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Chapter 1181 - Chapter 1181: Changing Strategies

Waking up in the morning, a new week began.

On the large bed, there were three girls on each side. However, after last night's friendly exchange under Simon's coordination, the girls were no longer as divided as they had been the day before.

Simon sat up quietly, careful not to disturb the sleeping figures. Zhu Momo, on his left, lost the arm she had been holding and let out a soft murmur before turning to hug Jiang Mi beside her, continuing to sleep soundly.

On the other side, Qin Buzui woke up, her eyes still hazy, her face flushed, looking even more like a kitten.

Seeing the man move to the bench at the foot of the bed, Qin Buzui, despite the discomfort from her first night, quietly got up and followed. After getting out of bed, she eagerly helped Simon find his clothes. When she saw that he didn't pay attention and instead headed to the bathroom, her eyes sparkled with mischief, and she followed him in.

Thus, Simon skipped his usual gym session today.

He had a breakfast meeting with a guest, George Soros, who was coming from the city, so it was scheduled later than the usual 7 a.m.

Still, Simon arrived on time, sitting in the dining room, sipping coffee, and reading the day's newspapers.

Beside him were the three girls who had already gotten up.

Qin Buzui, her face still flushed, Tao Yueli, with her calm demeanor, and Shen Gui, the short-haired woman.

Today's New York Times had extensive coverage of Tingke Bell's fall product launch and the recently concluded first-week screening of Paranormal Activity.

The front-page article discussed how the iPad-10 could potentially disrupt the traditional publishing industry.

Simon knew that the iPad would indeed be disruptive, but the impact wouldn't be as severe as the industry currently imagined. The traditional publishing industry in the West, though inevitably shrinking due to the internet, would remain prosperous for many years to come, thanks to strong copyright protections and the public's reading habits.

Then there was Paranormal Activity.

After a significant surge on Saturday, Sunday's box office only dropped by 26%, bringing in another $12.14 million. In just its first three days, Paranormal Activity had already grossed $37.69 million. Even for a typically slow month like September, this opening performance was impressive.

For Paranormal Activity, it was nothing short of a miracle.

With $37.69 million in its first three days, the film was expected to reach around $55 million in its first week. Given its phenomenal popularity and New World Pictures' decision to expand its release from 2,045 screens to 3,000 next week, the movie was poised for a strong, sustained run.

Thus, a domestic total of $200 million was almost a certainty.

In contrast, the $50 million blockbuster The Peacemaker, which opened the same weekend, only managed $8.13 million in its first three days, less than a quarter of Paranormal Activity's earnings. With such a weak start, The Peacemaker's domestic total would likely cap at $30 million, becoming a casualty under Paranormal Activity's dominance.

Simon had initially been optimistic about Paranormal Activity's potential to break $100 million, given its groundbreaking nature. However, even he hadn't anticipated that, with various factors amplifying its success, this low-budget film would now be heading toward a $200 million domestic total.

The three women beside him were enjoying a lavish breakfast served by the maids. Noticing that Simon was only drinking coffee, Qin Buzui waited for a moment before asking during a pause in his newspaper reading, "Simon, don't you eat anything in the morning?"

"I have a guest coming for breakfast."

"Oh."

Qin Buzui was curious but knew better than to pry further. She followed Tao Yueli's example, using a shell spoon to delicately taste the black caviar she was seeing for the first time. She didn't know how rare or expensive the dish was, but she immediately took a liking to it.

Still, she didn't forget the main point.

She soon asked cautiously, "Simon, what are we doing today?"

"I'm heading back to Los Angeles. You can make your own arrangements here."

Qin Buzui felt a pang of disappointment. Unfamiliar with the rules of being around this man, she thought that the past day might have been just a fleeting dream. Naturally, she wasn't ready to let it go. "Simon, can I go back to Los Angeles with you?"

"No."

Shen Gui, who had been eavesdropping, also couldn't hide her disappointment, glancing at the composed Tao Yueli with a hint of resentment.

Fortunately, Simon didn't leave them in despair. After a pause, he added, "After breakfast, go find Angie. She'll arrange things for you."

The two girls thought for a moment before realizing he was referring to the housekeeper, Angie Davis.

Shen Gui felt somewhat reassured.

Qin Buzui hesitated but still ventured, "Simon, the visa Elite got for us is only for six months. Could you..."

Simon gently interrupted, "That's a small matter. Angie will handle it."

Qin Buzui shrank back, not daring to say more.

Tao Yueli, who had been quietly listening, almost couldn't hold back a laugh.

She had thought Qin Buzui was a cunning little fox, a threat to them. Now, it seemed she was just a slightly clever but clumsy kitten.

Asking Simon Westeros for help with a visa was like asking a Nobel Prize-winning mathematician what one plus one equals—utterly ridiculous.

Quite creative, though.

As they spoke, the other girls also arrived in the dining room. Jiang Mi, the tallest and most striking, and Jane Xin simply greeted Simon, while Zhu Momo immediately rushed over, straddling Simon's lap, wrapping her arms around his neck, and planting kisses on his face.

Mo Wuling, who had just arrived at the dining room entrance, couldn't bear to watch.

This was too much.

She wanted to leave but felt an inexplicable reluctance and guilt.

Yesterday, he had asked her to call the others, but she had run off without doing anything. She wondered if she would be scolded for it.

She finally entered the room.

Putting on her aunt's airs, she scolded, "Momo, stop fooling around. Everyone's watching."

She had already decided.

After breakfast, she would drag this girl off to Europe no matter what.

Unfortunately, Mo Wuling's scolding had no effect. Instead, it made Zhu Momo laugh, and she even deliberately put on a childish voice, "Yes, Auntie."

But she still got off Simon and sat down beside Mo Wuling.

As everyone settled in, A came over to remind Simon, "Boss, Mr. Soros is here."

Simon acknowledged and put down the newspaper, standing up to leave.

He couldn't entertain guests in this dining room; he needed to move to another one.

Mo Wuling hadn't expected Simon to leave as soon as she sat down. Looking at the group of girls around her, she felt a bit lost, then glared at Zhu Momo, who had deliberately sat next to her.

Zhu Momo felt unfairly targeted.

But she was resilient.

Her aunt couldn't possibly eat her for breakfast, right?

Thinking this, she found it amusing and chuckled. After laughing, she enthusiastically started discussing the upcoming European trip with Jane Xin and Tao Yueli.

She was doing it on purpose.

After all, the other three girls in the dining room couldn't go.

Zhu Momo had noticed that, whether intentionally or not, the women around Simon were clearly stratified, with a first-come, first-served tendency.

The three new girls, while equally attractive, were still newcomers.

Moreover, the top echelons of the Western fashion industry simply couldn't accommodate too many Asian faces. The three of them, having been elevated by Simon, had already claimed most of the top resources. Even if Simon personally arranged for the new trio, unless he replaced the existing three, it would be extremely difficult for the newcomers to reach their current status.

Furthermore, the man at the top didn't seem to have much interest in such arrangements.

Even for Zhu Momo and the others, upon closer inspection, their success was largely due to their own efforts after Simon provided the platform. Zhu Momo still vividly remembered how exhausting her first fashion week had been, with back-to-back shows that left her nearly collapsing every day.

From what she observed, the new trio hadn't been nearly as busy during the recent New York Fashion Week.

Their most exhausting moment had probably been last night.

Tsk.

Zhu Momo thought about it and felt that her first time must have been quite pitiful too.

In another small dining room within the villa.

Compared to having breakfast with an old man, Simon would much rather spend time with his lively companions.

But in the world of business, some things had to be done.

This breakfast meeting was initiated by Simon.

Over the past three months, with consecutive victories in Southeast Asia, Soros was at the peak of his confidence, feeling years younger.

After some small talk, while waiting for the maid to serve breakfast, Soros brought up Paranormal Activity: "A $300,000 low-budget film that made over $30 million in just three days. Simon, you make money much easier than I do. I'm very curious, how do you manage to produce so many hit films?"

Simon leaned back comfortably in his chair and smiled, "The secret? A somewhat fake truth: I'm good at taking paths no one else has walked."

Soros pondered this and realized that this seemingly fake truth was actually quite profound.

Since the rise of Daenerys Entertainment, the young man's first film, Run Lola Run, had been groundbreaking. Later, Pulp Fiction was equally innovative, and the DC Extended Universe had ushered in a new era of filmmaking.

The common thread among these projects, as Simon had said, was their novelty—paths no one else had taken. The "fake" part was that this answer was akin to a successful person being asked how they achieved success and responding that they worked very hard. It seemed like something anyone could do, but in reality, very few could.

Moreover, this answer could also extend to many other aspects of the young man's endeavors.

The most obvious example was the internet.

This was the key factor that had propelled Simon to become the world's first trillion-dollar super-wealthy individual.

Thinking this, Soros unconsciously toned down his confidence.

The gap was simply too vast.

Interacting with this young man always made Soros, who was nearing his seventies, feel as though he had wasted his time.

After the maid served breakfast and left, Soros got down to business.

With the first phase of their campaign in Southeast Asia yielding consecutive victories—targeting the Thai baht, Indonesian rupiah, Malaysian ringgit, and other currencies—Quantum Fund's paper profits had already exceeded $6 billion, even accounting for some unsettled positions. This had pushed Quantum Fund's total assets, previously around $15 billion, past the $20 billion mark.

The $3 billion investment from the Westeros system, being a targeted investment in the hedge market and not involving other areas of Quantum Fund, had already generated over $1 billion in profits, even after deducting commissions and other fees.

With large-scale capital operations, making money could sometimes be this easy.

Thus, the saying that the world naturally tends to make the rich richer and the poor poorer wasn't wrong.

After giving a brief overview, Soros took a sip of coffee and continued, "The issue now, Simon, is that while Quantum Fund won't be participating this time, there's still going to be an attack on Hong Kong."

Simon nodded, "I know."

Soros, recalling the 1987 incident, probed further, "How much do you think the Hong Kong stock market will drop this time?"

By asking about the stock market rather than the currency, Soros revealed his understanding of Hong Kong's situation.

After successively breaking the currencies of Thailand, Indonesia, and Malaysia, even the slowest countries or regions would have realized the threat. Although the Hong Kong dollar hadn't been attacked yet, the Hong Kong government had already implemented several measures to strengthen currency regulation. Therefore, for international speculators to attack the Hong Kong dollar now would not only be costly but also have a very low success rate.

Thus, speculative capital had shifted its focus to the Hong Kong stock market.

In the period leading up to the handover, buoyed by support from the Chinese government and other favorable factors, the Hong Kong stock market had been on a steady rise since April. From 12,000 points at the beginning of April, the Hang Seng Index had surged to an unprecedented 16,000 points by early August, a 30% increase in just four months. Compared to a year earlier, the index had risen by 60%.

The bubble was evident.

Additionally, Hong Kong's financial market was quite open, similar to Western markets, with no price limits, T+0 trading, and a full range of financial products like index futures. Naturally, it became a target for international speculators during this financial storm.

At the dining table.

Simon leisurely cut into his omelet and said, "It'll probably be halved."

Soros instinctively didn't question Simon's judgment too much but still smiled wryly, "In that case, by avoiding operations in Hong Kong, Quantum Fund would miss out on at least $2 billion."

Simon knew the old man was subtly reminding him not to forget a certain favor. He took a bite of his omelet and smiled, "George, have you ever thought that your personal peak might already be behind you?"

Soros couldn't help but raise an eyebrow.

Simon continued, "From the British pound in 1992, to the Mexican peso in 1994, and now to the recent successes in Thailand, Malaysia, and Indonesia, Quantum Fund's methods haven't changed much."

"What are you implying?"

"There's a saying: a donkey won't fall into the same hole twice. Now, with the UK, Mexico, Thailand, Malaysia, and Indonesia—all these donkeys having broken their legs in the same hole—do you think other donkeys will still give you that chance?"

"Simon, I believe there are still many such opportunities. The international financial market has its own established order, and those countries, if they want to integrate into this order, must accept the risks within the rules."

"That's the theory. However, when a country realizes that the consequences of following the rules are too severe, far outweighing the benefits, they will inevitably choose to break the rules. With the British pound and the Mexican peso, due to capital constraints and other factors, your operations were somewhat restrained. This time, take Thailand, for example. The country's economy has been almost completely destroyed. Seeing Thailand pay such a high price for following the rules, if you were a leader of another country, what would you do next?"

Soros was momentarily speechless.

Simon answered for him, "If it were me, I wouldn't hesitate to abandon the rules."

In the history Simon remembered, as the financial crisis spread further into 1998, countries like Indonesia, Russia, and even Hong Kong began to abandon the rules to some extent, causing significant losses for international speculators, including Quantum Fund, throughout the year.

After a moment of silence, Soros finally spoke again, "Simon, did you invite me to breakfast to convince me to stop now?"

"Not entirely, but that's part of it. I want to remind you that since we can anticipate others breaking the rules, it's time for Quantum Fund to change its strategy first," Simon said, smiling. "This advice is worth at least $2 billion."

Soros managed a weak smile and, after some thought, asked, "Then, Simon, what do you think I should do next?"

"If I recall correctly, you've invested heavily in Russia over the past two years?"

"Correct," Soros nodded, knowing the young man was already aware but still explaining, "However, I have no intention of shorting Russia. On the contrary, I'm very optimistic about Russia's economic prospects."

"That's the problem," Simon said. "Next, the Asian financial crisis will continue to spread. This is something neither of us can stop. Few countries in the world will be completely unaffected, including the economically fragile Eastern European nations."

"I don't agree, Simon. Russia has already hit rock bottom."

"George, from a purely economic perspective, Russia is indeed at its lowest point. However, a country's economy can never be judged solely from an economic standpoint. You don't need me to elaborate on that, do you?"

Soros, however, misinterpreted Simon's point. Knowing that Simon had extensive dealings in Eastern Europe, far deeper than his own, he asked, "Simon, are you saying that Russia will experience major political upheaval soon?"

If that happened, the massive capital he had invested in Russia over the past few years could very well vanish into thin air.

This was Soros's greatest concern.

Simon shook his head, "No political upheaval, George, but politics will still play a role. When the financial crisis hits Russia, as you said, they're already at rock bottom. They have almost nothing left to lose, so they won't hesitate to break any rules."

Hearing this, Soros completely lost his appetite.

In the recent attacks on Southeast Asian currencies, Quantum Fund's nominal $15 billion had only been partially deployed.

To be precise, Quantum Fund was just one part of Soros's vast hedge fund empire, which included numerous sub-funds. In Russia alone, Soros had invested over $3 billion in oil, minerals, telecommunications, and other industries, as well as in the Russian stock and bond markets.

Funds in the financial markets could be withdrawn, even at a loss, without much difficulty.

But the real issue lay in the industrial investments.

For instance, the shares of Russia's largest telecommunications company, acquired by Russian oligarch Potanin last year in a $2 billion deal, had been partially funded by Soros, who had quietly provided over half of the capital. This portion of the investment couldn't be liquidated anytime soon.

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