A Wall Street Genius's Final Investment Playbook-Chapter 149

To win in a competition, you must first accurately assess your opponent.

In that sense, this Q&A session was an important opportunity for me.

Through Ackman’s responses, I could analyze his tendencies, crisis management skills, and psychological resilience.

However, there was one small problem.

‘There are too many.’

About thirty people had raised their hands.

Typically, Q&A sessions like this last around 10-15 minutes, and only about three or four questions get answered.

A simple calculation put my odds of being selected at roughly 10-13%.

Relying on such slim chances would be foolish.

‘No other choice, then.’

I slowly raised my hand and stood up from my seat.

Then, I looked around in confusion, put on an embarrassed expression as if I had made a mistake, and sat back down with an awkward smile.

The effect was immediate.

“Huh? Isn't that the orca guy?”

“Orca?”

“You know, from the Theranos case…”

As expected, whispers spread around me.

Over the past few weeks, my face had been plastered all over the media, so it was natural for many to recognize me.

More importantly, even the moderator had now noticed me.

‘Now they have no choice but to pick me.’

The key to events like this summit is ‘publicity.’

From the beginning, the organizers’ goal was to put prominent figures or hot topics in the spotlight to attract attention and enhance the event's brand value.

[The gentleman over there.]

My prediction was spot on.

The moderator pointed at me, and I stood up again.

As I accepted the microphone from a staff member, my gaze met Ackman’s on stage.

[Thank you for the presentation. Your emphasis on prioritizing shareholder value was particularly impressive. I am Ha Si-heon from Pareto Innovation Capital.]

I briefly paused after introducing myself.

As expected, murmurs spread through the audience like rippling waves as people recognized my name.

Ackman, standing on stage, regarded me with a relaxed smile.

[Ah, you were the key figure in the Theranos exposé.]

He recognized me as well.

A promising development.

This was no longer a simple exchange between an anonymous audience member and a speaker.

It was now a direct 1-on-1 interaction between two people who recognized each other.

Time to ask my question.

[Recently, there has been an increasing number of cases where certain funds exploit loopholes to evade transparency regulations. In particular, there is a growing trend of using options or derivatives to discreetly acquire shares while delaying 13D disclosures.]

Under the 13D regulation, acquiring more than 5% of a company’s shares requires disclosure within ten days, including the purpose of the acquisition and any plans for managerial involvement.

This rule exists because investors holding significant shares can greatly influence a company’s future, so they must clarify their intentions to other shareholders and the market.

However, some seek to avoid such transparency.

Activist funds, in particular.

For those aiming to challenge corporations, surprise attacks are far more effective than exposing their strategies in advance.

Thus, some funds utilize derivatives like call options, equity forwards, or total return swaps to discreetly accumulate shares.

By securing stock in advance but deferring actual acquisition, they extend the disclosure deadline.

While not strictly illegal…

[One could argue that this is a gray-area strategy designed to deceive shareholders. Yet, this practice poses a potential threat to the shareholder value you emphasized. What are your thoughts on this, Mr. Ackman?]

I closely observed Ackman’s expression as I finished my question.

However, his smile remained unfazed.

‘He’s good at maintaining a poker face.’

Even if he appeared calm, he must have been rattled inside.

After all, the strategy I had just pointed out was the very same one Ackman was currently employing.

In other words, he was secretly amassing shares in a specific company through options and derivatives.

This issue would later spark controversy when it was exposed… but I had just thrown that spark at an unexpected moment, forcing him into the topic.

Yet, Ackman didn’t falter.

[That’s an interesting question.]

He responded lightly and rested his chin on his hand, lost in thought for a moment.

‘How will he respond?’

He had two choices: criticize the strategy or defend it.

But honestly, his answer didn’t matter much to me.

If he denounced the strategy, he would later be branded a hypocrite for engaging in the very practice he condemned.

On the other hand, if he defended it, he would contradict the ‘shareholder value protection’ principle he had passionately advocated for the past hour.

In this tricky situation, Ackman demonstrated remarkable adaptability.

[Options and derivatives are merely tools. We must distinguish between means and ends. Sometimes, achieving a greater goal requires accepting inconvenient methods—like waging war to attain peace. While this may be controversial, if protecting shareholder value is the ultimate goal, I believe even ‘gray-area’ strategies should be considered.]

He chose to defend it.

Given the options, it was the wiser choice.

However, more than his answer itself, I focused on how he handled an unexpected challenge.

‘He’s fast.’

His response took only three seconds.

Most people, when faced with a difficult question, would hesitate or try to buy time.

But he didn’t.

His decision was swift, and there was no hesitation.

Moreover, even within that short window, he formulated the best possible response.

‘Let’s test him a little more.’

[Then, regarding the recent rise in alliance formations…]

[Apologies, but due to time constraints, we are limiting each participant to one question.]

Before I could finish my next question, Ackman cut me off.

‘Fast again.’

He instantly reacted to the keyword ‘alliance’ and smoothly disrupted the flow.

The moment he heard it, he must have realized the question would lead in an unfavorable direction.

A seamless and quick countermeasure.

[Alright, is there another question?]

The moderator swiftly steered the session forward.

Countless hands shot up into the air, but I remained standing.

“What the…?”

“Why isn’t he sitting down?”

Murmurs spread, filling the room with a peculiar tension.

The moderator glanced at me but deliberately ignored my presence, moving on to select the next participant.

[Yes, the young lady over there.]

As the microphone was handed to a woman, I still didn’t sit.

Far from it—I started walking towards her.

The murmurs grew louder.

Every eye in the room locked onto me, waiting for my next move.

Among them, the most bewildered was the woman holding the microphone.

I offered her a gentle smile and asked,

“I have a crucial question for Mr. Ackman. Would you be willing to give me your turn?”

“Huh?”

“In exchange, I’ll give you ten thousand dollars.”

Ten thousand dollars—approximately 13 million won.

I didn’t know what question she had prepared, but it was unlikely to be more enticing than ten thousand dollars.

Her eyes wavered for a moment.

[The Q&A session is meant to foster diverse perspectives from the public. If you have further inquiries, perhaps we could arrange a private discussion later. For now, why not let the lady keep her turn?]

A calm voice echoed from the stage.

It was Ackman.

With a smile, he skillfully diffused the situation.

And he did so with remarkable naturalness.

But the most noteworthy point wasn’t just that.

‘He said he’d answer my question later in private…?’

In truth, I didn’t care about the question itself.

What mattered was asking the question in front of the public.

Yet, Ackman had accurately perceived the risk and deftly avoided a difficult situation.

And he did so without outright dodging my question, instead responding with a confident offer to address it later.

‘Once again, he reacted quickly.’

He never could have expected that I would outright buy a question slot.

Yet, even in the face of an unexpected situation, he responded swiftly and appropriately.

A slight smirk tugged at my lips.

‘As expected, he’s not an easy opponent.’

This is going to be an interesting game.

As soon as the session ended, a young woman in her twenties, dressed in a sharp suit, approached me.

“I am Mr. Ackman’s secretary. If you provide your contact information, we will arrange the Q&A session mentioned earlier.”

Without hesitation, I handed her a newly printed business card and said,

“My schedule is fully booked during the summit, but if you contact me at least an hour in advance, I can make adjustments.”

The implication was clear.

Don’t suddenly request a meeting and then act as if it’s unfortunate when I say I can’t make it.

With my conditions clearly stated, any failure to arrange a meeting would be seen as incompetence on her part.

She nodded, and I turned away with a smile.

But at that moment, someone grabbed my sleeve.

Turning around, I found a nervous-looking Asso and Dobby standing there.

“Sean, wait a second…”

“Perhaps it would be best to return to your room first?”

For some reason, their eyes were filled with anxiety and urgency.

Both of them firmly grasped one of my arms.

“Hm, but I still have things to take care of…”

I attempted to pull my arms free lightly, but their grips didn’t budge.

Then, Asso spoke in a firm voice.

“There has been a major schedule change.”

A blatant lie.

There was no way a ‘major schedule change’ could happen without me knowing.

Yet, neither showed any intention of letting go, and causing a physical altercation here wasn’t an option.

And so, practically dragged along, I returned to the suite.

The moment the door shut, their suppressed frustration erupted.

“You! You said you wouldn’t cause trouble!”

“You told us nothing would happen, and yet here we are!”

Their scolding rained down on me, but I remained calm.

“I truly didn’t expect the great white shark to approach me.”

They blinked in confusion for a moment before their complaints resumed.

“That’s not what we’re talking about! Why are you picking a fight with Ackman?”

“Picking a fight? I only asked a question.”

“You bought off a question slot just to do it!”

“That was a necessary step to ask a follow-up.”

“Regardless of your intent, that’s not how it looked! To anyone watching, it was obvious you were provoking him!”

I couldn’t help but chuckle.

‘So it really came across as a confrontation.’

Ackman had tried to downplay the incident as a minor misunderstanding with a gentle demeanor, but to these two, it was clearly a direct clash.

“Are you trying to start a fight?”

Dobby asked sharply.

Well, he wasn’t wrong.

My plan was to engage in a public showdown with Ackman.

More precisely, I wanted to create a spectacle dramatic enough to divert investors’ attention.

Beside Dobby, Asso let out a heavy sigh and said,

“You’re a public figure now. Even the smallest action can be misinterpreted and spark unnecessary rumors. How do you intend to handle that?”

Though Asso expressed genuine concern, the situation he described was exactly what I intended.

‘That’s what makes it entertaining, after all.’

For a conflict to remain relevant for a long time, it must leave room for interpretation.

People should be able to dissect past confrontations and reinterpret exchanges from different perspectives—only then does a narrative become truly engaging.

“So… is Ackman your next target? Following the great white shark?”

At Dobby’s question, Asso’s face darkened significantly.

“No, absolutely not. Of course, Sean, you don’t have to listen to me, but this is something I must warn you about. You cannot win against Ackman.”

“That’s a rather harsh evaluation of me.”

“It’s not that I doubt your abilities! It’s just… the difference in scale is too great. He’s backed by one of the top activist funds, with solid experience and a proven track record. Beyond just financial power, his media influence and connections are on an entirely different level.”

‘Hm, this is a problem.’

To captivate both the public and investors, the rivalry itself had to be intriguing.

But judging by these two’s reactions, no one expected the outcome to be anything but a landslide defeat for me.

‘Well, a fight is only exciting when the competitors seem evenly matched.’

For a competition to be truly suspenseful, the winner must be uncertain.

But right now, the disparity between a seasoned giant and a rising challenger was so overwhelming that there was no tension at all.

This was a problem.

“But when it comes to media presence and influence, I do have some potential, don’t I?”

At my words, both of them shook their heads simultaneously.

“That alone isn’t enough. In the world of activist investing, institutional investors’ trust is key. Right now, you’re already struggling to secure institutional funds, and the trust gap between you and Ackman is enormous.”

Activist strategies ultimately depend on shareholder support.

If my demands were rejected, the final decision would come down to a shareholder vote at a general meeting.

And in such cases, institutional investors—who hold the majority of shares—would be the ones to decide the outcome.

The problem was that institutions were far more likely to side with Ackman than with me.

Considering the massive profits he had generated over the years, it made sense that they would favor him.

‘Should I change my approach, then?’

If even my own broker and staff were convinced there was no chance of victory, then external perspectives must be even more ruthless.

A fight with no chance of winning wouldn’t be entertaining.

To make it compelling, there was only one option.

‘Perhaps it’s better to provoke emotions…’

Even with a power imbalance, emotional conflicts could shift the dynamics of a fight.

Bad blood, revenge, rivalry…

When these elements come into play, the battle becomes far more engaging.

In fact, today’s provocation of Ackman was part of that plan.

But he had handled it too smoothly.

Today’s effort wasn’t nearly enough to create a true emotional rift.

Which meant…

‘I just need to meet him again and push harder.’

As I strategized my next move, Dobby spoke with barely concealed anxiety.

“You… don’t tell me you’re thinking of getting involved with Herbalife?”

Herbalife.

One of the companies Ackman was currently investing in, and another potential source of major controversy.

Before Dobby could even finish his sentence, Asso’s face turned pale with shock.

“What? Are you seriously considering that?”

He then shouted, his expression filled with dread.

“No, that is absolutely out of the question!”