1988 - 1st Quarter (8)
1988 - 1st Quarter (8)
"Are you really okay?"
"Don't worry."
Ara asked with concern, but I reassured her while stroking her soft stomach and thighs.
It's not that I'm not worried either.
But the anxiety of the employees and my anxiety are the same yet different.
That's also why I can't explain it to Ara in detail.
"David."
"Yes."
"If a forced liquidation call comes, not a margin call, transfer it to me."
"Understood."
Forced liquidation is a terrifying word that makes your sphincter tighten and your bladder loosen just hearing it, but the fear they think of and the fear I think of were subtly different.
For them, forced liquidation is the horror of a certain pizza shop.
The pressure closing in from all sides, the fear of death slowly approaching.
The fear of desperately struggling while shouting 'Ottochestra!' only to die as if by fate, of fighting against a giant foreign news agency only to be crushed like an ant and die meaninglessly.
For me, forced liquidation is?
What else could it be but a clown's jump scare.
Before you even have time to think 'Don't run, fight back!', something suddenly jumps out with a 'Huh?', and you die with your neck cut off accompanied by a final scream of 'Kyaaaak!'.
Thud-. Roll roll.
Only the severed head remains as the sole trace.
Classified as the same horror, but fundamentally different fears.
But I have a reliable corner.
Analog.
A word that might evoke a retro sensibility for some, or inconvenience for others.
For finance people, the word 'analog' had a different meaning.
Manual.
Handling everything by human hands.
'If I told these people that a future where immediate liquidation is routine is coming, would they believe it?'
For future people, margin calls are also of two types.
The margin calls individuals receive are notifications.
A post-liquidation report sent with a 'Should've done better, huh?' attitude.
The margin calls institutions receive are fundamentally the same as in this era, but the grace period is different.
Because in the analog era, everything is handled by human manpower.
"Anyway, the possibility of being okay until today is higher, right?"
"That is true."
At my words, David nodded, hiding a slight agitation.
It's not an era where computers automatically dump positions.
After market close, selecting items that have touched the margin line or need to be liquidated, writing them on the next day's margin call list to be delivered to liquidation traders, and then making calls is the current IB's margin call system.
It basically means no call comes unless you're on that list.
Of course, price tracking itself is done.
Because when a Black Swan like Black Monday comes, they dump urgently.
But it's safe to assume that won't happen with US Treasuries.
Therefore, there's no chance of receiving an immediate liquidation notice.
And on top of that, don't I know the correct answer?
The closing price will eventually return to its place.
"Remaining amount?"
"......Huh?"
"If the price went up, doesn't that mean it's even better for shorting?"
"Eugh."
David made a strange noise with an expression like he'd chewed something he shouldn't have.
But it's not like I said anything wrong.
Originally, short sellers are supposed to be happy when prices rise.
Though it's routine to be appalled by the public's mania seeing prices rise endlessly without any reason, bottomlessly.
If you succeed, it's a jackpot, so you keep challenging endlessly, I guess.
"Available funds."
"Uh, um....... 3.4 million......?"
"20 contracts or more from each of the net equity accounts."
"......Really?"
"You have to sell when it's expensive, right?"
"Grrroan."
"No time. Place the order quickly. We don't know when the price will drop."
"Philip! Brown! Brick! San Jose! Market price, 20 oversell!"
David shouted, tightly closing both eyes.
"I feel like my lifespan is decreasing. Will insurance cover it?"
"Is our insurer United Care or something?"
"Yes."
"Do you think they'll process insurance claims?"
"No. They don't even cover perfectly fine illnesses."
"They'll pay dividends well instead, though."
"Probably. Then maybe you should hold some UC stock."
He let out a deep sigh and pulled out a cigarette to put in his mouth.
For reference, there's no indoor smoking ban or such in our company.
Because then the employees might riot.
That's the kind of world it is.
"We're alive......."
"I want to go in and collapse quickly."
"Grrroan-."
After market close.
The employees all collapsed together, completely exhausted, groaning.
Everyone's shirts were soaked wet.
Ara was a bit wet for different reasons, but everyone pretended not to notice and moved on.
In this field, there aren't just one or two psychopaths, so you just have to accept it.
"Are you okay?"
"Yesss....... Haa-."
Ara diligently did her tasks even with trembling legs.
It was my first time doing attachment figure detox in a real situation, and it was more effective than I thought.
For reference, it wasn't because of sexual desire.
Isn't it instinct to stroke the neck and pat the belly when you have a cat in your arms?
I just managed the sharpening sensitivity with that kind of feeling.
"You worked hard."
David also spoke while taking out a handkerchief to wipe his cold sweat.
"But we somehow achieved the target."
"Indeed."
"Even though there were several life-threatening crises."
The quantity sold today was 1,590 contracts.
Exceeding the target by 90, it was the quantity right before the market could detect our presence.
Of course, we crossed the margin call line several times in the middle.
"Now we can just spend some time doing market tracking and research."
"Huh?"
"?"
"What do you mean?"
"Huh? What is it?"
"It's inverted."
"......? Don't tell me, if additional profit occurs......?"
"Right. We'll have to enter again around the day after tomorrow."
Now the real decline will begin.
"Th, this again......?"
"We'll have to do it a few more times."
Additional profit will occur from the contracts entered first, and if profit comes from today's positions, margin will accumulate in the accounts again.
I'm thinking of increasing the quantity with that.
"Grrrooagh."
David is about to foam at the mouth.
But since it's a clear downtrend, not a sideways market like today, the risk should actually be lower.
Or not?
As the quantity increases, the overall margin line itself lowers, so the risk might be similar.
"Did you think making 1 million dollars would be easy?"
"......Watching you do it, it looks easy, sir."
I shrugged my shoulders.
Actually, I was scared too.
If I looked relaxed on the outside, that's fortunate.
"Then let's just do the summary report and call it a day."
"Understood. The quantity secured today is 1,590 contracts. Adding the existing 5,720 contracts, the total is 7,310 contracts."
"What's the notional?"
"680 million dollars, average short position at 94'16."
"Margin call line?"
"96'20."
"There's still room."
"......Amen."
David made the sign of the cross and put a cigarette in his mouth.
Today's closing price was 93'03.
There's nearly 3 points of room.
Though it was 4 points before.
"Then the profit so far?"
"Including the amount coming in tomorrow....... 10,279,687 dollars."
"Ten million dollars. Not bad."
10 million dollars profit from 18 million dollars.
"If the profit were small after such a gamble, that would be a problem in itself."
"That's true too. Then let's finish work for today."
"Understood."
"Ah, right. Ara."
"Yes."
"You brought the cards, right?"
Ara took out an envelope from her briefcase.
The corporate cards we applied for last time were issued today.
"Take them and distribute one to each employee."
"One each? To all employees?"
"You can use them anywhere without worrying about embezzlement, but cash advances are not allowed."
I don't plan to ask about the usage.
Cash advances are a no.
"The usage is free?"
"Yes. As long as it doesn't hinder work the next day. You can even go play at a strip club."
"Gasp!"
Honestly, to endure today's workload, that level of compensation is necessary.
Otherwise, deserters will definitely appear.
Using corporate cards for personal purposes is legally problematic and would be treated as a form of tax evasion.
But if caught, we just pay the fine.
Giving bonuses would cause bigger problems, so there's no choice.
"But if cash advances are discovered, you'll be tormented beyond imagination. As long as you're in this field, wherever you get hired, you'll become my enemy."
"......That's a bit scary."
Normally, even if you stab someone in the back, if you successfully change jobs, you can get some safety guarantee.
Because you can't attack a bank or hedge fund with personal feelings.
But I'm different.
It means I'll also be hostile to places that accept betrayers.
That's also why David is looking at me with a peculiar expression.
He probably wants to ask if I plan to fight large IBs.
"Then distribute the cards and go home."
"Understood!"
David took the envelope from Ara and headed towards the employees.
And as he started explaining something in front of them.
"Waaaaah!"
"Hooray! Hooray!"
"My god! Freedom? Freedom corporate cards?"
The office began to fill with cheers.
"Let's go too."
"Yes."
Leaving behind the employees who had become frenzied dance machines, Ara and I exited the office.
Normally, we'd stop by BE Holdings to finish the day's settlement and go home.
But today, there was a separate schedule.
"You have the money, right?"
"I put it in the car."
"You handle that well on your own now?"
"Heh-."
I lightly pinched Ara's cheek and opened the car door.
The destination was Nabi.
It was time to buy the next quarter's book.
"Welcome. Member."
Meeting Madam after nearly two months, she greeted us with her always dignified demeanor.
"Long time no see, unnie."
"I'm glad you look healthy, Ara-yang. Shall we go then?"
"I'll be back, Master."
After kissing my cheek, Ara followed the guide inside the club.
She must undergo a precise examination here every quarter.
To check if I've caused serious injury or engaged in prohibited acts.
Uncomfortable, but there's no choice.
From Nabi's perspective, if such things happen, the club's existence could be shaken.
"Here is this quarter's catalog."
"Thank you."
I paid 10,000 dollars and received the 2nd quarter book.
I haven't read it in detail, but overall, it's a so-so level.
'......Just looking at the book, I can't really be confident.'
Is it because of Ara?
It seems there might be usable people if you look carefully.
You never know.
If you remove the makeup, another stunning beauty might pop out.
"Can I ask one thing?"
"By all means. What are you curious about?"
"Why exactly is Madam by my side?"
She probably doesn't know about the offshore fund.
Even if she knows, she'd probably think of me as just a fund manager at best.
But then why does Madam stick by my side without leaving?
What does she see in me?
From the first auction, she personally took charge of me.
"It's difficult to tell you right now. Just......"
"?"
"I'll say you are one of several candidates."
Candidates?
Is there some election or something?
"Is that so."
I nodded appropriately and started examining the book again.
I just asked out of curiosity.
She'll tell me when the time comes anyway.