After lunch, Wang Guanxi came to the headquarters of Blackshirt Insurance Company.

The deacons in the company are basically there.

“Boss!”

Huang Shaokai, Zhang Dexi, Wu Zhankun, Wang Juehao, Bai Weiqiang and others came one after another.

Recently, the world economy seems to be getting worse and worse, housing prices are falling, companies are losing money, and many people are going bankrupt. I always feel that something is going to happen.

The boss hasn't come to the company these days, so today it's here.

Wang Guanxi asked: "Recently, China Asia Media has made changes to the China Financial Group, the Lu family, and the Indian Industrial Credit Investment Bank?"

Zhang Dexi said: "Boss, Huanya Media is still spreading rumors about our Blackshirt Insurance Company and found out that a female vice president served as a director, who specifically criticized us.

After hearing the news from the paparazzi, the female vice president went to the Indian Industrial Credit Investment Bank many times.

I suspect that this woman has a close relationship with the Indian Industrial Credit Investment Bank.

Maybe the Indians revealed to her the news that we shorted Fannie Mai’s stock company.”

Blackshirt hedge fund shorted 60 million shares of Fannie Mae's stock, of which 50 million were borrowed by Indian Industrial Credit Investment Bank.

If the Indians hadn't secretly revealed the news, the people from the China Media Group wouldn't have known it at all.

Fortunately, the Black Shirt Hedge Fund account has made a profit of US$78 million and is in peace.

Wang Guanxi sneered: "After a while, I will deal with them, continue to sue, file a lawsuit, and mess with Huanya Media until Huanya Media fires her."

Huanya Media Group actually couldn't get along with the Black Shirt Insurance Company. Just in time, Wang Guanxi also set his sights on this entertainment media company and let Gbe Entertainment Group clean up it in the future.

At this time, Wang Juehao said: "Boss, the vice president of Huanya Media, may be the mistress of an Indian, and that woman is called She Ermei."

Wang Guanxi was a little surprised: "Damn, so that's it, no wonder."

He sneered: "Appoint a paparazzi to reveal her scandal."

"Yes, boss" Wang Juehao hurriedly went to make arrangements.

At this time, Wu Zhankun: "Boss, Jie Hao Financial Group and Galaxy Entertainment Group want to settle the lawsuit with us and let us pay HK$5 million."

Wang Guanxi shook her head: "If you don't reconcile, continue to fight. Even if it goes bankrupt, you will fight."

This Jiehao Financial Group and Galaxy Entertainment Group have been against him many times, especially Hong Tianwen, who is so disgusting. Do you want to settle the lawsuit? It costs HK$5 million?

Dreaming, Blackshirt Insurance Company would rather spend HK$10 million to the company than pay HK$5 million.

After shorting Fannie Mei, it will be the next turn to settle the Financial Group.

Bai Weiqiang: "Boss, the Lü family has been borrowing money recently, and it seems that they are very short of money. Galaxy Entertainment Group's stock price fell below HK$2.00 a share again."

Wang Guanxi was satisfied when she heard this message and smiled and said, "Very good, keep staring at them!"

After that battle with the Blackshirt Insurance Company, the Lü family was injured and had no cash flow.

Now the situation of Galaxy Entertainment Group is starting to get worse. In a while, it will be time for Wang Guanxi to take over the Lu family.

Then Wang Guanxi continued to ask: "Is there any timely information in the United States? Especially has the big news about Fannie Mae and Freddie Mae appeared?"

Huang Shaokai said: "Boss, there is nothing particularly big about yet."

At this time, the big news that suddenly shocked the world came!

[The US government takes over Fannie Mae and Freddie Mae]

"Haha, the boss's great news for us is here"

"Indians are going long for Fannie Mai stocks this time, they are dead."

"Haha, they're done"

The U.S. government officially announced the takeover of two major housing loan financing institutions, Fannie Mae and Freddie Mae, to avoid a larger and deeper financial crisis.

As President Bush said, this unprecedented move is an "emergency-essential" to prevent the collapse of these two institutions, because the risk of collapse is "unacceptable" to the U.S. economy, which is experiencing a housing and credit market crisis.

Due to changes in the US real estate market, mortgage bond financing market and fluctuations in investor mentality, there are serious problems in the capital adequacy ratios of Fannie Mae and Freddie Mae.

The stocks and bonds of these two "government-funded institutions" that originally had very high credit levels were also neglected.

Now the cumulative net losses of the two institutions have reached US$14.9 billion so far, and their financing costs in the open market have reached a historical peak.

More importantly, the total amount of housing mortgages held or guaranteed by the two institutions exceeded $5 trillion, accounting for almost half of the total housing mortgage loans in the United States.

Most of the assets are packaged into various securities products and sold to various investment institutions in the secondary market.

These investment institutions come from all over the world, including government departments, insurance companies, pensions, investment companies, banks, securities companies...

Therefore, the deterioration of Fannie Mae and Freddie Mae's situation directly affects the normal operation of the US housing loan market, and thus brings greater pressure to the already weak real estate market.

If the "two houses" are insolvent and liquidated in bankruptcy, in addition to the damage caused by a large number of shareholders and bond investors, the entire US housing financing market and the real estate market will suffer direct blows, and the shock wave will also spread to other credit markets and even the entire financial system, and its destructive power may exceed the "sub-prime crisis".

At this moment, the US Treasury Department decided to take over to give a "forced brake" to the imminent chain reaction.

Its rescue plan mainly includes four aspects: takeover (different from government custody in bankruptcy liquidation procedures), capital injection, direct support for the mortgage-backed securities (MBS) market, and establishment of short-term lending tools.

First, Fannie Mae and Freddie Mac will be the new agency founded by the U.S. Congress this summer, which is managed by the Federal Housing and Finance Agency. The former CEOs of the two institutions have been restricted from leaving the office and the new head has been appointed.

The second part of taking over is capital injection.

The US Treasury Department finally signed a so-called "high-end preferred stock purchase agreement" with the two major institutions. This move effectively guarantees the interests of creditors of the two major institutions, which is conducive to maintaining the effective operation of the MBS market, ensuring the liquidity of the US housing financing market, and avoiding the triggering of the forced bankruptcy custody procedures of the two institutions.

According to the agreement, the Ministry of Finance will inject capital into each company in the initial stage. In exchange, the Ministry of Finance will receive regular fees, dividends and an interest guarantee equivalent to 79.9% ownership of each institution.

The third part of the takeover is that the Ministry of Finance will set up an investment fund to purchase mbs of "government-sponsored institutions" in the open market.

Wang Guanxi smiled completely. The most important thing is the second one, which is also something that has a devastating impact on Fannie Mae's stock price.

Why is it said to be something devastating to Fannie Mai's stock price?

Because Wang Guanxi knew clearly that the United States launched the largest financial rescue plan in history, the Federal Housing and Finance Bureau took over Fannie Mae and Freddie Mae, and the Ministry of Finance injected a total of US$190 billion in the two companies, and ensured that the net assets of "Ermei" were positive.

After capital injection, the government can obtain a new high-end preferred stock with an annual dividend of 10%.

At the same time, the Ministry of Finance obtained warrants to purchase 80% of the common shares of the two companies.

The key point is that senior preferred stocks will pay 10% dividends per year. Fannie Mae and Freddie Mae will have to lose several years before they can make a profit.

Even profits will be taken away. Four years later, the US government changed its strategy and continued to buy senior preferred stocks and take away all profits.

Two-house stocks under the "takeover" of the US government, whether they are ordinary stocks or preferred stocks held by ordinary investors (defined as intermediate preferred stocks to distinguish them from primary preferred stocks held by the US government), do not have any actual value (only by selling them in the market, these stocks have a return value at all).

Because common stocks cannot make any profit!

The agreement when the US government rescued the two houses stipulated that Fannie Mae and Freddie Mac would give the profits to the US government to pay preferred dividends.

In addition, the agreement stipulates that preferred shares held by the US government shall not be redeemed within 20 years.

In the future, Fannie Mae and Freddie Mae will pay preferred stock dividends on time every quarter, and they will always lose money after deducting these dividends.

Big investors of Fannie Mae and Freddie Mac will suffer heavy losses at the opening of the US stock market tonight!

The shares of the two mortgage giants have shrunk by 90% over the past year, with shares of the two companies set to plummet tonight as the U.S. government announced Sunday that it would take over Fannie Mae and Freddie Mac and terminate payments of common and preferred stock dividends.

Moreover, the US government will still take away all profits in the future, which makes the market value of the two Fortune 500 companies less than US$2 billion for a long time, which is terrible to think about.

“Tonight is an Indian nightmare, haha!”

Wang Guanxi laughed loudly, and then everyone laughed loudly.

"Boss, Fannie Mae's stock price will fall into shit!" Huang Shaokai said excitedly: "Looking at the news, those bad guys say that we are insolvent every day, saying that we short Fangnie Mae's stock loss, and this time we slapped hard in the face."

Zhang Dexi was very happy: "Haha, those clowns, especially those bricks who spread rumors in the media, have their credibility plummeted this time."

"Think about it and be funny." Wu Zhankun shook his head and smiled: "Those clowns have made us a few special shows, and tonight's show can end."

Wang Juehao said excitedly: "This time the Indian Industrial Credit Investment Bank will not laugh at all."

··

At this moment, the three headquarters of the Asia-Pacific headquarters of the Indian Industrial Credit Investment Bank, Sandep Batra, Ratan Tata and Nehru, also learned that the US government has taken over Fannie Mae and Freddie Mae.

And it is through the method of senior preferred stocks, which means that there will be no dividends in common stocks.

Instead, this agreement will not allow redemption of preferred shares to the US government for 20 years, which means that there will be no dividends in stocks for 20 years.

Sandep Batra was furious: "Cao, how could this be the way??? Why! Wall Street people are lying to me! Bastard!"

"What should I do if I'm done?" Nehru bought 200 million shares of Fannie Mae's stock through India's private pension, with an average position of $7.2 per share, with a floating loss of $200 million.

But tonight, Fannie Mae's stock price will inevitably plunge, and he has no chance to sell it because there are selling orders in the market and there are no buying orders!

If you don’t buy to take over the stock, you can’t sell it at all, and the stock price will keep falling!

"It's over, I hate it!"

Sandep Batra and Nehru thought of Blackshirt Insurance Company shorting Fannie's stock, and they were immediately jealous and gritted their teeth with hatred!

This time, Indian Industrial Credit Investment Bank and Indian Private Pension will lose a lot of money on Fannie Mai stocks.

"Oh, this time we will lose a lot. We hold 200 million shares of Indian pension." Nehru was regretting and afraid.

Because he is responsible for this investment alone and must bear the responsibility.

Although India's pension is rich and powerful, the investment he made will suffer. This investment will definitely be held accountable.
To be continued...