Golden Spoon Investment Portfolio - Chapter 16

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This chapter was translated by Lunox Novels. To support us and help keep this series going, visit our website: LunoxScans.com
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16. A scoundrel is a scoundrel, no matter what.

[Congratulations on becoming a billionaire.]

Seokwon, seated at an outdoor table in the Cafeteria while on the phone, replied with a faint smile playing at the corners of his mouth.

“Put all the profits back into stock positions.”
[Will you be using leverage as well?]

He answered Cox’s question as though it were the most obvious thing in the world.

“Of course. There’s no reason not to.”
[I’ll need to inform the department head, but approval has already been granted for up to 10x leverage, so there shouldn’t be any issues.]
“Then do it that way.”
[But if we do this, your position will balloon to 3 billion dollars at once. Wouldn’t it be better to wait and see how the situation develops, then add to your purchases once the London market hits bottom and shows signs of recovery?]

It was sound advice, given that the London market was plummeting in tandem with the pound sterling in the aftermath of the ERM withdrawal shock.
In fact, the London market, which had stood at 3,233.80 points just before the ERM withdrawal announcement, had plunged steeply to 2,582.00 points within days.
Even now, the downward trend continued unabated as panic sentiment remained unresolved.
Everyone was rushing to dump their stocks, and in such circumstances, deploying massive capital for purchases seemed somewhat precipitous.
But Seokwon’s thinking was different.

“There’s a saying that to make big money, you buy when there’s fear. I actually think now is the right time.”
[Certainly, the pound’s decline will enhance the competitiveness of export companies, and if the government implements stimulus measures, the British economy will regain vitality, but we can’t entirely rule out the opposite scenario.]

Cox, his voice dropping slightly, continued in a notably grave tone.

[There’s even talk that Britain could end up seeking IMF bailout if things continue this way.]
“Well, given that they’ve already received it once before, it’s certainly not impossible.”

Just sixteen years prior, in 1976, Britain had endured the shameful episode of requesting emergency IMF assistance when the first oil shock triggered economic recession and accumulated fiscal deficits became unbearable.
This humiliating history was precisely why investors were now gripped by fear, frantically dumping the pound and British stocks.

‘On top of that, hedge funds are undoubtedly fanning the flames of chaos to capitalize on the market panic and reap substantial profits.’

Since he himself was profiting handsomely from the market’s turmoil, he was hardly in a position to condemn the hedge funds.

[Then shouldn’t we proceed even more cautiously?]
“It’s the same country, but the circumstances are different now than they were then.”

Seokwon adjusted his grip on the mobile phone in his hand and spoke calmly.

“Back then, Britain hadn’t fully recovered from the wounds of the Second World War, but now they’ve regained their strength, even if it’s not quite what it used to be.”
[….]
“More importantly, Washington won’t want to see Britain collapse.”

The Cold War that had persisted for so long had ended with the Soviet Union’s collapse, yet Britain remained America’s most crucial ally for projecting influence across Europe.

[Now that you mention it, that does seem to be the case.]

Cox, who had fallen silent for a moment, conceded readily, as though he found Seokwon’s reasoning sound.

[The investment decision is yours to make, and I fear I’ve overstepped my bounds.]
“Not at all. It’s fine—please continue offering such counsel whenever you see fit.”

Accepting his words with unruffled composure, Cox responded with a bright tone.

[I appreciate your understanding. Then I shall proceed as you’ve instructed.]
“Oh, and there’s one more thing I’d like to ask.”
[Please, go ahead.]
“Could you send me a separate statement of earnings for the pound sterling investments by post?”
[That’s no trouble at all. Shall I send it to the address you provided when opening the account?]
“No. I’d like it sent to Seoul.”

Seokwon provided the address and lowered the mobile phone from his ear.

“What was that call about? A girlfriend?”
“As if I’d have one.”

Seokwon cast a sidelong glance at Roy, who was casually eating french fries with his hands.
Roy, seated across from him, had already finished his hamburger and was now working through the french fries piled on a plastic plate.

“Then who was it?”
“You don’t need to know. Anyway, I’m a busy man myself, what with one thing and another.”

Seokwon brushed off the question and shoved a slice of pizza into his mouth.
The table was scattered haphazardly with plates of food the two had been eating from and cups of beverages.

“You certainly keep your secrets close.”

Roy dipped a french fry into ketchup, then suddenly rummaged through the backpack he’d set beside him as though remembering something.

“Oh, right. I almost forgot.”
“Forgot what?”

Seokwon chewed his pizza slowly, staring blankly at the papers Roy pulled from his bag.

“Information about the opponent you’ll face in the semifinals.”

Roy had apparently decided to fully embrace his role as a manager, bringing materials like this and handing them over every time a preliminary match came around.
Moreover, as if he’d put extra care into the semifinals, what was usually a single A4 sheet had swelled to three or four pages today.

“You’re burning passion on something completely pointless.”

Unlike Roy, who presented it confidently, Seokwon’s reaction was utterly indifferent.

“Where exactly do you even get this stuff?”
“I’ve got connections, you know.”

Roy puffed out his chest with a self-satisfied expression.

“I’ve thoroughly investigated everything about your opponent—from the characters they use most frequently to their favorite techniques. Memorize it all carefully.”
“I don’t need it.”
“Why not!”

Seokwon swallowed the pizza he’d been chewing and meticulously wiped his greasy fingertips with a napkin.

“I can win without any of that.”

With a sharp crack, Seokwon opened a cola can and spoke as though it were obvious.
Roy’s expression turned dumbfounded for a moment before he opened his mouth again.

“You’re really being insufferable right now.”
“So what. It’s the truth anyway.”

In fact, throughout six preliminary matches so far, Seokwon had dominated each bout with almost no defensive lapses, winning decisively and unilaterally.

I had even reigned supreme at the K-arcade—a place notorious for its brutal difficulty, nearly hellish in its intensity—so losing to these Harvard gentlemen would be far more absurd.

While I scoffed inwardly, Roy smacked his lips with an awkward expression.

“It’s incredibly frustrating, but I can’t even refute it because it’s true.”
“Right? Just accept it.”
“Hey, but the guy you’re facing this time is seriously skilled, so you absolutely have to read this! Got it?”

Roy, reluctant to waste all the research he’d done, rolled up the papers and forcibly shoved them into my backpack.

“If I have time.”
“I’m going to check later, so you have to look at it! Just skim through it at least.”
“It’s a hassle.”
“Hey!”

Roy burst out in exasperation, and only then did Seokwon reluctantly respond.

“Fine.”

* * *

A week later, in the chairman’s office of Mapo Daeheung Group Headquarters in Seoul.
Chairman Park Tae-hong sat before a mahogany desk, meticulously reviewing approval documents.

“Hmm.”

As Chairman Park Tae-hong set down the month-end settlement report from Daeheung Textiles, the group’s flagship subsidiary, his expression grew contemplative.

“The revenue is decent enough, but net profit keeps declining.”

As the domestic economy developed, various overhead costs including employee wages inevitably rose, making the decline in profits unavoidable.
Anticipating this situation, Chairman Park Tae-hong had already begun diversifying operations early on, acquiring department stores, hotels, golf courses, and heavy construction equipment manufacturers.
It was a remarkably prudent decision—by distributing risk across multiple sectors rather than concentrating on textiles alone, he could simultaneously expand the group’s scale.
As Chairman Park Tae-hong turned his attention to the month-end settlement reports from other subsidiaries on his desk, he furrowed his brow as if swallowing bitter medicine.

“The number of subsidiaries has grown to twenty and our ranking in the business world has risen significantly, but except for textiles and the department store, they’re all just consuming capital.”

Most of the subsidiaries I had acquired and established were accumulating losses without growing as expected.
I was covering these mounting losses by providing payment guarantees through Daeheung Textiles and the department store.
But as the revenue from Daeheung Textiles—the group’s cash cow—continued to decline, I couldn’t help but feel frustrated.

“Perhaps I should consolidate domestic factories like other companies and relocate to Shenzhen….”

Once China implemented its reform and opening-up policies, many domestic companies began relocating their production bases there in search of cheaper labor.
Labor-intensive industries in particular—textiles, footwear, toys—were aggressively moving their factories.

“When you can manufacture products by paying only one-tenth of domestic wages, it would be strange not to feel tempted.”

In a situation where profit margins were shrinking, paying lower wages allowed me to maintain profitability proportionally.
For this reason, Daheung Group had already established and was operating its first overseas factory in Shenzhen, China.
Contrary to my initial concerns, the Chinese factory’s operating rate had quickly improved and was running smoothly, which only deepened my dilemma.

“I’d prefer to maintain production bases domestically if possible, but if profitability continues to decline like this, I’ll need to seriously consider a complete relocation.”

With a troubled mind, I reached for the cigarette pack sitting on the corner of my desk.
I pulled out a cigarette, placed it between my lips, and lit it with my lighter.
I leaned back against the plush chair’s backrest and drew deeply on the cigarette smoke, lost in thought.
A knock sounded, and Chief Secretary Gil Seong-ho entered.

“What is it?”

Chief Secretary Gil Seong-ho approached my desk and set down the document envelope he was holding.

“Mail has arrived from the United States.”
“The United States?”

A puzzled expression crossed my face.

“Yes, sir.”

Tilting my head curiously, I picked up the envelope and read the English text written on its surface.

“Salomon Brothers?”

Chief Secretary Gil Seong-ho quickly offered an explanation.

“One of the top five investment banks in the United States, headquartered in New York.”
“Does our group have any connection to them?”
“None.”

Upon hearing the response, Park Tae-hong tilted his head while holding a document envelope in one hand.

“Then why did they send this to me?”
“When the Second Young Master made his pound investment, the contract was established with Salomon Brothers.”
“Is that so?”

Park Tae-hong, who had focused only on the fact that someone had invested in pounds without knowing which institution had been used, immediately straightened his posture.
He stubbed out the cigarette in his hand against the crystal ashtray, then tore open the envelope to reveal documents neatly bound with a metal clasp inside.
Though the contents consisted of merely one or two pages, Park Tae-hong’s eyes grew progressively wider as he slowly read through the documents.

“Huh.”

Seeing Park Tae-hong standing there dumbfounded with his mouth agape, exhaling a hollow breath, Chief Secretary Gil Seong-ho carefully inquired.

“What does it say?”
“Remarkable.”

Park Tae-hong, still wearing an expression of disbelief, reviewed the contents once more before handing the documents to Chief Secretary Gil Seong-ho.

“See for yourself.”

Chief Secretary Gil Seong-ho, carefully accepting the documents, soon spoke as though equally astonished.

“This is an investment returns statement.”
“Look at the figure at the very end.”

As Chief Secretary Gil Seong-ho’s gaze dropped to the bottom, he verified the return rate and amount, then gasped and held his breath.

[Total Return Rate: 31.12% Total Profit: $311,200,000 USD]
“Three… three hundred and eleven million, two hundred thousand dollars…”

Wondering if this could possibly be real, he jerked his head up, and Park Tae-hong wore an equally stunned expression.

“Didn’t you say last time the profit would be around ten million dollars?”
“The pound has depreciated further since then, so the profit margin appears to have increased.”
“Still, the difference in the amount is far too large.”

Park Tae-hong stroked his chin with one hand as he responded.
Upon hearing this, Chief Secretary Gil Seong-ho examined the statement more carefully and discovered something, letting out a low exclamation.

“It appears the second young master used leverage for his investment.”

There was no other way to explain such a profit margin.

“Leverage means he took on debt?”
“Yes.”

Park Tae-hong’s eyebrows suddenly furrowed.

“How much debt did that bastard take on to generate such profits?”
“It appears he used approximately ten times leverage.”
“What, ten times!”

Park Tae-hong’s mouth fell open wide upon learning that leverage had been used to such an extent.
Chief Secretary Gil Seong-ho worried that Park Tae-hong would be furious at Seokwon’s reckless decision to borrow so heavily for the investment.
Fortunately, things had worked out and he’d struck it rich, but ten times leverage was not something just anyone could handle.
However, contrary to Chief Secretary Gil Seong-ho’s expectations, Park Tae-hong’s rigid expression softened, and he soon burst into hearty laughter.

“Ha ha ha ha!”

Faced with Park Tae-hong’s booming laughter that seemed to shake the room, Chief Secretary Gil Seong-ho could only blink silently.

“To make such a bold bet—his nerve is extraordinary. A real man must know when to take bold risks when he has conviction.”

Park Tae-hong slapped the armrest of his chair with his thick palm, laughing heartily and freely.
Chief Secretary Gil Seong-ho, who had naturally expected him to fly into a rage, muttered to himself with a bewildered expression.

‘How can he interpret it that way?’

Indeed, once someone became infatuated, everything they did seemed praiseworthy.
Park Tae-hong gazed at Chief Secretary Gil Seong-ho before him with a satisfied expression and a smile playing at his lips.

“Didn’t you mention that Taesan Securities was on the market not long ago?”
“Yes, sir.”

The stock market boom had driven up the company’s valuation considerably, leaving him hesitant—but Park Tae-hong made his decision swiftly and decisively.

“Proceed with the acquisition.”
“But the asking price is quite steep. Are you certain about this?”
“When you decide to spend, you spend decisively. Hesitate, and competitors will circle like vultures, driving the price even higher. Execute my orders without delay!”

Recognizing the unshakeable resolve in his voice, Chief Secretary Gil Seong-ho bowed respectfully and said nothing further.

“Understood, sir.”

Once Gil Seong-ho had departed, Park Tae-hong sat alone and carefully reviewed the earnings statement sent by Salomon Brothers once more, his expression one of quiet satisfaction.

“This much profit from a single investment… That man truly is exceptional.”

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This chapter was translated by Lunox Novels. To support us and help keep this series going, visit our website: LunoxScans.com
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