News of the Thai government's surrender, delivered in the early morning hours, was met with cheers from hedge funds across Wall Street, who raised their glasses in a victory toast.
The Eldorado Fund was no exception. The entire office was buzzing with excitement after making a massive profit from shorting the Thai baht.
"Good morning!"
"Morning!"
Jung Hwan-yeop placed his briefcase on his desk and exchanged a wry smile with Choi Ho-geun, taking in the festive atmosphere around them.
"Wow. Feels like a party in here."
Taking off his jacket and draping it over his chair, Choi replied dryly,
"They made a fortune betting against Thailand. Wouldn't you be celebrating too?"
"Fair enough."
Jung scratched the back of his head, a sheepish grin spreading across his face.
"I heard on the news that Thailand lost over 20 billion dollars from the hedge fund attacks?"
Hong Jae-hee, who had entered with Yoo Seok-hyun, chimed in as she sat down.
Pinned to her chest was a sparkling brooch—an accessory she had splurged on recently at one of the luxury designer boutiques on Madison Avenue. The brooch, made up of layered tiny flowers adorned with pearls and small diamonds, gave off a charming, elegant vibe that suited her well.
Choi turned his gaze toward the large digital market board mounted on the opposite wall.
[THB: 33.05 (▼5.35)]
The baht had dropped another full unit since the breaking news he'd seen earlier that morning.
Watching the Thai currency plunge endlessly, Choi couldn't help but be impressed once again.
He turned to his team and said,
"Once you factor in the dollars spent by the three Southeast Asian central banks that tried to defend the baht alongside Thailand, the total losses will be even bigger."
"They said those three countries spent over 12 billion dollars combined, right?"
Jung quickly followed up, and Choi nodded.
"That's what I heard too."
"Not even Korean won—we're talking about 1 billion, 10 billion dollars being thrown around like pocket change. It honestly feels unreal, like we're living in another world."
Yoo let out a hollow laugh.
"Right? Same here. Makes all the trades we did back in Yeouido feel like child's play."
Jung leaned back with his fingers laced behind his head, letting out a sigh.
Normally, Choi would've scolded that kind of talk, but he felt the same today. Words failed him.
Instead, he silently watched the sprawling, bustling trading floor before them, his eyes filled with mixed emotions.
Then Hong Jae-hee looked around at the others, curiosity in her voice.
"So, how much do you think Eldorado Fund made from this bet?"
"I don't know the exact figure, but from what I've been watching, I'd guess they invested at least over 10 billion dollars. Don't you think so too?"
Jung looked to Choi for confirmation.
"Sounds about right."
"Wow. Ten billion dollars. Just saying it out loud feels ridiculous. I mean, how much is that in Korean won?"
Yoo quickly did the mental math and replied,
"As of yesterday, the dollar-won exchange rate was 840 won... whoa. That's 8.4 trillion won."
"What?!"
Jung Hwan-yeop looked like he was about to fall out of his chair in shock.
"8 trillion? Not billion—trillion? That's insane!"
Hong Jae-hee gasped, her eyes wide in disbelief.
"Then even with just a 10% return, they made 840 billion won from that one bet?"
"Phew... This is just a whole different league. Right, sir?"
Jung shook his head as if the sheer scale was too much to take in.
When Choi Ho-geun didn't say anything and just let out a wry smile, Jung glanced at the baht exchange rate flashing on the large market board and asked cautiously,
"Their return must've been well over 10%, right?"
Choi shrugged and replied,
"Can't say for sure. But they started shorting when the baht was around 24 to the dollar. So even generously, their average entry point probably wasn't higher than 26."
"And now it's over 33 baht per dollar. Damn…"
The sheer size of the profit was so staggering, none of the four could find words.
Even Jung, who normally had something to say about everything, was left speechless, exhaling like someone who'd just been hit with a cold gust of wind.
Just then, Mason walked in with a grin, wearing a crisp white dress shirt and a luxurious deep-purple tie.
"What's everyone talking about?"
Choi made eye contact and greeted him with a nod.
"We were just talking about the baht."
"Oh, that? What a wild ride, huh?"
Mason raised one corner of his mouth in a sly smirk.
Jung mirrored his energy, giving a big thumbs-up.
"It was incredible! Now I get why you said it'd be a great show."
"Thailand put up a tougher fight than expected, but once the Wall Street hedge funds set their sights on them, the outcome was basically inevitable."
Mason chuckled smugly, unable to hide his self-satisfaction.
Though a bit annoyed by Mason's attitude, Choi had to admit—grudgingly—it was hard to argue with the results.
"By the way, I heard you're heading back to Korea next week. Is that right?"
"Actually, I was going to mention that. I'll be here through Wednesday, then I'm flying back."
"That's a shame. We've gotten pretty close."
When Mason looked genuinely disappointed, Choi responded with a warm smile.
"We feel the same. Thanks for all your help during the training period."
"I've really enjoyed getting to know you guys. How about grabbing a drink before I go?"
Jung practically jumped at the suggestion.
"That sounds great! I'll make you a proper round of those 'bomb shots' you liked last time."
"Ah, the 'Korean cocktail'! That stuff was amazing. You've gotta teach me how to make it before I leave."
"To make a proper 'whirlwind shot,' it's all about the wrist snap. It's no joke to master, though. Here, watch this."
Jung mimed the swirling motion in the air, spinning an invisible shot glass.
Mason tried to mimic him, his version clumsy but enthusiastic.
"Like this?"
"No, no! You've gotta snap your wrist more—spin it hard, but not so much that the glass shatters when you slam it down on the table. Then, the key part is tossing the napkin that was covering the glass straight up and sticking it to the ceiling."
"Oh! Okay, okay. Got it."
Mason mimicked the motion, swirling his wrist around enthusiastically like Jung Hwan-yeop had shown him.
"I can't believe this is what he's taking the time to teach—how to make a bomb shot," Choi Ho-geun muttered, rubbing his forehead at the ridiculous sight.
Beside him, Yoo Seok-hyun and Hong Jae-hee were giggling like mischievous kids, clearly infected by the silliness.
Turning his head away, Choi looked out over the bustling trading floor with a tinge of sentimentality.
His stay had been extended far beyond the original plan, but he'd learned and experienced so much in that time.
He had a feeling this would be one of those memories that lingered in his mind for a long while after returning to Korea.
***
"As you predicted, Boss, now that Thailand has fallen, the Philippines is starting to show serious signs of instability."
Seok-won, seated on a large sofa in the spacious executive office, set his teacup down and began the report.
"The Philippine central bank has doubled the short-term lending rate to commercial banks from 12% to 25%."
Landon chimed in with a smile.
"Yes, they're trying to prevent foreign capital flight and attract more inflows by taking preemptive measures."
"It was a quick move, but it's unlikely to have much effect," Seok-won replied with a skeptical tone.
Andrew, wearing his signature suspenders over a dress shirt, nodded in agreement.
"Higher interest rates won't help much if the economy collapses under hedge fund attacks and the peso plummets. If it were me, I'd pull my money out too."
"Exactly. No matter how high the interest is, if the peso depreciates, foreign investors will have to convert their returns back to dollars. The currency loss could wipe out all their gains—it's too risky."
Andrew adjusted his glasses with one hand and gave a slight nod.
"If the Philippine government ends up abandoning its fixed exchange rate system like Thailand did, foreign investors will rush to pull out even faster. And instead of bringing in dollars, the government will face a surge in outflows."
Listening to this, Landon looked at Andrew with renewed respect.
"If their foreign exchange reserves shrink as a result, then as you predicted, the hedge funds that made a killing on Thailand will naturally shift their sights to the Philippines."
Andrew, too, was deeply impressed by Seok-won's foresight—he had anticipated all this well before Thailand threw in the towel.
But Seok-won, legs casually crossed and leaning back in his seat, simply responded with a calm tone, as if it were obvious.
"Contrary to what the government intended, this rate hike will just increase the burden on banks and corporations, pushing an already fragile economy further into the ground."
Andrew leaned forward, speaking with urgency.
"If the Philippines is almost certainly next, should we start shorting the peso now?"
Seok-won didn't hesitate. He nodded firmly.
"The earlier we move, the bigger the profit. Let's proceed."
"Understood. How much should we bet?"
"We've got $12 billion riding on the baht short, right?"
"Yes, that's correct."
Seok-won lowered his gaze in thought for a moment before giving his answer.
"The Philippines will be easier than Thailand. Let's go in lightly—around 3 billion dollars."
Landon looked slightly disappointed as he spoke up.
"We still have plenty of surplus capital. Wouldn't it be okay to increase the bet a bit?"
Andrew, seemingly of the same opinion, glanced at Seok-won, but Seok-won shook his head.
"We could, but we won't see the same level of returns as we did with Thailand."
As the two men looked puzzled, Seok-won explained.
"You both know that the Philippines is already under IMF supervision, right?"
Landon immediately caught on.
"So if the situation deteriorates, the IMF will likely step in quickly."
"Exactly. Unlike Thailand, the Philippine government wouldn't hesitate to reach out to the IMF. It would be an easier choice for them."
Andrew paused to think, then nodded in agreement.
"That makes a lot of sense now that you mention it."
Having been all hyped up expecting another big hit, Landon clicked his tongue in mild frustration.
"If the IMF intervenes, the peso will stabilize quickly."
Seok-won smiled slyly at Landon's wistful expression.
"Even if the Philippines manages to weather the storm, we can make up for it elsewhere. There's no need for regret."
Andrew's eyes lit up behind his glasses.
"With Malaysia, Hong Kong, and Singapore all lined up next, skipping over the Philippines is no big deal."
"Whew, looks like we're going to be very busy for a while," Landon said, rubbing his palms together in anticipation.
"If the peso crashes, it'll also drag down the Thai baht even further. Let's hold our positions for now."
"Understood," Andrew responded immediately.
"Even if I'm away, I trust you two can manage things well. And if anything changes, reach out to me right away."
"Don't worry. With you laying all the groundwork, if we can't capitalize on it, we'd deserve to lose our seats."
"We'll do our best to make sure you won't be disappointed."
Landon laughed heartily, and Andrew looked equally reliable and confident.
As Seok-won watched them both, something seemed to occur to him, and he turned to Landon.
"By the way, what happened with that thing I asked you to check on?"
"You mean the stock-backed loan?"
"Yes."
"There's no issue at all. With high-value stocks like Cisco, Microsoft, and Yahoo in your portfolio, there won't be any problems securing a loan."
"How much can we borrow?"
"They're willing to lend up to 60% of the portfolio value, so you could easily secure around 20 billion dollars."
Andrew glanced over, then cautiously asked,
"There's still a lot of cash left in the fund accounts—why take out a loan backed by stocks?"
Landon seemed curious about that as well.
Seok-won looked at them both with a knowing expression and replied,
"There's going to be a time when I'll need a lot of dollars."