How A Ride-Hailing Driver Comes To Dominate The World? [EN]: Chapter 424

424. Buffett: Mr. Yang, I Was Wrong. What’s Wrong with a Ride-Hailing Driver Having Some Money? (1)

Yang Chen and Buffett met in the hotel room.

Buffett happily shared with Yang Chen the interesting things he encountered during his trip to Hangzhou, most of which were related to Big Horse [likely referring to Jack Ma, founder of Alibaba].

After talking about his Hangzhou experiences, Buffett said with a smile: “Regarding the investment in Chen Jun Medical Group, our team has decided not to invest for the time being after a thorough review. It’s not that we’re not optimistic about Chen Jun Medical Group, but we need more data to be certain. Mr. Yang knows I’m a long-term investor and need to be sure I can make money before I invest.”

Yang Chen: “Haha… it doesn’t matter. I won’t force it. However, I have to say that if you miss this opportunity, you may not have the chance to invest in Chen Jun Medical Group in the future.”

Buffett: “Understood! If we really miss this opportunity, then we can only blame ourselves for not having the vision, and we can’t blame Mr. Yang.”

Yang Chen nodded and said, “I now have a better investment opportunity. I wonder if Mr. Buffett is interested?”

Buffett: “What opportunity? Please tell me in detail, Mr. Yang.”

Yang Chen: “My investment team has found that the crude oil market is poised for a sharp fall. I want to capitalize on this by targeting oil companies in the Middle East. I wonder if Mr. Buffett is interested in joining me?”

Buffett was stunned because his team had recently bought 8 million shares of Occidental Petroleum, bringing their total shareholding to 23%.

The reason they bought so many shares in Western oil companies is that their research shows oil prices will remain strong for some time, likely rising to a certain level and then trading sideways, without a decline.

Especially with the global economy starting to recover, the demand for oil in various countries is increasing. It is foreseeable that oil prices will remain high for a while.

However, Yang Chen’s investment team came to the opposite conclusion. They believe that oil prices will fall sharply, which Buffett found hard to believe.

Star Chen Investment has an impressive track record, so their investment team’s research is likely to be correct.

However, Berkshire’s investment team rarely makes mistakes, and Buffett personally participated in the research. He is confident that their research results are accurate.

With two completely opposite results, one must be wrong. Whose result is wrong?

Buffett asked with a smile: “Mr. Yang, what’s the basis for your conclusion that oil prices will fall?”

Although Yang Chen doesn’t know exactly how the system will cause oil prices to fall, there are only a few possible reasons.

Therefore, Yang Chen replied: “On the surface, the global economy is recovering, but the real situation is that the global economy is in recession. The United States has severe inflation, which is driving inflation around the world. People are hesitant to spend, and many factories are shutting down or reducing production. Containers are piling up in ports, the world situation is unstable, and industries like tourism are still depressed. Industrial production, land transportation, aviation, and shipping have all reduced the demand for oil. Major oil-producing countries are desperately increasing production, leading to an obvious oversupply of oil in the market. The effect of these problems on suppressing oil prices will soon become apparent. We will definitely make a lot of money by shorting oil in advance.”

Buffett

424. Buffett: Mr. Yang, I Was Wrong. What’s Wrong with a Ride-Hailing Driver Having Some Money? (2)

He realized that Yang Chen’s views were the complete opposite of his own.

Buffett believes the economy is recovering, while Yang Chen believes it’s in recession.

That’s why they reached two completely opposite research results.

Buffett said with a smile: “To be honest, we hold the opposite view to Mr. Yang. We believe the world economy is in a recovery phase and the global demand for oil is increasing. The inflation problem you mentioned does exist, but the Federal Reserve has already raised interest rates for the eighth time to deal with inflation, and this problem will soon be alleviated. So, I’m sorry, I may not be able to short oil with you.”

After all, investment requires real money, and Yang Chen cannot force Buffett if he’s unwilling.

“Okay! Then we will find opportunities to cooperate in the future. I won’t disturb your rest, goodbye.” Yang Chen said with a smile, and then got up and left.

Walking out of the hotel, Yang Chen immediately instructed the system to use the opportunity to suppress a specific industry.

Yang Chen: “Use this opportunity in the oil industry.”

System: “Received the master’s instructions, using it immediately. This process will take about three days. Please be patient and wait for the effect to come out. The master can now short crude oil futures, wait for the crude oil price to plummet before closing the position, and then use the money earned to buy the Jinbai Oil and Gas Company at the bottom.”

If this wave is executed well, it’s not impossible for Yang Chen to earn trillions of dollars, provided he has enough capital.

Yang Chen came to his car and called Jin Ming.

Yang Chen: “Jin Ming, immediately use all available funds to short crude oil futures or related stocks across the board. Add leverage if you can, add it to the highest multiple. In addition, focus on shorting Jinbai Oil and Gas Company and try to suppress the company’s stock price. Be sure to master the timing of closing the position and prepare enough money to seize the opportunity to buy Jinbai Oil and Gas Company at the bottom, buy as much as possible.”

Jin Ming’s reaction to Yang Chen’s order was the same as Buffett’s.

Now that the global economy is recovering, even if oil prices don’t rise, they will never fall.

What does it mean to short oil at this time?

Jin Ming: “Are we going to bet all our money on the fall in oil prices this time?”

Yang Chen: “Yes! Bet all our money on the fall in oil prices, and we must strive to control Jinbai Oil and Gas Company.”

Jin Ming: “Okay. Then I will do it immediately.”

Jin Ming is a smart person, and she always listens to what the boss says.

And she also has experience. Many times the orders issued by Yang Chen are contrary to the mainstream view, but the final result proves that he is right.

Yang Chen holds a view that is contrary to the mainstream view this time. Although Jin Ming is very confused, she doesn’t say much and just does what he says.

After giving the order, Yang Chen took a long breath and went to drive his taxi to pick up passengers.

In the hotel room, Buffett became more and more uneasy.

He still felt that Yang Chen couldn’t be wrong this time.

So, he quickly asked his assistant to convene an investment team to hold a video conference to re-discuss the prospects of the oil market.

Buffett: “Xingchen Investment boss Yang Chen just told me that oil prices will fall sharply and asked me to short oil with him. But our research some time ago indicated that oil prices would rise sharply, so we bought Western Oil shares several times.

424. Buffett: Mr. Yang, I Was Wrong. What’s Wrong with a Ride-Hailing Driver Having Some Money? (3)

Now our shareholding is as high as 23%. I believe everyone’s research results are accurate. However, Xingchen Investment has never missed, and they’ve come to a completely opposite conclusion. For the sake of prudence and to be responsible to all Berkshire shareholders, I think we should discuss it again carefully to see if we’ve missed any key points, which led us to come to the opposite result from Xingchen Investment.”

After listening to Buffett’s words, everyone immediately said that they couldn’t be wrong, and it must be Xingchen Investment who made a mistake this time.

Buffett reminded everyone not to jump to conclusions, but to give evaluations after careful discussion.

Since the boss has spoken, everyone could only comply.

After a three-hour discussion, they finally insisted that the previous research results were correct.

Buffett had no choice but to nod and accept the result.

Seeing that Buffett seemed a little uneasy, the team members offered comfort.

“Chairman, don’t worry so much. The results of our research for several months cannot be wrong.”

“I admit that Xingchen Investment’s previous record is indeed very good, but this doesn’t mean they will always be right. According to probability, they should make a mistake once, right?”

“That’s right! There is no permanent victory in this world, and it’s time for Xingchen Investment to fail once.”

“In any case, we’re sure that our research results are correct, and we don’t care whether other people’s research results are the same as ours. If everyone’s research results were the same as ours, then it wouldn’t just be us who make money. Over the years, which other company can achieve 30 times the return in ten years like our Berkshire?”

……

Buffett felt that what everyone said made sense. Investment is originally a matter of a few people making money and most people losing money.

If other people’s research results are the same as theirs, then Berkshire wouldn’t be able to obtain such a high rate of return.

But he didn’t consider whether they would be one of the majority this time, and Yang Chen is one of the minority?

So Buffett said with a smile: “Everyone is right, I believe our research results will not be wrong. Then let us wait and see how much loss Xingchen Investment will suffer this time.”

“Haha…” Everyone laughed happily.

If they think so, then this time Yang Chen will give the investment world myth Buffett a lesson.

Maya is going to work at Haicheng Bank tomorrow, and Yang Chen came back early to spend time with her.

After going to work, Maya can no longer cook a lot of dishes for Yang Chen every day like before.

So, tonight Maya specially showed off her skills and made several dishes that she is good at.

After dinner and taking a bath, the two went to bed and had sex.

After finishing, Maya lay in Yang Chen’s arms watching a movie, while Yang Chen was holding his mobile phone to watch financial news.

Not long after, Yang Chen swiped to a related news item.

“The United States has decided to increase the development of shale oil, continue to increase oil exports, and strive to reach a daily output of 12 million barrels in the shortest possible time, and strive to become the world’s number one oil exporter in the shortest possible time.”

This news is particularly useful and is the news that Yang Chen wants to see.

424. Buffett: Mr. Yang, I Was Wrong. What’s Wrong with a Ride-Hailing Driver Having Some Money? (4)

Because in the case where demand has not increased significantly, a significant increase in supply will inevitably lead to a fall in oil prices.

It seems that the system has begun to work, and the United States has taken the lead in launching the oil export war.

Half an hour later, more news came out.

“Saudi Arabia, the United Arab Emirates, and other countries officially announced an increase in oil production, increasing crude oil daily production to more than 10 million barrels within a month to cope with the export competition from the United States.”

Then, Maozi [a slang term for Russia], a major oil exporting country, also issued an announcement that they would not increase production, but they would lower prices, with the price of each barrel of oil reduced to 60 meters of gold [a fictional currency], and it is not ruled out that they would further reduce prices to cope with the increasingly fierce international oil market competition.

You must know that the current international oil price is 70 meters of gold per barrel, and Maozi has lowered it so much at once, isn’t this just tearing up the table?

The comment area of this news is very active, and the netizens’ comments are particularly funny.

“United States: I want to strive to be the world’s number one oil exporter. Saudi Arabia, United Arab Emirates: Don’t even think about it, we will protect the first place. Maozi: Damn, more than 50% of my economic source comes from oil, are you not giving me food? Okay, then don’t eat it, I’ll tear up the table!”

“I rely on! What does the United States mean? Going around to grab oil, I always thought they were very short of oil. As a result, their reserves are so large that they still want to compete for the world’s number one exporter. They have so much oil, why do they still grab other people’s oil?”

“I have a lot of oil, but I just don’t want to use my own, I just like other people’s oil, hey, I’m just playing.”

“Maozi’s style of doing things is still as fierce as ever. If you don’t give me food, then I’ll tear up the table. If it doesn’t work, I’ll pee in the pot, and everyone don’t eat it.”

……

Yang Chen couldn’t help laughing when he saw the funny comments in the comment area.

Maya raised her head and asked, “Brother Chen, what are you laughing at?”

Yang Chen: “It’s nothing, I saw some fun news. How long is your movie?”

Maya: “More than 50 minutes.”

Yang Chen: “Oh, then don’t worry, take your time, I’ll watch the news for a while.”

Several minutes later, Buffett called Yang Chen.

The old man doesn’t sleep in the middle of the night, what is he calling for?

Yang Chen: “Hello, old man, what’s the matter?”

Buffett: “Mr. Yang, I was wrong, you are still better. I want to short crude oil with you now. Take me with you, let’s do it together.”

It seems that this old man also saw the relevant news and knew that oil prices were about to collapse, so he turned around and sought cooperation with Yang Chen.

Oil is a hard currency, and all countries cannot live without it.

The world consumes 80 million barrels of oil every day, which means that the money in oil is always there to be earned, so Yang Chen doesn’t need to hold on to Buffett’s previous refusal to cooperate with him.

Moreover, Yang Chen had a plan when he first approached Buffett for cooperation.

Now that Buffett is actively seeking cooperation, then continue to act according to the original plan.

Yang Chen: “Okay. I plan to focus on attacking Jinbai Oil and Gas Company. My own funds may not be enough. Mr. Buffett, will you buy at the bottom with me? When my funds are freed up in the future, I will buy the shares you bought at the bottom at the price at that time.

424. Buffett: Mr. Yang, I Was Wrong. What’s Wrong with a Ride-Hailing Driver Having Some Money? (5)

What do you think?”

Jinbai Oil and Gas Company has a market value of 1.8 trillion meters of gold, and such a huge market value is really difficult to swallow.

The foreign exchange reserve scale held by Yang Chen personally and Xingchen Investment is about 500 billion meters of gold, which are stored in more than 30 foreign banks respectively. He cannot transfer all of them to specialize in Jinbai Oil and Gas Company.

Therefore, inviting Buffett to join the bottom-buying plan at this time can lock in some shares while the oil market is in turmoil. In the future, Yang Chen will buy them from Buffett, and he can instantly become one of the major shareholders of Jinbai Oil and Gas Company, and may even become a controlling shareholder.

Buffett is an old fox, and he instantly guessed Yang Chen’s intention.

“Do you want to control Jinbai Oil and Gas Company?” Buffett asked.

Yang Chen: “Let me be honest with you. You’re right, I want to control Jinbai Oil and Gas Company. Your investment is all for high returns, and you are not interested in the management and operation of the company. And this time I am going for the controlling stake, and I can forego the immediate return. The two of us can cooperate well and achieve mutual benefit and win-win results.”

Buffett: “Okay! But Mr. Yang has to promise me two conditions. First, if Chen Jun Medical Group succeeds in the future, you have to allocate me some shares. Second, when you acquire the equity of Jinbai Oil and Gas Company from me, you have to acquire it at a 120% premium to the price at that time. If you agree to these two conditions, I will do my best to help Mr. Yang win the controlling stake in Jinbai Oil and Gas Company.”

This old man is really greedy.

However, this is normal. After all, he is an investor who invests to make money, and it is normal to be profit-oriented.

As long as the problem can be solved with money, it is not a problem.

Yang Chen: “No problem! I agree to your conditions.”

Buffett: “Haha… that’s good, then it’s settled. We will act separately and short Jinbai Oil and Gas Company together.”

After hanging up the phone, Maya quickly asked Yang Chen what he was going to do to Jinbai Oil and Gas Company.

Yang Chen didn’t lie to her and told her the truth.

Maya is not afraid of Yang Chen controlling Jinbai Oil and Gas Company, but she is worried that her parents and brother will suffer heavy losses as a result, and will not have enough income to guarantee their lives in the future.

Yang Chen comforted: “If I control Jinbai Oil and Gas Company, I will definitely take care of your parents. As for your brother, from the moment he almost strangled you to death, his life and death have nothing to do with you.”

Maya nodded and said, “Okay then. As long as Brother Chen can guarantee the lives of my parents. It is definitely more beneficial for Jinbai Oil and Gas Company to be controlled by you than to be controlled by others. Oh, by the way, when you control Jinbai Oil and Gas Company, you must remember to help me teach Hillman, the despicable and shameless old man, a lesson. If she hadn’t forced my parents to marry me to him, how could I have been forced to the point where I couldn’t go home.”

Yang Chen: “Okay, leave this to me, I will definitely avenge you.”

At this time, Prince Lansheed was partying wildly in a nightclub.

Lansheed: “Zadubi, tell them that I will pay for all the consumption tonight. But the premise is that they have to

424. Buffett: Mr. Yang, I Was Wrong. What’s Wrong with a Ride-Hailing Driver Having Some Money? (6)

Shout together “His Royal Highness Prince Lansheed is extremely noble”! Haha…”

Zadubi nodded and ran to communicate with the DJ.

When the DJ lady heard that Prince Jinbai was going to pay for the whole show, she quickly turned off the music and said loudly: “Distinguished guests, let us welcome His Royal Highness Prince Lansheed from Jinbai with the warmest applause!”

The spotlight on the scene locked on Lansheed, who had a smug look on his face, and everyone in the audience cheered and applauded.

Lansheed felt that this was the correct way to live, and he should be the center of attention.

Then the DJ lady said again: “Prince Lansheed said that he will pay for the consumption tonight. Let us shout together “His Royal Highness Prince Lansheed is extremely noble”! I count one, two, three, and everyone shouts together! Whether the shout is neat or not, loud or not, is related to who will pay for everyone’s consumption tonight. Everyone must be serious. One! Two! Three!”

Who wouldn’t want someone to treat them?

Just shout, there is no loss, and open a few more bottles of good wine to drink happily later.

“His Royal Highness Prince Lansheed is extremely noble!” The audience shouted.

Lansheed nodded very satisfied, and then shouted: “I will pay for all the consumption tonight! Everyone have fun!”

The scene immediately became wild, and the guests frantically asked for wine, and no one wanted beer or cocktails.

In just ten minutes, the bar’s inventory of Romanée-Conti, Ace of Spades and other expensive wines were all swept away.

The bar quickly transferred goods and also asked for the famous wines from the surrounding bars and sold them to customers at a higher price.

Because Lansheed was paying the bill, everyone didn’t care how much it cost.

When Lansheed was about to leave, the manager sent the bill.

“Your Highness, this is the consumption list up to now. The total consumption of the audience is 15.828 million. You can check the bill, and you can raise any questions immediately. If there is no problem, please pay the bill.” The manager said with a smile.

Lansheed: “No need to check, pay the bill quickly, I want to go back to the hotel to sleep.”

The accompanying financial officer quickly swiped the UnionPay card to pay the bill.

Cashier: “I’m sorry, your card can’t be swiped.”

The atmosphere at the scene was awkward.

Is this really a prince, or a con artist?