In a conference hall at the headquarters of Goldman Sachs Group, every participant has a distinguished identity. They represent Morgan Stanley, Morgan Stanley, Merrill Lynch, First Securities, Deutsche Bank, etc.
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All of them are Wall Street's top brokerages or investment banking institutions.
"Since the beginning of this year, there has been a strange flow of funds in the foreign exchange market. Large-scale trading of foreign exchange options, with a conservative estimate of more than 20 billion. Although they are scattered among a large number of trading accounts and even anonymous accounts, they advance and retreat in an orderly manner. These funds
It is obviously driven by the same force, and now it has been confirmed that it is not any party here, so who is it?" said a Morgan Stanley participant.
"It's not us, nor our customers, but some of the accounts were indeed handled by Deutsche Bank, but by the time we realized it, the funds had already flowed out," said the designated person in charge of Deutsche Bank, spreading his hands.
Although options trading only has a scale of 20 to 30 billion U.S. dollars, in the current foreign exchange market with a daily turnover of more than 5 trillion U.S. dollars, tens of billions of dollars is basically not enough, but it is the 20 to 30 billion U.S. dollars of premium that leverage
The exercise scale exceeds US$500 billion, which is equivalent to 10% of the entire day's trading volume. This scale is a bit large.
It was okay if it happened once, but after it happened twice, the big guys on Wall Street finally realized the anomaly.
Foreign exchange is the only market on the planet that truly never stops. Most banks around the world invest about 20% to 30% of their funds in the foreign exchange market. Their profits from foreign exchange transactions are as high as 40% to 60%. This is
They are the most profitable investments, so the foreign exchange market is filled with top players from various hedge funds around the world.
It is also the market with the highest risk index. If it encounters some black swan events, it will be a real life-or-death liquidation moment.
When Lu Ming trades in the foreign exchange market, he mainly deals with the currency of the US dollar, because this is the currency with the most transactions in the foreign exchange market, reaching 85%. It is not surprising that the US dollar is the current world currency, followed closely by the euro.
, Japanese yen, British pound, Australian dollar, Swiss franc, Canadian dollar, etc.
At this moment, these Wall Street brokerage or investment bank bosses are sitting together because Lu Ming is causing trouble in the international foreign exchange market.
At first, these institutions on Wall Street were suspicious of each other and thought that the other party was causing trouble. After all, capital likes to poke people in the butt. Now when they meet, they all deny that they have not made this money, and they all feel that it is an injustice. Indeed, they have not made a single penny.
ah.
Moreover, last year when we shorted the RMB, the securities firms and investment banking institutions here all suffered heavy losses. Short-selling funds from all walks of life liquidated their positions, and the securities firms that lent them money were also unlucky.
The most annoying thing is that I was killed twice in a row. The first time was at the beginning of 2016, and the second time was at the beginning of this year. The fluctuation of the stock price is also a side reflection. Goldman Sachs has fallen by more than ten points from the beginning of the year to today. Morgan
It's almost the same. Deutsche Bank was worse, falling by more than 20 percentage points. Of course, this is related to the "divorce" between the British and Europeans.
After Wall Street suffered another disastrous defeat at the beginning of this year, the U.S. dollar index also depreciated. Lu Ming took advantage of the victory and took advantage of the trend to short the U.S. index in January. He closed his short position in early February and went long backhand. He also closed his position in early March and took advantage of the trend to go short. By the end of March,
It flipped long again, then turned bearish on April 10, and flipped long again at the end of the month.
Then in mid-May, Lu Ming stopped trading options and went directly to leveraged short selling.
The trend of the U.S. dollar index has been in a downward trend for about five months from the beginning of the year to now. Lu Ming actually contributed to the periodic lows and highs within the trend. In a sense, these
The highs and lows were "drawn" by Lu Ming, who contributed a powerful trend force to the long-short transformation of the market.
To put it bluntly, Lu Ming catered to the relay trend of the U.S. dollar index's decline, followed the trend, added fuel to the flames, and joined forces with the phased trend to set up the rhythm of the U.S. dollar index.
When he starts to go short, it is the accumulation of energy by the long side, and conversely, when he starts to go long, it is the accumulation of energy by the short side.
Without the amount of long energy, it is natural that short energy cannot be generated, and vice versa.
Although there are only more than 20 billion U.S. dollars of options contracts there, every time after selling the premium, the buyer will exercise the transaction scale of hundreds of billions of U.S. dollars and sell it, immediately accelerating the trend out of the phase.
At the high point, the short position can be poured out, and then closing the position after backhand short selling is another periodic low point.
Lu Ming just controlled remotely from the domestic city of Ningzhou and jumped repeatedly in the international foreign exchange market, making profits of tens of billions of dollars.
Since no one has made this profit, these big guys on Wall Street say they can't bear it, so who is cutting the leeks?
At this time, someone from Goldman Sachs said: "I think there is someone worth paying attention to."
Everyone present looked over, and the attendee from Goldman Sachs said in a deep and orderly voice: "Lu Ming, you heard me right, the two short-selling RMB failed miserably before, and this person played an important role as a rival of Wall Street funds.
role, and a key role.”
This kind of thing cannot be hidden from these top institutions on Wall Street. After two disastrous losses, they have been reviewing the market for so long. At least they have figured out how to lose.
Tiansheng Capital's financial report discloses the asset size, and the capital inflow and outflow of Tiansheng QDIE Fund are traceable. Among them, Tiansheng Capital and the scale of assets under its management have surged at an exponential level in the short term. These cannot be ignored.
It is difficult for people to pay attention to it. Once they pay attention, they will inevitably delve into it, and a lot of information will surface.
The person from Goldman Sachs continued: "Our survey data shows that although we don't know the specific figures, our estimate after the survey is that the capital inflow and outflow of TCG Group's QDIE fund this year has exceeded 450 billion U.S. dollars. Maybe
Even bigger. If the speculation is correct, the size of his QDIE fund should reach the range of 135 billion to 150 billion US dollars, and the known data shows that this is all the profit he reaped."
TCG is the abbreviation of Tiansheng Capital's foreign name "Tiansheng-Capital-Group". Tiansheng Capital is definitely not an unknown asset management institution now. Its domestic influence is self-evident. It is now used by various big guys on Wall Street.
Being gathered together to discuss this shows that Tiansheng Capital is now internationally influential.
It has to be said that Goldman Sachs Capital’s internal institutional assessment is quite accurate.
The profit aspect is normal, because it can be easily found that Tiansheng QDIE's overseas capital was US$5 billion, and then another US$5 billion was returned.
However, the current actual asset size and specific investment targets of Tiansheng QDIE cannot be found, or if it is intentionally concealed, it will be very difficult to find out, unless it is a case of commercial espionage to infiltrate and steal internal information.
This is another story.
Finance is an extremely complex product. The various financial instruments, derivatives, and methods are dazzling, and it is not easy to understand them clearly.
The person sent by Morgan couldn't help but said: "You mean, it has something to do with TCG?"
Goldman Sachs participants nodded and said: "There is no substantial evidence, but from a doubt point of view, if the large-scale options trading in the foreign exchange market during this period was driven by the same force, it was the same force as Lu Ming in China's capital market.
The trading style is so similar that he will be included in the list of key suspects based on this alone."
The attendee sent by Merrill Lynch spread his hands and said: "Damn it, if it were him, then we wouldn't even have the chance to snipe and impose sanctions. If he was fooling around in the foreign exchange market, there really wouldn't be any good way to deal with him unless we could
Even so, it is not a wise choice to infiltrate into his company and join forces to set him up in advance."
It is almost impossible to make a move in the foreign exchange market. No one dares to take the risk. The risk and reward are completely out of proportion.
