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Politics : Welcome to Slider's Dugout -- Ignore unavailable to you. Want to Upgrade?


To: SliderOnTheBlack who wrote (3004)10/25/2006 11:40:14 AM
From: Kpainfish  Respond to of 50602
 
So I guess we have to find a way to invest in Chinese banks. Perhaps a broker that deals with the Hong Kong stock exchange. Or one could just invest in Goldman Sachs LEAPS? I don't know what to do. Bad genetics kicking in. Any suggestions?



To: SliderOnTheBlack who wrote (3004)10/25/2006 12:52:03 PM
From: redfrecknj  Read Replies (1) | Respond to of 50602
 
Paulson "smackdowm":

Message 22866803



To: SliderOnTheBlack who wrote (3004)10/25/2006 4:02:47 PM
From: CapitalistHogg™  Respond to of 50602
 
Yuan ends at 7.9020 to us dollar vs 7.9025 in OTC trade

<<Forex???>>

forbes.com


BEIJING (XFN-ASIA) - The yuan ended at 7.9020 to the dollar on the over-the-counter (OTC) market compared with 7.9025 yesterday, dealers said.

On the exchange-traded market, the yuan ended at 7.9000, compared with Tuesday's 7.9020.

The central bank set the yuan central parity rate at 7.9007, compared with the midpoint of 7.9049 yesterday.

The People's Bank of China allows a trading band of 0.3 pct on either side of the midpoint.

On Jan 4, China launched an OTC system for the interbank foreign exchange market, allowing market participants to make currency trades on credit without the intervention of a third party.

Previously it relied exclusively on an automatic price-matching system, overseen by a centralized government trading center, known as the exchange-traded market.



To: SliderOnTheBlack who wrote (3004)10/26/2006 8:10:25 AM
From: Bart007  Read Replies (1) | Respond to of 50602
 
By the way SOB, what ever happened to your scenario where the US was going to destroy China economically via high oil prices, etc. The table that you used to slam your fist to make that story is still all splintered because you slammed it so hard over and over again. Now the US is in bed with China. So which is it?

To: c.hinton who wrote (2999) 10/25/2006 7:20:22 AM
From: SliderOnTheBlack 2 Recommendations Read Replies (3) of 3035

Damn it c.hinton -- you're HOT on the trail.

You gotta be part bloodhound...

Goldman raking in billions of dollars in it's single
most profitable trade since the founding of the
company in 1869.

And it only took them 6 months to do it!

-- whodathunkit?

Trust me...this is only the beginning.

And Goldman's not after billions.

They're after trillions.

The world is on the precipice of one of the greatest
shifts of power and wealth in modern history.

I've only hinted at half of the story. The money
making touchstones...you must find for yourself.

Nothing that is given away for free - is ever held
at high value.

If you think the Q's, the DOW, and playing dead-cat bounces
in commodity stocks is where the money is... I can only
say -- Thank You, because that leaves mo-money for me.

And I be all about -- mo-money.

Nothing is ever as simple as it seems...and this
isn't simple. You've been given enough (for now) that
even with a small grubstake...if you THINK and don't
follow the madness of crowds, or get doomed by your
own greedy DNA... maybe, just maybe...you'll finally
find that pot of gold at the end of your rainbow.

I found mine in a serendipitous conversation over
lunch at Mama's on Lyford's Cay.

It opened a door that changed my life.

It would be bad...very bad Karma; not to give
something back.

You've been given a start...and enough for now.

Later,

$lider

PS: Always remember "The Goldman Twins" connection...

bloomberg.com

Goldman Sachs China Bank Gambit Proves Biggest Investment Gain

By Cathy Chan and Adrian Cox

Oct. 23 (Bloomberg) -- Goldman Sachs Group Inc. has managed to do in China what nobody on Wall Street has done anywhere: earn almost $4 billion from a six-month-old investment.

That, at least, is the profit so far on the $2.6 billion Goldman put up for about 5 percent of Beijing-based Industrial & Commercial Bank of China Ltd. ICBC's record initial public offering now values the nation's largest bank at $129 billion.

While Goldman and investors in its private equity funds are prohibited from selling their ICBC shares for three years, the gain of $3.9 billion would be the biggest for New York-based Goldman on any trade since it was founded in 1869, according to people with knowledge of Goldman's investments.

The ICBC grubstake is ``a move that Goldman wouldn't have made in the old days because it didn't have the interest or the experience or the capital or the nerve to make those kinds of investments,'' said Roy Smith, a finance professor at New York University in Manhattan, who ran Goldman's London office in the 1980s.

The China bonanza is the result of more than 70 visits by former Goldman Chief Executive Officer Henry M. Paulson Jr., who became the 74th U.S. Treasury Secretary last June.

[READ THE PREVIOUS SENTENCE AGAIN, PRINT IT OUT AND TAPE
IT TO YOUR MONITOR SCREEN.]

Goldman is poised to earn more fees than its global competitors in the world's most-populous country because it is the only foreign securities firm allowed to both trade stocks for brokerage clients and arrange share sales for companies.

Beating Soros

Goldman, which has been the most-profitable securities firm since 2004, relied on its so-called principal investments for $1.4 billion, or 5.1 percent, of revenue in the first three quarters of this fiscal year. The company in April purchased its stake in ICBC, whose shares start trading on Oct. 27.

``At this point, the investment looks great but Goldman isn't cashing out of the deal,'' said Jay Ritter, a professor of finance at the University of Florida in Gainesville. ``There is still political risk,'' as well as an unpredictable business and legal environment in China, he said.

Unless the stock market plummets, Goldman's ICBC profit would dwarf the $1 billion that billionaire George Soros pocketed in September 1992 from his bet against the British pound. Goldman's expected bounty also surpasses the $3.7 billion that it has secured in less than four years from a $1.28 billion investment in Sumitomo Mitsui Financial Group Inc., Japan's third-largest bank. Goldman recorded a $261 million profit from the stake in the Tokyo-based bank in its third-quarter revenue statement.

The ICBC windfall also exceeds the more than $1 billion that Goldman and New York-based rival Morgan Stanley shared last year from selling stakes in China's Ping An Insurance (Group) Co., a stake they bought for $70 million in 1994.

Goldman Funds

The Sumitomo Mitsui and ICBC deals were financed with a combination of Goldman's own money and investments by partners, institutions and wealthy clients. About $1.65 billion, or two- thirds, of the investment in ICBC was from funds managed by Goldman as of Aug. 25 and the rest was the firm's capital.

China gave Goldman favorable terms for the stake in ICBC because of an understanding that Goldman would cooperate on business ventures with ICBC, said Ritter of the University of Florida. ``They weren't merely passive financial investors because they're putting their sweat equity into the deal as well,'' he said.

Lucas van Praag, a Goldman spokesman, said the ICBC stake is a ``strategic investment.'' He declined to comment further.

Allianz SE of Munich, Europe's largest insurer, and New York-based American Express Co., the fourth-biggest U.S. credit- card issuer, together bought $1.24 billion of ICBC shares before the $19.1 billion IPO. Like Goldman, they're also poised to more than double their money.

Bank Stocks

Shares of Bank of China, China Construction Bank and Shanghai-based Bank of Communications Co. appreciated 70 percent on average since they sold shares to the public in mid-2005. Bank of America Corp. earned more than $1 billion from an investment in China Construction Bank Corp. and Royal Bank of Scotland Group Plc showed a $1 billion profit from Bank of China Ltd. during the past one-and-a-half years.

In all, 53 banks have gone public worldwide since the beginning of 2003, according to data compiled by Bloomberg. Only 11 are trading below their initial offering valuations.

China's $2.2 trillion economy grew 10.4 percent in the third quarter from a year earlier. It has expanded at an annual rate of more than 6 percent and outpaced the U.S. and Europe every year since 1991. The nation's stock market may quadruple to $1.9 trillion by 2010 from $402 billion at the end of 2005, according to a Sept. 15 report published by Zurich-based Credit Suisse Group.

Gao Hua

Global financial companies, including UBS AG of Zurich, Bank of America of Charlotte, North Carolina, and London-based HSBC Holdings Plc, have spent $19 billion since 2001 for stakes in Chinese commercial banks as the government opens the capital markets by selling shares to investors.

Goldman also is competing to break into China's nascent investment-banking market. Two years ago, Goldman locked in its ability to sell and trade securities in mainland China when it spent about $200 million to set up brokerage Beijing Gao Hua Securities Co. and an investment-banking affiliate.

To operate an investment bank in China, overseas firms need a license to underwrite stock and bond sales. They need a separate brokerage license to trade securities. Only Goldman, Paris-based BNP Paribas SA and CLSA Ltd., Asia's biggest independent brokerage, have underwriting licenses and just Goldman has an operating brokerage license as well.

Foreign firms are restricted to owning 33 percent of an investment-banking venture and 20 percent of a brokerage. China last month closed the window on future partnerships by barring any more overseas firms from buying domestic brokerages.

`Foot in the Door'

By signing up veteran banker Fang Fenglei as a partner and providing a loan to create Gao Hua, Goldman obtained the underwriting and brokerage licenses and practical control of the venture without violating China's restrictions on foreign ownership. Fang, 54, co-founded China International Capital Corp., the country's first investment bank, in 1995 and ran the securities unit of ICBC. He now runs Beijing Gao Hua.

``Goldman's current foot in the door allows them to build up the necessary infrastructure for the future,'' said Glenn Henricksen, who previously worked at Bear Stearns Cos. and now heads Hong Kong-based CIF Consultants, which specializes in providing advice on credit risk.

UBS, Switzerland's biggest bank, plans to buy 20 percent of a domestic securities firm for $210 million to gain underwriting and brokerage licenses. UBS's partners have won preliminary approval to set up UBS Securities.

New York-based Merrill Lynch & Co., Morgan Stanley and JPMorgan Chase & Co. have said they want to set up local firms.

Ping An Sale

Goldman this year won its first underwriting assignment for an IPO in mainland China. Next year, the company will help arrange a $4.1 billion sale in Shanghai for Ping An Insurance.

Beijing-based China International, now run by Levin Zhu, son of former Premier Zhu Rongji, is this year's leading underwriter in the country with $2.07 billion of deals, Bloomberg data show. China International was among five firms picked to arrange ICBC's share sale.

``Goldman simply doesn't have the branch coverage to compete with Chinese brokerages,'' said Fraser Howie, co-author of ``Privatizing China: The Stock Markets and Their Role in Corporate Reform,'' published in 2003 by John Wiley & Sons Inc. The question is ``whether there will be preferential treatment for large, established Chinese brokers,'' he said.

Thornton's Role

This year, Goldman ranks second behind UBS in underwriting shares of Chinese companies outside the mainland, according to Bloomberg data. Goldman and UBS both worked on Bank of China's $11.2 billion initial share sale in June. UBS also advised BP Plc on the sale of a Russian affiliate to China's Sinopec in a deal valued at about $3.5 billion.

Goldman opened offices in Beijing and Shanghai in 1994 when it became the first overseas firm to get a license to trade dollar-denominated Class B shares on the nation's stock markets. The company, which now has about 140 bankers on the ground, promoted Richard Ong, 41, this month to run investment banking in Asia, including Goldman Gao Hua.

Paulson, 60, led Goldman in cultivating government officials since the mid-1980s. Paulson helped set up a nature reserve in Yunnan province. His onetime deputy John Thornton got to know future Chinese President Jiang Zemin when Jiang was mayor of Shanghai in the mid-1980s, said Smith, the former Goldman partner. Thornton, 52, left in 2003 to become the first non- Chinese professor at Beijing's Tsinghua University.

Paulson's Outlook

``The Chinese government views Goldman as a very important and reliable business partner,'' said Fang Zheng, a partner of New York-based Neon Capital Management LP, which has $450 million invested in emerging markets including China.

Goldman now earns about 60 percent of its revenue in the U.S., according to its financial statements. Chief Financial Officer David Viniar told analysts in June that ``non-U.S. businesses are growing faster than the U.S. businesses, with Asia growing the fastest.'' He didn't address China or Asia in his third-quarter presentation in September.

Paulson told investors at a financial-services conference in New York last November that ``as fast as this business is growing, we don't believe it can be a meaningful percentage of our revenues in the near term. But looking out five years, if things develop as we hope, China may be an important contributor.''

To contact the reporters on this story: Cathy Chan in Hong Kong at kchan14@bloomberg.net ; Adrian Cox in London at acox2@bloomberg.net .


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To: SliderOnTheBlack who wrote (3004)10/27/2006 12:53:12 AM
From: gladman  Read Replies (1) | Respond to of 50602
 
>>I've only hinted at half of the story. The money
making touchstones...you must find for yourself<<

when people think of China they conjure visions of the great wall, kung fu, rice plateaus and china-men on bicycles.

The next thought is labor arbitrage and cheap crap you buy at walmart.

The obvious half is State Sponsored Capitalism! The commies turned over the farmland to the peasants in 78', most incomes increased by over 1000%. This decade they reversed the commie mantra to Getting Rich is Great and ordered the masses to become entrepreneurs and create businesses.

I'm making huge bets in China with my retirements funds, it's a 20 year bet, coincidentally in 20 years China's economy is predicted to be the largest on planet earth. I'm also making investments in physical oil wells.

Touchstones in China - Biotech, Wireless and Fuel Cells.



To: SliderOnTheBlack who wrote (3004)11/5/2006 1:27:23 PM
From: wsw1  Read Replies (1) | Respond to of 50602
 
re: lyford cay/new providence unsafe for guys like slider too??

The dark side of paradise

Vinny Connolly was an ex-pat enjoying the high life in the British Virgin Isles. Then he was brutally murdered. Rob Sharp reports from a world of secrecy, wealth and hard living

Sunday November 5, 2006
The Observer

Mad dog's bar was quiet last Friday. The only sounds emerging from this isolated drinking den on the Caribbean island of Virgin Gorda were the crickets, the occasional buzz of a mosquito and the sound of Chuck Berry classics being piped through an old stereo. It is hard to believe that six days earlier this dimly lit outpost, with its flimsy walls lined with Seventies pulp fiction covers, bore witness to an evening that ended in bloody murder.
Virgin Gorda is the second largest island in the territory of the British Virgin Islands (BVI). This small group of islets east of Puerto Rico has a population of 22,000, with 9,000 people living in the capital city. The islands are a rich mix -part holiday paradise, part tax haven home for offshore companies and part home to drug runners who deal cocaine to Colombia. Americans are known to spend $2.5 million on state-of-the-art villas lining the island's bays. White expatriates rub shoulders with 'down islanders', expatriates from the East Caribbean, and those born locally.

Any delicate harmony was disrupted last Sunday when local businessman Vincent Connolly, after a night spent drinking at Mad Dog's, was discovered dead outside his home. His death, and other recent murders, have upset the area's peaceful reputation.

Last Saturday night, Connolly, 50, reportedly played saxophone for several hours for other regulars at Mad Dog's. He stumbled out on to the dirt track that doubles as a car park leading up to the bar, climbed into his blue Ford truck and set off on the short drive home to Windy Hill on the island's east coast. On the way, traversing the southern portion of Virgin Gorda, he would have passed a series of luxury apartment complexes. No one saw him followed home. Police said the killer waited for Connolly to emerge from his vehicle, then shot him four times. The victim was found in a pool of blood by his landlady the following morning, his saxophone at his side.

Last week, several people emerged as suspects in Connolly's killing. It is no secret on the island that the businessman, while liked for his musical talent and general bonhomie, racked up a number of enemies. One description of him ran: 'Stocky and built like a brick shithouse. You wouldn't want to get on his bad side.' His friends variously described him to The Observer as 'aggressive' and a 'Jekyll and Hyde' character..

The detective leading the investigation , Inspector Tony Noble, has ruled out the possibility of a gang-related murder and any connection between Connolly's murder and the two others that occurred on the islands this year, the killing of Vere Brown Jr. and Dorcas Elizabeth Rhule. The latter was thrown off a balcony by three Jamaicans in a botched attempt to derail a trial. The murder was a case of mistaken identity, as it was Rhule's flatmate who was due to testify against the trio, a gang of robbers.

Noble's investigation began by focusing on a number of altercations Connolly was alleged to have had at work. The Salford-born expatriate was employed as a project manager by the Little Dix Bay hotel, a luxury resort built in the Sixties by Laurence Rockefeller. The apartment complex, north of Connolly's home, sits beside its own bay. Timber-framed chalets clad in local stone are interspersed with fake waterfalls and 'entertainment areas' comprising high definition televisions and views of an azure sea. Connolly was rumoured to have had disputes with contractors working on renovations and a new gym here. The police claimed various people had been laid off without payment, but no arrests have been made.

Investigators are now following a different lead. Last Friday a 'friend' of Connolly's contacted the local newspaper, the BVI Beacon, with new evidence. In an email typed in faltering English, the author, a woman, claimed to be 'a long time friend of Vinny when he was in the UK'. The individual says that Connolly contacted her a week ago saying he was 'worried about staying in the BVI'. This was because 'his life had been threatened by a local man'.

According to the anonymous correspondent, Connolly mentioned that his problem involved a St Lucian cleaner. The friend continued: 'Her local boyfriend had threatened him at his home and on the street to kill him on more than one occasion. Vinny was desperate to get away but his commitment to his job prevented this.' The email was seen only by reporters at the Beacon before being passed on to the police.

It gained significance and credence when a close friend of Connolly's, without mention of the email, told The Observer that it was rumoured Connolly had 'become involved' with a cleaning lady in her late thirties. He said that Connolly had come to see him the week before his death looking 'flustered and preoccupied'. 'He turned up quickly, said, "I've got to get out," before taking a telephone call and rushing off,' the friend said.

Chief Inspector Julien Donovan, who is aiding the investigation team on Virgin Gorda, added that Connolly was involved in an impending court case over a bar room brawl that took place last year.

Despite the allegations and counter-allegations, the reasons for Connolly's death, when discovered, will do little to mitigate the impact the incident has had on his family and friends. Connolly's wife Janet was described as being 'extremely distressed'.

Rose Giacinto, who runs the Chez Bamboo restaurant and Bath and Turtle bar, where Connolly sometimes played music, said the murder would inevitably affect tourism. 'People couldn't even believe there was a gun here on the island,' she said, sitting beneath the low ceiling fan and endless rows of black-bottled Paradise rum. 'I think people will start locking their doors.'

The fact that Connolly's murder is the first on the island in seven years is in part thanks to a successful local economy. BVI's head of state is the Queen, represented by a local governor, although significant power lies with a locally elected head of government. This gives the country the funding benefits of having links to the UK married with a degree of autonomy. The Islands' adoption of the US dollar, which as its legal currency is stronger than currencies used by most neighbouring states, makes it one of the most buoyant economies in the Caribbean. Because people are not allowed into the country without a work permit, there is little unemployment, and locals get preferential treatment when it comes to jobs.

Many of the locals' families have been on the island since the emancipation of slaves in 1834. This historical event is celebrated in ubiquitous murals daubed across walls on the cactus-lined avenues around the island. When the British left the Territory after emancipation, land ownership fell into the hands of those who remained, whose families have kept it ever since.

Added to this mix are the black expatriate community, mainly an immigrant workforce. They might work as doctors or lawyers, or in construction, as on projects such as the renovation at Little Dix, where there are new apartments being built. Accents hailing from everywhere from Grenada to Jamaica can be heard on the streets outside Buck's Market, Next Wave Designs, or Kaunda's Kysy Tropix, a local music store. Here, people hang out to catch up on the day's news, shoo hens, or admire the 50 metre-long yacht in the marina. All have come to benefit from the country's prosperity.

When the region became popular as a tourist destination in the 1970s, the benefits of land ownership for the local population shot into the stratosphere. Families capitalised on their holdings by selling piecemeal to developers and private individuals looking to build holiday homes This continues today. On Beef Island, close to one of BVI's principle airports, a Hong Kong developer is preparing to build a golf course and resort complex. The proprietor of De Loose Mongoose bar pays homage to Richard Branson's ownership of two islands north of Virgin Gorda, reportedly one for business - a resort is planned - and one for pleasure. Now, tourism is BVI's principle industry. There are few farms. Almost all food is imported from the US.

One white businessman described how there was a certain cache in being locally born. Not only were you likely to be rich, he claimed, but you would almost certainly not have to work. He added this often bred antipathy between Caribbean expatriates and locals. He even suggested that the apparent success of Connolly, an affluent white expatriate who it is alleged could be unwittingly abrasive, might have contributed to his death. 'This may well have aggravated black locals used to getting their way,' the source said.

That Connolly's death, if not directly racially motivated, may well have been catalysed by latent social tensions, is something the authorities deny. 'We are very conscious of the racial mix we have here in the BVI,' David Pearey, BVI's governor, told The Observer. 'To the greatest possible extent it works very well. Disparities in wealth always cause problems, and that's something the authorities need to be conscious of. But BVI, as the records show, is a tranquil, peaceful, law-abiding country. Our different communities get on well,' he said.

However, many believe the authorities turn a blind eye to criminal behaviour in some circles to preserve peace in others. Scott Bronstein, assistant editor of the BVI Beacon, claimed the police ignored local involvement in cocaine smuggling because they wanted to avoid more organised, dangerous outfits from countries such as Colombia coming to the territory. As such, he claimed, drug crime was prevalent in the BVI. Despite a recent crackdown, marijuana is widely available and it is legal to consume hallucinogenic mushrooms. The islands are a major conduit in the cocaine route between South America and the US. Around $2m of cocaine was recently found being transported through the islands. St Croix, a short journey to the south, has a bad reputation for narcotic crime. Any of this could have influenced the death of Connolly. In Noble's words: 'The police are not ruling anything out.'

Back at Mad Dog's, closing time is approaching. The hatches are being battened down, the fake carving of a conquistador locked up after another day of being pelted with beer, sweat and the November drizzle that is blanketing the island. It is business as usual for the bar's owner, Steve. 'I liked the guy and that's it,' he said abruptly, when the issue of Connolly is raised for the umpteenth time. For the time being, the island's prosperity wins through. At least until the next time the peace is punctured.