Jiangnan Water Town
In a restaurant nestled within an environment of artfully arranged artificial mountains and streams, the gentle sound of flowing water filled the air. The private dining area, shaped like a flat-bottomed boat, created a tranquil and unique atmosphere.
At the dining table, dishes inspired by Jiangnan cuisine were exquisitely crafted and aromatic.
Unable to hold back any longer, Zhang Jingshan broke the silence as he glanced at Ye Chen, who had been quietly eating.
"Ye Ge, what exactly is this 'financial opportunity' you mentioned? And how is it related to Sihai Group?"
Hearing this, Ye Chen set down his chopsticks, rinsed his mouth with lemon water, and wiped his lips with a napkin. Only then did he respond slowly:
"Short selling Sihai Group."
"What?!"
Zhang Jingshan almost spat out his drink in shock.
"Short selling Sihai Group? Are you serious?"
The idea sounded utterly absurd. Sihai Group was currently thriving in the stock market. While its stock price had seen only limited gains recently, its steady upward momentum made it one of the most stable stocks in the market.
"Ye Ge, are you joking? Are you sure you know what you're talking about?" Zhang Jingshan couldn't help but question Ye Chen's knowledge of the stock market.
In the current financial climate, no one would dare short Sihai Group. In fact, there were hardly any voices doubting its prospects. To suggest shorting it seemed either ignorant or downright insane.
"Ye Ge," said Li Changfeng in a calm but cautious tone. "You may not be aware, but Sihai Group's value has surged over the years from its initial market capitalization of 4 billion to over 16 billion now. Even during a few bearish periods in the overall market, their stock barely dipped and quickly rebounded.
"Given these conditions, short selling Sihai Group isn't just unwise—it's suicidal. There are no signals or indicators suggesting any impending downturn in their stock."
Zhang Jingshan, trying to make sense of Ye Chen's suggestion, decided to explain the concept of short selling just in case.
"Ye Ge, short selling means borrowing shares from a broker to sell them at the current price, then buying them back later at a lower price to return to the broker, profiting from the price difference. For example, if Sihai Group's stock is priced at 40 yuan per share, and we borrow and sell 1 million shares for 40 million yuan, then buy them back later at 20 yuan per share, we'd make a profit of 20 million.
"But based on the current market, there's no sign of their stock falling. Short selling now would just be throwing money away."
Ye Chen chuckled, slightly amused. "Do you really think I don't understand what short selling is? I may not have your formal education, but I'm not clueless."
While Ye Chen understood their skepticism, he smiled knowingly. Given Sihai Group's current dominance, anyone suggesting shorting it would indeed seem insane.
"So why...?" Li Changfeng asked, clearly baffled.
"Wait a second," Zhang Jingshan exclaimed, as if a realization struck him. "Do you know some inside information? Something about trouble brewing for Sihai Group?"
Ye Chen smirked but said nothing to confirm or deny it. Of course, he knew the truth. He had submitted detailed evidence to the inspection team, and it was only a matter of time before Maple Leaf Hotel—a business deeply entangled with Sihai Group—was raided.
Once Maple Leaf fell, Sihai Group would be implicated, and their connections with a certain high-ranking official would be exposed. The resulting scandal and public outcry would lead to a catastrophic decline in Sihai Group's stock price.
In his previous life, Sihai Group's shares had plummeted from over 40 yuan to less than 10 yuan in a matter of days, setting a record for the fastest stock crash in domestic market history.
But Ye Chen kept these thoughts to himself. "I've pointed out the path," he said cryptically. "Whether you believe it or not is up to you."
He pulled out a bank card and handed it over.
"Jingshan, Changfeng, here's nearly 28 million yuan. Keep a small portion for expenses, but I want the rest—27.5 million yuan—used to short Sihai Group."
"Ye Ge, you..."
"Ye Ge, are you serious?"
The two men spoke simultaneously, their faces filled with shock. They knew this was Ye Chen's entire fortune. To risk everything on shorting a thriving stock seemed unthinkable.
"I've never been more serious. If you trust me, seize this opportunity," Ye Chen said with a calm smile.
"I... I'll think about it," Zhang Jingshan said hesitantly.
"Ye Ge," Li Changfeng added, "if you're truly set on this, I'll handle the trades for you. But are you sure you don't want to reconsider?"
"No need. I'm afraid if I hesitate, I'll miss the chance," Ye Chen replied with a laugh.
The two men exchanged uncertain glances. Ye Chen's unwavering confidence left them deeply conflicted.
After dinner, as Zhang Jingshan and Li Changfeng drove Ye Chen home, the two remained lost in thought.
"Jingshan, what do you make of this? Is Ye Chen out of his mind, or does he know something we don't?" Li Changfeng asked, breaking the silence.
Zhang Jingshan exhaled heavily, as if resolving something. "Tell me, Changfeng, under what circumstances would you risk your entire fortune to short a popular stock?"
"I wouldn't. No one would," Li Changfeng replied immediately.
"Exactly! Which means Ye Chen's certainty must go beyond 100%. Think about it—this is his entire livelihood. For someone in his position to take such a gamble, he must have absolute confidence," Zhang Jingshan said.
"You're not saying you're going to follow him, are you?" Li Changfeng asked, stunned.
"I am. He's proven himself too many times. I'll put in 20 million. Will you join me?" Zhang Jingshan said, determination in his voice.
Li Changfeng stared out the window, wrestling with his rational instincts.
"I'll throw in 10 million," he said at last, breaking his own logic.