Chapter 53: You're One Cool Customer

September 20, 1984, Aboard the Gulfstream en route to Chicago, Illinois

Because there had been five of us, Golden Gate Livery had provided two cars, with Noel and Murray in one, and Jack, Violet, and me in the other. That had given me a chance to speak with Ian McIntyre, and we'd agreed I would transfer the money to his bank on October 19th.

"Excellent job, Kane," Noel said once we boarded the plane at SFO.

"Thanks. What do you think?"

"I'd like to hear your impression first," Noel said.

"They were, at best, neutral until Murray mentioned Keiko, which moved the room decidedly in our direction. If I had to handicap it, and I have to because you asked, I'd say they'll give us half, monitor, and then give us the other half early next year. If we perform, they'll double up in another year. That's more or less their limit because their asset allocation guidelines require them to keep the majority of their reserves in government securities or high-grade municipal bonds."

"Murray?"

He was interrupted by the flight attendant informing us the pilots were ready to taxi.

"I'd say Kane's analysis is sound. Sierra Nevada Re is conservative by nature, like most insurance companies. They see massive potential gains, so despite the natural conservatism, they'll bite, but one bite at a time."

Noel smiled, "You're both wrong. Danforth will call on Monday and give Kane $100 mil."

"Your read on rooms is almost never wrong," Murray observed. "This is one of those times when it is. I believe Kane is right."

"We'll see," Noel said. "Kane, was that one of Deanna's paintings on the wall of the conference room?"

"Yes. That's Daybreak; it was the best of the works she showed at Gallery Paule Anglim."

"If he bought one of her paintings, I'm even more convinced he wants to move the full amount, and he'll convince his Board."

"Care to put your money where your mouth is?" Murray asked. "$25 grand on Kane's analysis against your $25 grand on yours?"

"Done," Noel said.

Of course, for those two, $25 grand was pocket change, though the way things were going, it would be pocket change for me, too, though the chance that I'd make such a wager was near zero.

I was just as surprised on the flight home as I had been on the flight to SFO that Noel hadn't taken the flight attendant into the sleeping compartment. I wondered if that was because of Jack or Violet, or because this flight attendant didn't provide that form of in-flight hospitality.

September 20, 1984, Chicago, Illinois

"How did it go?" Bianca asked when Violet and I walked into the condo just before 11:00pm on Thursday night.

"I think we'll get some of their money," I replied. "Maybe half, with the balance in three to six months."

"Even $50 mil is huge! That's about 15% of your current AUM, not counting the Arrow Fund."

"Yes."

"That'll take you to something like $6 million in fees, and if next year is anything like we predict, around $18 million in carried interest."

"I can do basic math," I chuckled.

"Those numbers are just insane!" Nicole observed.

"That's not all mine, not even half," I replied. "But it's still a ton of money."

"Would you keep more if you were on your own?"

"Not really, because I'd have to cover 100% of the costs, rather than a pro-rated portion. I'd need compliance, legal, research, a pair of executing traders, office space, computers, and on and on. I might make a bit more, but that's a lot of headaches to make an additional 10% or so, not to mention losing things I wouldn't be able to have anytime soon, including a corporate jet."

"How much does that cost?"

"The plane itself is around $35 million. Operating costs with a crew run $400 to $600 per hour, and that doesn't include scheduled and emergency maintenance. I once estimated I'd need a personal net worth of around $600 million to afford that without it seriously impacting my lifestyle. There are sharing arrangements, though they aren't cheap either."

"Spurgeon doesn't own the plane personally, does he?" Bianca asked.

"No, it's a corporate asset, and I believe there's a leasing arrangement. Anyway, has Sofía gone down for the evening?"

"About twenty minutes ago."

"Then we're going up to bed."

Nicole and Bianca said 'goodnight', and Violet and I went up to my room.

"Bonus night!" she exclaimed.

"For both of us!"

September 22, 1984, Chicago, Illinois

Friday had been a typical day at work, and not much had happened. After work, Violet and I had joined Jack, Kristy, and the Boys for dinner at Golden Bull, then seen Amadeus. As was the norm for Friday nights, Violet had spent the night, then had gone home after breakfast.

Once she'd left, I'd spent the rest of Saturday morning working on the paper due on Monday in my English class. After finishing that, I did the grocery shopping with Bianca. Once the groceries were put away, I drove to Oak Park to pick up Jennifer for her overnight.

"How did things go in California?" she asked after she got into the car.

"I should know sometime next week, but I have a good feeling about it. How is nursing school?"

"A ton of reading and studying. I'm looking forward to next Summer when I start my practical training. You started classes again, right?"

"Last week. It's a ton of reading, but I managed to read for about three hours each way on the plane."

"What happened with your jury duty?"

"Half a day of my life I can't get back! A landlord sued a tenant for damages and to terminate the lease. He had a slam dunk case. It took longer to elect a foreman and fill out the verdict and monetary award forms than it did to reach the verdict. I think she was hoping her sob story would hang the jury because in Illinois, civil juries have to be unanimous. Most states only require a majority or super-majority."

"I thought juries always had to be unanimous?"

"Only in criminal cases," I replied. "I meant to ask, are we going right to my place or doing something first?"

"I'm OK either way; we could go to the Museum of Science and Industry if you want to. We'll have all night and tomorrow morning to fool around."

"True!"

September 23, 1984, Chicago, Illinois

"I could get used to this!" Jennifer declared as she snuggled close after we woke up on Sunday morning.

"Me, too."

"How long can we stay in bed?"

"The Bears game is in Seattle, so it's the 3:00pm game. The gang won't be here until after lunch, so we have a few hours."

"Do you mind if we just snuggle for a bit?"

"I don't mind at all."

She sighed deeply and snuggled even closer, her body firmly pressed against mine, and her head on my shoulder. We lay quietly together for about fifteen minutes before she spoke.

"I know what you said about playing the hand we're dealt, but I wish I could discard a card and draw a new one."

"I hear you, but if I discarded a card and drew a new one, we'd most likely never have met, and we absolutely wouldn't be lying in bed together naked after fooling around last night."

"Keiko," Jennifer said.

"Yes. Whatever else might be true, that has colored my views on life and the best way to live mine."

"Which doesn't include marriage."

"I certainly don't believe it does, and as I've said, nobody should count on my opinion on that changing. I'm not ruling it out definitively, but I don't think it will happen for the reasons we discussed."

"A friend of mine suggested that the more time I spend with you, the less chance I'll meet someone."

"I suppose it depends on whether you're seeing other people or not."

"Not. The problem is, I don't think I could sleep with another guy while we're still sleeping together. No judgment about you; it's just I don't think it's right for me."

"This is one area where I cannot give you advice, except to say be true to yourself and your values."

"But if I had done that, I wouldn't be here right now. I kind of put myself in a strange position because I had thought I'd only do it with someone with whom there was a real possibility of a future. Even the guy at Prom, while I said he left me cold, if he hadn't, we'd have dated exclusively, with the obvious destination in mind. That was how I saw the world until I met you. I do not regret having sex with you in any way, but it did go against my views on when it was OK to do it."

"I think we all struggle with whether there should be exceptions to our rules, and if there are, what would qualify for an exception. I have some rules where there are no exceptions and others where I'd consider an exception on a case-by-case basis."

"Mind telling me?"

"No girls who haven't graduated from High School. Period. No exceptions."

"Given our conversation that included discussing Mr. Reynolds, I can totally understand that. I guess you won't be banging the babysitter!"

I chuckled, "Right now, that's your mom!"

Jennifer laughed, "I think my dad might take more exception to that than he would to finding me in bed with you."

"And with good reason! That's another inviolable rule — no cheating."

"I agree with that one, for sure. No exceptions. What would be one where you might?"

"A client or someone who works for a client," I replied. "It's not against firm policy, but my default is not to become intimate with a client because of the potential risks. That said, if I felt there was minimal risk, then I'd consider it. An example would be a secretary at a law firm for whom I managed investments."