Chapter 38 Full of Bowls
On June 30, 2002, the Asahi World Cup final was held at the Yokohama International Arena.
In the end, the Brazilian team defeated the German team with a score of 2:0 and won the World Cup championship, adding one star to their jerseys and becoming a five-star Brazil.
This also means that this rather "magical" World Cup has come to an end.
Before this, Barron had successively withdrawn the winnings from previous bets as each game ended. Until the final final was over, he could start counting the spoils.
In order to avoid appearing too high-profile by hitting every shot, Barron's final strategy was to spread out his bets and deliberately mix in many bets that were deceptive - bets that were purely designed to lose money on purpose.
In the end, the success rate of all Barron's bets was controlled below 50%, but even so, because his correct bets were all unpopular results with extremely high odds, and his principal was as high as 10 million. This strategy was adopted by Sterling, so in the end, the after-tax funds he finally obtained were still as high as 40 million pounds!
For this World Cup, according to statistics, global betting volume has exceeded 30 billion pounds, and this number is only data available through formal channels.
If private lottery is included, the final number will be several times or even ten times higher than this figure.
It can be said that compared to the last World Cup in France, the total betting amount has increased greatly.
And because of the frequent upsets in the Asahi World Cup, it can be said that the gambling companies have made a lot of money. In this context, the bonuses received by Barron are even more at ease.
Besides, after all, what he earned was actually other people’s betting money. But without him, the money would most likely have become the profit of the gambling company.
But even if the gambling company learns about Barron's achievements, I'm afraid it would rather help him promote it than anything else - after so many upsets, most lottery players have suffered huge losses, relatively speaking. It is said that at this time, conspiracy theories about "match-fixing" have gained a lot of market.
If there was a publicity point like Barron's, I'm afraid gambling companies would be very happy to use this example to encourage everyone to bet.
It’s just that Barron carefully separated his bets in many companies, and finally averaged the profit of each company, which is not too exaggerated. Anyway, it has not been exposed so far.
Of the funds Barron has received, more than 2 million pounds have been used to pay his inheritance tax. Although setting up a family trust fund can avoid most inheritance taxes, it does not mean that using this This method is completely tax-free.
Therefore, after final calculation, the inheritance tax he needed to pay at that time included the family foundation and the assets directly held by the family (a 40% inheritance tax rate applies), totaling approximately 2 million pounds.
The remaining 5 million pounds will be lent by DS Capital to the Devonshire Family Trust Fund to settle the loan from Northrock Bank in advance (the interest for the remaining time is waived by the agreement, and the remaining interest borne by the family trust fund itself).
In this way, the remaining funds are as high as 33 million pounds.
However, within one year, Barron still needs to repay 5 million pounds of family debt and interest (before the end of the year), and 7 million pounds of mature loans and interest from two other banks (within one year). be returned gradually).
However, for Barclays Bank's 13 million pound loan, after the other party saw that 33 million pounds was deposited in DS Capital's account, the other party happily extended the loan to repay it after two years. Of course, the interest during the extension period You still need to pay on time.
Yes, with Daisy’s efforts, DS Capital completed the registration process and established the investment company’s account at Barclays Bank.
After all, Barclays Bank, one of the four largest private banks in the UK, will become one of the largest banks in the world in the future, so Barron's still hopes to establish a cooperative relationship with them.
The funds currently available to DS Capital are about 33 million pounds.
Although more than 12 million pounds of it needs to be returned within one year, and more than 13 million pounds needs to be returned after two years. Only less than 8 million pounds really belongs to Barron, but at least the funds he has now , with a sufficient investment window, it can bring him more generous returns.
Another reason for choosing Barclays Bank is that it not only provides the service of directly purchasing U.S. stocks including Nasdaq using a dedicated securities account, but it is also more convenient to purchase British stocks and futures products.
Because Barclays Bank is one of the partners of the American stock market in the UK.
And in the UK, no securities firm says so. The intermediary agency for securities trading is commercial investment banks, and Barclays Bank, as one of the four largest private banks in the UK, owns this business.
According to Barron's instructions, Daisy has begun to use funds to purchase NetArt stocks on the Nasdaq market, and will eventually purchase a total of 2 million pounds of shares first.
Barron has also made arrangements for the remaining funds of more than 30 million pounds. These funds will be invested in the US stock and futures markets in the form of margin through the financing agreement signed with Barclays Bank!
As a senior overseas financial investor in his previous life, Barron also had an understanding of the international financial situation at that time.
It can be said that 2002 was a year of recovery.
After experiencing the Internet bubble, both US stocks, crude oil and ore products will begin a period of strong growth.
First of all, starting from June, the crude oil and ore markets began a round of rise, and now is the initial period of gaining momentum.
This rise is caused by a variety of factors.
For example, China's accession to the WTO has increased its demand for energy and ores...
After the economic recession caused by the Internet bubble, central banks around the world invariably implemented quantitative easing policies, which boosted real estate. The demand for building materials has begun to be released...
The United States has begun to put pressure on Iraq this year, and the clouds of war have loomed, which has affected the price of crude oil...
So enter at this time, whether it is crude oil, gold or ore Futures will always have a long-term bullish trend.
Among U.S. stocks, after the Internet bubble burst, the Nasdaq index has reached a low point, and technology stocks will also usher in a strong recovery.
Another thing worth betting on is real estate-related stocks. From now on until 2007, there will be a real estate carnival...
As for after 2007...
< br>As we all know, bubbles will burst when they inflate, such as the Internet before and real estate later. The subprime mortgage crisis will be more destructive than the Internet bubble.
Of course, the British stock market is also worth noting...
From the beginning of 2000 to the beginning of 2003, the British stock market experienced a long three-year decline, with the stock index falling by 47%.
During this period, Vodafone’s share price also fell from £400 to £78 per share, a shrinkage of 80%!
However, despite the collapse of the communications industry, there are other fundamentals in the British stock market that should be noted.
After the Internet bubble burst, the commodity industry drove the British stock market to rebound from the bottom.
Since 2002, the price of crude oil and ore has accelerated. The profits of upstream raw material companies have increased. Related stocks have outperformed the market. The market value weight of the crude oil and mining industry in the British stock market has increased from 14% in 2002 to 30% by the end of 2007. 26%.
Therefore, stocks related to the crude oil and mining industries are also worthy of attention.
So at this time, Barron's remaining funds of more than 30 million pounds, of which 10 million pounds will be used as margin, will be entered into crude oil and ore futures.
The remaining funds of more than 20 million pounds will also be used for financing, using leverage to make long positions in technology and real estate-related stocks in the US stock market, as well as oil and mining-related stocks in the British stock market.
The data during the new book period is related to subsequent recommendations, so follow-up reading is very important. I beg you not to keep it all the time. If you feel it is okay, read it every day to help increase follow-up reading. Thank you very much.
(End of this chapter)