Yes.

Ye Dongqing was ambushing the upcoming subprime mortgage crisis in two years and expressed her views in public.

We selected the entry point on credit rating agencies and bluntly stated that these companies did not do well, and gave up their exploration of the objective truth for the sake of money, putting the entire CDO market in a dangerous situation.

It is February 2005. In the past four years, due to the continued prosperity of the US housing market and the low interest rate level in the past few years, the US subprime mortgage market has developed rapidly. A large number of financial businessmen saw the interests and resolutely rushed in, and the market became more and more popular.

Subprime loans in the real estate industry are different from ordinary loans. They are mainly aimed at people who do not have enough assets and income and want to buy real estate. According to regulations, interest rates in the past few years are relatively stable, and then increase or decrease according to fluctuations in market interest rates.

People think that investing in real estate is profitable. In addition, lenders are not strictly reviewed enough. The United States, which has been indifferent for decades, has once again set off a real estate boom. Subprime mortgage markets in other fields are also overheated, and more types of financial products have been derived, attracting waves of money.

It can be expected that with the subsequent cooling of the US housing market, especially the increase in short-term interest rates, subprime mortgage repayment rates also rise significantly, and the loan repayment burden of home buyers will increase greatly, which will most likely cause large-scale loan defaults.

History is surprisingly similar.

This is due to the flaws in the market management mechanism, which some people mistakenly think that there are loopholes to exploit. The booming development of the subprime loan market has not changed with the arrival of Ye Dongqing. Wherever there are benefits, there will be merchants who take risks, which is very reasonable.

In fact.

Judging from the current situation, the subprime mortgage market is indeed very good. The crisis has just shown some signs, such as the default rate that Ye Dongqing said just now has increased, and credit rating agencies are useless.

I have never thought about watching the fire from the other side of the river and waiting for the time to come and make a fortune.

However, Ye Dongqing is no longer the poor and poor person who wanted to get rich and couldn't sleep at that time in 2002. This benefit is not crucial to him. It will only make the rich people who invest in hedge funds and himself richer. However, for ordinary people who have invested in real estate, once the subprime mortgage crisis occurs like in their previous lives, they will lose everything.

This is due to the social responsibility of a super rich man. In addition, Ye Dongqing also feels that another economic crisis may impact his personal interests, and the coexistence of benefits and risks.

Since he has so much money that he can't spend it all in his life, and the speed of spending money is far less than the speed of making money, he feels that there is no need to make profits through such accidents and impose his happiness on the pain of many ordinary people, so he makes a reminder in such a public place.

After saying so much in one breath, when he picked up the water cup at hand, his eyes were filled with people talking. Even Soros, Mr. Dario and others were all heavy-faced. Considering the current subprime mortgage scale, if the industry was not as safe as originally imagined, they could have expected the profound impact.

Most people on the scene know that it is no secret that they spend money on ratings.

Ye Dongqing knew that he would offend those credit rating companies like this, but he didn't care, because there are not many business deals now, and there will not be too many in the future. If these institutions downgrade the rating or valuation of his companies, wouldn't it just confirm this criticism of their inadequate objective and fairness? Thanks to the lagging policy support, the three major credit rating agencies have divided up 95% of the global rating market. There are too many good days and have been a little inflated in recent years.

He didn't know if he could change the current situation and quickly curbed it before the crisis was born, but he would definitely try his best. He had already thought of giving up some people in Washington, and the current chairman of the Securities and Exchange Commission to talk about this matter.

If he is lucky, he can make a fortune by shorting these institutions and companies that hold too many junk subprime loan products. As a businessman, how can he let go of the money he should make? He had contacted Mr. McCorder and Mr. Wu Di in the morning, and was probably trying to build a position.

An investigation has been conducted in advance, and the scandal is true. Since the dark side has been revealed, those credit rating companies and subprime mortgage markets will most likely fall into the quagmire. After all, Ye Dongqing has a considerable influence.

The following topics continue to focus on credit ratings and subprime mortgage business. People listened very seriously at the scene. From time to time, people sent messages with their mobile phones or went out to make phone calls. Some were selling subprime mortgage assets, while some had already smelled the smell of US dollars and were preparing to try shorting.

For these people, the ticket price of just 3,000 US dollars was not in vain. Ye Dongqing has explained it very in detail, so detailed that they can also detect signs of danger...

It is never easy to show off. If you don’t have enough strength, you will be slapped in the face, especially when it touches on the interests of some people.

Generally speaking, the interest rate of subprime housing loans is two to three percentage points higher than the normal loan interest rate. Except for Ye Dongqing, most fund managers have allocated subprime assets, and some have made money from the outside.

Some people were thinking, and they were also a little angry. For example, a manager of Bear Stearns who had a heavy holding of subprime mortgages was not concerned about the etiquette issue at this time, and suddenly stood up and shouted: "It's all nonsense! The credit rating is no problem, and the subprime mortgage market is no problem. I don't know where you got the data, but neither the default rate nor anything else!"

People, including Ye Dongqing, looked at this guy. He walked out righteously and was already planning to leave.

In addition to him, an executive of American International, one of the global insurance giants, one of the global insurance giants, also suddenly left the market. The company underwritten too many subprime mortgage assets and was thinking about verifying whether it was really as Ye Dongqing said, there was a risk of credit rating injection.

Whether to listen or not is someone else's business. Ye Dongqing is sure to win and does not feel embarrassed at all. His face is based on success again and again, and no one needs to add color to him.

As if nothing happened, I continued to explain other views and finally concluded: "Credit rating agencies must carry out a comprehensive rectification, strengthen supervision, and re-establish market confidence. As for subprime housing loans, I don't think it would be a good thing to lend a large amount of money to people who may not be able to pay back the money at any time. If it continues to develop, it will inevitably cause a chain reaction, leading to a financial crisis. Judging from the current subprime mortgage scale, the crisis has existed, but it is just a question of when it will break out..."

After saying that, I turned off the microphone, got up and left, obviously not going to give others a chance to ask questions.
Chapter completed!