Many times, Chen Dong's orders seemed unreasonable, but as a subordinate, he could only carry them out. However, not long afterward, he actually saw good results, and things did not go as Chen Dong had expected.
However, Wangcai's own judgments based on common sense often deviate significantly from the facts.
Even in the first few months, Wangcai felt that Chen Dong's proposed investment strategy was unreliable or carried significant risks, so he followed Chen Dong's instructions when it came to investing in the company.
However, he handled his personal investments according to his own methods and predictions. As a result, he watched helplessly as the company made a lot of money, while his personal investments lost money.
This also made him doubt his own investment abilities.
Of course, he eventually realized that it wasn't that his own skill level was that bad, but simply that Chen Dong was too talented.
For such geniuses, one can only look up to them and follow them, without feeling guilty or discouraged.
He thought that it was something to be thankful for that he was now following in the footsteps of a genius and receiving his guidance.
Thus, after getting on Chen Dong's side, Wangcai's assets expanded rapidly.
This made him even more convinced of Chen Dong's abilities and even more grateful to him. So, when Chen Dong offered this seemingly inexplicable reason, he agreed and no longer insisted on his previous opinion.
Seeing Wangcai like this, Chen Dong didn't say anything more and continued to arrange other things.
However, suddenly, a thought occurred to Chen Dong: his consistent correctness might not be such a good thing after all.
For example, if this continues for a long time, it may cause subordinates to blindly trust them, to the point that they lose the ability to think for themselves.
That wouldn't actually be a good thing for the team as a whole.
Upon realizing this, Chen Dong was startled.
For a long time, although I have been emphasizing team building, I have not actually performed particularly well in building an investment team.
Other industries are better. I just find the right people, point out the general direction to them, and provide them with sufficient funding, manpower, and material support. Then I let them do it on their own without interfering too much, and they do a very good job.
In the investment field, because I am a reinvented professional in the financial industry, I have a clear understanding of the future and many industry secrets. As a result, I always see several steps ahead of others.
Although Wangcai and his team did things perfectly under his command, in reality, they were often only responsible for many administrative tasks, while he still made the decisions on major strategic issues.
Judging from their recent performance, although their strategic capabilities have improved, the improvement is limited.
Therefore, Chen Dong thought that he should be more low-key and lazy in the future, and not act so monstrous and diligent, doing all the work that should have been done for his subordinates. He would be tired, and their room for growth would be small.
We must encourage them to be willing to make mistakes, dare to try new things, and continuously grow.
"Boss, now that the loan target has been met, shouldn't our next goal be to invest all these funds in Mexico?"
Chen Dong smiled and shook his head.
Of course not.
Chen Dong instructed that $200 million of these funds be converted into Brazilian real and invested in the Brazilian stock market.
The remaining $500 million will be gradually invested in MMI to buy short peso positions, while also buying peso short futures and options contracts in the over-the-counter market.
The remaining $8 billion was borrowed in three-month pesos through various American and European banks that have branches in Mexico.
The reason Chen Dong wanted to short the Brazilian stock market was that, among all the stock markets in South America, only the Brazilian stock market offered stock index futures. This meant that he could only rely on the Brazilian market to short the market.
As for countries like Argentina and Mexico, they don't even have stock index futures yet. Even if the Mexican peso collapses in the future, triggering a financial storm that affects the whole of South America, it will be difficult for them to make money through the stock market.
After receiving the order, Wangcai went to carry it out.
With such a large sum of money at stake, it will take a long time to complete the entire deployment.
There are reasons for choosing the Mexican peso as a breakthrough point.
On January 1, 1994, Mexico joined the North American Free Trade Area, becoming the third country to join after the United States and the Maple Leaf Country.
Member states of the free trade area must adhere to the principles and rules stipulated in the agreement, such as national treatment, most-favored-nation treatment, and procedural transparency, to achieve its objectives and eliminate trade barriers. Goods can circulate freely among countries within the free trade area with reduced or eliminated tariffs, while countries outside the free trade area maintain their original tariffs and barriers.
For example, while tariffs on Mexican coffee exports to the United States have decreased significantly, resulting in lower prices, a large-scale import of American corn products would severely impact Mexico's domestic market and the country's entire production system.
This requires these industries to have a buffer period, but the problem is that while a corresponding buffer period can be stipulated for real industries, capital that is eager to enter the Mexican market will certainly not want this buffer period.
Given the significant disparity in wages and benefits between the United States and Mexico, both countries are eager to utilize the local cheap labor force to reduce costs and increase profits.
In this situation, the exchange rate issue between the US dollar and the Mexican peso comes to the forefront.
Therefore, the Mexican government began to implement a strict fixed exchange rate system pegged to the US dollar in order to attract foreign investment such as US dollars.
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