real estate market, big brother, and you still suspect us of defaulting?!

At this moment, George King was skeptical.

How did such a stupid guy make so much money.

Zhao Jiangchuan's arrogant tone and attitude made George King can't help but roll his eyes and show a look of disgust.

It's like, a writer called the starting point of the fishbone card hits the street, and goes to the first bank in the universe to deposit the money for moving bricks for the month into the card.

Then the guy also asked the teller.

I'm worried that one day your bank will go down and I won't be able to withdraw my money.

What are you going to pay me for?

And at this time, George King was obviously the bank teller.

But soon George King was relieved.

George Kim knew that Zhao Jiangchuan was from the mainland.

Over the years, mainland officials have flowed out of their banks with so much money that he, the person in charge, does not know how much.

The Chinese officials who rode their bicycles and wore patched clothes had a wealth that surprised him, the head of Standard Chartered Bank.

It's really a bun of dirt buns who have never seen the world.

Arrogant, arrogant, and unsightly.

This is George King's final assessment of Zhao Jiangchuan.

That careless questioning made George King feel that Zhao Jiangchuan was simply an idiot.

Zhang Xiaolei on the side couldn't stand it anymore.

She felt that Zhao Jiangchuan was simply insulting to the IQ of the Chinese people.

As a clerk in the investment department of the bank.

Even if Zhang Xiaolei has only been in the company for more than two years, with the professional knowledge she has worked hard to learn, she also knows how stupid it is to be bearish on Southeast Asian real estate now.

What's even more ridiculous is that Zhao Jiangchuan actually thinks that Standard Chartered can't afford to lose money.

This made Zhang Xiaolei have to suspect that Zhao Jiangchuan's brain was kicked by a donkey.

Under the eyes of George King, Zhang Xiaolei forcibly endured a disgusted expression, lowered her head and frowned and asked with slanted eyes.

"Mr. Zhao, I'm sorry, are you serious?"

"Do you think I'm joking? I'm sorry, my time is precious, and I might as well go out and have a few more girls. ”

“……”

George King and Zhang Xiaolei glanced at each other.

In that look, a signal was conveyed at the same time.

This guy in front of him is an arrogant idiot.

I have to say that Standard Chartered is still very professional, and in the face of the business that comes to his door, George King has shown the professionalism that he should have as a banker.

"Zhao, we will customize a pay-as-you-go payout for you, but the condition is that when the property index rises, you will pay the corresponding monthly premium of Standard Chartered. ”

"This is as it should be, but in order to facilitate settlement, I recommend that the underlying property be valued in US dollars and settled in US dollars. ”

The U.S. dollar, which is the international unit of settlement.

Undoubtedly, it is most suitable for this kind of cross-border investment agreement, whether it is valuation or settlement, if it is denominated in US dollars, it is the most convenient.

From George King's point of view, this is a surefire deal.

He didn't even think about it before he spoke.

"As you wish!"

In George King's reply, Zhao Jiangchuan casually threw out a stack of insurance contract texts that had been prepared long ago.

"This is my initial customized contract, you can see if there are any problems. ”

The contract was set by Zhao Jiangchuan a long time ago, and in addition to the various clauses of the VAM agreement, there were also professional lawyers who considered the scope of legal support for various clauses.

According to the model contract given by Zhao Jiangchuan.

The two parties take the high-quality real estate and comprehensive real estate in Bangkok, Thailand as the subject matter, and make a standard contract for the house price index based on this subject matter.

Then, the rise and fall of the index contract is used to buy and sell credit default swaps.

The valuation of the underlying asset is calculated in US dollars.

Of course, the settlement is also in US dollars.

When the value of the house (not the price) continues to rise, Zhao Jiangchuan's Jushi Capital has to pay Standard Chartered a monthly premium that can fulfill the contract.

When the housing index continues to fall, the bank has to pay the capital insurance premium.

Somewhat similar to an insurance contract that preserves the value of a property.

For example, help a friend buy a life insurance or vehicle insurance, but the beneficiary is the policyholder.

It's also a bit like a house option contract.

The text of the contract given by Zhao Jiangchuan is equivalent to buying a value insurance for the price of houses in Bangkok.

If the value of the house rises, the premiums he pays will be wasted.

Only when the value of the house falls, can Zhao Jiangchuan benefit from it.

This contract is similar to an insurance contract in that the bank has a similar performance role as an insurance company.

Conventional life insurance contract.

The maximum amount of compensation is calculated based on the amount of the policyholder's contribution and the number of years of insurance.

If the insured suffers an accident during the contract, the insurance company will pay according to the terms of the contract.

However, if there is no accident for the insured in the middle of the journey, then the policyholder will pay the premium for each year in vain.

It can be said that in a life insurance policy, the insured is the subject matter.

After the performance of the contract is completed, no matter how much premium the policyholder has paid, as long as the insured has no accidents in the contract, the premium will be completely owned by the insurance company.

The insured payout ratio is one of the important parameters in an insurance policy.

The contract text given by Zhao Jiangchuan naturally also has this kind of compensation ratio parameter.

For a contract with a target compensation value of 100 million, Zhao Jiangchuan needs to pay 1% of the premium every year.

In other words, if Zhao Jiangchuan buys a credit default swap that pays $100 million, he needs to pay a monthly premium of $1 million.

If the price of the house rises or is higher than the value he had at the time of the purchase contract, he would have lost $1 million in vain.

Only when the price of the house is lower than the value of the subject matter he purchased can he receive the standard chartered payment.

The amount of compensation is calculated based on the loss value of the property insured by Zhao Jiangchuan.

For example, the average price of real estate in Bangkok is $1,000 per square meter.

So as long as the value of the property in Bangkok is higher than or equal to $1,000, Zhao Jiangchuan will lose $1 million when he buys a $1 million credit default swap.

Only when the average price of a property in Bangkok is less than $1,000 will he be able to receive a payment from Standard Chartered.

The amount of compensation depends on the fact index of the house price in Bangkok when Zhao Jiangchuan redeemed the contract.

If it is $990, Zhao Jiangchuan can get the compensation amount of Standard Chartered.

The amount of admiration is calculated as, ten dollars multiplied by one thousand.

Under the arrangement of George King, Standard Chartered's legal department and other departments reviewed the contract on the spot.

After a cross-review determined that there were no issues with the contract.

George Kim Qiang gritted his teeth and endured ecstasy, and several other bank clerks present also forced a serious demeanor.

However, the muscles on the face twitched uncontrollably, indicating their hearts.

Especially Zhang Xiaolei, she had to secretly pinch her muscles on her thighs to restrain the urge to laugh.

It's a deal that falls out of the sky.

According to the calculation of the contract given by Zhao Jiangchuan, Standard Chartered has almost no possibility of loss.

Southeast Asian countries are now in a period of rapid development, and in the economic take-off, real estate prices will only go all the way up.

Especially Thailand.

As the head of the Four Little Tigers, countless speculative capital and value-preserving capital have flowed into Thailand.

The Thai baht is passively rising, and Thailand's economy is also thriving.

Whether it is the industrial or financial industry, Thailand is now almost comparable to Hong Kong.

In this case, the credit default swap purchased by Zhao Jiangchuan has no possibility of making money at all.

Could it be that all Chinese people are stupid people like Zhao with more money?

George King couldn't help but be skeptical.

But George King is the supreme commander of the Standard Chartered side.

After resisting the urge to laugh, he spoke.

"Zhao, we can sell you a credit default swap for $10 million. ”

Ten million?

Zhao Jiangchuan felt humiliated.

That's so much to look down on.

Zhao Jiangchuan raised his eyebrows helplessly, and he asked in embarrassment.

"Can you sell me 200 million dollars?"

"Haha...."

Everyone present at Standard Chartered burst out laughing one by one after forcibly controlling their facial muscles to no avail.

Ten million dollars.

All the staff at Standard Chartered felt that George King was already a lion's mouth.

Even George King himself thinks he's dark enough.

This is the money that the pie in the sky sent to the door itself, and the only way to reach out and pick it up is enough.

But now, Zhao Jiangchuan actually said that he would buy 200 million US dollars.

That's $200 million.

Standard Chartered as a whole region, a year's net profit is not so much money.

As long as the price of real estate in Thailand has been rising, or even does not need to rise, Zhao Jiangchuan will have to pay Standard Chartered $200 million in premiums every year.

It's like a few tons of gold falling from the sky, waiting for Standard Chartered to go to sleep.

Are Chinese people all crazy people who have a lot of money and are stupid?

Such a madman, please give me two more dozen!

Everyone at Standard Chartered is almost crazy.

This kind of good thing can actually happen to them.

George King struggled to control the muscles in his face.

He stood up and shook hands with Zhao Jiangchuan and said.

"Zhao, you are the most valued customer of our bank, and your requirements will be met unconditionally. ”

。 m.