Investor That Can See The Future

Chapter 27

I held the 2nd extraordinary general meeting of shareholders.

“The problem is that in the first place, we were trying to manage hundreds of billions of dollars by ourselves.”

Warren Boat did not raise a Berkshire cashier alone, and George Soros did not run the Quantum Fund alone. Whether it’s a holding company, hedge fund, or PEF, the best team exists under the CEO.

The answer was surprisingly simple.

“Let’s establish an investment company as a subsidiary of OTK Company. We are recruiting the talent we need. When I set an investment policy based on wisdom, I create an organization that can implement it.”

The second shareholder nodded.

“The first talent we need to recruit is . . .”

At that moment, Taek-gyu’s cell phone rang.

Tirling!

“Because you turn off your cell phone during the shareholders’ meeting.”

“Wait a minute… Huh!”

Taek-gyu was surprised when he saw the caller.

“who?”

“My sister.”

You will be contacted first at this time.

I said to Taek-gyu.

“Come on, take it.”

Taek-gyu pressed the call button.

“Hello.”

As soon as he finished speaking, a call came from his cell phone.

[Where are you now? Why is the house empty?]

When I heard it from the side, it seems that they had visited the house before moving.

Taek-gyu said as if making an excuse.

“I moved yesterday.”

[Call the address.]

“This is Samseong-dong…”

When Taek-gyu called out the address, Hyun-joo noona shouted again.

[Stay there and wait. I will go now.]

“Who, noona, are you in Korea now?”

Tutu!

The call was disconnected without an answer.

Taehyung looked at me and said.

“My sister is coming over here now.”

“You don’t have to explain it.”

I heard everything even though it wasn’t a speaker call.

“It’s fine. You should have met Hyunjoo noona anyway.”

“It is, but…”

Taek-gyu had a look on his face that something was wrong.

“I think I am very angry.”

Unlike me, who thought about various possibilities and moved cautiously, Taek-gyu acted faster than expected.

As such, since he was young, he had several accidents, and it was Hyeon-joo’s sister’s responsibility to take care of him each time.

The first time I saw Hyunjoo noona was when I was in middle school when I went to play at Taekkyu’s house. At that time, she was a graduate student with Hyun-joo’s older sister taking an MBA.

As it is now, Hyun-joo’s older sister, who was in her mid-20s at the time, was showing off her intelligent and beautiful charms.

Growing up as an only child, I was envious of Taek-gyu, who had a pretty and wonderful older sister.

But when Taek-gyu heard my words, he looked at me with pitiful eyes.

It was after seeing Taek-gyu being scolded by Hyun-joo’s older sister that he realized the meaning of those eyes. From then on, I realized why I was so afraid of my sister.

I asked Taek-gyu.

“What did you do wrong?”

“That, well.”

There are so many things to take, is it hard to pick just one?

Within ten minutes, a taxi stopped in front of the house.

A beautiful woman in a two-piece suit and glasses got out of the taxi. She was none other than Hyunjoo’s older sister.

Taek-gyu opened the front and front doors, and Hyun-joo’s sister entered her house. As if she had run in a hurry, her dress and hair were slightly messed up.

“Hey! Oh Taek-gyu!”

Taek-gyu was startled and hid behind me.

“Why, why, sister?”

I’ve seen Hyunjoo noona get angry many times over the years, but I haven’t seen her angry like today in a long time.

“Jinhu, were you together?”

“Yes.”

Hyeon-joo noona realized my existence only then and relaxed her expression a little.

“Calm down and sit down.”

“Sigh.”

Hyunjoo’s older sister flopped down on her sofa. And she smoked her cigarette without a word for a while. She filled the spacious living room with smoke.

Unlike Taek-gyu, who dislikes cigarettes, Hyun-joo’s older sister is a smoker. She says that, according to Taek-gyu, she has been smoking steadily since high school without her parents’ knowledge.

“Clok choke!”

Secondhand smoke is bad for your health.

Taek-gyu got up and opened her window, but Hyun-joo’s sister opened her mouth.

“sit down.”

“Yep.”

Taek-gyu quickly put his butt back on.

“What is this house?”

“I bought it. I want to live here in the future.”

“Tell me what happened.”

“What? Why did you buy this house?”

When Taek-gyu asked as if he didn’t understand the English language, Hyun-joo’s older sister’s eyes turned cold. Taek-gyu shrugged his body.

It looks like a mouse in front of a cat.

“You don’t know? What happened to the hundreds of billions in the account?”

Taek-gyu rubbed his eyes and asked.

“Did you come here for that?”

* * *

If we were to pick one of the biggest events in the international financial world recently, it was by far the L6 explosion.

As a result, Seosung Electronics and the Korean stock market, which were doing well, plummeted, and financial companies that issued related derivatives suffered huge losses.

But then, a rumor circulated.

Before the incident, a certain corporation intensively bought Suseong Electronics and KOSPI200 put options, and made huge profits.

Surprisingly, the corporation had an account in the Asian branch of Golden Gate, which increased its deposit balance by over $600 million.

Analysts and fund managers alike talked about the identity of the corporation.

It is extremely rare to make this kind of profit with derivatives. Of course, it was bound to draw attention.

It was later revealed that the buyer was OTK Company.

Oh Hyun-joo didn’t even think it had anything to do with his younger brother until then.

The world is wide and offshore companies abound. There were plenty of companies that used random combinations of the alphabet.

I thought it would be one of those companies.

I found out about it a few days ago. He was contacted by a senior who was the manager of the Golden Gate Gangnam branch.

Yoo Seong-moo, the head of the Gangnam branch, was in charge of remittance of more than 10 billion won of overseas corporations’ money to domestic accounts and informed Hyeon-joo of the fact.

Her account was created by her on behalf of her brother. She had the right to make inquiries because she was.

Hyunjoo Oh tried to access the OTK Company account.

Surprisingly, the account balance was 672 billion won!

He initially wondered if he had opened another account with the same name but the wrong one. He tried to log in again several times, but apparently his brother’s account was correct.

Surprised, she pressed her keyboard with her trembling hands and looked at her transaction history. The details of the purchase of put options were scattered.

Oh Hyun-joo, forgetting that it was her company, jumped up and shouted.

“Oh Taek-gyu!!!”

* * *

Hyunjoo noona pressed her head with her fingers to see if her head hurts.

After hearing the story, Taek-gyu and I looked at each other with a surprised expression. Did the talk about us spread all the way to Golden Gate?

Hyun-joo’s older sister asked Taek-gyu.

“Did you really buy the Suseong Electronics put option?”

“Huh.”

“·················ogue.”

Even if she knew it already, it must have been a shock to hear her directly, and Hyun-joo’s older sister was at a loss for words.

“Is this so surprising?”

Hyunjoo noona said while smoking a cigarette.

“Are you talking? Because of that, the Financial Supervisory Service has even received requests to submit data to Golden Gate.”

“Yes?”

I was surprised.

Did you really start investigating?

“Wow, what kind of data are you submitting?”

“Tell me about the transaction history of OTK Company and the owner of the corporation.”

“Is that so? It didn’t pass, did it?”

“Even Golden Gate doesn’t know about the owners of the corporation. Only the country in which the corporation was established knows.”

Most corporations in tax havens were established for the purpose of avoiding taxes. As such, the protection of corporate owners is also strict.

“The only thing I can give you is account transaction history, but customer information is not so easy to hand over.”

“If the FSS asks for cooperation, isn’t it difficult to refuse?”

Hyunjoo’s older sister shook her head.

“It’s about domestic financial companies.”

Unlike domestic financial companies, which hand over all information with just one word from investigative agencies, foreign financial companies are strict in protecting customers’ personal information. In order to obtain the information, you will have to obtain formal permission in a US court.

Taehyung breathed a sigh of relief.

“I’m glad it didn’t pass.”

There was one thing I didn’t understand.

“Why did the Financial Supervisory Service request the submission of data?”

“I suspect it was insider trading.”

“Yes?”

Contrary to my surprise, Taek-gyu tilted his head again.

“What is insider trading?”

Hyunjoo noona let out a long sigh.

“Sigh.”

A guy who doesn’t know what insider trading is all about has done something that will turn the financial world upside down.

Instead, I explained.

“It means trading using undisclosed information that can have a significant impact on investment decisions.”

Listed companies must disclose material information to investors. And you must not trade using the information before the disclosure.

A typical example is the case of Hanbi Pharmaceuticals last year.

Hanbi Pharm, a pharmaceutical company, experienced both favorable news of exporting anticancer drug technology and the cessation of clinical trials for new drugs.

Hanbi Pharm first announced good news after the market close the day before. As soon as the market opened the next day, trading volume increased and the stock price rose.

But suddenly, at 9:30 a.m., a bad news announcement was made, and the stock price, which had been rising vertically, plummeted and closed at -23 percent.

The stock price fluctuated by more than 40 percent in one day as good news and bad news were announced sequentially with a difference of only 17 hours.

The problem is that certain individuals and institutional investors who obtained information in the meantime sold their holdings all at once before the announcement of bad news.(Read more @ wuxiax.com)

It didn’t end there, and it even started selling short. The short selling volume at the beginning of the day surged more than 10 times compared to usual.

Of course, only individuals who believed in the good news announced the day before and made a purchase suffered huge losses.

As the media drew attention, the Financial Supervisory Service launched an investigation and indicted the officials who leaked undisclosed information and dozens of people who took advantage of it.

“Is it a big sin?”

“It is an act that undermines trust in the financial market. Once caught, all undue profits will be confiscated.”

In other words, the state recovers money earned through illegal activities.

And······.

“I know the punishment is quite severe. Depending on the amount, you could be sentenced to five years or more in prison.”

“Ugh!”

Taek-gyu’s face turned to contemplation at my words.

“Well, then what will we do? Are you going to be taken to a strange place and investigated?”

I thought soberly.

In fact, proving insider trading is not an easy task. There must be clear physical evidence as well as cardiomyopathy. So, even in the case of Hanbi Pharm, because there was no evidence, all the big hands such as institutional investors and short sellers got out and only the small ones were caught.

Most importantly, it really has nothing to do with insider trading.

Hyun-joo’s older sister lit a cigarette.

“Now explain. Who did you listen to and do this to you?”

Taek-gyu pointed at me as if he was waiting.

“To him.”

Hyunjoo noona looked at me.

“What do you mean?”

I nodded.

“Taekyu is right. I gave you the information.”

“Jin-hoo, where did you hear the information?”

“that······.”

What would you like to explain?

When I hesitated, unable to speak, Hyunjoo noona got angry.

“Do you know what you guys are up to now? Insider trading is a financial crime!”

If it is confirmed as insider trading, there is a high possibility that it will not end with a fine as the unfair profit (?) reaches hundreds of billions of units.

If something goes wrong, it’s natural to get angry because it looks like your brother will be arrested.

“No, sister. Just listen.”

Taek-gyu started explaining what had happened in the meantime. The story was really jumbled up in Junggu heating.

I have no idea what I’m talking about even when I’ve been working with them.

Hyun-joo’s older sister, who couldn’t hear, said.

“Jin-hoo, please explain.”

“Yes.”

I talked about the past events in chronological order.