Blackstone Code-Chapter 433: We Never Lose Money

“Mr. Lynch, please follow me.”

After a brief greeting, Karl led Lynch toward the elevator. This wasn’t the place for serious business, but some other matters could be discussed.

“When George called me, I was honestly surprised. I didn’t expect someone like you to be connected with him out in such a remote place. You’re truly enviable!” Karl praised George while elevating Lynch even more—an indirect flattery that felt subtle and less offensive.

“George is an interesting man who helped me greatly when I was starting my career.” As they reached the elevator, the doors slid open.

Inside stood a smiling blonde elevator attendant. Her back faced Lynch and Karl, and whether intentionally or not, her skirt was clearly a size too small—tight enough that the outline of her underwear was visible.

Sometimes such a glimpse could be unappealing, even improper, but sometimes it carried a certain allure.

Both men’s eyes lingered briefly on her skirt before looking away. Elevator attendants like her only appeared in places like this; nowhere else. She was a kind of bright scenery.

…While we stubbornly decorate our shelves with plaster vases worth eighty and glass vases worth one, the capitalists have already turned our girls into mere vases. This is a shameless society… This quote came from a sociologist’s book that didn’t sell well but was thought-provoking.

The elevator did not stop on the way up—it was not for ordinary people, who had no right to ride it. Though there was another elevator on the other side of the lobby staffed with workers with disabilities, the divide between the two was insurmountable.

Lynch didn’t know that from the lowest cleaners to middle managers, everyone in the bank took pride in riding this elevator. Getting on it meant you had been granted an audience with the bank’s senior management.

The elevator stopped on the ninth floor. The young, attractive attendant stepped out with a smile and bent forward politely.

From Lynch’s angle, he could see through her chest to the red dress she wore that day, yet she seemed completely unaware.

As the elevator doors slowly closed, Karl gestured for Lynch to follow him to his office. Smiling, he said, “Just over five hundred, quite a bargain, right?”

He was referring to the elevator attendant—just over five hundred Sol to keep the company’s middle and upper management in a secretive, guilty pleasure all day long. With such a pretty girl, it was indeed a good deal.

For men like Karl, the growing wave of feminism was meaningless. With money, he could bend most girls to his will. His attitude reflected that of the true upper class: proud, arrogant, and convinced a vast gulf separated them from the lower classes. They saw people like that only as embellishments, not equals. 𝕗𝕣𝐞𝐞𝘄𝐞𝚋𝚗𝗼𝘃𝗲𝗹.𝚌𝕠𝚖

Only those who could command their respect were considered human.

Karl’s office was spacious—over a hundred square meters—with a bar and a billiard table. Behind his desk, in a corner, was a door leading to a lounge.

Most senior executives in the federation had lounges in their offices. This was one reason why sexual dominance problems ran rampant in large corporations—they provided the environment that enabled it.

“Sit anywhere. Want something to drink?” He glanced at his watch. “Maybe something light…”

It was about two hours before lunch. Strong alcohol was inappropriate in the morning, coffee was not ideal, and there was no juice available. Light alcohol was a reasonable suggestion.

Lynch nodded. Karl poured him a drink and sat across from him. “I hear you want a higher leverage ratio?” He slid the glass toward Lynch.

Lynch barely touched it, only shifting the glass slightly before nodding. “Last time, I got leverage from the exchange, but it was too little.”

All three major exchanges in the federation had bank workstations and client managers whose job was to offer full financial services to stockbrokers and institutions. 𝙧𝔞ƝỘВÈꞩ

From fast mortgage loans to short-term and overnight borrowing, to providing various leverage ratios—they handled anything money-related that could earn profits.

Lynch contacted six banks, but they only offered between eight and ten times leverage. Any higher, and they refused.

Lynch understood; he hadn’t proven his skills yet. Low leverage was normal.

Banks preferred guaranteed profits over risky ventures.

Having passed the first hurdle, Lynch was ready to discuss the next.

“I’ve heard ten times isn’t even impressive anymore,” Karl said, but didn’t fully agree. Ten times was still substantial.

“To outsiders, ten times on ten Sol might seem like a hundred Sol. But Mr. Lynch, we’re talking about hundreds of thousands or millions. Ten times on a million is ten million. The risks in international financial markets are unpredictable—we often don’t have time to forcibly close positions.”

“Unless you can provide more guarantees.”

International trades involve slight delays—sometimes mere minutes—but enough for people to go from riches to ruin in a flash.

For example, someone with one million, borrowing nine million from the bank, reaching ten million total.

Three minutes ago, they made ten percent profit, doubling their initial one million. Without leverage, they’d need over 100% profit to achieve that.

With leverage, just ten percent profit means they can take home a million.

But due to delays, if the asset’s value drops five percent within five minutes, the bank forcibly closes the position to protect itself.

Five percent of ten million is five hundred thousand, ensuring the bank’s nine million is safe and it still earns fifty thousand profit per contract terms.

If fluctuations exceed five or ten percent—say fifteen percent—even if the bank closes immediately, the borrower loses their million and owes the bank an additional fifty thousand plus fees or interest.

The higher the leverage, the greater the risk. Banks can only tolerate 0.5% risk at 100x leverage, and 0.1% risk at 200x.

Without collateral or behind-the-scenes arrangements, banks wouldn’t casually offer hundredfold leverage. In international futures and forex markets, swings of around ten percent within short periods are common.

Even if an account seems profitable at closing, any sharp fluctuation could trigger forced liquidation and bankruptcy.

Karl believed ten times leverage already strained the bank enough. The economy was weak, and with government-promoted credit loans, banks were reluctant to risk too much cash on high-risk financial activity.

If Lynch wanted higher leverage, he’d need to offer guarantees.

Without assurances protecting the bank’s interests, Karl might only increase leverage to twelve or fifteen times—no more.

Lynch was silent for a moment, then took a document from his briefcase and placed it on the large coffee table, pushing it toward Karl.

Karl didn’t open it immediately. Instead, he studied the document and Lynch closely before slowly reaching out and asking, “What is this?”

“Money!” Lynch took a sip from his glass. “A lot of money.”

Karl laughed before he even looked at the document. His gaze lifted over the paper to Lynch. “I hope so too, but first, let me take a look…”

Lynch said nothing more. Karl examined the document carefully, setting it down a few times to make calls. Soon, a group arrived, apologizing as they gathered around the desk to audit the file.

Their expressions showed excitement mixed with tension. For a bank, a guaranteed profitable deal was always welcome.

They worked until nearly noon. After Lynch had been there over an hour, they reached a conclusion.

“Lots of money!” Karl said again, sitting back across from Lynch. “May I ask how you got this contract?”

Lynch shook his head. “No comment. It’s a business secret. Is it enough?”

Karl hesitated. He knew it was, but he had to act doubtful to negotiate a better price.

Before he could start the act, Lynch interrupted, “We both know its value. If you say no now, I’ll take it across the street.”

Across the street was another powerful bank, Prosperity Bank.