Future chat group

Maybe he doesn't care, or he knows he will lose, or he is... too confident.

As the big boss and actual controller of Forest, Lei Hao showed his attitude of letting customers choose freely without any objection.

"Lei, thank you for your understanding." Keith narrowed his eyes and said with a smile: "Next time I invite you to play golf. Of course, I will also invite customers to the scene. If Forest can provide customers with better conditions, I’m not going to stop you from reaching your customers.”

"Say it, it's all in vain." Fox said bitterly.

Forest and Oasis Securities have been competing for customers from each other. Even if Keith brings customers over, he is just asking Forest to win over them again.

What's important is that this statement shows the "above and aboveboard" attitude of Oasis Securities, and also shows Keith's confidence, which can be regarded as a reply to Lei Hao's statement just now.

"With assets exceeding one million US dollars, Oasis Securities only charges an annual fee of 0.25%. As for the rest..." Keith continued: "You can compare the software and hardware of the two companies at will."

It charges less money and has good hardware. These are unparalleled advantages.

"I remember that the annual fee standard for Oasis Securities' multi-million-asset financial plan reached 1%." Fox said sarcastically: "Keith, are you going to popularize the 0.25% standard?"

"No, I just think that some VIP customers can enjoy greater discounts and have priority in investing in certain underlying securities." Keith smiled and said: "We have this kind of contract, I don't think it is vicious price reduction."

"Every company has this kind of contract." Fox said secretly in his heart, and then turned his eyes to Lei Hao.

Now, the two sides seem to have started a price war. The problem is that Lei Hao knows very well that he can't compete with his opponents at the same price. The law does not allow you to have 0 annual fees and 0 income remuneration. Even if Forest charges zero fees, in the eyes of many people , is not as attractive as Oasis Securities’ 0.25% annual fee.

"We will not change the conditions during Forest's transformation." Lei Hao spread his hands and said as if giving up, but no one knew that he had already dug a huge hole for the Oasis.

"That's a pity." Keith also knew this, but he had a way to satisfy the VIP customers, and at only a small cost, he could get the cooked duck in Forest's mouth. This spread was a good talk.

"I hope to get some calls from you." Keith quickly distributed business cards and made a phone call gesture to several customers: "CALLME."

"Haha, I hope to have the opportunity to cooperate."

"I need to think about it some more."

"Today is such a special day."

Baker, Lambert and Nance exchanged looks with each other and expressed their opinions.

"I suddenly remembered something," Lei Hao said in his slightly broken English: "Forest's credit rating is lowered, then our subsequent borrowing costs will increase."

"Huh?" Everyone in the box was stunned.

Why did you suddenly bring up this topic?

"What does Mr. Keith think of the recent interest rates?" Lei Hao seemed to be provoking the financial topic.

Everyone in the venue had a premonition: Is this going to start a counterattack?

"It's not easy to talk about this kind of topic." Keith pretended to be confused.

"I want to do some FRA. Doesn't Oasis Securities have this kind of business?" Lei Hao began to look aggressive.

This seems normal to outsiders. If a customer is taken away from his own territory, he is a saint who is not angry.

Just...FRA? Everyone frowned slightly.

In China, professional investors may not know what FRA is, because this kind of thing is mostly used by institutions for betting or offsetting risks. Its Chinese name is forward interest rate agreement.

Unlike most contracts, forward interest rate agreements are based on credit. There is no principal participation. Everyone is betting on the direction of a certain interest rate change.

In the crudest terms, it means taking a contract interest rate and a reference interest rate. The reference interest rate is the London Interbank Offered Rate commonly used in the international financial market, or the U.S. Federal Funds Rate commonly used in the U.S. market.

For example, the contract interest rate is 0.75%, and the reference interest rate is the U.S. federal funds rate. A wants to borrow funds but is worried that it will rise, and B wants to lend funds but is worried that it will fall, so everyone can agree to lock in this interest rate.

When the U.S. federal funds rate is higher than 0.75%, B pays the difference to A based on the principal times the interest rate times the time. When it is lower than 0.75%, A pays the difference to B based on the principal times the interest rate times the time. .

How much is the principal? There are millions, tens of millions, billions, billions, tens of billions and even hundreds of billions, but the principal is just a number. What everyone is betting on is the change in interest rates, plus time constraints, so the amount does not change outrageously.

The industry generally uses forward interest rate agreements to lock in interest rates and hedge exposure risks, but in the current situation, Lei Hao undoubtedly shouted to Keith: Let's fight.

There is no principal, pure credit guarantee, pure differential betting. The principal amount has not yet been determined, but the smell of gunpowder has already risen.

"Oasis Securities has forward interest rate agreements. We have a wide range of customers. We...are involved in interbank lending." Don't say that Oasis Securities really has this kind of business. Even if it doesn't, Keith can't be scared now.

"What about futures? Oil, gold, and agricultural products are all fine." Lei Hao stared at Keith and asked directly.

"They all have it. Whatever target Forest chooses, as long as it's suitable, Oasis has all these businesses." Keith said tit for tat.

The contradiction was clarified, and neither Lei Hao nor Keith had any intention of retreating, but they also knew that the forward agreement did not involve the delivery of principal, but rather relied on vision and institutional credit.

Moreover, Lei Hao is obviously not going to make a small fuss. If the profit and loss are small, Forest can actually find other financial institutions. Only in this case will everyone use a larger principal and do more Hedge.

Lei Hao began to get excited. Forward agreements can be made not only on interest rates, but also on futures and stocks. The difference lies in the possibility of the underlying being manipulated and whether the credit of the opponent company is sufficient.

In China, Thunder also does business in this area, but the domestic market is immature and almost all such things are off-site agreements. Therefore, when the platform was being built, there were very few orders available for trading.

Hong Kong Island Thunder has begun to slowly promote these businesses, but it takes time to build a channel platform, and the transaction volume is also very small.

Now, with a real opponent standing in front of him, it is strange that Lei Hao could let him go.

The forward agreement is purely about cutting each other's flesh.

With future information, as long as Oasis dares to make judgments that are contrary to the market, Lei Hao is sure to cause pain to the opponent. If the time is right, it is not impossible to severely kill the opponent.

"I think we both have something in common." Lei Hao laughed.

"Of course." Keith also laughed.

In the financial circle, in OTC agreements, who is afraid of whom?