Tang Xiongfei went to contact the bank again.

But this time, institutions, including Mellon Bank, have taken a wait-and-see attitude and dare not easily agree.

Leverage is a double-edged sword, increasing its risk while improving capital efficiency.

In normal futures trading, 10 times and 20 times leverage are more commonly used, and 50 times leverage is already a very risky trade, which means that the market will lose its capital if it falls by 2% (against the market).

100 times and 200 times leverage, only in very special circumstances, such as the current high-frequency trading, because of its own low risk and high capital characteristics, Golden Resources International can get the accommodation of Mellon Bank.

As for higher multiples, even if it is a brilliantly designed leverage, it will inevitably create a huge risk for the bank, because it can withstand less than 5% of market changes, and if the stop loss is too slow and the bank cannot find someone to take over in a short time, then it will lose its own money.

This is something that financial companies cannot tolerate.

Tang Xiongfei ran for a long time, but he couldn't get a positive response, so he had to repay Chen Yi with a smile.

The latter said disapprovingly, "Got it", and continued to try to raise his arms and do the knight's foot combat training.

The so-called one does not practice, sailing against the current. Today, he is also somewhat familiar with and accustomed to physical exercises.

It is said that at the level of fighting skills, pure physical training will no longer play an important role. But most of the people of San Chio couldn't cross that hurdle, and Chen Yi himself never thought about these things.

Chen Rongxi sat in front of the computer, just wondering that the second brother's exercise method was strange, how did he know that this was the crystallization of the intelligence and technology of a certain nation that had been boiled out for thousands of years.

Chen Yi glanced at the little sister, took out a bottle of energy recovery potion from the locked cabinet behind him, one for himself and one for the little sister, and said, "Sports drink." ”

He casually closed the cabinet door, and the combination lock clicked and automatically reset.

"It's so tightly hidden." The little sister laughed at him, took a big sip of the energy recovery potion, and said, "It's lighter than Red Bull." Bottle for me? ”

"What's the use of you taking this thing back?" Chen Yi said a word, but he didn't stop it.

The workmanship of the San Chio people is very surprising, but there is no special word on it except for the complicated patterns, it can only be a beautiful glass bottle.

The two on the Chinese side did not do anything, and Tang Xiongfei was busy liaising with various banks, and all the high-frequency trading matters were handed over to skilled traders.

This young man from Texas filled in the necessary information and typed it into the computer while shouting happily: "This job is so fun, so fun." ”

Can it not be fun?

Behind his own software, but the "Kraken" supercomputer worth hundreds of millions of dollars, let alone a small trader, looking at the entire Wall Street, who has used it.

Using this kind of heavy weapon, making millions of dollars to fight in the stock market and futures market is like driving a tank on a pedestrian street, with an unrivaled advantage, which is refreshing and shuddering. No matter how handsome the people around them are and how beautiful they are, they still have to get out of the way.

Tang Xiongfei's heartbeat was almost beating with the numbers on the account, and every time he talked to the new bank manager, he had to look at the numbers on the side of the account again.

He asked in a low voice, "Mr. Chen, is it too fast to earn $30,000 in one hour?" ”

"This is Wall Street, and $30,000 is a weed." ”

"Other high-frequency traders, it seems that the profits are not so much." Tang Xiongfei said behind the back of others that he was alone in the United States, and he did have more expectations for security.

Chen Yi thought for a while, was able to understand his worries, and said in a softer voice, "Other traders are still making money on exchange rebates, their capital limit rate is high, and they are often hungry, so in terms of proportion, we naturally earn more." ”

In fact, he also hides one thing, that is, his computer is more advanced and reacts faster, so he can eat fatter food before other traders.

Tang Xiongfei suddenly realized.

Chen Yi continued: "Today's trading time is more than halfway, you can contact the bank tomorrow, you don't need to immediately ask for three or four hundred times the leverage, just increase it a little bit." Even if the leverage is increased by 10 times, it is a return of more than 10% of the principal for us. There are also major exchanges, keep in touch and ask them for higher rebates as soon as the number of transactions we make, especially the smaller exchanges, especially pay attention. ”

If you are a high-frequency trader, when the amount of funds is small, you will stay on an exchange in order to get higher rebates. Chen Yi relied on the advance amount of lightning trading to make money, so he could only take care of it.

"Understood." Tang Xiongfei stood up, he didn't realize that his current attitude was completely different from his previous attitude in China.

The laptop on the desktop, the whining fan sounds, in the quiet of the early morning, is more and more disturbing.

The Kraken is working harder and harder.

The administrators in Wisconsin, completely unaware that the baby they care for have fallen into the clutches of others, are single-mindedly increasing the processor and memory according to the amount of computing displayed on the screen.

But those numbers also come from Chen Rongxi's setting.

Unless someone systematically analyzes the Kraken, I'm afraid they won't be able to find any clues.

For a day, sneak away like a mouse.

When the bell rang for the closing of the New York Stock Exchange, Chen Yi made himself a cup of tea, and the water in it was a barbecue energy recovery potion - an exclusive recipe with the same effect.

He handed Chen Rongxi a bottle of juice brewed with energy recovery potion, and said, "You don't have to be busy, sleep well, and leave the rest to the accountant, don't let my mother know." ”

"Definitely not." The little sister smiled slyly, like a fox's sister.

Chen Yi patted her head again and asked in English, "Tang Xiongfei, the speed of settling accounts over there is faster." ”

Since the establishment of Jinyuan International, the business inheritance in his genes seems to have been activated all of a sudden. Or the leisurely life of the family allows him to calmly face the tension of hundreds of thousands of yuan.

Tang Xiongfei was different, he was excited to answer "yes, yes" in Chinese and English, and continued: "Our account is 230,000, give the bank about 1,000 interest, and the rest is almost pure profit, which is really cool." ”

In just one day, the principal expanded from $100,000 to $200,000. If you want to get this huge amount of money, you may have to be busy for more than half a year.

The financial world is the real whirlpool of the world. All their inventions and creations, all their services and work, are aimed at sucking away the wealth created by the world -- ironically, while they are sucking away the wealth of others, they do greatly increase the speed of wealth creation of others, but the former is much greater than the latter.

Chen Yi had expected it, and said with a slight smile: "After making the specific accounts, you can go to rest." Starting tomorrow, we will continue with a principal of 230,000. ”

Everyone laughed, but unlike Chen Yi's smile, many people still had a little suspicion. This doubling speed, not to mention a few months, is a week or two, which can catch up with the hard work of traditional enterprises for several years, and it always feels unreal.

It's the Texas guy who has never seen such a value-added rate on Wall Street.

Chen Yi was not worried at all.

Not to mention that this is a profit without the depreciation of fixed assets, even if it is real, it is not the strongest profit growth rate on Wall Street. Historically, there have been countless financial institutions that have grown up at an eye-popping rate in a game of new technologies and new minds, and then have become predators.

In the pools of Wall Street, a steady increase in small fry is equivalent to feed.

On the other hand, if the cost of a supercomputer is really calculated, a "Kraken" worth $1 billion and a design life of 4 years will have a daily depreciation of $680,000, plus double the maintenance costs, even if the daily gross profit can reach $1.44 million, the profit will only be $80,000.

However, the reality is that he doesn't have to pay anything for a supercomputer, and Wall Street brokers will neither use such an expensive machine nor do they use only $100,000 for "lightning trading".

For them, the amount of money is not a problem at all, under the effect of 200 or even 1000 times leverage, 100 million US dollars can be used as 20 billion or even 100 billion, and the organization that can come up with 1 billion US dollars in cash is simply a cow's hair.

Therefore, high-frequency traders are only limited by the trading volume of their computers, the carrying capacity of exchange computers, and the size of the entire market, so they have to limit their trading scale.

Like any financial invention of any era, high-frequency trading has been carrying on the countless expectations of financial capitalists since its inception - a stable and loss-free arbitrage tool, a pumping machine that draws nutrients according to the size and capacity of the market, with the help of this tool, with the help of which the financial companies in New York can finally put money on the earth fairly, and are never afraid that it will not come up.

Now, Golden Resources International has officially announced that it has joined the ranks of the world's loan sharks.

The following Wednesday. Jinyuan International's profit margin is 75%, and the actual profit is more than 170,000 US dollars.

Thursday. The profit margin of Jinyuan International is 85%, and the actual profit is more than 340,000 US dollars.

Friday. The frenzy before the weekend greatly increased the stock spread, and the profit margin of Jinyuan International exceeded 130% in one fell swoop, and the actual profit reached 960,000 US dollars.

So far, the four-day lightning transaction has brought a total profit of 1.6 million US dollars, which has increased the cash in Chen Yi's hands to 1.7 million.

Not to mention the various expressions of Tang Xiongfei and others, even the auditors of Mellon Bank in charge of the small company project were dumbfounded.

The auditor of a large bank that finances Wall Street and specializes in securities business can be said to be well-informed, but he has never seen a stock company that can complete the transaction of more than one million shares in a way that nearly doubles the amount of earnings every day and 16 times the profit of a week.

This happens occasionally in some single or combined trades, but is it a single trade for four consecutive days?

Without waiting for Monday, the auditor informed Tang Xiongfei that the short-term leverage of Jinyuan International had been increased to 265 times.

For companies under $10 million, this is the maximum limit.

Tang Xiongfei immediately informed Chen Yi.

Unexpectedly, classmate Chen, who had already expanded his appetite, immediately replied: "It should be raised to a quota similar to that of Getco." ”

This is by far the most famous high-frequency trader, and their leverage is between 500 and 1000 times.

Tang Xiongfei was almost faint, and after hanging up the phone, he pinched his hands and calculated, how much is 500 times the $1.7 million.

(To be continued)