Chapter 2559 Bloomberg Is a Good Company

"Regarding this issue, I pay more attention to a data, TED spread," said Feng Yiping.

TED spread refers to the difference between the three-month interest rate of Eurodollars and the three-month interest rate of U.S. Treasury bonds. It is the most important risk measurement indicator reflecting the international financial market.

When the TED spread value goes up, it means that market risks are expanding, market funds are tightening, bank borrowing costs are increasing, and corporate borrowing costs are also increasing, which means that credit conditions are tightening.

"We all know that under normal circumstances, the TED spread is generally 20-40 basis points, but what is it now? It is still close to 200 basis points,"

"This shows that the financial market is still in a tight state, and no one is willing to borrow, that is, liquidity is still not optimistic, and we all know the importance of liquidity to many financial institutions,"

Liquidity is a word that many American economic novices have heard more than once, and it is also the aspect that financial institutions in the United States and most countries in the world care about most at present.

Because the essence of liquidity can be said to be confidence.

And even a financial novices can understand how important confidence is to the financial system.

To put it bluntly, if all depositors do not trust banks, what will happen?

Then there will be a run on the bank, and everyone will withdraw the money they deposited in the bank... No matter how powerful the bank is, it will collapse.

"The financing dilemma of Wall Street has indeed not changed," Bloomberg glanced at Feng Yiping, with some extra meaning.

Feng Yiping saw his eyes and smiled, "I think the actual situation may be worse than we know,"

"How do you say it?" Although Feng Yiping did not mention the topic he wanted to mention, Bloomberg was still very interested in his words.

"Although from July last year to now, according to the figures disclosed by various financial institutions in the United States, their total losses are about 150 billion US dollars, but I think, in fact, their losses are higher than this," Feng Yiping said.

"Some of them will definitely hide their losses first and not put them all in the balance sheet,"

"You should understand this approach," he asked.

"This is something that Wall Street will definitely do," Bloomberg said, "those damn guys."

Although he was born in Wall Street, Bloomberg has never had a good impression of Wall Street.

When he graduated from Harvard Business School, he should have been able to enter the top-notch Goldman Sachs or Morgan Stanley on Wall Street, but in the end, he could only go to Salomon, which was of average strength.

Because Goldman Sachs and Morgan Stanley at that time were very similar to some units in our country at that time.

Whether you can get in or not does not depend on which school you graduated from, whether your grades are good or not, or whether you have high ability.

What they care about mainly is your origin and relationship, that is, who your father is, or who your father-in-law is...

Bloomberg, who came from a civilian family, naturally did not have such conditions.

But even Salomon didn't treat him well later.

After working at Salomon for 15 years, Bloomberg, who had become a partner, was kicked out by the new owner because Salomon was acquired.

And that year, he was 40 years old.

The hesitation of middle-aged unemployment can be understood by thinking about it...

So his opinion on Wall Street can also be understood by thinking about it.

"So Feng, when do you think the most difficult time might come?" Bloomberg asked.

"It's hard to say. It may be tomorrow, when we will learn that another well-known company on Wall Street is in crisis,"

"Or next month, or the third quarter," Feng Yiping said, "but this is also a good opportunity for you and me, isn't it?"

Bloomberg was excited because Feng Yiping talked about the topic he wanted to talk about.

"I heard about your intentions for Hilton, that would be a good idea," Bloomberg said.

"It's hard to say at the moment," Feng Yiping didn't talk much about this issue, "but don't you think this is a good time for you to buy back shares from Merrill Lynch?"

"You know, we are preparing to settle our CDS income with investment banks recently, and our income from Merrill Lynch is close to 3.4 billion US dollars,"

"You must know Merrill Lynch's suggestion,"

Merrill Lynch's suggestion is that in addition to their loans to Blackstone, the remaining amount payable to Feng Yiping and others should also be offset with some of their shares or bonds.

Feng Yiping immediately took a fancy to Merrill Lynch's shares in Bloomberg.

That was when Bloomberg started his business. Merrill Lynch spent $30 million to get 30% of Bloomberg's shares.

"Yes, I know," Bloomberg said.

This is the main topic they are going to discuss today.

"If you accept, I certainly hope to acquire your company's shares from Merrill Lynch," Feng Yiping said.

"I think it is also beneficial for Bloomberg to introduce shareholders like me."

This is not the time to be modest.

Bloomberg also understands this. "Of course, in terms of understanding the subprime mortgage crisis, grasping the progress of the crisis, and responding to it, from the current point of view, no expert is better than you,"

He looked at Feng Yiping, "If you check for us, it will greatly improve our authority on relevant hot issues, so there will definitely be more people who choose to become our users,"

"No, Michael," Feng Yiping shook his head. He would not agree with Bloomberg on such an issue. "You know, even if you agree to let me transfer part of your company's shares, I don't have the energy to ask about these matters,"

He noticed that Bloomberg was much more relaxed.

Feng Yiping thought, I said it!

How could Bloomberg, who almost holds all the company's shares in his own hands, be happy for someone to intervene in his company's affairs?

Even someone like Feng Yiping, or especially someone like Feng Yiping.

Fortunately, he didn't follow his words.

"Look, even most of the companies I acquired still rely on the original team,"

It has to be said that the success of Feng Yiping's acquisitions and investments in the companies will really give him a lot of points at such a time.

As a founder, no one wants the new shareholders of his company to threaten his position and then take away his company.

Such things are no longer news.

And Feng Yiping, let alone investment, even if he successfully acquired some companies, the original founder still has a lot of autonomy.

"Not only in Silicon Valley, but also in the United States, many company leaders are very envious of Google, because they not only found an excellent investor like you, but also got an unparalleled strategic director," Bloomberg said again.

Feng Yiping thought that this was probably the model that Bloomberg wanted.

"I have to admit that I always seem to have some ideas in this regard, including the development of Bloomberg. I also have some ideas. I hope to have the opportunity to discuss with you in the future."

This aspect is Feng Yiping's most attractive soft power, so he is certainly prepared for it.

"In short, Michael, just like I invested in NAVTEQ, just like I invested in Skype, or just like I invested in Google, I will provide the best help for the company's development, but I have never had the interest and energy to intervene in specific matters,"

"You also know that I attach great importance to the development of the content market, and in terms of financial content, Bloomberg is naturally the best, so I hope to acquire some shares of your company from Merrill Lynch,"

"This will not only ensure that I get back the return of my fund, but I also think that at this stage, my becoming a shareholder of Bloomberg will be more conducive to the development of Bloomberg than shareholders like Merrill Lynch,"

This is natural. Merrill Lynch will definitely be busy in the future, how can it compare with Feng Yiping.

"I suggest you again that now is a good time to buy back Merrill Lynch's shares in Bloomberg, and I can even provide you with financial support," he said.

"Can you tell me about your ideas?" Bloomberg was more interested in this.

"After the ratio is determined, I think I will be very happy to discuss this issue with you," Feng Yiping smiled.

Of course, we have to wait until everything is confirmed before we can talk about the hard stuff.

"Well," Bloomberg was a little disappointed. Why can't we talk about it first?

"I agree with your proposal. Now is indeed a good time for us to buy back shares. We will work out an overall plan as soon as possible,"

This means that he still needs time.

"I fully understand," Feng Yiping said.

That does take time.

They need to consider comprehensively how much of the 30% of shares held by Merrill Lynch they plan to buy back.

At least, they also have to raise funds and determine the appropriate repurchase price and timing.

And it is estimated that only after the repurchase ratio is determined, they can determine how much Feng Yiping can receive from Merrill Lynch.

However, Feng Yiping believes that although he still seems to have some concerns, Bloomberg should agree to his becoming a shareholder of Bloomberg in the end.

Because, what strong reasons can he find to oppose?

Where can I find someone as good as me!

And he really hopes to become a shareholder of Bloomberg through this.

Although Bloomberg's revenue is lower than Reuters' at present, the former's gross profit margin is as high as 30%, while the latter's is less than 20%.

Therefore, Bloomberg is really a profitable company, otherwise, Bloomberg would not have a net worth of more than 40 billion US dollars.

This is why Feng Yiping proposed to Lloyd yesterday that they could use the shares of some companies they hold to offset cash, because these companies on Wall Street do have a lot of high-quality resources. If you just dig them, you might dig out a piece of gold.

It happened that the waiter came to serve the dishes at this time, and Bloomberg asked Feng Yiping, "How many days will you stay in New York?"

"I want to go to Hollywood as soon as possible, maybe in the afternoon."

Bloomberg is worthy of being the founder of Bloomberg. He thought about it and smiled, "Is it related to that incident?"

Feng Yiping nodded, "Yes,"

This is the news that Wu Qian just showed him.

Bloomberg shook his head, "Those guys in Hollywood,"