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"China's Warren Buffett" Guo Guangchang Disappears

Tyler Durden's picture




 

On November 18, Guotai Junan Chairman and CEO Yim Fung went “missing.” 

“We can’t find him,” the broker said, flatly. 

Three weeks later, Citic Securities - China’s largest brokerage - lost all contact with Jun Chen, their head of investment banking, and Jianlin Yan, who runs investment banking at the company's overseas unit. 

Where did Yim, Jun, and Jianlin “disappear” to you ask? Well we know Yim was detained in connection with a graft investigation involving Yao Gang, vice chairman of China’s securities regulator and given what we know about the Politburo’s renewed push crackdown on market “manipulators”, sellers, and those suspected of frontrunning purchases by the “national” plunge protection team over the summer, it’s likely Jun and Jianlin suffered the same fate as Gang Xu, another Citic executive who was “summoned” by authorities back in August. 

On Thursday, we learn that yet another high profile businessman has apparently vanished and this time, it’s none other than “China’s Warren Buffett,” Guo Guangchang (worth some $7 billion at last count) whose conglomerate Fosun International is morphing into an insurance-focused investment group. Fosun spent more than $6 billion buying stakes in 18 overseas companies between February and July. 

"Chinese billionaire Guo Guangchang, chairman of conglomerate Fosun Group, is unreachable," Bloomberg reports, citing Caixin.

The company says it's "handling the situation."

Recall that Fosun was among those bidding for Novo Banco, which was derived from the smoldering ashes of failed Portuguese bank Banco Espirito Santo (bids for Novo dried up during the summer, creating a budget headache for Lisbon). 

Fosun’s stock plunged with the rest of the Chinese market over the summer, prompting Guo to issue the following colorful statement: "Amid a sheer panic in the market, we should be brave and act opposite to the crowd. There is always an abandoned pearl in any market with bubbles. In a market full of panic sentiment, even more such opportunities are hidden."

Yes, “hidden” opportunities and now Guo finds himself “hidden,” probably somewhere deep within the Politburo.

Whether Beijing is questioning Guo about his habit of eschewing investments in China in favor of deploying capital overseas or whether Fosun did something “wrong” in the markets during the selloff is hard to know, but one thing’s for certain: “kill the chicken to scare the monkey” is alive and well.

 

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Thu, 12/10/2015 - 09:11 | 6903541 BandGap
BandGap's picture

China's David Copperfield. I love a good show.

 

Thu, 12/10/2015 - 09:16 | 6903573 Manthong
Manthong's picture

Hmm.. It seems as if our Chinese friends have demonstrated the solution to our global finance and governance problems.

Thu, 12/10/2015 - 09:17 | 6903581 Harlequin001
Harlequin001's picture

Remind me again how many people would be pissed off if Warren Buffet were to 'disappear'...

Thu, 12/10/2015 - 09:20 | 6903598 Looney
Looney's picture

kill the chicken to scare the monkey

Or…

Spank the monkey to scare the chicken  ;-)

Looney

Thu, 12/10/2015 - 09:25 | 6903620 Pliskin
Pliskin's picture

Can I spank the monkey and strangle the chicken?

...or is that not playing by the rules?

Thu, 12/10/2015 - 09:28 | 6903636 NoDebt
NoDebt's picture

And you wonder why the first thing every Chinese billionaire does is get his money out of the country, followed by his family (and then finally himself)?

 

Thu, 12/10/2015 - 09:33 | 6903667 I AM SULLY
I AM SULLY's picture

(you have nailed it Sir)

Folks in China, in the "know", remember the cultural revolution (even if they were just kids and they saw their parents get a bullet in the brain) ...

They know what's coming to China (and the world) - chaos.

So, they are just doing what idiot Americans are doing - pretending there is some "safe haven" out there.

(there is no safe haven)

(the whole planet is fucked)

Thu, 12/10/2015 - 10:22 | 6903904 El Oregonian
El Oregonian's picture

You're thinking too small. Heaven should be your destination. This place is scheduled to finally burn with a fervent heat.

Thu, 12/10/2015 - 11:29 | 6904209 Four chan
Four chan's picture

even the highest chinaman is a slave to the state in glossed up red china. nice system we have given our middle class to.

Thu, 12/10/2015 - 09:31 | 6903662 I AM SULLY
I AM SULLY's picture

It's properly: "Spank the monkey then strangle the children ..."

Thu, 12/10/2015 - 09:25 | 6903623 mtl4
mtl4's picture

This guy is no Warren Buffett, otherwise he`d suddenly reappear with Xi Jinping by his side and complain that the wealthy chinese don`t pay enough taxes.

Thu, 12/10/2015 - 09:51 | 6903752 RaceToTheBottom
RaceToTheBottom's picture

Does someone know how much his secretary pays in taxes?

Thu, 12/10/2015 - 10:54 | 6904043 robertsgt40
robertsgt40's picture

Maybe Guo is at China's version of a FEMA  camp for reeducation.

Thu, 12/10/2015 - 10:05 | 6903819 ZippyBananaPants
ZippyBananaPants's picture

Sum Ting Wong

Thu, 12/10/2015 - 09:26 | 6903545 JustObserving
JustObserving's picture

Now if only our folksy, insider-trading, real Warren Buffett could disappear.

Thu, 12/10/2015 - 09:39 | 6903682 False_Profit
False_Profit's picture

folksy warren, the oracle of omaha, has been missing for decades...he has had the banksters arms so far up his ass it would make howdy doody blush...

he is/has been an instrument/member of the apparatchik for decades...his deal with the devil has been sealed long ago..."mister warren, we have the following counts listed on this piece of paper.  you say what your told to and these charges will never see the light of day, and you can keep on living your life of luxury with your legacy in tact...deal?"

Thu, 12/10/2015 - 09:56 | 6903779 RaceToTheBottom
RaceToTheBottom's picture

Since his Silver play.....  Years ago, probably before that.

Thu, 12/10/2015 - 09:13 | 6903555 Bioscale
Bioscale's picture

habit of eschewing investments in China in favor of deploying capital overseas

Don't understimate the China politburo, they certainly prefer to spend the $$$ now than never as the dollar collaps is coming.

Thu, 12/10/2015 - 09:15 | 6903569 SillySalesmanQu...
SillySalesmanQuestion's picture

He's probally on a three day bender...

Thu, 12/10/2015 - 09:18 | 6903590 wmbz
wmbz's picture

It would be nice if the Politburo would send a few boyz over here and dissapear some banksters assholes.

I'd be happy to send them my wish list!

Thu, 12/10/2015 - 09:21 | 6903602 ceilidh_trail
ceilidh_trail's picture

I suspect Sum Ting Wong.

Thu, 12/10/2015 - 09:23 | 6903609 Pliskin
Pliskin's picture

He's in Room 101.

Upon his release he's going to sell all his assets and invest everything in a huge factory that makes those waving cats (zhao cui mao)

 

Thu, 12/10/2015 - 09:29 | 6903648 I AM SULLY
I AM SULLY's picture

the kicker:

(the cats are made from real-cats)

(meow)

Thu, 12/10/2015 - 09:25 | 6903621 youngman
youngman's picture

They are just getting some inside information....the real inside stuff

Thu, 12/10/2015 - 09:29 | 6903645 I AM SULLY
I AM SULLY's picture

"Kill the chicken to scare the monkey."

(that always works out well)

(at this scale)

(in China)

Thu, 12/10/2015 - 09:30 | 6903655 Seasmoke
Seasmoke's picture

He should have learned to play the ukulele. 

Thu, 12/10/2015 - 09:48 | 6903725 RaceToTheBottom
RaceToTheBottom's picture

What, they don't have sugar water over there?

Thu, 12/10/2015 - 09:31 | 6903657 Dr. Bonzo
Dr. Bonzo's picture

Seriously... watching the Chinese effortlessly print monopoly money and just buy up all kinds of shit all over the world does make me green with envy. As they say in Economic Theory, ultimately, the entire economy is one big Confidence game. Through some sleight of hand the dogshit commie yuan I knew in the 80s that you couldn't pay me to accept has SDR stamped on it and these fuckers fly 1st class around the world buying up the entire planet. Leverage your slave labor against hard cash... few trillion in treasuries later you can start your own Big Con with reckless abandon. Who's counting? No one......

SMH....

Thu, 12/10/2015 - 09:50 | 6903743 RaceToTheBottom
RaceToTheBottom's picture

They learned the game quickly.

 

When someone puts a large plate of food in front of you, you cannot really expect them not to eat it.  That is what the west/WS have done.  Geographic arbitrage of labor, regulations, etc, etc....

Thu, 12/10/2015 - 09:52 | 6903750 Pumpkin
Pumpkin's picture

This, IMO, is why trading one fiat for another fiat as a reserve currency is only fools wishing to fool themselves.

Thu, 12/10/2015 - 09:31 | 6903658 HoserF16
HoserF16's picture

All these fuckers are going into their bunkers. Get ready boy's. Something is going-down...

Thu, 12/10/2015 - 10:19 | 6903880 Flagit
Flagit's picture

Awwww.....ritz gon!

 

no rink.

Thu, 12/10/2015 - 09:35 | 6903670 WTFUD
WTFUD's picture

If only this dude had Buffett's Connections!

Thu, 12/10/2015 - 09:36 | 6903673 Jason T
Jason T's picture

he went Galt probably .. no?

Thu, 12/10/2015 - 10:25 | 6903915 NeedtoSecede
NeedtoSecede's picture

Beat me to it JT.  It looks a few smuggled copies of Atlas Shrugged have been getting passed around...

Thu, 12/10/2015 - 09:41 | 6903683 buzzsaw99
buzzsaw99's picture

Awesome! We need that here in the usa so fucking bad.

Thu, 12/10/2015 - 09:46 | 6903715 RaceToTheBottom
RaceToTheBottom's picture

Wonder if WS will ge the message?

 

 

Naawwww.  Just bribe more congresmen

Thu, 12/10/2015 - 09:58 | 6903789 buzzsaw99
buzzsaw99's picture

no trial, they'd just bribe the judges anyway. make a list, round them up, take their shit, and beat them with sticks daily.

Thu, 12/10/2015 - 12:49 | 6904707 BiPolarFrenchman
BiPolarFrenchman's picture

Yes we do.  But the government "as is" is totally captured.  

Thu, 12/10/2015 - 10:25 | 6903917 J Jason Djfmam
J Jason Djfmam's picture

He's probably gone to pickup those Boeings he left laying around.

Thu, 12/10/2015 - 10:35 | 6903948 swass
swass's picture

I'm sorry.  For those that believe China, at least in it's current political state, is capable of being the 'world reserve currency', they are nuts.  China is the paragon of command and control finance and economics.  If anyone forgets, they are under communism.  The US has obviously been hugely irresponsible with their management of the reserve currency, but China is not a good alternative.  This type of thing, their stock market as a whole, including what happens to those that don't follow directions from the party, is a perfect example of why.

Thu, 12/10/2015 - 13:57 | 6905214 Vlad the Inhaler
Vlad the Inhaler's picture

Inclusion in the SDR is nowhere close to being the world's reserve currency, nor does China want that.  China's game is stashing gold, because they know the whole fiat system will eventually be replaced.  

Thu, 12/10/2015 - 10:44 | 6903997 Luapnor
Luapnor's picture

Maybe he has "Gone Gulch"

Thu, 12/10/2015 - 15:52 | 6906099 HardlyZero
HardlyZero's picture

Last seen looking for Jimmy Hoffa.

Thu, 12/10/2015 - 10:52 | 6904019 amanfromMars
amanfromMars's picture

It is/Is it wrong to not realise a similar fate/destiny awaits western mirrors of the missing souls ...... as the collapsing ponzi markets place is an exceedingly dangerous and unforgiving space?

And can IT and Cyber Command and Control right that type of wrong? 

Thu, 12/10/2015 - 11:34 | 6904227 AbbeBrel
AbbeBrel's picture

Seems there are special clauses that certain countries use : the Drawn and Quartered claws in the Special Drawing Rights. To bad it doesn't appear to apply to Banksters too.

Thu, 12/10/2015 - 11:45 | 6904292 Typing Typer
Typing Typer's picture

Another Chinese expresion is "Kill one to terrify ten thousand."

Thu, 12/10/2015 - 12:05 | 6904414 YesWeKahn
YesWeKahn's picture

Who can make jamie disappear?

Thu, 12/10/2015 - 12:12 | 6904450 YesWeKahn
YesWeKahn's picture

you can understand why the government hates these guys: so many street cleaners, farmers lost their life savings because they ran the market to all time high and keep pumping the fake market just like Bernakidiot and Yellanidiot.

Thu, 12/10/2015 - 23:45 | 6908449 onmail1
onmail1's picture

Thumbs up

China knowshow to deal with banksters & evil capitalists who

care nothing about humanity except BIG money

impale them like Ivan The Terrible

Roasted capitalist on a stick - Anyone

Fri, 12/11/2015 - 13:35 | 6910972 IronForge
IronForge's picture

Manhunt

 

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