Detroit, Michigan, USA, Hilton Rooftop Restaurant

"Of course, RMBT is interested in Saturn's IPO, but RMBT says that it has net assets of 2.5 billion, but the liquidity is not even 100 million. RMBT is a trust fund, the pursuit of long-term stable returns, the net assets per share of only 1 yuan of Saturn car IPO floor price is as high as 3 US dollars, how dare we bid to subscribe? Those old guys on the board wouldn't say yes at all......"

Jordan Belfort's words are half-true, thinking that the floor price of Saturn Motors' IPO is too high, General Motors actually sold 1 yuan of assets for 3 yuan in cash, 900 million shares is 2.7 billion US dollars, the biggest winner in the Saturn Automobile IPO plan is obviously General Motors, as for Saturn, I am afraid that it will take a few years to wait for the performance to go up, in order to reflect that 3 US dollars a share is a value for money price, Belfort is very suspicious that the stock price of Saturn Motors will fall below the issue price of 3 US dollars after listing, Wall Street and investors are accustomed to icing on the cake rather than giving charcoal in the snow, knowing that Merrill Lynch may lose money in the Saturn Auto IPO, this fire pit is certainly not willing to jump lightly.

"Hehe, Mr. Belfort, it seems that you think Merrill Lynch is crazy to sign an agreement with an underwriting reserve price of not less than $3 per share, right? However, I would like to remind you that Saturn Motors embodies the power of local American car companies to fight back against Japanese and German cars, and considering the dynamic performance growth of Saturn Motors with static thinking will miss the opportunity to make money...... In addition, it is definitely not a wise choice to invest half of your assets in GM's three-year corporate bonds, and GM's share price does not match his current performance, so I would like to remind you that GM's stock price may fluctuate greatly in the future period before and after the Saturn goes public......"

Jiang Yelin's words certainly can't make Jordan Belfort lightly moved, how can GM's stock price fluctuate during the year, RMBT has earned more than 9.5% of the annual income through guò securities lending, as for GM's three-year corporate bonds, unless GM goes bankrupt and liquidated, the income from holding these bonds is both stable and safe, said enterprising, since Belfort is still the president and chairman of the RMBT pension trust fund, then, Conservatism and recuperation are his main ideas at this stage......

"Mr.Ye, I wish you and Merrill Lynch success, I am waiting to see the Saturn listing plan, if the market reacts well, it is not ruled out that we will participate in the bidding subscription, but you said that the 1.5 billion bonds will be emptied to subscribe for the shares of Saturn Motors, with all due respect, it is not possible to ......" Jordan Belfort's words ended the meeting between the two in the cafeteria of the Hilton Hotel.

President's Office, Block Capital Group Building, Manhattan, New York, USA

"Boss, there is a Mr. Django Ye from Merrill Lynch who wants to see you......" The secretary standing at the door of the office cautiously announced, and Erich Bullock, chairman and president of Block Capital Group, who was reading with reading glasses behind the desk, raised his head and asked a little unexpectedly,

"Do you have an appointment? Why don't I have the impression of this person...... "Erich Bloel is 55 years old this year, Bullock Capital Group, as an industrial investment group that has been inherited for three generations, has witnessed the rise and fall of the American manufacturing industry, in fact, in the Bullock Group's assets of nearly 5 billion, of which more than 3 billion assets are held by the shares of the three major North American automakers, respectively holding 4.864% of the shares of General Motors with a total of 18 million shares, holding 4.81% of Ford Motor with a total of 13 million shares, holding 4% Chrysler Motors shares total 10 million shares.

"Boss, this Mr. Django Ye said that he is the manager of Merrill Lynch G3 Fund, and he called in the middle of the night last night to make an appointment for today's meeting, but it was a weekend night and no one in the office ......" The secretary's face was obviously a little incoherent, it was not easy to resist the attack of the handsome Asian guy at the door, and the other party only asked to meet with his boss for five minutes, five minutes, although the chairman and president of Bullock was very busy, for the sake of his secretary's face, Five minutes can still be squeezed out.

"Okay, just five minutes, invite him in......" Erich Bullock came back to his senses suddenly, Bullock, who ranks among the top ten shareholders of the three major North American automakers and has a board seat, realized that the visitor was actually the hot wonder boy of Merrill Lynch, in fact, he was not optimistic about Saturn's listing plan, Merrill Lynch was willing to spend $3 a share to underwrite Saturn cars, although it is a good thing that General Motors can recover the more than $2 billion invested in the Saturn plan, but, In the case that the stock prices of the three major automakers are no more than 20% premium to net assets, Merrill Lynch has made Saturn Motors into a 300% issue price-to-book ratio, someone must be crazy!

"It's a pleasure to meet you, Mr. Pollock, I'm Django Ye, we had a meeting at General Motors headquarters, of course, you were on the board of directors at that time, and I was reading the newspaper on the sofa at the door of the president's office......" Jiang Yelin, who wore a suit and leather shoes with gold rimmed glasses and an elegant mustache, smiled and shook hands with the helm of Bullock Industrial Capital Group, of course, he has not yet been invited to the side of the leather sofa to sit down, for uninvited guests, can give five minutes to meet, Already Erich Bullock's biggest concession......

"Hmm, don't you say that I really forgot about it, it seems that there is such a thing, Mr. Ye is a rare guest, why did he think of coming to me today? As a hot mess fund manager under Merrill Lynch, don't you have to stare at the market on the morning of this trading day to command the operation? I know that your G3 fund is a so-called aggressive fund that believes in intraday speculative trading, how big is it now? I heard that there was a lot of subscription in the past weekend? Erich Blok is also straight to the point, without too many polite words.

"Fortunately, the current share of the G3 fund is 350 million shares, the unit net value is 18077 US dollars, and the net assets before today's opening are 632.69 million US dollars, which is not worth mentioning compared to your Block Capital Group...... Jiang Yelin was generous, said thank you with a smile, and took the coffee handed by the secretary, sometimes the other party's boss deliberately hangs you without even asking TeaorCoffee, but since you can get the female secretary, are you afraid that you won't drink it?

"Well, what do I say, the stock prices of the three major automakers today are fluctuating in a narrow range, and it turns out that Mr. Ye is not watching the market at all, so the G3 fund has not made any major moves in the past two days?" Erich Bullock tentatively asked the young fund manager at Merrill Lynch in front of him, trying to get some valuable information.

"I'm sorry, Mr. Bullock, as a fund manager, all our information is open and transparent, I can't disclose to you the operation of the G3 fund on the trading day, otherwise it will be irresponsible to you, you are a shareholder and director of the three major automobile manufacturers......" Jiang Yelin smiled and did not fall for the other party, insider trading is such a thing, it is true to say that there is, but for Jiang Yelin, it is necessary to be cautious to the point of not leaking, Otherwise, your career in the securities industry can be tossed by the SEC at any time!

"Since you are not here to tell me about the operation of the G3 Fund, why did you come? You have 3 minutes left......" Erich Bullock's tone was certainly not friendly, and the soft nail given to him by the other party made him feel very aggrieved, especially since he was twice as old as the other party, and he was still at the helm of the 5 billion capital empire, and he actually asked a small fund manager to give him a handful.

"On behalf of Merrill Lynch's Securities Center Business Department, I would like to discuss with you about the refinancing of General Motors and Ford Motors, and we hope to borrow 18 million shares of General Motors from Block Capital Group and refinance 13 million shares of Ford Motors...... From now until the end of December this year, dividends will be paid before the registration date, for which we can pay a 9% interest rate...... For Block Capital Group, the annualized rate is about 9.81% of the securities borrowing and lending income...... Based on today's closing price......"

Because the U.S. stock market has come out of the shadow of the stock market crash in 87, it can be said that since the 90s, the stock market has risen all the way to the mainstream, and as the three major automobile companies in the big blue-chip sector of the automobile manufacturing industry, the stock price is soft and the stock price is thin because of the huge losses in the performance of three consecutive years, so the positions of the major brokerages are controlled at a lower scale, after all, securities lending is a lot of costs.

In the absence of buying power hedging, it is impossible for brokerages to short sell stocks by themselves, the average daily trading volume of General Motors is around 10 million shares, and Ford Motor is even only 8 million shares, plus the U.S. stock market itself implements the trading rules of credit account T+0, so taking General Motors as an example, in the case of a daily trading volume of only 10 million shares, the balance of securities that can be borrowed and borrowed in the hands of the brokerage is 200-3 million shares, which is a lot, and more is equivalent to idle and wasteful securities lending costs! There is simply not that much demand for short selling in the market.

"Mr.Ye, you came to talk to me about the stocks of General Motors and Ford Motor in person, and you are not afraid of being accused of insider trading at this time?" Erich Bloor picked up the cigar case from the table to show his favor, Jiang Yelin smiled and shook his hand and said, "Seriously, I really like Blue Mountain coffee, but I will skip Cuban cigars, otherwise the smell of smoke is too strong, and the girls will not make love to me this night......"

"Mr. Ye is really good at telling jokes, as far as I know, brokerages and stock holders borrow and lend securities, generally short-term securities lending, a month, three months to the sky, why Merrill Lynch wants to borrow securities for 11 months in one go?! I hope I get the right answer......" The eyes of the president of the Bullock Group sharpened.

"Quite simply, Merrill Lynch is optimistic about the listing of Saturn Motors, and we have spent a huge amount of money on Saturn Motors, so we hope to lock in potential risks and avoid any surprises!" Jiang Yelin's answer was one step away from the truth.