Chapter 2 Financial Crisis and Futures Leverage: The Bloody Outbreak of Fund Predators (2nd Update)
"According to customer information in our wealth management department, your account had a balance of $23329638 billion on the last trading day a week ago. The customer investment consultant who belonged to Jia Lei on the other side of the phone said that Jia Lei gasped for this number.
"Why are there so many? The sum of my two successive principals is only 130,000 US dollars, how can it become so much in less than five months!" Jia Lei asked in surprise.
Because he was so surprised, he was communicating with the other party in English throughout the whole process, and forgot to hide that he knew English, but fortunately, the manager of Citibank didn't know him, because Jia Lei and Natasha were also overseas Chinese.
"Mr. in our bank with this 13 million US dollars as a guarantee financing for stock index futures trading, at the beginning we provided Mr. with an ordinary three times leverage, Mr. has a good grasp of the market and has never missed! We gradually raised his financial rating, and the leverage has gradually increased from 3 times, and in August, Mr. Wang's financial leverage has increased to 20 times, and now the leverage has increased to 40 times. With the scale and yield of the futures market after being enlarged by leverage, the growth rate of wealth of more than $2.3 billion is really not particularly fast! If the financial crisis in the island country continues to develop, your capital will soon double again," the investment adviser on the other side of the phone gave Jia Lei a detailed explanation of his future and current returns.
"Dear customer, you have found a good fund manager, congratulations!" the manager of Citibank said to Jia Lei with more respect, and now the customer's capital scale is already one of the top customers of their bank.
"A margin of 2.5 percent is 40 times the leverage!! This person's courage is too great, isn't he afraid of falling to death with such a high leverage!" Jia Lei kicked the toilet angrily, and the innocent toilet said that he was in pain!
Jia Lei forgot that when he first met this person, he stole his company's official seal without permission, and wanted to mortgage the entire company to take out a loan to speculate in futures in the island country. From the fact that he can mortgage the entire company, Jia Lei should see how bold he is.
It's a pity that Jia Lei only cared about catching a cheap long-term job to speculate in futures for himself, and he didn't have a careful understanding of this person's character and personality at all. The two meetings took less than an hour in total, where to find out!
"I heard that Mr. also bought himself a building in Ginza, right?" Jia Lei asked irritably, and the investment consultant flipped through the information and gave him an affirmative answer.
After Jia Lei heard this answer, he couldn't help but grab the clothes on his chest, he felt that his heart was very uncomfortable!
"I am the owner of this fund, and now I ask your bank to stop Mr. Futures Trading and convert all options contracts into cash. Jia Lei took a deep breath and said.
"I'm sorry, I'm sorry, we can't do this!" said the person on the other side of the phone.
"Why not, I'm the owner of this account, and I'm ahead of each other in terms of ownership of funds and priority. Jia Lei quickly asked in English.
"Because Mr. has your power of attorney in his hand, the termination of the power of attorney must be signed by you in person before it can take effect! The same is true for changing agents, the authorization on the phone has no legal effect, and Mr. has the right to refuse our request. Said the advisor on the other side of the phone.
"Do you say that I have to meet with you on this matter, or sign a carte blanche for you to do it?" Jia Lei asked with a frown.
This means that because of the huge amount of your funds, you must first go to our headquarters to verify the identity of the customer and further improve the customer information, so that we can provide you with better services! This is what the law requires us to do. The investment adviser said.
"Do you mean that I still have to go to China? I'm your big customer, can't you do anything for me? Citibank pays the most attention to serving customers, and your purpose is to eliminate all difficulties and no customer can meet the requirements, isn't it? Without signing, can't you do something for me now? Aren't you afraid that I will change my money to another bank?" Jia Lei asked aggressively on the phone.
"If you have any requirements, ask them and we'll do our best to help you do them!" said the investment advisor after consulting with others.
"It's very simple, since you can't freeze Mr.'s right to use the fund, then you can always lower the leverage for me! Financial leverage is provided by your banks and brokers, you can say this, right?" Jia Lei asked.
"Absolutely, how far do you want to go?" said the investment adviser.
"It's best to double the leverage!" said Jia Lei, who is a down-to-earth man who doesn't want to take such a big risk.
We also have contracts with other clients, and the impact is not good, but we can reduce the leverage to three times for you! This is the lowest level of leverage we have. The investment adviser said.
"That's fine, you help me inform Wu Development that Wu Development may send someone to find him recently, and he can't reveal the specific amount of my funds anyway. I'm very relieved about the secrecy of your bank, so I don't need to remind you! Jia Lei said.
After Jia Lei asked for deleveraging here, Citibank's people quickly complied, and called Jia Lei overnight to ask him to explain.
"bs, why did you do this, don't you know that the people from Citibank directly downgraded my financing grade in the exchange just now, which made everyone in the exchange lose face, do you know how hard it took me to get a seat on this exchange? I am now surrounded by top managers of the world's financial institutions, and my reputation has been greatly damaged. Ranted across the phone.
"What's wrong with losing face? It's better than losing your life! Why didn't you tell me that you had increased your leverage by 20 times at Citibank? Even if you have increased your leverage to 40 times now, you haven't told me? I remember I said, it's okay to speculate in futures, but it's better not to raise money!" Jia Lei said with a sneer, and said that after many years on Hong Kong Island, not only did he learn the Chinese routine of Yang Feng Yin and Yin violations.
"How are we going to make money without increasing leverage? Don't forget that in less than half a year, I have multiplied your assets by 20 times! If you stop me like this, I will break up with you! Don't you know, there are already several funds coming to me, I have passed. He said proudly that he now has everything he needs for Xiangche beauties, and he will be sought after wherever he goes.
This financial crisis is one of the countless financial upstarts that have sprung up.
"You won't forget that there is still an unfinished lawsuit between us, right?" Jia Lei asked with a sneer.
"Lawsuit? Dear BS, don't you know that the law of the Chinese people is the law of the rich? As long as I have money, I can hire the best lawyer to help me fight the lawsuit, and even if I am willing to pay a large amount of bail, even if it is a homicide, I can be released on bail. Say.
"In that case, let's break up! You wait for me to arrive soon, I only hope that you don't lose all my money in a few days. Jia Lei said fiercely.
"Of course not! I'm a genius, the most brilliant financial genius. The little prince of futures who has never missed!" said proudly.