Chapter 936 - Switching of position
Chapter 936 – Switching of position
Early August, Malaysia had given up on protecting Ringgit, and Ringgit had fallen by 30% within a few days. This time, the stronger SGD is also affected and drop by 5%!
Soros and his men grew confident after the SGD rate dropped. Even the regulated exchange rate system currency can be beaten by them, and they have no more worries.
Soros’s new target is Indonesia, and Indonesian Rupiah was hit immediately.
The Indonesian government was prepared and had implemented increased overnight rates, etc. However, these measures are useless against those international speculators.
“Old He, you can cancel all our Thai Baht contracts.” Feng Yu laughed.
Now, Thai Baht’s rate against USD had fallen to 40:1, and Feng Yu bought his future contracts at 25:1. Along the way, he bought more short position contracts, and the leverages used ranged from 10 times to 15 times.
Feng Yu had already canceled Thailand’s stock index futures contracts. Thailand stock index had fallen to 500 points from 1,300 points six months ago!
He Zhaoji immediately orders his men to settle Thai Baht contracts, and their returns this time is more than two times!
Having returns of more than twice of their invested amount within three months is crazy!
Feng Yu had used more than 6 billion USD on Thailand. 4 billion is from his fund, and two billion is from Kirilenko. Three hundred million USD out of the 6 billion USD is from Fu Guangzheng.
Feng Yu’s 4 billion USD had become 12 billion USD, and Kirilenko and Fu Guangzheng’s 2.3 billion USD had also made high profits. But they had to pay high commission to Feng Yu, and the commission amounted to more than 1 billion USD.
Feng Yu’s profits from Thai Baht alone is almost 10 billion USD!
Feng Yu is sure that Soros’s returns are not as high as him! Although Soros’s funds are much more than Feng Yu, the commission Soros charges should be around 10%. His funds should be around 6 billion USD, and he had used it on several countries’ financial markets. His profits from Thailand should be around 2 billion USD, and this amount had to be used to cover up the losses he incurred previously. That means Soros’s had only made a few hundred million USD from Thailand!
The gap between both parties is closer, and Feng Yu was feeling terrific.
“Tell everyone that I will be giving them 1 million USD each from my fund.”
After a while, cheers could be heard in the main office.
These brokers had not gotten commissions in the past few months, and it’s impossible for them not to grumble about this. But all of them are waiting for their promised bonus from their Boss.
Today, the bonus is issued to them, and the amount had surprised them.
The team consists of a few dozen people, and every one of them will be getting 1 million USD each. How much did their Boss make for him to be so generous?
This is only the profits from the Thailand market, and in another few days, they will be canceling Philippines’ Pesos, SGD, and Ringgit contracts.
Based on their understanding of their Boss, there should be a bigger bonus at that time. Even if the bonus is not 1 million USD, it should be at least 5 million HKD.
It was tough over the past few months, and the brokers have rest days. But their retirement can be brought forward by twenty years if they worked like this for one year.
With tens of million assets and the brokers’ skills, they can get at least 10% annual returns if they invested their money in low-risk instruments. That will be a few million HKD and is enough for them to retire comfortably.
The brokers are feeling lucky to be recruited and made it into Boss’s team.
If the brokers are had not to join Feng Yu, they might only be earning a few million HKD a year at most. They can never get to earn more than 10 million HKD and get the opportunity to manage such a huge fund. Even if they get to manage such a large amount of funds, they will not dare to invest so recklessly. Investing for those tycoons is risky. If the losses are high, the tycoons might get triads to chop their limps and might even kill them!
With more funds, the currencies of the other countries fell faster.
Now, there are talks that the financial crisis from these countries will affect the whole of Asia and even the global market.
These talks speed up the fall of Ringgit and the other currencies. Feng Yu suspects that Soros is the one spreading this information and used it to stop those who want to pull up those currencies’ rates.
This financial crisis will surely affect Southeast Asia, but to say it will affect the whole of Asia and the world, is exaggerated. For example, North Korea’s economy will not be affected.
Some countries’ economies, which were not attacked by Feng Yu and Soros, were also affected by the crisis.
……
“Boss, there is a high volume of Thai Baht’s futures contracts being settled, and Baht’s rate is starting to rise. Should we also settle our future contracts?” Drucken Miller asked.
Soros cursed Feng Yu in his heart. It must be Feng Yu, and he did not inform us beforehand!
“Settle all out contracts and use all our available funds on the Indonesia market!”
Soros does not want to be the vanguard when attacking Indonesia’s financial system. The party who starts first will use the most funds, but the returns will be much lower.
Everyone is working together to make money, and I cannot be the one investing the most to help you make money.
Soros called Feng Yu. “Feng, a few of my investors want to withdraw their funds. Let’s switch positions, and I will suppress Indonesia’s stock market, and you will attack Indonesia Rupiah?”
Feng Yu immediately agrees. “Sure. But my fund is lesser than yours. If I can’t lower the rates, you must help me.”
Feng Yu knew Soros would not tolerate his earnings to be lesser, and Feng Yu is waiting for his call.
Feng Yu wants to try and see what will happen if he leads the attack in the Forex market. If he fails, he can still ask Fu Rongqi for help. Furthermore, he can lead Soros to think he is someone complacent.
Soros heard Feng Yu had agreed to his request and smiled cunningly. Hmph! Young men are always rash.
Why do you think that I can short those currencies so easily? It is because I have Quantum Fund and a group of loyal speculators following me.
I had only used a few billion USD, but I can achieve the results of over 10 billion USD!
Now, with you attacking the currency, I can easily estimate the total amount of funds at your disposal. I will not give up on attacking the Hong Kong market. It will be perfect if I can earn a sum from China at the same time!
……
“Old He, this time, we will be attacking Indonesia Rupiah. You all discuss and prepare a proposal for me.” Feng Yu is not alone. He also has a team of brokers working with him.
Although He Zhaoji felt Feng Yu’s decision is weird, he still followed his orders. Being the vanguard is different from assisting from the sidelines. They cannot afford to make any mistakes.