Golden Spoon Investor

Chapter 557: CH558

Seoul, 63 Building.

In a spacious conference room lined with soft carpet, Seok-won sat on one side of a long rectangular table with Landon and Andrew beside him.

Across from them were Chairman Fuller—who had arrived in Seoul the previous day—and several Bear Stearns employees, including their lawyers.

Their stiff expressions said everything. The U.S. stock market had plunged again overnight, and the Nasdaq was now in danger of slipping below 2,400.

Fuller, who hadn't even touched the teacup set before him, stared straight at Seok-won from across the table.

"I'm sure you know exactly why we came all the way to Korea. So let's skip the unnecessary chatter and get straight to the point."

"Please go ahead."

Fuller's eyes flashed with irritation at Seok-won's calm attitude, but he continued.

"We want to unwind the index futures and put option contracts we signed with the Eldorado Fund. Immediately."

Seok-won already knew the contract details perfectly, but he deliberately turned his head and addressed Andrew, the CIO seated next to Landon.

"What were the exact terms of our agreement with Bear Stearns?"

Dressed in a navy suit, Andrew answered with a relaxed smile.

"We sold five hundred million dollars' worth of index futures on each of the three major indices—S&P 500, Nasdaq, and the Dow. And we signed ten billion dollars' worth of put option contracts tied to the top ten companies by market cap."

"So that comes out to roughly two and a half billion dollars total."

"That's correct."

Fingers interlaced and resting on the armrests, Seok-won looked back at Chairman Fuller.

"Two and a half billion dollars isn't all that large. You came all the way here just for that?"

Fuller glared at him sharply.

For a moment he felt insulted, his face reddening. But then he remembered—Seok-won had already sold his stocks at the peak and walked away with hundreds of billions of dollars in profit.

And not only that: he had entered similar option contracts with multiple investment banks and global financial institutions. A massive, multi-hundred-billion-dollar short bet was about to explode in his favor.

Fuller let out a sigh he hadn't realized he was holding, the strength leaving his shoulders.

Seok-won pretended not to notice and asked in a calm voice:

"If I remember correctly, the contract runs until January next year, right?"

"That's correct."

Andrew answered.

"If we leave things as they are, our profits will only grow. I don't see why we should agree to a premature settlement."

Fuller leaned forward, responding quickly.

"That may be true, but if the market rebounds during the remaining period, your profits could shrink just as dramatically."

But Seok-won showed no sign of wavering. His voice remained calm and confident.

"I don't know about that. Considering how Washington is in turmoil over the Florida recount issue, I doubt this crash is going to stop anytime soon."

"..."

"You know that yourself. That's why you came all the way to Korea to unwind the option contracts, isn't it?"

Fuller couldn't respond. He only exhaled through his nose, his silence proving Seok-won right.

Seok-won shrugged and spoke in a detached tone.

"As you can imagine, a lot of people have suddenly come looking for me. I don't have the luxury of long meetings. And I doubt you intend to stay in Korea for very long either, Chairman Fuller. So let's get straight to the point."

His gaze sharpened, cutting straight through Fuller.

"What will you give us in return for letting you terminate the contracts?"

Fuller faltered, hesitating. Seok-won's eyes narrowed.

"You're not expecting us to end the contracts as they are, right?"

The firm tone made Fuller sigh before he finally spoke.

"If you agree to unwind them, we'll pay seventy percent of the contract value immediately."

Seok-won instantly frowned and shook his head.

"Only five percent more? That's disappointing."

"One hundred twenty-five million dollars is not a small amount," Fuller argued.

Seok-won replied coldly.

"At this rate, the Nasdaq may drop below two thousand before year-end. Considering that, your offer is far too low."

"The market could rebound in the meantime. Or at least stop falling and move sideways," Fuller countered, brows furrowed.

But Seok-won's stance did not budge.

"You know that Amazon—one of the stocks tied to our put options—has already fallen nearly eighty-nine percent."

"..."

"It was one of the standout companies in the e-commerce sector. Who could have predicted it would collapse like this in an instant?"

Fuller and the Bear Stearns staff stared at Seok-won with looks of pure disbelief.

It wasn't just that he had sold his entire 25 percent stake in Amazon at the peak and made an enormous profit. The fact that he had also signed put option contracts and still dared to talk like this made him seem shameless in their eyes.

But Seok-won didn't flinch. He met Fuller's glare with a thick-skinned calm and answered clearly.

"I'll say it again. I believe the downside in the stock market is still wide open. So unless the terms are truly satisfactory, there's no reason for me to rush into unwinding these contracts."

"The market has already dropped more than sixty percent from the peak. You're saying it'll fall even further?"

"Yes. And if you think I'm bluffing, you're free to leave."

Fuller studied Seok-won's expression, his face twisted with frustration.

Then he realized the truth—there was no way Seok-won would accept their current offer. A bitter sigh escaped him.

He's not an easy opponent, after all.

Shifting uncomfortably in his seat, Fuller finally spoke.

"So how much are you asking for?"

Seok-won replied immediately, as if he'd been waiting for that question.

"Eighty percent seems reasonable."

The Bear Stearns employees erupted in agitation.

"What…?"

"This is outrageous."

Fuller's face hardened as well.

"Eighty percent? That's far too much."

But Seok-won responded with his arms crossed, relaxed as ever.

"When you consider the potential profit I'm giving up by not riding the market's continued decline, it's a perfectly reasonable number."

His expression made it clear he genuinely believed that, leaving Fuller at a loss for words.

"To be clear," Seok-won continued, "this meeting exists because Bear Stearns requested it, not me."

He made sure there was no confusion about who held the advantage.

"I had every intention of holding these options until the end. But since you came all the way to Korea, I'm offering terms. And I'm not lowering the eighty percent—not by even one percent. If you can't accept that, there's no reason to waste any more time. We can end the discussion here."

Fuller frowned deeply at the words that left no room for negotiation.

The one-sided attitude stung his pride so much that he wanted to stand up and walk out right then.

But he couldn't. If the market continued to plunge, the losses he would have to absorb would be catastrophic.

Even though the dot-com bubble had burst, he couldn't quite believe the market would fall that much more.

But seeing Seok-won—who had perfectly predicted the crash, executed a flawless big short, and had never once failed in an investment—speak with such confidence, a chilling sense of unease began to creep up inside him.

Maybe the market really could collapse even further.

On top of that, the dispute between Republicans and Democrats over the Florida recount was becoming a complete spectacle. Neither side was backing down, and no one knew when the problem would be resolved or when a president-elect could finally be confirmed.

Carrying these option contracts any longer came with risks that were simply too large.

This is driving me insane.

Watching Seok-won sitting there relaxed and unbothered while he himself was burning inside, Fuller cursed inwardly.

He covered part of his mouth with one hand and whispered softly with Lawyer, the CIO seated beside him.

Across the table, Seok-won simply lifted his teacup and sipped the now-lukewarm green tea, waiting patiently.

Before long, Fuller stared at him as if trying to drill a hole through his skull, then let out a small, defeated sigh.

"Fine. We'll pay eighty percent of the contract value."

"An excellent decision."

A deep smile spread across Seok-won's face, full of satisfaction.

"Let's not drag this out. We'll draft the contract right here and now."

"Fine."

Seok-won tilted his head slightly, signaling with his eyes. Landon opened a file folder placed in front of him and slid it toward Fuller.

"We prepared this just in case. Please check if there are any clauses you'd like to add or remove."

Fuller looked down at the contract inside the folder and felt his chest hollow out.

There was no denying it—he had been in the palm of Seok-won's hand from beginning to end.

After a brief review, he found no major issues with the document Landon had prepared. Fuller pulled out his fountain pen and signed immediately.

Seok-won then wrote his name beside Fuller's, officially closing the option agreement between them and Bear Stearns.

After exchanging copies of the signed contract, Fuller gave the quickest, most half-hearted handshake imaginable and then left the room with his team, looking like he couldn't stand to see Seok-won's face any longer.

The moment the door closed, Andrew looked at Seok-won with open admiration.

"To think you managed to pull twenty billion dollars out of Bear Stearns of all places… it's incredible," Andrew said, his eyes wide with admiration.

Landon also broke into a bright smile.

"I'm sure Chairman Fuller must be in agony right now."

Listening to their excited voices, Seok-won replied with a calm and indifferent expression.

"The fact that he rushed to Seoul in such a panic tells you everything. It means he was desperate. In a negotiation that starts with that kind of imbalance, failing to extract at least this much would've been foolish."

The two men exchanged a look. Even after squeezing an additional 2.5 billion dollars out of their counterpart—far beyond what Bear Stearns had offered—Seok-won behaved as if it were nothing. His capacity felt on a different level.

Landon then spoke, looking slightly regretful.

"If I'd known it would go this smoothly, we could've pushed for ninety percent."

Seok-won lifted his teacup and shook his head.

"If we'd asked for that, they would've walked away. The immediate benefit from unwinding the contract wouldn't have justified staying at the table."

"But in that case, we wouldn't be losing anything. We could've just held the contract until the end of the year, right?"

Andrew nodded, clearly thinking the same.

Reclining against the back of his chair, Seok-won answered evenly.

"We would've made a profit, yes. But not eighty percent."

"Why not?" Landon asked, puzzled.

"You said the market would keep weakening."

Andrew followed up, and Seok-won explained.

"It will. But even when a bubble bursts, the market doesn't fall in a straight line. There are always ups and downs. Look at the dead cat bounce we had not long ago."

Landon's eyes lit up as he caught the meaning.

"You're thinking the Florida recount issue will be resolved before the year ends, and the next president will finally be confirmed, aren't you?"

"That's right."

Both parties had filed lawsuits with their respective state supreme courts, and the Republicans and Democrats were locked in a messy, day-after-day brawl. It was hard to imagine their fight being resolved within the month that remained.

But because it was Seok-won saying this—not someone else—they couldn't dismiss it.

"When the winner is finally confirmed, the sense of relief will temporarily halt the crash and spark a rebound. Of course, once the true financials of these dot-com companies continue to come out—and they will be ugly—the market will tumble again soon after. But since the rebound is likely to occur right around the same time the option contracts expire, unwinding the contracts now is far more advantageous than holding them to the end."

Landon and Andrew stared at him with their mouths slightly open. They had not expected him to reveal such a detailed calculation.

A moment later, Landon snapped back to attention and looked toward the door Fuller and his team had exited, an amused smile forming on his face.

"If the market does rebound at year-end, they're going to regret today's settlement so much they'll want to smash their heads into the floor."

"The Wall Street banks and financial institutions that signed option contracts with us will probably shudder whenever they see you from now on," Andrew said, shaking his head. "They must feel like they've been completely swindled."

Seok-won showed a bright grin.

"They came to me first asking for an early settlement. I didn't chase them. So if anyone's at fault, it's them."