The journey starts from the Titanic

Robles Securities' expansion in Chicago is more challenging than casually in Boston and in San Francisco.As the world's largest agricultural product futures trading market, Chicago's financial market is much larger than Boston and San Francisco, and the competition is also fierce. This is only on Wall Street in New York.

Chicago’s financial activities are very active. Every year, hundreds of millions of tons of agricultural products are delivered through the Chicago Board of Trade. In any case, Robles Securities cannot ignore the important territory of Chicago.

Robles Securities began its futures trading business in Chicago a few years ago. At that time, Stuart invested in agriculture in several major agricultural states in California and Texas, and provided Robes with a lot of effective information. The futures business of the Chicago branch is developing fairly well.

Regrettably, the post-war depression in the United States was mainly concentrated in agriculture, and all Chicago futures transactions also caused heavy losses to many investors. Of course, this does not include Robles.

Since it can blaze a trail in the fiercely competitive Wall Street, it is not too difficult to have a place in the Chicago financial market.The agricultural recession has also seriously affected Chicago’s futures trading, which is a good thing for Robles Securities.

Robles Securities took the opportunity to initiate a forced acquisition of the Chicago Trust Company.The Chicago Trust Company has more than 10 million assets and is slightly larger than the Chicago branch of Robles Securities. It has a history of decades in Chicago and has a wide reputation.

If it can be collected, Robles Securities will become one of the top financial companies in the Great Lakes region. The Chicago Trust Company did not expect the war to end so quickly and accidentally bought a fortune from Stoney Agriculture. Multi-million-dollar meat futures for six months.

Now that the war is over and the prices of agricultural products have fallen sharply, the Chicago Trust Company has to bite the bullet and buy the hundreds of thousands of livestock that the Stoney Agriculture Company has thrown away like a hot potato.

Without the war orders, the supply of meat products was oversupply, and the products were unsalable. Chicago's meat producers did not dare to buy livestock on a large scale.

Now that the price of meat has fallen sharply, the livestock bought by the Chicago Trust Company at high prices have also become money-losing goods.

Not only did they fail to make money, they lost more than one million dollars, which was much more than the money they made during the war.

They didn't know that it was Robles Securities that was betting against them behind the scenes.The relationship between Robles Securities and Stone Agricultural Company was well concealed, and it was not discovered by the other party. At the time, everyone was optimistic about the meat market. The Chicago Trust Company was also recruiting normally, but it lost too badly this time. , Accidentally became the mouthpiece of Robes Securities.

The house leaks and rains all night, the Chicago Trust Company's investment failure caused a chain reaction. First, there was little liquidity left, the company's stock price fell along with the situation, and the bank kept calling for accounts.

The economic recession began with the banks. After the war, the American banking industry was in sorrow, and bankruptcy became a trend. Except for the bankruptcy rate of California banks, the bankruptcy rate was an average of 19%!Almost one in every five banks went bankrupt.

Most of these are small and medium-sized banks in the Midwest, and their customers are generally farm owners and small business owners. With the agricultural depression, it is not surprising that these central banks went bankrupt on a large scale.

The big banks will not go bankrupt. On the contrary, the situation is in their favor and they can easily acquire small banks that are on the verge of bankruptcy.

The bank that lends to the Chicago Trust Company is Continental Illinois, one of the most powerful banks in Chicago. It is listed as Chicago along with the other four: First Chicago Company, Harris Bank Company, Northern Trust Company and Bank of America Company The five major banking companies of the consortium.

"Damn it, all the bad things are all together!" A man in his 50s and 60s sat in the office with a bitter expression, cursing constantly.

He is Joe Fidis, chairman and president of the Chicago Trust Company. This company was the painstaking effort of his life, but at this time he had to make difficult choices.

The representative of the Continental Illinois Company just gave Phidis an ultimatum. Phidis still remembers the arrogant appearance of the other party: "If the Chicago Trust Company cannot repay the loan next month, then see you in the court!"

"Fortunately, the other party is not clear about the investment failure of the Chicago Trust Company. There is still a month left, otherwise it will be even more troublesome!"

Phidis grabbed his hair hard and frowned, thinking: If he can't find a good solution, he will bankrupt the Chicago Trust Company with a shortfall of hundreds of thousands of dollars on the book.

"Chairman, there is a representative of a financial company outside saying that he wants to see you..." The secretary walked in.

"No, say I'm not here." Phidis waved impatiently, thinking that he might be collecting debts again.More and more people with these money came to collect debts, and some bad rumors began to circulate in the company.

The secretary walked out with some worry, and after a while, walked in again.

"What's the matter?" Phidis stared at the secretary sternly, with reproach in his eyes.

"The other party said he was here to give money, and said..." The secretary took a careful look at Phidis, and continued to muster his courage. "If you don't see him, wait for bankruptcy!"

"Which company does he belong to?" Phidis asked.

"Robos Securities Company" said the secretary.

"Okay! Let him in!" Phidis nodded.

"This office is great! It's a pity that it won't belong to you soon!" A twenty-seven-year-old man came in, with his head held up slightly, making a comment on Phidis' office, with a wicked smile, "Self Introduce it. Robles Mellon, President of Robles Securities!"

Robles Securities Company Phidis had heard of it, but he had no contact with him, and he was unfamiliar, but he was even more curious about the identity of this somewhat proud man in front of him.

"Are you from the Mellon family?" Phidis asked.

"Yes or not!" Robes smiled and thought: This Phidis knows a lot about the American family!

"I have that surname, but I don't work for that surname. I am representing Robles Securities, and now I am officially making an acquisition with the Chicago Trust Company!" Robles said straightforwardly.

"Don't dream, young man!" Phidis said disdainfully.I murmured secretly in my heart: I just sent the Continental Illinois Company, followed by Robes Company, when the Chicago Trust Company fell to the point where both cats and dogs came to get involved.

"Hehe. I'm not dreaming. I have acquired 22% of the shares of Chicago Trust Company, and I am now the company's second largest shareholder." Robles laughed.In fact, he now has only 5% of the shares.

"Well, young man, you make a price!" Phidis became serious, and was secretly surprised.

Robles opened his palm, then lowered his thumb again, believing: "4 million dollars!"

"This is not a good price! Young man, your courage is good, but the math is too bad." Phidis sneered.

"Oh! No, should I do more?" Robes shook his head, and continued: "I know that Continental Illinois is also interested in Chicago Trust, but I know more than them. For example, if I disclosed the news of the Chicago Trust Company’s failure in the futures market. I believe that tomorrow’s customers will be Chicago Company’s customers."

"You!" Phidis pointed his finger impolitely at Robles, and there was indeed a storm in his heart. Although he tried to stay calm, his complexion continued to change, and his complex emotions were instantly seen by Robles.

Seeing the other person sitting down and smoking in silence, Robles smiled. He knew that the founder of the Chicago Trust Company looked after the company like a child, and he could not bear to see the company go bankrupt.

As for the choice between Robles Securities or Continental Illinois, Robles has a lot of confidence to win over the other side.

Because the Continental Illinois Company knew that if the Chicago Trust Company failed to invest, it would never be willing to spend 4 million dollars to buy it.At the same time, other big companies that are just like mainland Illinois will not give up so much money.Calculating it, only Robles Securities has this heart and power.

"How did you know?" Phidis said with a frown.

"This is my secret. But what I can tell you is that I have much better information than you."

Naturally, Robles will not tell the opponent anymore. It is better to hide his hole cards if he keeps one hand.

"This is just a coincidence. No calculations, but I didn't expect the Chicago Trust Company to bet that big." Robles couldn't help but reveal it slightly.

"That's it. I understand. I want to think about it." Phidis said, guessing something in his heart.

Phidis's tone softened a lot, and Robles pierced the secret in his heart, and it felt like being caught by someone's lifeblood.

He couldn't imagine what it would be like if the inside story of the Chicago Trust Company were exposed.

Yesterday, a financial company in the next door went bankrupt. The company’s boss jumped off the building. Many customers who lost money in speculators also jumped off the building.When Phidis passed by, the bright red blood and watermelon-like head made him feel nauseous!

...

At the same time, in the remote California, San Francisco, Situ Nan was listening to Dennis Fargo excitedly introducing the situation of Wells Fargo.

"...Now Wells Fargo already has 30 branches throughout California, covering San Francisco, Los Angeles, Long Beach, San Diego, Sacramento and other large and small cities, with 1,500 employees and total assets of approximately US$250 million. The amount of funds that can be adjusted at one time is up to 50 million U.S. dollars. This money can be used to..."

Situ Nan nodded frequently, and suddenly asked: "How is Giannini's Italian bank? Can you eat it?"

Chapter 5 The Rich Country Expands Again

Compared with the national average bank failure rate of 19%, the California banking industry's 4% bankruptcy rate is negligible.The reason why California's banking industry has performed so well.The reason is that California's banking industry implements a branch system.

Wells Fargo Bank is one of the representatives.It has established 30 branches in major cities in California. It is not necessary to mention the strength. What's more important is that each branch is like a bank risk firewall. The accident of one branch does not affect the normal operation of other branches.For example, Wells Fargo Bank is like a big ship, and each branch is like a watertight tank. Even if a few watertight tanks are broken, as long as the number of watertight tanks is not exceeded, the boat can be guaranteed not to sink.