Golden Spoon Investment Portfolio - Chapter 327

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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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327. I need to put what I’ve learned here into practice right away.

March 18, 1997, Westchester County, New York.
George Hamilton, dressed casually in cotton pants and a long-sleeved cardigan, finished breakfast with his wife as usual before heading to his study room.
His morning routine consisted of reviewing overnight market developments through his computer and Bloomberg terminal, followed by reading the morning papers and reports faxed from his office.
Afternoons were typically devoted to reading or writing papers that systematized his investment theories.
Today, as I settled into my usual spot at the spacious wooden desk, my wife Ayla set down a teacup of warm black tea and asked me a question.

“How’s the writing coming along?”

I responded to my wife’s question while remaining seated.

“There’s a big event happening in Asia right now, so I’ve been preoccupied with that and haven’t had time.”
“There’s no set deadline anyway, so take your time and work at a comfortable pace.”

Ayla gave my shoulders a gentle massage and left the study room.
I took a sip of the black tea my wife had brought, set it down, and checked the Asian currency movements on my computer when I noticed something that made me furrow my brow.

[PHP : 28.32
(1.92)]

The exchange rate that had been trading at 26.40 pesos per dollar just yesterday had fallen by nearly 2 pesos overnight.
The Philippine peso had weakened under the influence of the baht’s devaluation.
But even accounting for that, such a sharp movement in the exchange rate meant something had happened.
Since I was next targeting the Philippine peso after Thailand had surrendered, I couldn’t simply overlook this.
I tapped the desk lightly with my fingertips, pondered briefly, then reached out and picked up the receiver.
I called Rodney, who should be at the Manhattan office by now.
As I listened to the dial tone and leaned back against the soft chair, Rodney answered immediately.

“Rodney. Have you seen the peso exchange rate?”

I asked bluntly, keeping my eyes fixed on the monitor displaying the peso exchange rate chart.
As expected, Rodney answered without any sign of confusion, as if he had also noticed the same irregularity.

[I was just about to call you regarding that very matter.]
“Did something happen in the Philippines overnight that I’m unaware of?”
[No, it’s that the Eldorado Fund made their move first.]

George Hamilton, grasping the meaning immediately, deepened the furrow already etched between his brows.

“You’re saying Chairman Park has already made his move?”
[Yes. He’s been aggressively selling peso in the London Foreign Exchange Market, and the amount has already exceeded two billion dollars.]
“Huh.”

As if Seok-won had peered into his very thoughts and begun selling peso one step ahead, George Hamilton couldn’t help but let out a hollow laugh at the man’s swift action.

“If he’s sold two billion dollars, the decline is actually quite modest.”
[The moment the attack came, the BSP immediately deployed its dollar reserves and moved to defend.]

The BSP was an abbreviation for the Philippines’ central bank, Bangko Sentral ng Pilipinas.

“If they hadn’t, it would have dropped far more severely.”
[As the peso began to waver, other hedge funds caught the scent and started joining in the selling. It seems we’ll need to accelerate our plans.]

Originally, once the Asian foreign exchange market opened today, I had planned to begin selling peso starting from Tokyo.
But in the span of a single day, the Eldorado Fund had stolen the initiative from me.
When attacking Thailand, he had masterfully ridden the waves, shifting positions to capture the lion’s share of profits, and now he’d struck first at the peso as well—I couldn’t help but feel a grudging admiration.

“He’s truly formidable.”

George Hamilton shook his head and clicked his tongue.
Though I was the type of man with such overwhelming self-confidence that I believed no one surpassed me, I couldn’t deny Seok-won’s abilities.
With each passing day, I grew increasingly regretful—even covetous—that I hadn’t brought Seok-won into the Quantum Fund.
Had that been the case, I would have had no hesitation whatsoever in making Seok-won my successor, though I’d feel some remorse toward Rodney, who has been managing the Quantum Fund flawlessly.
Seok-won’s performances never failed to astound me, and I felt a powerful attraction to his abilities.
But since Seok-won already independently owned and operated a hedge fund no less formidable than the Quantum Fund, there was no chance of him becoming my successor, so I had to let go of my lingering attachment.

‘Besides, Chairman Park was never the type of vessel who would be satisfied as my successor.’

I had long since ceased to view Seok-won as a talented junior colleague and instead recognized him as an equal competitor and a titan of Wall Street.
Dismissing the sudden reverie, George Hamilton adjusted his grip on the receiver.

“It’s somewhat frustrating that we’re not leading the charge but rather following in the Eldorado Fund’s wake, but if we delay any longer, there won’t be anything left to profit from. Let’s proceed with that plan.”

Rodney stiffened slightly at the rebuke implicit in George Hamilton’s regret about the delay.

[I will ensure such incidents do not occur again.]
“Never forget that those who think ahead and move one step faster than others always capture the greater profits.”
[I will keep that in mind.]

After issuing a few more instructions and ending the call, George Hamilton watched the exchange rate plummet further, surpassing 29 pesos per dollar, and his mouth watered anew at the thought of the substantial gains Seok-won must already be realizing.

***

The next day.
Seok-won sat alone on the sofa in the penthouse living room, bright sunlight pouring through the expansive floor-to-ceiling windows, reading an article from the Wall Street Journal.

[
Philippine Government Abandons Fixed Exchange Rate
Yesterday, the Bangko Sentral ng Pilipinas held an emergency press conference and announced that it would no longer maintain the exchange rate band it had been implementing in response to the recent peso collapse, and would immediately abolish it.
This effectively meant abandoning the fixed exchange rate system against the dollar—the second such measure following Thailand’s.
As a result, the peso, which had been in continuous decline, plummeted sharply beyond 31 pesos per dollar, and the baht was similarly affected, showing weakness….]

Once the hedge funds, led by Eldorado Fund, launched their assault, the Philippine government scrambled to defend the peso by liquidating its already depleted foreign exchange reserves.
But unable to withstand the tsunami of selling pressure as his memories from before regression had foretold, the government capitulated, abandoning the exchange rate band and raising the white flag.

“At this rate, they’ll soon be knocking on the IMF’s door.”

The Philippine government appeared helpless, but in a way, it was better to surrender now than to stubbornly hold out in a battle they couldn’t win and watch their carefully accumulated foreign exchange reserves get stripped away by the hedge funds.

“I should tell them to liquidate their positions and pull out of the Philippines before that happens.”

Just then, Han Ji-sung, my attendant secretary, approached and spoke.

“Manager Choi has arrived.”

I set down the newspaper I’d been reading and turned my head.
Seeing Choi Ho-geun standing behind Han Ji-sung in a gray suit, I gestured to the empty space on the sofa.

“Come sit here.”
“Thank you.”

Choi Ho-geun bowed slightly, then straightened and carefully sat on the left sofa.

“Are you all set to head back home?”
“I just need to repack the luggage I left unpacked. There’s nothing else that requires special preparation.”
“Still, since you’ve come all the way to the United States, you should pick up some gifts for your family.”
“I’m already planning to bring back a few things people asked me to get.”
“That’s good.”

Seok-won suddenly turned his head as if remembering something and fixed his gaze on Han Ji-sung.

“Han Ji-sung. Jacob sent us samples of this season’s new collection, didn’t he?”
“Yes.”
“Tell the Fund Management Department team members who came with us and the private jet staff to each pick something they like. You take one as well.”

Manager Choi quickly waved his hand in protest.

“That’s really not necessary.”
“Don’t worry about it. Jacob always sends more samples than I could possibly use, and there are women’s products in the line too, so I can’t use them all anyway. Just take something without any hesitation.”

Seok-won playfully winked with one eye.

“Besides, you’ve been away from home for quite a while now. You should score some points with your wife with something like this, don’t you think?”

Manager Choi, who had been noticing his wife’s voice growing increasingly dissatisfied lately, carefully lowered his hand.

“Then… I’ll gratefully accept.”
“Ha ha.”

Seok-won chuckled lightly and crossed one leg over the other knee before asking.

“The training period ended up being longer than expected. Did you gain something valuable from it?”

Manager Choi’s eyes sparkled.

“Yes. I was able to see and learn so much. Most importantly, I realized that I’ve been trading while seeing only fragmented pieces, like a frog in a well. I finally understand why you brought us here.”

Seok-won smiled with satisfaction, seeing that Manager Choi had shed a layer of his shell during his time in the United States, exactly as intended.

“I’m glad it was such a valuable experience.”

Seok-won looked directly at Manager Choi as he spoke.

“Actually, the reason I asked Manager Choi to come here is that there’s something I need to have you do right away once we return home.”
“What would that be?”

Sensing the gravity of the conversation ahead, Manager Choi Ho-geun straightened his posture.

“You’re well aware that starting with Thailand, the foreign exchange markets of Southeast Asian nations are experiencing severe turbulence.”
“Of course.”
“If my predictions hold true, this foreign exchange crisis won’t settle down quickly—it will spread progressively to neighboring countries. Or more precisely, the hedge funds that have already profited handsomely from Thailand will ensure it spreads that way.”

Having witnessed Thailand’s assault firsthand, Manager Choi Ho-geun had no doubt that the situation would unfold exactly as Seok-won described. He had felt the terrifying power of Wall Street’s hedge funds with absolute clarity.

“The Eldorado Fund will continue betting, seizing every opportunity to maximize profits.”

To Manager Choi Ho-geun’s eye, it seemed they weren’t merely participating but rather orchestrating the situation with subtle precision, reaping the greatest rewards—though he kept this observation to himself.

“Once we return home, I’m thinking of bringing the Fund Management Department into this game in coordination with the Eldorado Fund. Do you think you can manage it?”
“Pardon?”

Manager Choi Ho-geun’s eyes widened at this unexpected proposal.

“You mean our department?”
“That’s right.”

Seok-won nodded slightly and broke into a grin.

“We need to put what we’ve learned here into practice immediately. And opportunities to participate in a game this massive don’t come around often.”

At the mere mention of such an exhilarating proposal, Manager Choi Ho-geun leaned forward eagerly in his seat.
His face flushed with enthusiasm as he nodded vigorously.

“I’ll do it. No—I’ll make absolutely certain we succeed.”

Manager Choi Ho-geun had felt an electric thrill watching the Eldorado Fund traders deftly switch positions from attacking rival hedge funds to assaulting the Thai government itself, executing a masterful campaign. Part of him had envied them, but now that he was being offered a chance to join the game, his entire body thrummed with anticipation.
His pulse quickened at the prospect of stepping onto this grand stage.

“Excellent. Once we’re back home, you’ll be diving straight into trading without a moment’s rest. Brief your team members and have them mentally prepare in advance.”
“Understood. And thank you sincerely for giving me this opportunity.”

Manager Ho-geun sat on the sofa, bowing his head deeply.
Witnessing his genuine gratitude, I smiled, privately anticipating just how much Manager Ho-geun and his team would be able to accomplish.

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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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