Translator: Dreamscribe
The lights in a securities firm never go out, 24 hours a day.
From dawn until afternoon, the domestic market is on fire, and after that, the overseas markets light up.
And that’s not all.
Since the foreign exchange market is open 24 hours, employees have to work in shifts.
Because of this, there wasn't a single day when the lights went off in a securities firm.
But the Prime-grade departments were a little different.
Unless there was an important trade or significant market volatility, the employees of the Prime-grade departments didn’t come to work.
“I’m seriously so jealous. I heard people in the Prime department get insane incentives too.”
“What are the conditions to get in there?”
“Even the HR Team doesn’t know. Apparently, whenever they recruit, the CEO just looks at profiles and picks someone.”
“Wait. So they don’t even do interviews and just select based on profiles?”
“Yeah. That’s how it’s been done every time.”
It was a curious thing.
How could someone’s abilities be judged by profile alone without an interview?
But what was even more surprising was that not a single problematic person had ever made it into the Prime-grade departments.
“But don’t the Prime people barely come into work?”
“Yeah.”
“Then why are they all here today?”
“Ah. You haven’t heard?”
“Heard what?”
“The rumor’s already spread all over our firm. The CEO is going head-to-head with the short-selling forces targeting Tesla.”
“What?”
Even those who didn’t deal with overseas stocks knew well that Tesla was Wall Street’s plaything.
There was a reason why Tesla’s CEO, Tusk, was constantly whining.
“Wait a sec. Isn’t there talk of bankruptcy over there lately due to poor earnings and production issues?”
“Yeah. So the Wall Street short sellers are overjoyed.”
“But our CEO went long?”
“Exactly. Now you understand why the Prime people are camped at the office and not going home? They’re on 24-hour emergency duty. Heh.”
“But isn’t going long on Tesla right now kind of crazy? No matter how much Tesla’s stock is a battlefield between longs and shorts, one side is clearly dominating right now.”
Logically speaking, that was true.
But there’s a saying.
Anything can happen in the financial markets.
“Still, this is a bit...”
However, there are limits to everything.
Jumping onto a sinking Titanic like this is nothing short of a suicidal act.
“How much did he put in?”
“No idea. But there are rumors that he dumped in money on the trillion-won level.”
“Tr-trillion won!?”
Just hearing that was enough to make one wail.
Though the money CEO Jung Jin-ho had earned until now wasn’t small, losing trillions would be a brutal blow.
“...Huh?”
While the overseas trading team employees were chatting.
“Huh? Wh-what is this?”
“What? What’s going on?”
“Tesla’s stock price is suddenly skyrocketing!”
“Huh? It really is!”
At that moment, a thought struck them.
“N-no way... is it the CEO?”
“Maybe he released a huge buy order, and that’s what’s driving the price up?”
Stocks are simpler than one might think.
If there are many sellers, the price goes down; if there’s a surge of buy orders, the price goes up.
And the fact that the price was suddenly rising now meant that buy orders had increased.
In other words, it might mean CEO Jung Jin-ho had dropped trillions worth of buy orders all at once, causing this effect.
“If he did that, wouldn’t the SEC arrest him for market manipulation? That’s clear stock price manipulation.”
“Yeah, that’s true. But luckily, it looks like it’s not because of us?”
They quickly figured out the reason behind the price spike.
It was due to none other than a post on social media by Milon Tusk.
A bombshell announcement from Tusk that he planned to buy out the controlling stake at a 20% premium over the current stock price and take the company private.
Because of that, the stock price was now being pumped like crazy.
“No, seriously. Isn’t this guy really crazy?"
***
Ever since we bought a 6% stake in Tesla for 4 trillion won from the funds, our Prime-grade department employees began taking turns coming in every day without fail, entering into 24-hour emergency duty.
It was in preparation for an immediate response, as no one knew when something might blow up.
“I-it’s happened.”
That was the first thing Department Head Seo said to me.
“CEO-nim. I-it’s really happened.”
“How could something this absurd actually happen...”
Just as the Research Department had warned us, even the people in our department were negative about this Tesla investment.
That was because there wasn’t a single factor that could be seen as good news.
But it seems good news doesn’t come from outside.
Looking at how Tesla’s CEO, Tusk, is making it happen himself.
“B-but... is this really true? That he’s really going to buy up shares at a 20% premium and turn the company private?”
“How much would that even cost?”
“It would require tens of trillions of won. But does Tusk even have that kind of cash on hand?”
Tusk’s wealth comes from the Tesla shares he holds.
Currently, he owns a 20% stake in Tesla.
To create a private company, he would need an additional 31% stake to gain control, and acquiring that would require at least 20 trillion won.
Also, even if he obtains 31%, that doesn’t mean he can immediately take the company private.
He needs shareholder approval.
In other words, unless he owns more than 90% of the shares, he can’t just turn it private right away.
Which means he’d need astronomical amounts of money.
“But we can’t just take it lightly, can we? He clearly stated on his own SNS account that he has the money ready to pay that kind of premium.”
If it were just a rumor, the stock price wouldn’t have jumped this high.
The reason for the sudden pump was because Tusk himself posted on his SNS that he would buy up the shares.
“What if this is just a bluff?”
“Then it’s a big problem. Even if it’s not the company’s official stance, once the CEO himself says it on social media, he has to take responsibility. And the moment he says it was just a joke, it becomes stock price manipulation.”
This matter couldn’t be taken lightly.
It couldn’t be dismissed as the impulsiveness of just one person.
We’re talking about an issue involving trillions of won.
Especially now, due to this bombshell statement, many of the Wall Street firms who had large short positions were suffering massive losses.
There were also instances where the stock price went up because positions with excessive leverage were forcibly liquidated.
The short sellers that Tusk so despised were wiped out in one blow.
Then the remaining question was this:
Does Tusk actually have that kind of money?
“It looks like even Tusk’s side didn’t expect such a heated reaction. He hurriedly posted an additional message on SNS. Apparently, he’s already reached an agreement with the Saudi sovereign fund.”
If it’s Saudi, that makes sense.
With their financial power, they could easily secure a controlling stake and take the company private.
“If Saudi money really comes in, wouldn’t the price go up even more?”
The stock price kept rising.
At this rate, it looked like even 30% gains were within reach.
“Then for the next few days, it would be better to just hold...”
I reached toward Tesla’s stock price.
Even from my perspective, holding the stock rather than selling now seemed like a much more profitable move, but—
“...!”
The moment my finger touched the stock price.
A sound like a speaker exploding rang through my eardrum.
“If we were to liquidate the position, how long would it take?”
“We wouldn’t be able to sell everything within a day. The reason we didn’t shock the market before was because we transacted with various funds through off-market trades. But if we’re going to liquidate the position right now, it’ll take several days.”
“Then what if we sell the shares directly at market price to other funds like we did during the off-market deals?”
“Just like when we bought in, we could cleanly liquidate without causing much shock to the market.”
This is what’s called a block deal.
It means the transaction is separated from the market.
It’s typically the method we use when selling a large volume of shares we’re holding.
If we carelessly dumped everything, it could cause a massive shock to the market, and it would also be difficult to sell at the price we want.
And funds and institutions also prefer block deals.
That’s because if they recklessly pour in buy orders, the price skyrockets uncontrollably.
“Do you think there’s any institution right now that wants to buy a large amount of shares?”
“Probably not many. Institutions or funds that buy shares of this scale usually have a long-term investment perspective. But there are also aggressive funds that aim for short-term profits.”
“Then please look into those.”
At that, the employees showed surprised expressions.
“A-are you already going to liquidate the position?”
“Wouldn’t it be better to wait a little longer...?”
“Tsk. Maybe it’s because some new people joined the department, but why is everyone trying to act on their own? Do I need to remind you what our company motto is?”
But with one sharp remark from Department Head Seo, everyone went quiet.
“CEO-nim. Then we’ll start looking into it right away.”
“Yes. Please do. As quickly as possible.”
“Understood. Would you like to give any further instructions...?”
Just as the situation was wrapping up on a seemingly warm note.
My intuition stirred me again.
It felt like something was grabbing me hard and pulling me back from getting up.
As if it wasn’t just about selling off this position.
‘What is this trying to tell me?’
Not knowing what this instinct was pointing toward, I jotted down multiple things in my notebook.
Then my hand stopped on one of the options I had written.
“...?”
I couldn’t believe my eyes for a moment.
Just to be sure, I checked multiple times, but each time, my intuition seemed to tap me, as if telling me to stop asking.
“Department Head.”
“Yes.”
“After we’re done liquidating the position, could you prepare a new one?”
“Pardon? W-what kind...?”
“A short. Same amount, 4 trillion won, please.”
“!?”
Just a moment ago, Department Head Seo’s eyes had been calm, but now they began to shake violently.
***
Slurp-
“Mm. Coffee tastes the best here, seriously. The view’s not bad either.”
“I don’t think the view is that nice. There’s nothing but construction vehicles going back and forth.”
“Well... that’s unavoidable. Who would’ve thought this area would become the center of semiconductors? But the building itself is pretty good, right? The interior’s really well done.”
“Yes. And this is only available for Guild Members, right?”
Vice President Kang Ji-hwan had just finished touring the so-called Guild Landmark, which was said to have been planned and built by CEO Jung Jin-ho himself.
“You’re one of our Guild Members now too, so come by and use it often.”
“Seems like the Guild is pretty big. When I joined last time, everyone welcomed me so enthusiastically.”
“It’s fairly large. When a game matures, it’s hard for a guild to stay together for a long time. But thanks to Jin-ho managing it well, our members stick around.”
And on top of that, he even built a landmark like this.
Naturally, the loyalty of the Guild Members would be high.
“But that doesn’t mean the Guild Members get together often. As you know, everyone’s older, and there are people running businesses like me.”
“You’re already busy managing the securities firm and the exchange. On top of that, playing the game actively... CEO Jung is younger than I am, but sometimes he seems far more seasoned than I am.”
“He’s just built different. You don’t get to that position at that age for no reason. Ah. So, what was it you needed to report? You even came all the way here to find someone enjoying their day off.”
Vice President Kang Ji-hwan hadn’t wanted to disturb the Chairman on his vacation.
But the matter was what it was, and he had no choice but to come.
“So... Jin-ho invested 4 trillion won into Tesla and profited from it?”
“Yes. Because of Tesla CEO's Milon Tusk’s bombshell announcement early this morning, he made around a 25 to 30 percent gain.”
“30 percent... that’s 1.2 trillion won!?”
“Yes. It’s an enormous amount.”
And he earned that in just a single day?
1 trillion won wasn’t the name of a neighborhood convenience store, after all.
But Jin-ho earns even such massive sums with astonishing ease.
“The issue is that before Milon Tusk made that statement, CEO Jung Jin-ho had a meeting with him.”
“W-what? Why?”
“It was related to the acquisition of Close AI shares... but afterward, CEO-nim started buying up Tesla stock in large quantities.”
“And then that guy Milon Tusk dropped a bombshell like that?”
“Yes.”
He had already made hearts pound with the previous Volmageddon incident.
Who would’ve thought he’d stir things up again so soon?
“Looks like now’s not the time for a vacation. Call in all the executives.”
Chairman Hwang quickly stood up.
Because the top priority of the group.
It was to protect Jung Jin-ho.
***
Tusk’s statement turned the stock market upside down.
The truth is, even Tusk knew.
Taking the company private was essentially an impossible feat.
But he had done it anyway.
He was well aware of his impulsiveness.
So, does he regret it?
No. Not at all.
He felt a thrill as he watched the Wall Street short sellers, who had tormented him and his company for so long, crumble.
Of course... he did regret it a little.
Because he never expected it would lead him this far.
“You understand very well why you’re here, Mr. Tusk. Do you know how much the market was shaken by the post you made on SNS? And then you just sat back and did nothing after causing all that chaos? This is clearly market disruption and stock price manipulation.”
A few days after the post went up on SNS, the SEC launched a full-scale investigation.
And they quickly figured it out.
That Tusk had no actual intention of taking the company private.
Which is why they summoned him and placed him in an interrogation room.
“You must’ve seen the follow-up post I made on SNS. I’ve already reached an agreement with the Saudi sovereign wealth fund.”
“Then where is that contract?”
“Well... it was a verbal agreement.”
“Funny. The sovereign wealth fund you mentioned gave a completely different response. Care to explain that?”
“......”
The investigator let out a sigh.
“Mr. Tusk, we honestly understand how you feel. We know just how much the Wall Street guys tormented your company. You wanted to wipe out the short-sellers, and it actually worked quite well. But you crossed the line way too hard on this one.”
“It was just a post on SNS. There was a miscommunication with the fund, that's all.”
Since it wasn’t an official corporate announcement but rather a personal opinion shared via social media, there wasn’t much that could be done to heavily punish him. Of course, that didn’t mean the punishment would be light.
The SEC was already planning to impose a fine of at least tens of millions of dollars.
“But what we’re most interested in is this: What kind of connection do you have with CEO Jung Jin-ho of Kwangwoon Securities?”
“...Huh? Why is that name coming up all of a sudden?”
“Do you really not know, or are you just pretending? There are reports that you two met before all of this happened.”
“I’m asking because I truly don’t know. And that meeting was only for the purpose of a share transaction.”
“Then you’re telling us you had no idea CEO Jung Jin-ho had taken a long position worth several billion dollars?”
“What?!”
He truly didn’t know.
No, why Jung Jin-ho, all of a sudden?
It made no sense.
Ah. Could it be?
Maybe after meeting Tusk that day and gaining a good impression of him and his company, he had preemptively bought a large amount of stock.
As expected, a genius recognizes another genius.
Jung Jin-ho, with his sharp investment instincts, must have already known that Tesla would eventually succeed.
“I didn’t give him any tips or anything like that. He must’ve just had a bright outlook on our company’s future.”
Jung Jin-ho didn’t even give him any money, he simply bought a large amount of stock. And yet, it was somehow moving.
Looks like I really did read that man right.
“Then I suppose you don’t know about this either?”
“Know what now?”
“That Kwangwoon has liquidated their long position and has now initiated a massive short.”
“W-what...?”
But that emotional high didn’t last long.
He thought Jung Jin-ho had bought up Tesla shares out of belief in Tesla and Milon Tusk’s future, but that wasn’t the case.
He had simply bought them because it was profitable.
And now, seeing another profit opportunity, he had taken up a massive short position.
Capitalism is cold.