Climbing the Ladder 5 - Reaching New Heights - Cover

Climbing the Ladder 5 - Reaching New Heights

Copyright© 2026 by Michael Loucks

Chapter 65: S&M

Fiction Sex Story: Chapter 65: S&M - Jonathan's business life is booming, but he's also suffering from yet another loss. While he's done his best to pick up the pieces of that sundered relationship, he can't help but feel responsible. However, where two close relationships have withered, another blooms. Violet has transitioned from a badly damaged girl to a vibrant woman. Will he continue to climb this ladder, or will there be another ladder to climb in his future? No matter what, the only direction he plans to go is up.

Caution: This Fiction Sex Story contains strong sexual content, including Ma/Fa   Workplace  

November 3, 1984, Chicago, Illinois

Liz, Suzanne, and Becky hadn't been crazy, but the three of them did their best to wear me out, and I had thoroughly enjoyed the three hours we spent in the attic room. After a quick shower, I headed back to the condo, where Violet was waiting for me. She greeted me, and we went up to my room, where I laughed because Misty was sprawled out completely on the bed, taking up far more space than I could have imagined, given her size.

"How does she do that?" I asked.

"What?" Violet tittered. "Spread her legs?"

I simply shook my head and carefully shooed Misty from the bed. She gave me a look, then hopped off he bed and climbed onto the loveseat.

"Do you have any energy, or should we wait until morning?" Violet asked as we began to undress.

"I know what you said, but..."

"Oh, stop!" Violet commanded. "What did I tell you on the plane before our first time?"

"That you knew I was going to fuck other girls, and you promised not to complain or try to interfere, so long as you got to fuck me, too."

"Yes. And we'll work out the ground rules in January. I'm absolutely sure that's the right thing to do, given you don't seem to listen to what I actually say!"

"It's not that," I replied. "It's ... never mind. I'm being an idiot."

"Yes, you are! You may be the whizziest whiz kid at Spurgeon, but you can be pretty clueless otherwise."

"I promise not to bring it up again until January if you promise to tell me if I'm doing something that bothers you."

"Besides being an idiot?" Violet asked with a smirk.

"Yes."

"I promise. Now, get into bed and fuck me, please."

November 4, 1984, Chicago, Illinois

On Sunday morning, Violet and I left the condo at 9:30am so we could head to Soldier Field to meet Jack and Kristy for the Bears game against the Los Angeles Raiders. I still occasionally referred to them as Oakland, despite this being their third season in LA. While we were at the stadium, Bianca and Nicole were hosting our usual Sunday football gathering, something they'd decided to do despite my absence.

Jack and Kristy were waiting for us near the gate. The four of us entered together, and an usher directed us to our seats, which were excellent and right on the 50-yard line, offering a great view of the field. In the future, I'd be able to get eight tickets per game, but today, the other four seats were occupied by Norman Monroe, his wife, his son, and Missy. I greeted them, then took my seat.

I realized I had miscalculated, because being seen with Violet on the weekend at the Bears game would imply I was 'hitting that', as Murray Matheson had said. It was too late to do anything about it, so all I could do was enjoy the game and deal with the office gossip when it inevitably arose. Missy smiled and winked, but didn't say anything other than 'hello'.

It was a good game for the Bears, with Walter Payton scoring a pair of touchdowns, one each in the first two quarters, on 18-yard and 8-yard runs. The Raiders scored a pair of field goals, one each in the second and third quarters, with Bob Thomas kicking a field goal in the fourth quarter to bring the final score to 17–6. The Bears improved to 7–3, matching the Raiders, who were also 7–3, with both teams having an excellent shot at making the playoffs simply by winning half their remaining games.

Following the game, I escorted Violet home by the L, then used the L to return to the condo. I wasn't surprised that a number of our guests were still there, and after spending some time with them, I went upstairs to read for my English class. We were down to about six weeks to go, and I was very much looking forward to having my Monday and Wednesday evenings free. The downside of that was how it would affect my routine with Violet, but that was a solvable problem.

I spent about three hours reading The Catcher in the Rye, and making notes for the paper I needed to submit in two weeks. I was ahead of schedule, but I preferred that to trying to finish things just before the deadline. Happy with my progress, I returned downstairs to get a snack and sat with my housemates to watch TV. Just before bedtime, I flipped to CNN and saw that the Sandinista Front was projected to win the Nicaraguan general elections.

Bigger news was that violence in India was escalating following the assassination of Indira Gandhi. The situation in India was actually more concerning than a socialist government in Nicaragua, given the relative importance of the two countries. Reports indicated thousands of deaths, with some reports putting the death toll at over 12,000. However, the most credible sources were 'only' around 4000, with the government pushing much smaller, albeit implausible, numbers given eyewitness and video evidence.

Either way, the situation could have a significant impact on textiles, not to mention opening the way for a radically Hindu nationalist government replacing the Indian National Congress, which was a big-tent party, considered to be centrist. Another concern was how China might react to instability, given its border disputes with India. Given the situation, I decided to arrive at the office even earlier than usual to ensure I had sufficient time to verify the information for the analyst report.

"Can I come with you?" Chelsea asked when I announced I was going to bed.

"Yes," I replied.

We went up to my room with Misty padding behind us, and about five minutes later, we were in bed.

"I've thought about what we discussed on Thursday morning," Chelsea said, snuggling close. "What do you do when what you want can't happen?"

"The simple answer is to do something else, but I suspect that's an unsatisfying answer. What is it you want?"

"You know," she said quietly.

"It's better if you say it so we don't have any misunderstandings."

She gave the exact answer I was expecting.

"To marry you and have four or five kids," she said. "But you said that's not possible."

"We need to have a deep, adult conversation, and it might be upsetting," I said. "Are you ready for that?"

"I don't know," she replied tentatively. "I can try."

"I wonder if you're confusing sex and love," I said.

"I, uhm, decided to go to bed with you because I was in love with you," she said.

"Then let me adjust my question — I wonder if you confused lust and love."

"What do you mean?"

"That you wanted to have sex with me so badly that you convinced yourself you were in love with me to justify it in your mind."

"I do love you," she said.

"Have you been in love before?"

"No," Chelsea replied.

"Have you ever wanted to go to bed with someone before?"

"No."

"Would you go to bed with someone you didn't love?"

"No. I should have been married, and ... well ... no, uhm, never mind."

"Please say what you're thinking," I said."

"It was a sin," she said quietly.

"I have to ask what you're doing lying naked in my bed, planning to fuck, if you think it's sinful?"

"I don't know," she sighed. "I'm confused."

"Besides wondering what you should do if you couldn't have what you want, did you come up with any answers?"

"Not really."

"If your goal is to marry and have kids, your first step has to be meeting a guy, which you won't do if you don't go out."

"But where?"

"I may regret saying this, but you did say you were going to go to a new church. You could meet someone there."

"But ... well, I'm not pure."

"Only a moron would reject you because you're not a virgin, but given what I think about the kind of people who believe that nonsense, I'm positive they're mostly morons. I'd say you agree, given you didn't find a single, solitary guy who interested you. If church is out, then you need to go to clubs or bars or get involved in some other activity where you can meet people."

"I don't drink."

"All I can say to that is Jesus turned water into wine, and if the guy who started your religion drank, I'm missing the point."

"It's ... no, you'll say it's dumb."

"What?" I asked, knowing what she was going to say because we'd had the conversation before.

"It wasn't alcoholic."

"Oh, hogwash!" I exclaimed. "Remember, I know the story well enough that they asked him why he saved the 'good stuff' until everyone was drunk! I'm retracting my suggestion that you go to church. Don't, because it'll just rot your brain even further. Maybe take a class or model or act or something like that?"

"Can we discuss this in a few days?"

"Yes."

"Will you fuck me?"

"If that's what you want, yes."

"And finish in my mouth?"

"Yes."

"And French kiss me?"

"Yes."

November 5, 1984, Chicago, Illinois

On Monday morning, Chelsea was quiet while we showered and ate breakfast, and other than saying 'good morning' and 'goodbye', nothing was said. When I arrived in the office, I spoke with Rich, completed my usual morning routine, and went to my desk to begin a detailed analysis of what was happening in India. When Tony arrived, I called him in.

"I have an idea for how we can improve our impact," I said. "I'd like to generate detailed country reports on the UK, Canada, France, Germany, Japan, China, the USSR, and India. We'd update them quarterly, or if there was a significant event."

"What content?"

"Economic and currency data and projections, political parties, major public concerns, and so on."

"That's going to be a full-time job, at least at first," Tony said. "If we do it, we'll want to do regional reports to sweep in Scandinavia, the Middle East, South America, and so on. This goes far beyond the brief political and risk analysis we're doing. We'd need another person, probably someone with a degree in history or political science."

"Let me think about that and discuss it with Noel," I said. "I'd like you to flesh out the idea, if you would. What would we want to include in a five-page country summary? I'll need that before I speak with Noel."

"OK. I'll get to work on that. Any thoughts on India?"

"If they don't quell the riots, China or Pakistan might act to take advantage of the chaos. Heck, the Soviets might get involved in some way. The Indian markets are roiled, but that has little effect here; neither does the volatility of the rupee. On that, I need to get back to my research and analysis for the morning report!"

He left, and I continued working, putting the finishing touches on my analysis only a few minutes before the report was due to be published. Once it was, I called Kendall Roy in Compliance and asked if he had time to talk. He did, so I headed to his office.

"I have a question about the definition of 'material non-public information'," I said.

"You have something actionable from an inside source?"

"That's just it, I'm not sure. I secured an internship with a big-name movie director for my friend CeCi, leveraging contacts I established by pitching the William Morris Agency and RKO Pictures. I am aware of certain information from CeCi that is not publicly disclosed, which could have a material impact on the studio. Am I allowed to trade on that information?"

"Can you be more specific?" Kendall asked.

"I have details about two upcoming film releases that are likely to have a positive impact on the stock price of the studio."

"That makes it material, for sure," Kendall said. "Your friend, as an intern, isn't what we traditionally think of as an 'insider', so there's a bit of a grey area. That said, if that information is non-public, using it would likely constitute insider trading, and both of you would be subject to SEC action, including fines and potentially the loss of your license. Have you made any trades in that stock at any time?"

"No."

Kendall shook his head, "Then you don't really have a defense if it were to come out. I'm going to need you to tell me the name of the studio, because neither you nor Jack can trade it until such time as the information is public."

"It's Universal Pictures."

"That's part of MCA, right?"

"Yes."

"They're on your prohibited list until you certify to me in writing that the information you know is public. You should document this conversation, including the information you have, and send it to me. I'll put it in the segregated files. Have you mentioned this to anyone else?"

"No."

"Keep it that way. If your analysts cover MCA for any reason, you need to stay out of it, and you'll need to provide verified sources for any information they develop."

"Got it," I said. "I'll write it up and have it to you by the end of the day."

"Thanks. You're easy to work with," Kendall said. "You don't argue with me or look for loopholes!"

"I'm not interested in a conversation with Noel Spurgeon or the SEC; both would be very uncomfortable."

"Yes, they would. Have you heard back from the IRS?"

"No. According to my CPA and tax attorney, the agent is dragging his feet. My advisors believe he promised his bosses that he'd bagged a trader, and he has zilch."

"He'll be back next year for another bite at the apple."

"I'm aware, and tax year '84 is far more complicated than tax year '83."

"On the plus side, it's not the SEC."

"True. Thanks, Kendall."

"You're welcome."

I left Kendall's office and returned to mine, where Violet said Murray Matheson wanted to speak to me. I turned around and went to the FX Desk office, and Anna directed me right in.

"Where are we on the interest rate swaps?" he asked.

"We'll be ready December 1st as I committed," I replied. "I heard from Jack Nelson that the space for the Swaps Team will be ready on the 16th of this month. I haven't heard about the hiring."

"Three licensed guys start on the 1st, along with a secretary. Monroe will lead that team, and I'll backfill his PM spot. Who is handling the expanded analysis of interest rates?"

"Mueller and Stein," I replied. "Banking and fixed income, respectively. Mueller is the lead."

"Sounds good. Interested in throwing some money from your fund into the pool?"

"That doesn't fit my risk profile," I replied.

"Collateralized swaps are risk-free money!"

I chuckled, "There is no such thing as 'risk-free'. First of all, risk can only be shifted or transferred, not eliminated. The total systemic risk will always be there, no matter what you do. An individual or a firm can mitigate risk, but that's only possible if some counterparty accepts the risk."

"When did you become skittish?" Murray asked.

"Did I say I wasn't taking any risks? No. I said this didn't fit my fund's risk profile, and countered your statement about 'risk-free' money. There is no such thing."

"Now you're speaking like an analyst, not a world-beating trader!"

"I am an analyst," I replied. "Even so, I'm still ahead of Noel Spurgeon on the league table!"

"You could make more."

"I could, but given several former Wabash and Arrow fund investors are moving to my fund next month, I'm not about to propose changing my risk profile."

"I think you might change your mind when you see the income stream. Changing topics slightly, what are your thoughts on securitized debt instruments?"

"Handled properly, they're useful to mitigate the risk to the lending institution by shifting the risk to the investors. They're also beneficial to lenders in that they expand the amount of credit available. My concern about what they're calling Collateralized Debt Obligations is that there is no reasonable way for the purchaser to determine risk.

"Given that, there is no way to accurately price any specific CDO. For the most part, I wouldn't touch them with a ten-foot pole. The exceptions would be Ginnie Maes, which have 'full faith and credit' backing from the Feds, or something like Van Kampen's Insured Unit Investment Trusts."

"Is there a way to slough off the risk for CDOs?" Murray asked.

"Given what you're asking for is akin to re-insurance, we'd be prohibited from selling it. Standard options contracts won't work because the underlying asset is already pledged as collateral. You want to, in effect, collect premiums. The insurance regulators would be all over us if we did that, at least as I see it.

"I suppose you could create some kind of derivative instrument where someone accepts a portion of the payment stream in exchange for taking on the risk. Assuming you can find investors willing to make the transaction, how do you evaluate the counterparty to ensure they have the necessary reserves to pay in the event of a default? How do you price those derivatives? How do you mark them to market? How do you evaluate the default risk on both sides?"

"Those are all good questions. That's all, thanks."

"You're welcome."

I left his office, wondering why the FX desk would take on that kind of risk, especially when US Government securities had market-beating returns. That was unlikely to be true in 1985, but those still provided a strong base for a balanced portfolio, even for a hedge fund manager. A guaranteed, tax-free income stream of between 10% and 12% was nothing to be sneezed at, especially in years with minimal market gains, and even more so in years with market losses.

The rest of the day was typical, and ended with dinner with Violet, class, pie and ice cream, and Violet spending the night.

November 6, 1984, Chicago, Illinois

"Final predictions?" I asked Tony, Scott, and Steve on Tuesday morning.

"Forty-nine states for Reagan," Steve said, "He loses DC and Minnesota."

"I concur," Tony said, "but I think Minnesota is too close to call."

"I agree with Steve," Scott said. "Tony is right about Minnesota being close, just not too close to call."

"Does Volcker move again this week?" I asked. "Now that he won't appear to be helping Reagan?"

"I'd say another quarter point," Scott said. "I think that much is priced into the markets."

"I agree, and so do bond yields on the long end of the curve," I said. "The Dow and S&P will mostly be flat until rates are under 11%, which is when you'll see the true rally begin. Any surprises today?"

 
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