"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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BandGap's picture

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


Manthong's picture

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

Harlequin001's picture

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

Looney's picture

kill the chicken to scare the monkey


Spank the monkey to scare the chicken  ;-)


Pliskin's picture

Can I spank the monkey and strangle the chicken?

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

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)?


I AM SULLY's picture
I AM SULLY (not verified) NoDebt Dec 10, 2015 8:33 AM

(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)

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.

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.

I AM SULLY's picture
I AM SULLY (not verified) Pliskin Dec 10, 2015 8:31 AM

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

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.

RaceToTheBottom's picture

Does someone know how much his secretary pays in taxes?

robertsgt40's picture

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

JustObserving's picture

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

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?"

RaceToTheBottom's picture

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

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.

SillySalesmanQuestion's picture

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

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!

ceilidh_trail's picture

I suspect Sum Ting Wong.

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)


I AM SULLY's picture
I AM SULLY (not verified) Pliskin Dec 10, 2015 8:29 AM

the kicker:

(the cats are made from real-cats)


youngman's picture

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

I AM SULLY's picture
I AM SULLY (not verified) Dec 10, 2015 8:29 AM

"Kill the chicken to scare the monkey."

(that always works out well)

(at this scale)

(in China)

Seasmoke's picture

He should have learned to play the ukulele. 

RaceToTheBottom's picture

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

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......


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....

Pumpkin's picture

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

HoserF16's picture

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

WTFUD's picture

If only this dude had Buffett's Connections!

Jason T's picture

he went Galt probably .. no?

NeedtoSecede's picture

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

buzzsaw99's picture

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

RaceToTheBottom's picture

Wonder if WS will ge the message?



Naawwww.  Just bribe more congresmen

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.

BiPolarFrenchman's picture

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

J Jason Djfmam's picture

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

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.

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.  

Luapnor's picture

Maybe he has "Gone Gulch"

HardlyZero's picture

Last seen looking for Jimmy Hoffa.

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? 

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.

Typing Typer's picture

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

YesWeKahn's picture

Who can make jamie disappear?

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.

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