Chapter 822 Mortgage Loans

Microsoft's shareholders want to borrow money, and use Microsoft's stock as collateral. Citibank is of course very welcome. Banks, loan interest itself is one of the main income.

Of course, when lending money, it is also necessary to check the repayment ability of the other party, whether there is a risk of depreciation in the value of the collateral, and so on.

The stock itself is a kind of securities with the risk of depreciation. Especially in the late 1980s, not only the island countries, but the United States was the first country with financial and real estate problems, but they were very smart and diverted the disaster away. Coupled with the high-tech rise of the United States and the war wealth, the United States has easily overcome the difficulties, but the island country has suffered a lot. It will take at least ten years to recover.

At the end of the 1980s, all banks also lost money, mainly from stock and real estate mortgage loans. For example, Donald Trump, isn’t he a typical example of owed a huge amount of loans to the bank, and in turn threatening the bank to delay charging interest.

Others simply went bankrupt, the shares became worthless, and the banks never even got their money back.

So since then, the bank has become more stringent in risk assessment, so the amount that Feng Yu can borrow for this part of the stock is definitely lower than the market value at this time.

Feng Yu took this into consideration, and the amount to be loaned was also lower than the market value of the stock, but when Miles told him the amount that could be loaned, Feng Yu was still a little unhappy.

"Myers, I used Microsoft stock as a mortgage. Can't you see the profitability of Microsoft? The stock will definitely continue to appreciate this year. How can there be a risk of depreciation? Just because of the contracts Microsoft signed with those computer companies, How much is the amount? Not to mention, Microsoft's office software, servers, etc. are selling so well now, and the stock price appreciation is inevitable!" Feng Yu said with a frown.

Nima, I have taken out so many stock loans. According to the market value, it is worth at least 1.5 billion U.S. dollars. I think it is too little to borrow 1.2 billion U.S. dollars. Are you willing to lend me 700 million U.S. dollars now?

What do you mean, there is a risk that Microsoft's stock price will fall by half in three years? Isn't this tm nonsense!

"Mr. Feng, don't worry. Stock prices are inherently volatile. Our consideration of risks is indeed a little higher, but you should understand, right?" Miles said.

"I don't understand. I want to borrow 1.2 billion dollars for these stocks. Is that a lot? The market value of these stocks is at least 1.5 billion dollars! And the interest I give you, ask yourself, is it very high? By this time next year, The market value of these stocks may even double, can't your appraisers analyze them?"

If 1.5 billion shares are mortgaged, but only 700 million dollars can be loaned, that would be too dark! If Citibank insists on this, then Feng Yu can only choose to change to another bank for loans. It's a pity that he is from China, but he can't enjoy the ultra-low interest rate when he goes to the island country for a loan, otherwise Feng Yu would have gone to the island country for a loan long ago!

"I'm sorry, Mr. Feng, this is the condition of Citigroup's loan now. If you want to borrow more, the value of the collateral will increase." The other party is so eager to get a loan, so of course he also wants to lend more to Feng Yu. But Feng Yu only took out part of Microsoft's stock for mortgage loans. If he could take out all of Microsoft's stocks for mortgage loans, the ratio would definitely not be so low!

The higher the loan amount, the better his performance and the more money he can get at the end of the year.

Originally, Miles thought that Feng Yu would definitely increase the number of mortgaged stocks after he said so many words on such conditions, so he also took a step back and increased the loan amount.

But he didn't expect Feng Yu to stand up, turn around and leave.

"Mr. Feng, the loan conditions of our Citibank are the same as those of other banks. If you go to any bank in New York, you will not get better terms than ours." Miles shouted, "If you are willing to mortgage more For some stocks, I can call the shots and increase the loan amount for you."

Feng Yu walked out of his office without saying a word.

At this moment, Miles panicked, and Feng Yu left without hesitation!

What he just said,

It's really not completely lying to Feng Yu. Banks in New York are indeed very strict about stock mortgage loans, and the lending ratio is indeed very low.

But what Feng Yu mortgaged was not the stock of an ordinary company, but the stock of Microsoft, which has huge appreciation potential and is frantically pursued by stockholders. The loan ratio will definitely not be so low!

Seeing Feng Yu leave, Miles immediately called several bank executives he had close relationships with. Although they were competitors, they often cooperated at certain times.

For example, this time, Miles persuaded everyone to unite to lower the loan amount of Feng Yu, and to teach this Huaxia a lesson. Of course, if Feng Yu wants a loan in the end, everyone will jointly lend the loan.

Those people have agreed on the surface, but Myers is not sure whether they will abide by it in fact. Among those bank executives, of course, there were those who agreed on the surface, but secretly waited for Feng Yu to find them, but what surprised them was that Feng Yu didn't contact their bank at all.

At this time, they couldn't sit still anymore, and they didn't care about taking the initiative to contact, which would reverse the status of both parties. Even if they gave Feng Yu a high loan ratio, I believe the superiors would agree. They believed that Microsoft's stock would not fall!

But after they contacted Feng Yu, they were all rejected by Feng Yu. Although they had increased the loan amount, Feng Yu still did not agree.

Miles couldn't sit still anymore, and took the initiative to call Feng Yu, saying that he was wrong that day, Microsoft's stock, but the amount of the loan is definitely not that low. Reported, the superior has agreed.

At this time, Feng Yu sneered and said, "You agreed? I don't want to borrow from your bank anymore. And Mr. Miles, I will tell the president of your bank about this matter. I think you will be in trouble."

Miles was shocked. Only then did he know how wrong it was to deal with Feng Yu in the same way as ordinary people. If the president knew about this, he would definitely be asked to resign on the board of directors. Where would he find it? A position with such a generous salary? 》≠miào》≠bi》≠gé》≠,

He is the only Citigroup executive who has not received equity incentives. He originally wanted to rely on this performance to allow him to get some equity incentives at the end of the year, but now it seems that not only the equity incentives are gone, but his current position, It's also possible that you can't keep it!

"Mr. Feng, I think there is a misunderstanding between us, and I want to explain it to you in person."

"No, I don't have time to listen to your explanation." Feng Yu smiled.

This Miles, do you really think how awesome Citibank is? There are so many banks in the world, if Citibank doesn’t lend money, other banks won’t give loans?

Feng Yu has already negotiated with HSBC to borrow one billion US dollars from HSBC at a very low interest rate, and the market value of the stock that needs to be mortgaged is only 1.1 billion US dollars. Compared with Citigroup, the conditions are far worse.

Of course, not only Microsoft's stock played a role here, but also Li Zekai and Fu Guangzheng gave guarantees. Feng Yu will gradually take all of Microsoft's stock as mortgages, and then make a fortune in the U.S. stock market this year.

As for that Miles, let him get the lesson he deserves, a lesson he will never forget!