The First Thousand Three Hundred and Seventy-Two Chapters, the Income of Investing in Various Countries

Chapter 1372 The benefits of investing in various countries

According to the trend of the previous life, on September 22, 1985, the finance ministers and central bank governors of the five countries of the United States, island countries, West Germany, France and the United Kingdom held a meeting at the Plaza Hotel in New York, USA, and decided that the governments of the five countries would jointly intervene in foreign exchange. market, the dollar fell in an orderly manner against major currencies to address the huge US trade deficit.

This time, Xia Yu can't guarantee whether there will be any changes.

But if he wants to interfere with the signing time of the agreement, it is really easy.

In addition to West Germany, the remaining four countries, any country he can influence, only for a mere time, nothing.

Even without interfering.

It is now the beginning of August, and there are still more than 40 days left for him to operate.

Although this time is a little tight, it is enough!

The most important thing now is how to use this opportunity to maximize benefits, not only financial benefits, but also the interests of consortium layout, and the premise must be as safe as possible.

This has to mention the specific situation of the "Plaza Agreement".

The reason for the emergence of the "Plaza Accord" is that the U.S. trade problem continues to deteriorate, and the foreign trade deficit is as high as 150 billion US dollars. It is also the first time since 1914 that the United States has changed from a creditor country to a net debtor country.

Of course, the reason why the United States must depreciate the dollar is because the overall economic situation in the United States has improved despite the continued deterioration of its trade issues.

In the past four years, Reagan's first term has turned the tide of American economic development and laid a solid foundation.

These four years can also be said to belong to a transition period, that is, from a period of low productivity growth to a period of high productivity growth.

Transition from a period of high inflation and high interest rates to a period of much lower inflation and interest rates.

Transition from a period when the economy "has a lot of problems" to a period full of opportunities.

Of course, the reason why the United Kingdom, France, West Germany and island countries are willing to go to the United States to sign the "Plaza Accord" and interfere in the exchange rate of the dollar is also because they think it is profitable.

From 1980 to 1984, when Greenspan was the chairman of the Federal Reserve, the United States kept raising interest rates, and short-term interest rates rose to 5% from the previous cost of close to zero.

High interest rates attracted large inflows of foreign capital into the United States, causing the dollar to soar. From the end of 1979 to the end of 1984, the dollar exchange rate rose by nearly 60%, and the exchange rate of the dollar against the major industrial countries exceeded the level reached before the collapse of the Bretton Woods system.

So this time to depreciate the dollar is to depressurize the dollar.

As a result of decompression,

It is hoped that the production cost of American products will be relatively reduced, which will stimulate the export of goods from the United States and ease the trade deficit.

For the United Kingdom, France, West Germany and the island countries, a large amount of capital flowing out of the United States and entering their countries will also stimulate the domestic economy, such as investment, although the appreciation of the local currency against the US dollar will lead to the export of domestic goods Affected, but as long as it is controlled within a certain range, it is still competitive.

There are risks, but there are also great benefits, which is the fundamental reason why the other four countries are willing to sign the "Plaza Accord".

The depreciation of the US dollar is certain, and the gross domestic product of various countries in US dollar terms will soar this year and next year, and some countries may even increase by as much as 40%.

Therefore, for Xia Yu's business empire, his huge dollar capital must find a way to avoid the crisis of devaluation, and use this opportunity to make a leap in his wealth.

Once the dollar depreciates, the major currencies of various countries, such as the Japanese yen, the western mark, the franc, the Italian lira, the Canadian dollar, the Australian dollar, and the Spanish peseta, will appreciate to varying degrees.

As for the rate of appreciation, according to the situation in the previous life, from the signing of the "Plaza Agreement" in September 1985, it continued until 1987. Except for the Japanese yen, the largest increase was the West German mark, which was as high as 70.5%.

Then the franc appreciated by 50.8%, the Italian lira by 46.7%, the pound by 37.2%, the Canadian dollar by nearly 11%...

The biggest appreciation is the Japanese yen.

After getting out of control, the exchange rate of the yen against the dollar rose by nearly 86.1%!

Therefore, it is definitely a wise choice to buy more foreign exchange in these countries, but it is still on the surface, with the least technical content and no profit maximization.

The best way is to operate together with the stock markets of various countries.

For example, in the United Kingdom, the British stock market continued to prosper after Margaret came to power. Now the FTSE index is more than 800 points. In the long run, until 1987, the FTSE index is expected to rise to more than 1,400 points. Will dive, then the increase will reach 75%!

So if you invest $100 million in sterling now, put it back into the stock market, and wait until the U.K. stock market plummets to exit back into dollars, the $100 million will turn into $240 million.

Then the real asset increase is 140%!

And what about West Germany?

Before March last year, before the West German stock market reached 800 points, Bright Fund invested in the West German stock market on a large scale. Now the West German stock market has almost doubled. According to Xia Yu's judgment, the highest point is around 1600 points.

Then from now to most of 1987, it will remain stable, the rise and fall will not be too big, until the end of 1987, it will even plummet back to the level before the year's rise.

So if you take out 100 million US dollars and exchange them for West German marks, and wait until the end of 1987 before the stock market plummets and then exchange them for US dollars, it will only be 170 million US dollars.

The increase is only 70%!

Only half of the investment in the UK!

And just from the exchange rate, in fact, the appreciation of the West German mark is almost twice as much as the British pound!

Of course, the most terrifying would be the island countries.

The yen will appreciate by 86.1%, while the Nikkei 225 stock index will rise by as much as 38% during the same period.

Therefore, when investing in island countries, the actual growth rate of assets can reach a height of 156.7%, which is higher than that of the United Kingdom!

Most importantly, investment island nations don't have to worry about assets slumping in the 1987 stock market crash like the UK did.

Because in the crazy year of 1988, the Nikkei 225 stock index could even nearly double on the basis of 1987, rushing to 33,000 points!

So if you really want to last until 1988, if you invest 100 million US dollars in it now, it can become 480 million US dollars!

This rate of return means that it is possible to do multiple stock markets in Taiwan and provinces immediately, and it does not take such a long time to invest in island countries.

Compared with these, the profit of shorting international crude oil futures is the same.

However, the reason why Xia Yu still shorts international crude oil futures is to consider that no matter how profitable the investment in these countries is, the market has a capacity after all.

Too much!

What's more, he has to allocate capital to invest and use other people's money to make more money, so the amount of funds he can use is huge, and one or two markets alone can't accommodate it. uncontrollable risks.

For example, investing in the Taiwan stock market, even if you enter the market now, exit in the second half of 1987, you can make the net investment return 380%.

But if he really wants to invest tens of billions of dollars in it, he can't even run, and the market can easily collapse. The ultra-high yield is naturally the moon in the mirror.

Therefore, his eyes have long been no longer limited to the interests of one place and one corner, but have to look at the overall situation and maximize the overall interests while controlling risks.

This is what an excellent consortium controller should have!

How to invest, really need to formulate a detailed investment plan.

Which countries should invest, when should they enter the market, when should they leave the market, how much the investment amount is, how to use the benefits obtained, how to re-invest and appreciate the benefits, and how to use this series of investments to make the consortium’s original There are companies that have been able to expand effectively and should avoid the risks and opportunities of the manufacturing industry brought about by the depreciation of the dollar...

All of this requires a detailed action plan and response...

PS: There is only one update today. I went out to my father-in-law’s house today. There are still three months left, and important life events must be communicated well.

(End of this chapter)