My 1999

Xu Liang shook his head, "It's too early now. Although the US housing market looks shabby and shaky on the surface, it is now like a heavy truck running at full speed after filling up with gas.

Even if it explodes, the strong inertia will make it slide a long way before it really explodes.

If we act now, although we will reap some profits, we can only drink soup and not eat fat meat."

Everyone is convinced by his investment ability and long-term vision.

So no one questioned his decision.

Xu Liang knows better than anyone when the subprime mortgage crisis will really break out.

It really started in 2007, and the peak of Lehman's bankruptcy was in September 2008.

So, they still have a long time to prepare.

"How much money did we make from subprime mortgages this time?"

It was not only Hanhua that bought and sold 3B subprime mortgages, but Hongyan also participated, but the participation was not large, far less than that of Hanhua.

However, unlike Hanhua, Hongyan does not need to share the money it earns with investors.

"From October last year to now, Hongyan has purchased a total of 11.8 billion 3B-rated sub-bonds. After deducting the share of investment banks and capital gains tax, it has gained 5.49 billion US dollars."

Among Hongyan's 3B-rated sub-bonds, only one-third are truly 3B-rated, and the rest are 2B and B-rated parts.

The cost of the latter two parts is relatively higher.

"Not bad."

Xu Liang nodded with satisfaction.

Although Hongyan's profit is far less than Hanhua, it can directly wipe out most of Delong's debts.

"What about the secured debt certificates?" Xu Liang asked.

"At present, we have purchased about 8.9 billion US dollars of secured debt certificates from 31 companies including Lehman Brothers, Merrill Lynch, General Motors, Bear Stearns, etc. through channels such as Capital Today and Thiel Fund.

If everything goes well, we can purchase 18 billion US dollars this year." Xia Changsheng said.

"Not bad, buy as much as possible, and add more people if there are not enough people."

After agreeing, Xia Changsheng continued.

"Mr. Xu, if we simply buy collateralized debt securities, it will take a lot of time to talk to the insurance company, and it is difficult to expand the entire asset pool in a short period of time.

So, can we buy put options from these companies through investment banks?"

Put options are also called "put options", which are the symmetry of call options and are one of the types of option transactions.

After the customer purchases a put option, he has the right to sell a certain security to the seller of the put option at the price and quantity specified in the contract on a specified date or within a specified period.

Generally speaking, people are willing to buy put options only when the securities market has a downward trend.

Because during the validity period of the put option, only when the security price falls to a certain level, can the purchase and exercise of the option make a profit.

For example.

A customer bought a put option on a certain stock with a validity period of 2 months, an agreed price of 100 yuan per share, a quantity of 100 shares, and an option fee of 10 yuan per share.

During these 2 months, if the stock price falls to 50 yuan per share, the customer exercises the option to sell the stock.

At this time, the difference between the stock's market price and the agreed price is 50 yuan per share. After deducting the option fee of 10 yuan, the profit per share is 40 yuan (excluding broker commissions and other fees for the time being).

100 shares can make a profit of 4,000 yuan.

In addition, since options are transferable to buyers.

Therefore, if the stock market is bearish, causing the selling option fee to rise, the customer can directly sell the option.

In this way, he not only earns the difference between the previous and subsequent option fees, but also transfers the risk of a sudden rebound in the stock market.

But if the stock market remains at 100 yuan per share in these two months.

It has not fallen, and even gradually rebounded.

At this time, the customer exercises the option, sells the stock or transfers the option, not only is it unprofitable, but also loses the option fee.

Therefore, selling options are generally only used when the securities market is bearish.

It is Buffett who plays the put/call option well.

Buffett is often a conservative value investor in people's minds. He has long been fond of large-cap blue-chip stocks and has publicly called financial derivatives weapons of mass financial destruction.

But in fact, he himself is a die-hard player of put options. He has successfully completed asset allocation at a good price by selling put options many times.

He is undoubtedly an old coin with a humble mouth and a good body!

His most famous example is Coca-Cola.

Those who know Buffett know that he is a "hardcore fan" of Coca-Cola.

It is said that he has a cup every day.

It is a miracle that he has not had diabetes for so many years.

In April 1993, Buffett sold 3 million put option contracts on Coca-Cola Company's stock at a price of $1.5 per option.

The exercise date of these options is December 1993, and the exercise price is $35.

At that time, the stock price of Coca-Cola Company was about $40.

After that, he felt that it was not enough, and sold another 2 million put option contracts.

In this way, by selling put options, Buffett received a total of $7.5 million in cash.

If the stock price is higher than $35 on December 17, then Buffett's option fees will be in his pocket.

If the price of Coca-Cola is lower than $35, then he must buy Coca-Cola at $33.5 ($35-$1.5 option income).

Buffett is indeed Buffett. He has not drunk Coca-Cola in vain for so many years.

Coca-Cola's stock price soared.

Berkshire Hathaway earned a lot of option fees for nothing.

So, whoever says that Buffett is a firm value investor in the future can slap him in the face.

This cunning old guy is also a veteran speculator.

"It's not the right time yet."

Xu Liang briefly considered it and rejected Xia Changsheng's suggestion.

The reason is very simple.

It costs too much.

The premium rate of the collateralized bond of 3A-level corporate bonds is only 20 basis points, which is 0.2%.

The premium rate of the collateralized bond of A-level corporate bonds is only 50 basis points.

The insurance premium rate of the worst 3B-level corporate bonds is 200 basis points.

But the rate of put options is 150 basis points.

In other words, if the same 30 billion asset pool is composed of all 3A-level corporate bonds, then Hongyan only needs to pay $60 million in insurance premiums each year.

If it is replaced by put options, it will become $450 million.

It is only 2005 now, and there are still two years before 2007.

Xu Liang didn't want to take out nearly 1 billion US dollars for nothing.

"There's no rush for the put option, let's get the secured debt certificate first." Xu Liang said directly.

It's not too late to buy the put option next year.

Hearing him say this, no one objected.

"Old Qiu, have you bought all the legal person shares and circulating shares of Zhongyan Shares, Shancheng Industry, Tianshan Building Materials and Tianshan Shares?"

"I have bought them all, with a total price of 530 million Chinese yuan, plus debts, a total of 2.49 billion Chinese yuan." Qiu Youren said quickly.

If Xu Liang wants these companies to integrate according to his requirements, he must kick out all the obstacles.

The simplest way is to drive out other shareholders.

This process is certainly not smooth sailing.

After all, he is the third richest man in the world, and there are many people who want to take advantage of the opportunity to eat the big guys.

But Xu Liang doesn't indulge them. Don't you want to make a profit?

Very good.

I am a major shareholder, I inject capital, if you don't want your equity to be diluted by me, you must follow the injection of capital.

In addition, the company still has a lot of debts to pay.

It doesn't make sense for me to pay them myself, right?

What?

You said I promised to repay all of Delong's debts?

Yes, that's right.

But I didn't say that I had to be responsible for all the debts of Delong's assets.

I will exchange as much as I own, and you will pay the rest.

He fought and fought, and the price he offered was fair.

So the other investors basically cashed out and left.

After Xu Liang nodded, "For the four companies, Tianshan Building Materials will merge with Tianshan Shares according to the original plan. I have already selected the CEO candidate in the past two days and sent you the information.

You let the due diligence team cooperate with them in the rectification of the company.

In addition, according to the original plan, finance, supervision and security must be the responsibility of Hongyan people."

The CEO can be selected from the best people in each company. After all, they have worked in the company for many years and are familiar with the internal situation, so it is easy to start the reform.

If it is replaced by an outsider, it will waste several months of time just for research.

When starting the reform, it may not be able to directly hit the pain points of the company.

But the key finance must not be left to the old people of the company.

Otherwise, if they are in collusion, it will be Xu Liang who will suffer.

The same considerations apply to supervision and security.

"Okay, Mr. Xu."

"Send me a copy of BYD's latest information." Xu Liang said.

"Okay."

After the video conference, Lv Hui placed the faxed BYD information in front of Xu Liang.

Speaking of BYD, we must first talk about its soul figure - Lao Wang.

Lao Wang was born in the 1960s. He has 8 brothers and sisters in his family. He is the seventh and has a younger sister.

With a large population, food becomes a problem.

Wang's father is a carpenter with excellent skills. With his skillful hands, he can barely support the whole family.

But when it rains, it rains. When Wang Chuanfu was about to finish junior high school, his parents passed away one after another.

It is said that the eldest sister-in-law is like a mother, and the eldest brother is like a father.

The elder brother and sister-in-law supported Lao Wang's family, and they saved money to support him to finish college and master's degree.

After graduating from the master's degree, Lao Wang became a mother-in-law after many years of being a daughter-in-law.

He successfully entered the research institute and achieved three consecutive career changes.

He became the director at the age of 26 and the general manager of Pengcheng Company under the research institute at the age of 27.

He was very successful.

If it were an ordinary person, he would probably live like this for the rest of his life.

But who is Lao Wang?

He is a man who shits in the toilet with his face facing outward.

He has an uneasy heart in his stomach.

After working for many years and understanding the sales and assembly of the battery industry, Lao Wang decided to start a business.

The funds needed for starting a business are huge, and his brother and sister-in-law, who have not been educated and have no money in their pockets, certainly cannot afford it.

What to do?

Lao Wang thought about his rich cousin Lu Xiangyang who had successfully started a business.

At the age of 31, Lao Lu quit his bank job that countless people envied and came to Yangcheng to start a business.

With many years of experience and a keen sense of smell, Lu Xiangyang earned his first pot of gold in the trade industry and made a fortune from it.