The most informed people on Wall Street are always the financial giants.

For small and medium-sized investors to find the pulse, it is simply more difficult than reaching the sky.

Usually the famous fund managers you see are inextricably linked to major investment banks.

Such as Soros.

Do you really believe that he alone caused the 1997 Asian financial crisis?

There are no such giants as Goldman Sachs, Merrill Lynch, Citigroup, Morgan Stanley, Morgan Stanley, etc. behind him. Do you think he can withstand the counterattacks of so many countries? Does he have the capital and strength?

After entering 2008, the harm of the subprime mortgage crisis in the United States gradually became apparent, which can be described as shocking.

First, in early January, Merrill Lynch and Citigroup announced that they both lost more than $9.8 billion in the fourth quarter of last year due to the subprime mortgage crisis, which shocked the world!

Then at the end of January, UBS also announced that it had lost US$11.4 billion in the fourth quarter of 2007. Immediately afterwards, Commerzbank, Japan's Sumitomo Mitsui Banking Corporation, BNP Paribas... and a series of other giants announced their huge losses.

Loss matters.

Therefore, in January and February, global stock markets plummeted.

But something strange is that after February, everything seemed to be getting better. The U.S. stock market continued to improve, and the operating conditions of various companies also improved greatly.

Even Merrill Lynch's huge losses have plummeted from US$9.8 billion in the fourth quarter of the previous year to US$1.96 billion in the current first quarter. Although it is still losing money, it has been reduced by a lot, right?

In Xiao Qi's opinion, this is certainly not the case.

In fact, the financial crisis is always on the horizon and may break out at any time.

The reason why things are so calm now lies in the confrontation between Wall Street and the U.S. government.

In early February this year, the U.S. Senate and House of Representatives jointly passed a $168 billion stimulus package aimed at rescuing U.S. economic growth through tax rebates and stimulating consumption.

The giants on Wall Street united and mobilized the relationships they could, and finally the Republican Party proposed a US$700 billion rescue plan.

Please note that the bailout funds for the national economic recovery are only 168 billion U.S. dollars. This 700 billion U.S. dollars, which is four times that amount, is not enjoyed by the entire American people at all. Instead, it is all allocated to Wall Street and these financial giants.

, let them get out of their own crisis!!

Goldman Sachs, JPMorgan Chase, Morgan Stanley, Citibank, Merrill Lynch, Lehman Brothers... and more than a dozen large and small investment banks and financial companies are the beneficiaries of this US$700 billion.

But George W. Bush, who is known as "IQ is only higher than that of animals", did not even look at this rescue plan. Moreover, in the House of Representatives and the Senate, most of the Republicans actually opposed the plan proposed by the Republican Party.

, so during several negotiations in April, May, and June, there was no sign of the US$700 billion being negotiated at all.

Think about it, they were the ones who started the entire subprime mortgage crisis, causing countless Americans to go bankrupt, but in the end, taxpayers had to pay to save these greedy financiers?!

Anyone who dares to vote in favor of this kind of thing will be under tremendous pressure. If he fails, he may lose his position.

However, Wall Street has made concerted efforts this time. They are not asking the government for money for free. Instead, they have many means.

Will you give it or not?

If they don't give it, then Wall Street will just come and finish everyone together - the largest insurance company in the United States, AIG, Lehman, Merrill Lynch... a long list of famous names, the result of direct collapse is not something that the U.S. government can bear

Yes, it can easily trigger the collapse of the U.S. financial order.

The U.S. government is not saying that it will not provide bailouts. But it is a $700 billion bailout plan. Not to mention that George W. Bush only has a few months in office. Even if he is still in the middle of his term, there is absolutely no way he can agree to it.

Congress thinks the same way. Federal Reserve Chairman Ben Bernanke harshly criticized these financial giants for their "unbridled greed" several times at hearings. Many congressmen were even present when they rejected the proposal.

Now everyone is competing for patience, and whoever can't bear it will lose.

Therefore, in the eyes of the outside world, the subprime mortgage crisis is gradually showing signs of calming down, but in the eyes of these senior people, if the U.S. government does not take action, a financial crisis is imminent.

In order to give themselves some ability to deal with risks in a crisis, many people have begun to look for an escape route.

Among them is Bobby Green, CEO of Green Pine Capital.

Green Pine Capital is indeed one of the best angel investment funds in Silicon Valley. Its participation in Yahoo and Google has received super generous returns, and it has become the most dynamic and legendary angel investment fund in Silicon Valley.

But the problem is that since Google went public in 2004, Green Pine Capital has not had many classic cases to offer. The US$11.5 million investment that lured Tube turned into a return of US$495 million, which is not a big deal.

brilliant.

But last year, in 2007, Green Pine Capital successively invested in two major companies. One was to buy 5% of the shares of Dreampad, the king of smart electronics, for US$6.5 billion, and the other was to buy the world's largest company in two installments.

A total of 9.625 billion was spent on the 25% stake in the group buying website Cho Girl, which suddenly shocked Silicon Valley and Wall Street, and its reputation suddenly skyrocketed.

But the results of the two major investments were completely different.

Up to now, 5% of Dreampad's shares have almost doubled in value, reaching a market value of about 12.6 billion U.S. dollars; while Chord Girl's 25% shares have been extremely miserable, losing 50% of their market value, and are only worth about 5.5 billion U.S. dollars.

, a total loss of 4.1 billion US dollars!!

Not only is it a huge loss in value, but it is also a constant loss in operating costs. It loses about 200-300 million US dollars every month. As the joint largest shareholder, Green Pine Capital also invests 6,000 US dollars every month.

Thousands of dollars went in.

What about switching to a dreampad?

In one year from May last year to May this year, 5% of the shares brought Green Pine Capital a generous income of 1.15 billion US dollars. It is the highest return on venture capital investment in share purchases in the entire Silicon Valley. I don’t know how many people are jealous!

With such a comparison, erotic girls are simply the most loss-making business!

The financial crisis is about to hit. In addition to the investment of Choi Girl, many companies that Green Pine Capital has invested in before are also experiencing big crises. This is the time when we urgently need to continue investing, otherwise the previous investment will be lost.

A complete loss.

Therefore, Green Pine Capital urgently needs a large amount of funds to revitalize its investments. Otherwise, at the end of the year, if performance drops sharply, investors will definitely demand redemption of the fund, and then the entire Green Pine Capital will collapse!

Nowadays, Green Pine Capital has no choice. The only choice it can make is where to cut the meat to obtain the greatest benefits.

Of course, if they are willing to sell 5% of Dreampad's shares, all crises will be solved, and there will be many people rushing to buy it.

But the problem is that Dreampad has become the signature of Green Pine Capital. If it is sold rashly to cope with the crisis, Green Pine Capital will definitely be questioned greatly, and the possibility of investors redeeming the fund is also not low. - Even the most recent

You have sold your valuable assets, who knows if you still want to continue doing business? If the donation escapes, won't I lose everything?

At this time, Xiao Qi sent him an invitation to buy back the shares of Cho Sex Girl. How could Bobby not rush to Xiao Qi's side quickly?

Not far from the manor villa area, in a high-end restaurant near the seaside in Long Island, New York, you can see the blue sea across the way, and there are countless people coming here for vacation. The scenery is infinitely beautiful.

Xiao Qi specially asked for a seat near the floor-to-ceiling windows. The original appointment was for Bobby at 12 noon, but he was waiting at the door at 11:30, and it would take six or seven hours to fly from Silicon Valley. As you can imagine,

Basically, from yesterday afternoon to now, Bobby has hardly had much rest.

Waiting for someone early is an attitude, which is especially disadvantageous during negotiations, but Bobby can't care anymore. He has almost lost his dignity, so why should he care about face?

Before coming, he had obtained authorization from several other senior partners. If he and Xiao Qi can successfully negotiate today, it will become a formal decision of Green Pine Capital and the contract can be signed immediately.

In ordinary venture capital companies, they will learn from Goldman Sachs' power structure - the partnership system.

Everyone works together to contribute money and people, and they work together as a team to do business. Several partners or dozens of partners cooperate to operate a project. This is the so-called partnership system.

Of course, the partnership system does not mean that everyone is in the same team at all times. Maybe in some businesses everyone has the same interests, but in more aspects, the partners do their own thing and even fight each other.

All the time.

Well, this kind of fight happens a lot in investment banks, but it happens very rarely in angel investment.

The partnership system of Goldman Sachs is junior partner-general partner-senior partner-senior partner.

Being able to become a junior partner is already at the operating level. As for the final senior partner, it is basically their CEO and chairman of the supervisory board.
Chapter completed!