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"George, can that little guy be trusted?"

It was none other than Julian, who had been fighting with Soros for several years. Robertson. This former famous figure in the hedge fund world has now retreated into the background, and his influence in the hedge fund world is not as good as before, but if anyone dares to ignore this once powerful figure, then he will definitely suffer a big loss.

Strange to say, after the collapse of the Tiger Fund, Julian. Robertson and George. Soros's relationship has turned out to be better, perhaps because the two sides no longer have a competitive relationship, or maybe Soros feels the sadness of the rabbit and the fox from Robertson, in short, the relationship between the two has improved greatly than before.

Current Julian. Robertson himself is no longer involved in specific money management. When his Tiger Fund went into liquidation, many of his traders and analysts set up their own funds. Julian as a godfather. Robertson naturally will not give up such an opportunity, he has accumulated a part of his wealth over the years into these funds, from a former manager to an investor.

After so many years, Julian. Robertson's net worth has increased instead of decreasing, all thanks to the "tiger boys" he cultivated back then. Of course, even so, his net worth is still far from being comparable to Soros.

And now the other guy on the line is Jim. Chanos, known as the "empty god" of Wall Street. This also well-known fund manager has always had only one operational strategy, and that is to go all out to sell short. In 2001, he made a bet on Enron, which collapsed after a scandal, and Chanos became famous. Become a representative of Wall Street's short-selling forces.

The three of them know each other well, and similar cooperation has been done a few times, so there is no trust problem at all. But this time the mix added Kenneth. Griffin and John. Paulson, two new faces Jean Julian. Robertson was worried.

"That's a real problem!" Soros on the other end of the phone was silent for a moment, and then said lightly, "But guys." They're two of the most cash guys on the market right now. If we don't win over these two guys, then our plan will have to win over more people, so the risk of leaks is greatly increased. I talked to John, and this guy is a very ambitious guy, and Kenneth. Griffin, like that, is the person we're looking for. So frankly, I'm not really worried about their moral hazard. ”

When it came to cash, the other two remained silent. The cash problem is indeed a fatal wound for their group at the moment, although all of them are worth a lot of money. Even in the world, he is one of the few richest people in the world. But their assets are not kept in cash, and in fact the number of days in a year when they can keep their assets in cash is pitifully small, because they are professional investors and know very well that holding cash is the stupidest way to invest.

"They won't do that!" Jim, who has been silent. Chanos suddenly spoke, "They are not saints, and this qiē does not break the law. Most importantly, they are fund managers and have performance needs. ”

Jim. Chanos was a man of few words. Although he would not speak lightly, all the words he said were to the point and to the point. So both Soros and Robertson attach great importance to his opinions.

Seeing that two of the three expressed different opinions, Julian. Robertson also stopped continuing the topic and shifted the conversation to how to short Bear Stearns' strategy.

"Although their market capitalization has dropped to about $10 billion, and there was a huge loss in the fourth quarter of last year, after all, the centipede is not dead, and we want to short them in the short term. Even with the addition of two cows, I'm afraid it's still not enough, right? ”

Julian. Robertson, after studying the situation at Bear Stearns, raised his own questions. Naturally, what the cow is talking about is John. Paulson and Kenneth. Griffin, because it can provide a steady stream of cash flow like a cow milk, so in the financial world, this kind of cash flow institutions or individuals are generally called cows.

Truly. Although Bear Stearns' market value has now been cut in half, they are still close to $10 billion in market capitalization. And most importantly, they are the settlers of many exchanges, and at the same time manage more than 100 billion funds internally, so they can be said to be worry-free in terms of cash.

If nothing else, in the hedge fund world, at least $20 billion is in Bear Stearns' brokerage account, and even if the idle rate of these funds is only 10%, then it is equivalent to giving Bear Stearns $2 billion in cash flow.

Shorting financial institutions and hitting their cash flow is the most ruthless move. Although Robertson has been away from the capital market for a long time, his profound skills are still there. As soon as he spoke, the strategy he was talking about was to target the cash flow of the short target, which was far more than John's previous unclear strategy. Paulson is much more savvy.

"No, they have a lot of problems!" Jim. Chanos immediately retorted, as succinct as ever, "Fatal question! As for what the question was, he didn't say much.

"Julian, you've been away from the first-tier market for too long, and you can't keep up with the current shape." Right here in Julian. While Robertson was still frowning and thinking, Soros's voice sounded again, "Although Bear Stenter's internal and external claims are currently that their assets have been written down by $1.9 billion due to bond losses. But it is clear to everyone that Bear Stearns is one of the biggest players in the entire bond market. Stanley's loss is close to 10 billion, while Bear Stearns' loss is only 2 billion dollars, which is not quite in line with Wall Street's expectations! ”

Soros's statement though made Julian. Robertson felt a little unhappy in his heart, but after all, what the other party said was the truth, so he could only accept such an evaluation. But the next words soon made Julian. Robertson fell into deep thought, "George, you mean Bear Stearns lied about their losses?" That seems unlikely, right? ”

For financial fraud, once it has been exposed. The cost is almost unbearable for listed companies. Not only that, but the relevant law firms and accounting firms, including those that are subject to post-audit, will face severe penalties. The most typical example is Enron, which Chanos shorted, and at the same time that this behemoth collapsed, it also led Andersen, one of the giants in the auditing industry, to close its doors, and since then the Big Five accounting firms have become the Big Four.

It is precisely because the cost of counterfeiting is too heavy. The impact was so bad that Robertson couldn't believe that the other party would dare to manipulate the financial statements.

"Nope! No! No! Soros repeatedly denied, "In fact, I don't think Bear Stearns did anything on the financial statements, but I don't think their losses in the bond market will stop there." Personally, I think that after the first quarter report comes out, the market will have a clearer understanding of Bear Stearns' financial situation, and this realization will definitely surprise everyone, so I set the time for the official short sale at that time. ”

As originally planned, they are now starting to short sell Bear Stearns' shares in the market. In this way, they will slowly consume their cash flow first, and then explode in full force in early March, and at that time, they will go all out and combine multiple strategies to suppress Bear Stearns, and the ultimate goal is naturally to completely kill the other party. And in mid-March, it was when Bear Stearns' financial statements for the first quarter of '08 came out.

"It seems a bit risky!" For the choice of the timing of the outbreak, Julian. Robertson has no objections, and he and Soros are highly consistent on this point, and both are masters of timing. However, it is judged that Bear Stearns' financial situation will deteriorate. But he didn't dare to agree too much, because it was not until the last minute. No one knows exactly what Bear Stearns' real business situation is, except for their own executives, "If their financial situation is not as bad as we expected, or if there is some improvement, then we choose to launch at that time, wouldn't we be shooting ourselves in the foot?" ”

Julian. Robertson's concerns are not unfounded. If something similar happens to Bear Stearns, then their share price is bound to rebound in the short term. And this rebound is undoubtedly quite unfavorable for those of them who are trying to short.

"It can't be!" Jim was silent for a long time. Chanos said suddenly. His opening startled the two who were discussing hotly, but they soon realized that the other party had something to say, and when it came to shorting, especially shorting of this microscopic nature, I am afraid that Soros and Robertson are not as experienced as each other.

After seeing the two of them quiet. Chanos still cherishes his words, but the words he said made the hearts of the two of them light up, "We made them lose money." ”

"Exactly?" Soros asked thoughtfully, as if he had grasped something, but for a moment he couldn't understand it. Although he has formulated the general direction and strategy before, this strategy is not complete and specific, and the details need to be discussed with others.

"Transactions, settlements, and personnel changes!" Chanos said a few words in a rare way, "In terms of trading, we made him have no opponent, and in terms of settlement, they no longer trusted their customers, and then they withdrew their funds. Personnel changes can generate all kinds of rumors, although this kind of rumor is the least lethal, but it can attract attention in the shortest time. Attracting the attention of all parties is crucial to our subsequent plans. ”

"It's amazing!"

"Jim, you're such a genius!"

Almost at the same time, Julian. Robertson and Soros understood, and both praised in unison. Although both of them are masters of building momentum, the starting point of their momentum is too high, and they are generally macro direction. Julian. Robertson used to be a master of stock momentum, but after all, he had been away from the front line for too long, and the information at hand was incomplete, so he didn't realize that there were so many articles to do for a while.

Chanos's plan is an important addition to Soros's strategy, namely in Julian. Robertson suggested that Bear Stearns' financial statements could be profitable or small when they were made public in March, and that they had curtailed Bear Stearns' possible profits by spreading rumors to the market and persuading counterparties to stop trading and settling their financial statements, although it was unknown whether such expectations would be realized.

At this point, they had thought of almost every loophole they could think of, and after talking about the details, they shifted the conversation to how to borrow Bear Stearns' shares.

"According to our research analysis, in the past year, there has been a force that has been shorting Bear Stearns' stock, starting to short when they reached $170, and there is no sign of returning to the position until now, which has buried some of our liquidity!" Soros said indignantly.

Due to the nature of U.S. stocks that can be shorted or long, a stock is highly liquid in the market. Bear Stearns has a total share capital of less than 200 million (common shares), which is not a small amount. However, Bear Stearns itself controls more than 40 percent of the shares and is the largest shareholder, while other institutions and individuals hold the remaining more than 50 percent of the shares. But compared to Bear Stearns himself, the number of shareholders in this part is too large to compete with them when it is allocated to individuals. The liquidity in the market is suddenly reduced by about 10%, which will inevitably affect Bear Stearns' liquidity.

Fortunately, more than 10% of the stock eventually made its way into the market. Because the interval was a bit long, and the price of Bear Stearns' stock plummeted during this time, the person who took over in the first place may have already released his hands. So Soros only complained a little, and began to seriously consider how to borrow Bear Stearns' shares without the market noticing.

"Is there such a thing? Started shorting a year ago? Robertson was surprised, even though he had held a Japanese sell order for more than five years, but that was when he thought the market was still likely to fall, and Bear Stearns a year ago had no decline at all, on the contrary, it was like the Japanese side, "George, do you know who the other party is?" ”

"I don't know, maybe they have closed their positions and left the market, this profit is enough to satisfy them!" Soros frowned slightly, and after thinking about it, he replied with an answer that he didn't quite believe.

He really didn't know. (The novel "The Son of Finance of the Great Era" will have more fresh content on the official WeChat platform, and there will also be a 100% lottery gift for everyone!) Open WeChat now, click on the "+" sign in the upper right corner "Add Friends", search for the official account "ddxiaoshuo" and follow, hurry up! (To be continued......)