A Wall Street Genius's Final Investment Playbook-Chapter 143

At 7:30 in the morning, I once again stepped into the broadcast station studio.

The show I was appearing on today was Good Morning America, the most influential morning program in the U.S.

“Mr. Ha Si-heon, don’t be nervous. Just relax and talk comfortably… is what I was going to say, but you’re already used to this, aren’t you?”

The producer spoke with a friendly smile, so I simply nodded and smiled back.

Over the past week, I had appeared on every possible media outlet—not just major news channels like CNN, FOX News, and MSNBC, but also late-night talk shows and comedy programs.

I had accepted every invitation that came my way.

Reputation and recognition were essential for my future plans.

“We’re going live! 3, 2, 1…”

The red light on the camera turned on, and the host of Good Morning America began to speak.

“Today’s guest is one of the most talked-about figures recently, Mr. Ha Si-heon! How did you take such a risk? Even at the cost of facing lawsuits…”

Yes, this was the image the public had of me because of the Theranos case.

‘The hero who exposed the corruption of a dangerous medical device company and saved countless lives.’

Wearing the role, I responded with a humble smile and a composed tone.

“I only did what had to be done.”

“That’s not something just anyone would do. Theranos is demanding a staggering $4.9 billion in damages, and it was selected as Forbes and Fortune’s Unicorn of the Year. Not to mention, it had the full backing of numerous high-profile figures.”

“I firmly believed that, in the end, the truth would prevail.”

But then—

One of the three hosts, with a playful expression, subtly shifted the conversation.

“But… it’s kind of unusual to hear someone from Wall Street say that.”

It seemed like they were trying to paint me as the villain of Wall Street.

That wasn’t an image I wanted, so I replied in a rather firm tone.

“The ruthless image of Wall Street is a thing of the past. The future belongs to ethical management and social value creation as the core competitive edge for companies. In fact, most investment funds and corporations are already actively adopting ESG standards.”

In this lifetime, I planned to maintain as clean and ethical a reputation as possible.

I didn’t want to attract the attention of those obsessive Justice Department or FBI agents like before.

However, this host seemed fixated on the idea of a ‘greedy Wall Street villain with a surprising act of goodwill’ and kept pressing in that direction.

“Well, we’d all love to see more good deeds, but when do you plan on making a profit?”

In other words—could I really make money while acting virtuously?

That was another misconception I couldn’t leave unaddressed.

After all, in hedge funds, profitability is paramount.

I answered again, this time with conviction.

“The two aren’t necessarily in conflict.”

“But in the Theranos case alone, I heard you invested $60 million… Isn’t that a loss?”

Well, technically, that wasn’t wrong.

The money I had sunk into Theranos was as good as gone.

Investing in a private company is not easy to cut losses from.

Even if a company is clearly on the path to collapse, I can’t just liquidate my shares as I please.

The only way to recover the money invested in Theranos now was through lawsuits.

But that process would take a significant amount of time.

Even if I won, if Theranos squandered its funds and filed for bankruptcy in the meantime, I might not recover a single penny.

From that perspective, my investment in Theranos was undeniably a loss.

However, I countered with this argument.

“Investments should be evaluated as an entire portfolio, not as individual stocks. Looking at Theranos alone, it’s a loss, no doubt. But while conducting due diligence on Theranos, I realized just how critical corporate ethics and transparency are. As a result, I made a large-scale investment in compliance consulting firms.”

With the Theranos scandal, NDAs had become a nationwide topic, and interest in corporate transparency was at an all-time high.

Under mounting public and media pressure, most companies were rushing to hire external advisory firms to prove their credibility.

Foreseeing this trend, I had made an early investment in one of the top three firms in the industry.

This sector was bound to see steady stock price growth at least until the next quarter.

“The Theranos case is unfortunate, but I’ve already more than recovered the losses from it.”

As soon as I said that, one of the other hosts jumped in eagerly with a question.

“Have you seen Holmes’s recent interview?”

As expected, this topic was coming up.

Over the past week, Theranos had been facing an increasingly complex situation.

The U.S. Attorney’s Office had launched an investigation, and just a few days ago, the Securities and Exchange Commission (SEC) had officially opened a probe into potential securities fraud.

On top of that, the Centers for Medicare & Medicaid Services (CMS) and the Food and Drug Administration (FDA) had conducted a surprise on-site investigation to check for violations of clinical laboratory regulations.

It would take about a month for solid evidence to surface, and several more months before an indictment could be issued.

What was surprising was that, despite all this, Holmes was still holding onto her CEO position at Theranos.

She was even continuing to seek investors, dreaming of a grand comeback.

How was that possible?

Because she had shifted all operational responsibilities to her Chief Operating Officer (COO), Sharma, making him the scapegoat.

Not only that, but Holmes was now putting on a rather dramatic ‘victim act.’

Just the other day, she appeared on a television program and delivered a tearful confession that moved viewers.

She claimed that her domineering attitude—and the toxic corporate culture at Theranos—stemmed from the emotional abuse and gaslighting she had suffered at the hands of Sharma, whom she met when she was twenty.

To make matters worse, everyone who had met Sharma confirmed his rude and abusive behavior, which only made Holmes’s story more convincing.

Public sentiment was gradually shifting toward sympathy for her.

People were beginning to say things like,

“She was once a charismatic female leader, but who knew she had such deep wounds and vulnerabilities? I just hope she overcomes this hardship and rises again…”

In many ways, her acting skills were truly second to none.

Anyway.

The hosts’ eyes gleamed with curiosity.

“You’ve met both Holmes and Sharma in person. Do you think Holmes’s claims are true?”

I took a moment to choose my words carefully before responding.

"To be honest, I have my doubts. While I did sense a kind demeanor from Holmes and a rough edge from Sharma, the two of them seemed more like a perfectly synchronized good cop, bad cop duo."

"So, from the beginning, they were in it together?"

"It's difficult to make a hasty judgment." freeweɓnovel.cøm

I held back my words and remained cautious.

If I outright denied Holmes's testimony, I could be accused of ‘victim-blaming.’

But I also couldn’t let her narrative stand unchallenged.

"In my view, Holmes is by no means a weak person. While she may have been influenced by those around her, I don’t believe she is inherently fragile. Her charisma was stronger than anyone I’ve ever met. Her judgment and intelligence were just as remarkable. To be honest… personally, I found her to be even more formidable than Dex Slater, the so-called White Shark."

"More formidable than the White Shark?"

The host’s voice carried a tone of surprise.

"Yes. The strategic prowess she displayed in conversation was exceptional. I understood then why people call her a genius."

I deliberately emphasized that Holmes was stronger than the White Shark.

It was to dismantle the credibility of her narrative.

From the perspective of the Orca, Holmes was no victim.

"Then what exactly is the truth behind all this?"

"We’ll have to watch how things unfold. Now that Sharma has been ousted, Holmes alone will be fully responsible for managing the company. Next week, she mentioned that Theranos will be undergoing a technological verification at a conference. If their response remains the same as before or if it has changed, that should give us some clues about the truth."

In my estimation, Theranos would resort to lies and exaggerated claims once again.

They would present flimsy evidence and try to buy time with words.

But this time, there would be no one left to take the blame.

Well, the interview was almost over anyway, so I decided to steer the topic elsewhere.

"Theranos is no longer my concern. I'm focusing on what I need to do next."

"Oh, right! You’ve recently established a new fund, haven’t you? What’s it called?"

"Pareto Innovation Capital. It represents an investment strategy where 80% is allocated to secure success, and 20% is dedicated to innovative challenges."

The name of the fund succinctly encapsulated my investment philosophy.

The 80% success rate was derived from the Pareto principle, while the remaining 20% symbolized the bold pursuit of future innovation, even if it took time.

"I heard it’s an activist fund. Is that correct?"

"Yes. It’s a multi-strategy fund, but we place a particular emphasis on activist investing."

"Activist investing… That sounds quite complex for the general public."

"It’s not that complicated. Just think of it as representing shareholders to ensure companies are being properly managed, closely monitoring them, and demanding improvements—like in the Theranos case."

***

"Activist investing… quite an ambitious move."

A meaningful remark slipped from Pierce’s lips.

It had been a week since we last met.

His appearance had changed dramatically.

Not long ago, he had looked utterly exhausted, evoking sympathy.

But now, a confident smile brightened his face.

It was as if a withering plant had been revived with fresh water.

His renewed vigor was undoubtedly due to Goldman successfully rebranding itself as the ‘righteous investment bank that exposed the Theranos fraud.’

Pierce himself was also gaining attention as a perceptive investor who had identified the Orca’s potential early on, making frequent appearances on various broadcasts.

As a result, his credibility—and stock—were on the rise.

No wonder he looked so pleased.

"But to choose activist investing for your very first fund… what exactly are you up to?"

Yet, there was a hint of suspicion in Pierce’s voice as he addressed me.

While things were going well for him thanks to me, his wariness had not entirely faded.

Of course, I had a clear reason for choosing an activist fund.

There were at least three critical factors behind my decision.

But instead of explaining each one in detail, I redirected the conversation toward his true intent.

"I’m well aware that it won’t be easy."

"Forget easy or difficult—have you even considered the chances of success?"

Pierce's remark hit the nail on the head.

For a newly launched fund to enter activist investing was nearly impossible.

Activist funds, by nature, operate by acquiring shares and directly intervening in corporate management.

A prime example would be Shark Capital, led by the White Shark.

Their strategy was straightforward.

They would quietly accumulate shares while making demands, and if the company resisted, they would suddenly acquire a 5% stake and wage a proxy battle at the shareholders' meeting.

However, there were two essential elements to running an activist fund.

The first was reputation.

No matter how much stock an unknown investor accumulates, companies won’t take them seriously.

And naturally, a newly established hedge fund has no reputation to speak of.

That’s why choosing activist investing for a first fund was nearly unheard of.

But—

I smiled confidently.

"If I do it, isn’t there a chance? I do have some recognition, after all."

Pierce’s sharp gaze bore into me, as if trying to read my thoughts.

His expression gradually hardened.

"Don’t tell me…"

His eyes seemed to ask whether everything I had done so far had been leading up to this very moment.

I simply shrugged.

Because, of course, it had.

The victory against the White Shark.

The direct takedown of the fraudulent Theranos.

Everything I had done while at Goldman was also a calculated effort to solidify my own position.

And it had worked.

I had already gained an advantage over existing funds by appearing twice on national television.

However, to truly establish an activist fund, reputation alone wouldn’t be enough.

There was one more crucial element needed.

And that was precisely why I had sought out Pierce at this moment.

"More importantly, can I ask you for a favor?"

But then—

"A favor?"

At my words, Pierce’s face instantly turned cold.

The warmth that had been in his eyes just moments ago vanished without a trace.