The Magician’s Memorial - Chapter 210



Only Krnovel

210. Continued elections (4)

20 days have passed by.

And we were able to receive the expected results of the Indian general election.

“The Indian National Congress won a huge victory in the general election, formed a coalition government, and nominated Mimoan Singh as Prime Minister!”

“Now it’s your turn to keep your promise over there.”

“Although we have already received a confirmation, it seems that the Indian National Congress is waiting for its timing.”

Timing was important in everything.

There were many cases where success and failure were determined by timing, and timing was especially important in the case of agenda items that could affect public sentiment.

“We’ll have to decide the timing. Announce that you will build a Taewoo Electronics factory and a secondary raw material processing plant in India. “If we were to invest approximately 10 trillion won in India, wouldn’t there be unexpected timing?”

“Are you planning to invest 10 trillion won?”

“Of course, we don’t invest 10 trillion won a year. We will invest approximately 10 trillion won over 10 years. “If that is the case, it will not be a big burden to the Taewo Group.”

The planning director was a little worried.

As most of the company’s reserves were used to secure raw material mines, he was afraid that the nightmare of the foreign exchange crisis would repeat itself.

“The amount coming in this month alone is over 3 trillion won. “Even if you take out the guns and cars, you can still accumulate 1 trillion won even if you don’t use the company reserves.”

“I was worried for no reason. “As people get older, old thoughts tend to come to mind first.”

“As we have done in the past, we will continue to allow you to work at the company without worrying about money.”

Taewo Group had an overflowing cash cow.

Not to mention oil refining companies, credit card companies, and funds, money was flowing in from various IT services developed by Taewo IT.

In particular, as the SNS market grew, the amount of money coming in also increased.

Since CocoaTalk had entered the Internet banking market, it also had an inexhaustible source of funds.

“Are there any other reports?”

“Taewoo Securities CEO Park Man-deok is waiting outside. He says he has something to discuss with the Vice President.”

“Then go out and try. Again, don’t think about saving money on India. “It’s not like we’re just giving money, it’s about investing in building a factory, so it’s money that we can get back.”

“I’ll keep that in mind.”

The planning director went out and Taewoo Securities CEO Park Man-deok came into the vice president’s office.

One of the few people I trusted at Taewo Group was President Park Man-deok, and I greeted him warmly when he came to visit after a long time.

“President Park, isn’t it the first time you’ve been visiting the Vice President’s office in a long time?”

“We can’t take up the time of the busy Vice President, right? “I am refraining from visiting unless it is absolutely necessary.”

“Then what is it that you say you have something essential to do today?”

“Do you have any information about Briggs?”

BRICs

A new word created from the initials of five countries.

Brazil, Russia, India, China and even South Africa.

These were countries with a high growth potential because they possessed large territories.

“Briggs knows it well. “But why?”

“Voices are continuously coming out from Taewoo Securities to invest in BRICS. “I heard that the vice president was making a large investment in India, so I came here to get advice.”

“What do you think, Boss Park? Do you think it is worth investing in BRICS?”

“I think it’s an emerging market with too much risk. Of course, if the risk is high, the return may be large, but I don’t think the return will be that big. However, many employees at Taewoo Securities want to invest in BRICS, so we cannot decide what to do.”

As expected, President Park Man-deok is trustworthy.

BRICS is an emerging market that started to become popular last year.

Just as investing in undervalued stocks, it was natural for investors to want to invest in undervalued emerging markets.

However, BRICS was not a good investment destination.

These countries had too many variables, and if a major economic crisis occurred a few years later, the growth of emerging markets would come to a halt.

“Push forward according to President Park’s wishes. “In the end, the person responsible is President Park.”

“We have been pushing forward so far, but it is confusing as several BRICS-related reports are posted every day. And other securities companies are rushing to release BRICS-related funds. “I even feel like Taewoo Securities is lagging behind because of me.”

BRICS Fund.

It was a great name to get people to invest.

However, 8 to 9 out of 10 BRICS funds suffered huge losses, and even successful funds only gained about 2%.

Other securities companies say they will go into the fire on their own, but there is no need for us to follow them.

“What is the annual rate of return on the fund launched by Taewoo Securities?”

“It ranges from 10% for low to close to 20% for high.”

“Are there any funds that have suffered losses?”

“Perhaps because we are operating the fund according to the Vice Chairman’s instructions, no fund has suffered any losses yet.”

“Taewoo Securities has not suffered a single loss from its funds since the foreign exchange crisis. There is no reason to invest in high-risk emerging markets such as BRICS. “Even now, even though we haven’t invested there, we are holding on to both stability and profitability.”

Having said this, President Park Man-deok will block the launch of the BRICS fund.

But seeing him still unconvinced, I said one decisive word.

“It will be ruined.”

“What do you mean?”

“The BRICS fund is destined to fail. “Emerging markets need a lot of investment to develop, but not many companies and investors are willing to invest in unstable markets.”

“But I heard that the vice president is investing a lot of money in India.”

“It seems a little over-inflated. It’s not a huge amount of money; it’s just enough to show sincerity. “Even if we invest about 1 trillion won a year, it cannot have any impact on the development of emerging markets.”

To revive emerging markets, at least 100 trillion won had to be poured in.

Even if such an astronomical amount of money was invested, the chances of success were uncertain, and the results could vary depending on whether the money went into building infrastructure or into someone’s back pocket.

“Vice Chairman, do you really think the BRICS Fund will fail?”

“It will vary depending on what form the fund is created in, but the rate of return will not be half that of the fund we are currently operating.”

“thank you. “Now I can finally organize my thoughts.”

“Where do you plan to focus your investments?”

“I plan to invest in stocks of American and Korean IT companies as I do now.”

President Park Man-deok had a good eye for the market.

I told him some news that might be helpful.

“If you invest in an IT company for 2-3 years, you will never lose money.”

“Do you think things will change in three years?”

“I have a vague feeling that the economic crisis cycle will arrive around that time. “I will have to look more closely at Wall Street’s reaction and the market’s reaction before I can give you more details.”

“I’ll keep that in mind. Then, we will sell the funds we are launching now with a maturity of two years.”

He was a person who listened really well.

Unlike President Woo Seong-il, President Park Man-deok was a very suitable candidate for the position of President of Taewoo Securities.

Of course, when Team Leader Han returns to Korea, he will have to step aside, but if he continues as he is now, President Park Man-deok is the person who can rise to even greater heights.

***

A few days later.

Dimon It’s been a long time since I visited Korea.

The reason was to inspect Korea Exchange Bank, which is under Fintech Bank, but in reality, the visit was to meet me.

“How have you been, bank president? “Even when I haven’t seen you, your face and body are overflowing with elegance.”

“Whoa! Don’t say things like that, even if it’s just a joke. I really miss hanging out in Myeongdong. “My heart is breaking because I have to wear a stuffy tie all day and go around meeting senior citizens.”

It was Dimon who roughly loosened his tie.

Because it was Captain Kang’s office, where he lived, his body and mind relaxed.

“You feel more comfortable here than at home, don’t you think?”

“I feel like I want to move Captain Kang’s office to Silicon Valley.”

“What is the reason you came to Korea after clearing the whistle separately from Captain Kang?”

Dimon was almost lying down on the sofa.

However, when I asked him about the main point, he immediately straightened his posture and his eyes changed in an instant.

“Things are going as the CEO said.”

“You mean the real estate situation in the United States?”

“The U.S. real estate market is going absolutely crazy right now. “Even though the average person is in the throes of madness, the experts and bankers are crazy too!”

Dimon said, twirling his fingers.

He was the one who expressed the current American real estate market with one movement.

“Would you like to hear a story about how crazy things are going?”

“The reality is that unlimited loans are being provided to people with low credit ratings and subprime ratings.”

“It would be too early to call me crazy for something like that.”

“There is still more left. Now, you can lend money simply by stating your income and assets. “They just falsely stated their income as 1 billion won on the loan certificate without even verifying it!”

Anyone who has ever taken out a bank loan will know this.

In order to get a loan, you had to go through a complicated process, and you could only get a loan if you brought along documents proving your income and assets.

But now, American banks do not have such procedures.

All you had to do was write down your income and assets on the loan documents and you would get a loan.

“Do you think this will be the end?”

“What else is there here?”

“Banks now view home loans as the goose that lays the golden egg. So wouldn’t you want to give loans to more people? “In the near future, there will be loan products that don’t require anything.”

Also known as NINA loan.

No Income, No Asset.

It was a loan given without asking about income or assets.

“No matter how crazy the banking sector becomes, will they even come up with such a loan product?”

“Dimon said it. He said he was consumed by madness. “When you are blinded by madness, you tend to do unreasonable things.”

“No matter what, I can’t give you a loan without going through the minimum procedures… .”

“Do you know what happens if you get even crazier here? Loans can also be made in the name of a deceased person. “You can get a home mortgage loan just by having a title.”

“No way.”

“ah! “In the future, loans will also be available in the dog’s name.”

There was a movie about the subprime mortgage crisis.

It was a movie based on a true story, and it introduced a case where a home mortgage loan was taken out in the name of a dog.

It was literally crazy.

It was just a prank by the banking sector, which was crazy about playing with money.

But there was a further problem.

An even bigger problem was the fact that no problem was raised even when people joked around.