America’s Road To Wealth

Chapter 171: Do yoga and continue to maintain the profile

Chapter 171 Doing yoga and continuing to maintain human settings

Around eleven o'clock in the morning.

In a hotel in Los Angeles, Abel and Annie do yoga together.

Abel suddenly discovered that yoga is a good exercise.

good for health.

When seeing Anne's graceful figure, she made a curvaceous and very tempting difficult yoga movement.

Abel fell in love with the sport immediately and decided to do yoga with her.

While Abel and Annie were concentrating on learning to do yoga.

The mobile phone placed beside the bed kept vibrating.

Seriously interfered with his yoga studies.

"Darling, how about... you should... check your phone, in case... something important?"

Anne bit her lip and said.

Her forehead is full of sweat, practicing yoga is very strenuous.

It is necessary to maintain a fixed posture for a long time, which consumes a lot of energy.

"Don't worry about it, you should concentrate on teaching, you know?"

Abel supported Annie's slender waist and helped her fix her posture.

"Yeah!" Annie hummed softly, and then ignored the phone.

After more than an hour of yoga, Anne was covered in sweat, and Abel also sweated a little.

He finds that some of the difficult movements in yoga are really good.

After doing a set of yoga moves, I feel refreshed and relaxed physically and mentally.

Abel carried the exhausted Annie to the bathroom to take a comfortable bath.

After taking a bath, he carried her back to the hotel suite bedroom and went to bed.

Annie half-closed her eyes, lying lazily in Abel's arms, looking extraordinarily coquettish.

Abel hugged her while picking up his phone and flipping through it.

Daily he has three mobile phones.

One is mobile number 1.

This mobile phone number is only known to his wife, family, and relatives.

is what he uses for intimacy.

Usually when he is with another woman.

He won't take this phone.

This phone will be placed on David. Jones there.

Like this is the case now.

The other two mobile phones, one is for business calls.

When contacting people inside the company and those business friends.

This is the phone I used.

The last one is the satellite phone, which is basically only used when the mobile phone is not convenient to use.

The cell phone that rang at this time was cell phone number two.

He didn't see who was calling first.

Instead, he first looked at the text messages on his phone.

Seven or eight unread text messages, most of which were sent by those investment bank giants and Wall Street oligarchs last night.

Philip Purcell: [Hey, dear Mr. Smith. I would like to treat you to a meal. I wonder if you would like to honor me? "]

Paulson: 【I heard that there is a very good Chinese restaurant in Lower Manhattan. Are you interested, Mr. Smith? 】

Richard Fuld: [Mr. Smith, Lehman Brothers wants to talk to you]

【.】

The content of the text messages sent by the senior executives of these investment banks is similar.

They all want to invite Abel to dinner, or want to chat with him.

Even last night.

Because of Abel's operation, these investment banks basically suffered a small loss.

Most of them lost some money.

But now, they don't seem to care about it.

One by one wanted to make contact with Abel.

Even if the valuation was as high as 500 billion U.S. dollars, they shouted cheating at the time.

But afterward, those who should want to talk will still want to come and talk.

"It really is the benefits that move people's hearts!" Abel shook his head lightly.

He looked at the unconnected call log again, and found that it was marked with [Fuguo, Richard Kovacich].

Richard Kovacich is the current CEO of Wells Fargo.

Wells Fargo, the largest mortgage lender in the United States, has historically performed mediocre due to its sound, pragmatic business strategy.

But it is among the ordinary, and it also has the most stable yield of major banks in the United States.

This makes it popular among conservative American investors.

This is the only bank in the United States that has received a AAA rating.

It is also one of the banks with the highest market capitalization in the world.

The total assets under its management have reached 800 billion US dollars this year.

This is for those big banks in the United States that generally like investment banking.

is considered a heterogeneous.

Based on the practice that eggs cannot be placed in a cage.

Before, Smith Capital had cooperated with each other many times.

It is to let the other party act as a middleman, as a common financial cooperation that acts as a guarantor.

About four days ago, Abel had an idea and wanted to make a wave of short and long money.

At the same time, let Wall Street realize that he, Abel Smith, is not in conflict with Wall Street.

It's not necessary, but once he has this idea.

He can make Wall Street suffer.

So in four days, he didn't pass Smith Capital and David Mellon.

He secretly dispatched his own brain trust to contact Wells Fargo and Citibank.

By mortgaging his assets in Los Angeles, as well as his personal line of credit.

Obtained three billion US dollars in loan funds, and then used these funds to enter the international foreign exchange market.

Through the guarantee of these two banks, seek capital leverage from many other banks.

Compared to before, he did not cover up the flow of funds at all.

This time, his cooperation with these two banks was very secretive.

Those short-selling Wall Street giants are used to his previous openness and relaxation.

He was not vigilant about his operations in this area.

Let him succeed in stealing chickens in the end, and Xiaoxiao made them suffer.

After this, if you want to operate like this again, it will be more difficult to deceive them.

Unless it takes longer and more complicated methods are used.

In that case, you can’t go through other banks, you can only let Smith Capital do it yourself.

And must also have at least one bank of their own.

An own bank.

Abel marked this matter in his heart.

This will be his next biggest effort in the financial field.

This Richard Kovacich who called just now.

is the CEO of Wells Fargo Bank, who was in contact with Abel throughout this transaction.

It must be mentioned that Richard Kovaciewicz was not the CEO of Wells Fargo two years ago.

At that time he was the CEO of a bank called Norwest.

In December 1998, he broke his usual practice.

Acquired Wells Fargo Bank with assets of 93 billion U.S. dollars for 35 billion U.S. dollars.

However, Richard Kovasivic only paid a premium of 9% above the market value of Wells Fargo to complete the acquisition.

This is very rare in daily large-scale commercial acquisitions.

It was a very successful acquisition.

Compare this trade with Richard Kovasivic.

Not long ago, there was a deal of similar size in the international banking industry.

That is Credit Suisse First Boston, which acquired Fleet Boston Bank.

In contrast, the latter paid a 40% premium for this.

Buy something worth 100 yuan, give 109 yuan or 140 yuan.

I believe everyone can understand the gap here.

After the merger, Wells Fargo became one of the largest banks in the United States.

For two years, Richard Kovasiewicz ran it very well.

Holding the mobile phone, Abel called.

The phone didn't ring twice, and the other party was quickly connected.

"Mr Smith?

"It's me. Good morning, it's already noon. Mr. Kovacevich."

"Hahahaha~ Good afternoon. Also, I think if you can call me Richard, it would be more beautiful!"

"Okay, then Richard. But Richard, you can also just call me Abel."

"Understood, Abel."

Across the phone, Richard Kovasivic looked very enthusiastic.

From the very beginning, they wanted to win over their feelings, but before this transaction, the two of them hadn't even spoken once.

This is normal.

Although Smith Capital likes to disperse funds among major banks when operating capital.

But this kind of dispersion is also somewhat preferred.

Some banks have a good relationship with Smith Capital, such as the four major investment banks—this is really not a joke. Since Smith Capital was established, it has indeed had the best relationship with these four banks.

This may also be the reason why these four investment banks pay close attention to every action of Smith Capital.

For the four major investment banks, Smith Capital provides commissions and interest quickly and stably.

is their highest quality key account template!

If they have ten clients like Smith Capital a year.

It is estimated that their annual profit can be doubled on the current basis.

Among these banks, Wells Fargo belongs to a financial group that does not have a close relationship with Smith Capital.

In the banking industry, Smith Capital, which likes short-term, flat and quick operations, and has a large monthly transaction volume, has always been the most popular type of company.

Because this can provide more interest and commission income for middlemen and guarantors.

Smith Capital has always been generous.

In other words, cooperating with Smith Capital in this area can bring in generous commissions.

Wells Fargo had no personal relationship with Abel before, so this time it took advantage of this opportunity.

Richard Kovacevich, obviously wants to get closer to Abra.

So that Abel will choose a middleman guarantor in the future.

You can cooperate more with Wells Fargo.

Again, everything is for profit.

"Abel, according to your request. Since last night, we have started to close your account."

Richard Kovashivic said on the phone with a regretful tone:

“Total floating profit started at $1.156 billion.”

"But you asked to close the position too quickly, we had to give up some floating profits, and eventually a profit retracement occurred. Your actual profit is currently $690 million."

The CEO of Wells Fargo is talking about a long dollar transaction that Abel started to build a position four days ago.

After ten o'clock last night, he contacted the other party and began to close the position.

Because those giants who shorted the dollar, after discovering that the general trend cannot be violated.

One after another chose to cut their flesh, and exited at a loss of 100 million.

According to Richard Kovasivic's thinking at the time, if the closing speed can be slowed down a bit.

Higher profits at that time are guaranteed.

But Abel refused, and he asked Wells Fargo and Citibank to close their positions as quickly as possible.

This made the originally very beautiful Fuying shrunk by more than half.

In foreign exchange and futures transactions, a little careless operation often happens.

Richard Kovasiewicz is calling right now.

It is to tell Abel the final situation of this investment that Abel has planned for three days.

"It's already pretty good. Richard. I've never been greedy. $690 million profit is already very high." Abel said with a smile.

A single investment earned 690 million US dollars, which is not common in the capital market.

As a talented person like him, he uses high leverage every time like a gambler.

Under high risks, high returns are so exaggerated.

Switching to a normal investment manager would require at least a principal of 10 to 20 billion U.S. dollars.

It is possible to make so much money within two or three days.

And they can't guarantee a steady profit, not a steady loss.

"Haha~ okay." Richard Kovasivic laughed over there.

"So Abe, I'm on a plane to New York right now. I'm off the plane in an hour."

"Would you like to show me your face then, I would like to treat you to a meal ~ to celebrate your profit in this investment!"

"Huh? I'm so sorry. I'm in Los Angeles now."

"Uh" Richard Kovasivic wanted to say, weren't you still in New York in the middle of the night?

But if you think about it carefully, it takes about six to five hours to fly from New York to Los Angeles.

Besides, businessmen at their level.

Flying up and down all over the United States, that is also a normal thing.

Richard Kovasivic said regretfully: "Well, that's a pity."

"It's a pity." Abel said with a smile:

"By the way, Richard. Help me return the funds in my mortgage account to Wells Fargo. For the specific commission and interest, just give me another bill."

Richard Kovasivic immediately said over there:

"Huh? So fast? Abel, I can give you another 50% discount on the previous interest."

"You don't need to pay back this loan right away. You can use this loan to make more money."

"I believe that with your ability, this is not a difficult task."

The financial industry or the banking industry is this urine.

For successful businessmen, they wish the other party could borrow as much money as possible.

The interest is given as cheaply as possible, and some are almost interest-free.

Even such businessmen, sometimes they don't need a loan at all.

And those businessmen who are in urgent need of funds and loans.

The interest on the loans they get in the bank is often very high.

Umbrellas are given away on sunny days, and umbrellas are drawn on rainy days.

is the best description for these people.

"Sorry, Richard. I'm not short of funds. You know, I chose Wells Fargo because it's more stable," Abel said softly.

Richard Kovaciewicz was silent over there.

Finally, he smiled and said on the phone: "Okay, no problem. Wells Fargo will serve you wholeheartedly!"

"Thank you, Richard. I still have something to do here, so I won't talk to you for now."

"Understood, no problem."

After hanging up the phone, Abel thought about it, and found another person's name in the phone.

Call the past.

Airtime about the same as Richard Kovasiewicz.

The object of the call this time is John Reed, CEO of Citibank.

The content of the dialogue is also similar to that of Richard Kovasivic.

is paying off the mortgage while knowing where the money is.

After the mortgage and credit loans are all repaid.

Deduct part of the interest and commission.

This time Abel conducted this operation quietly through Citigroup and Wells Fargo.

A total profit of 6.9+4.5, a total of 11.4 US dollars.

The reason why there is a gap of more than 200 million US dollars.

It was Abel who invested a little less in Citigroup for insurance.

The funds do not go to Smith Capital's account.

It is considered Abel’s own personal money, and has not gone to a specific company account.

This means that if the money is not subject to tax avoidance and tax reduction operations.

A large part of this money will be collected by the IRS as taxes.

But it was also Abel's purpose.

He is the kind who is really paying taxes legally, and he doesn't even deliberately avoid it.

But he is not really completely transparent about his income, let. The IRS can just take a cool jerk.

It is necessary to go through proper procedures to avoid taxation, and that still needs to be done.

For example, now, the big head of Smith Capital.

It is time to start reasonable tax avoidance.

Otherwise, if the profit of more than 10 billion yuan is used to pay taxes, it will be too painful.

But in order to maintain a good relationship with the IRS, and his good image of paying taxes according to law.

It is impossible to stop supporting the work of the IRS all at once.

After deliberation, Abel decided to use his private account to trade once or twice a month.

Try to achieve an annual profit of about 4 billion U.S. dollars, all through the full payment of tax channels.

This is his expense in maintaining the character design.

It is also the protection fee for the most powerful department in the United States, the IRS, to always stand firmly by his side.

With the IRS, I'm afraid of FBl!

If the IRS is looking for trouble, it can randomly check the FBl headquarters at any time!

Like last time at the Manhattan District Attorney's office.

If after the lawsuit storm, Robert has not responded.

He wanted to go to the IRS.

Let the IRS play with Robert Morgenthau!

He had already implicitly expressed this meaning to the IRS at the time.

IRS Deputy Director Jed also implicitly expressed that they were very happy.

This is the role of protection fees.

You need to pay protection fees. The money earned from this kind of investment generally has two names.

Investment income In the United States, the normal tax that should be paid is capital gains tax.

The capital gains tax is around 15%-20%.

In addition, if it is a stock, there is a dividend tax and another tax.

However, the U.S. tax law stipulates that profits from financial transactions such as stocks, futures, and bonds held for no more than 12 months do not need to pay capital gains tax.

Pay more expensive personal income tax

According to the current tax law.

The personal income tax in the United States is divided into 7 grades from 10% to 37%.

The income of Abel’s level is naturally the one with the highest 37%.

The tax rate of 37% includes the taxes levied on personal income by the US federal, state and local governments.

According to different collection levels, it is divided into federal personal income tax, state personal income tax and local personal income tax.

The bulk of the income is basically in the federal personal income tax.

States and localities account for a small percentage.

So some states in the United States that are richer or have complicated situations do not levy personal income tax at all.

Like Texas, only the federal personal income tax is paid in Texas, and no other income taxes are required.

State tax is on personal income tax, the rate is generally 1% to 11%.

This is why Texas has been loved by those new rich in recent years.

Can be exempted from tax, even if it is only a little bit, that is money.

Abel’s profit of 1.14 billion U.S. dollars, if there is no tax avoidance and normal payment.

Almost $420 million at a time.

There are so many that it hurts.

This will probably be in the last few years, maybe even the last few decades.

Maybe ever.

IRS has obtained the largest record of the highest tax paid by a single individual in terms of personal income tax.

But in order to maintain the character design, and mainly for this purpose.

At the same time, he continued to build a good relationship with the powerful department of the IRS, and Abel still chose to pay the money.

Only later on, he will ask the IRS to do certain things in certain ways.

Elsewhere, compensate yourself.

According to the urine nature of various powerful departments in the United States, the IRS will most likely be very cooperative.

You must know that within these powerful departments, they have their own work indicators.

A good baby like Abel who pays taxes according to the law, in the eyes of the IRS, is a good baby who has achieved their targets.

Like last time, Jed, deputy director of the Federal Internal Revenue Service.

When Abel created his own character.

Jed, as the deputy director of the IRS, did not hesitate to stand up and endorse his personality.

This can be said to be the first time in the history of the IRS.

For the first time, the IRS endorsed a rich man's good tax ethics

You must know that before this, the IRS has always been the department that the richest Americans fear the most, and at the same time, the department that hates and resists the most.

It is no longer rare to be like Abel.

is unique.

After all, with such a large tax bill, even Abel felt a little bit pained.

Fortunately, the money was easier for him than blown by the wind.

The money blown by the strong wind has to be "hard" to pick one by one.

And Abel makes all this money with just a few phone calls

Thinking about it this way, Abel didn't feel so distressed anymore.

He threw the phone back on top of the cabinet.

Turn around and hug Annie who is so tired that she has fallen asleep.

"Get up~ honey, let's do yoga again!"

"Huh? Still coming~"

Annie who was woken up felt soft and numb all over.