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Gordon Gekko (Michael Douglas) is released from prison in October 22, 2001 after an almost eight-year prison sentence for securities fraud. Out of habit, he approaches a limo pulling up to the prison, only to discover that the car was picking up another inmate. As the rest of the released prisoners joyously greet their families and go home, Gekko is left standing all alone.
Seven years later, Jacob "Jake" Moore (Shia LaBeouf) is awakened in his apartment by his girlfriend, Winnie (Carey Mulligan). Jake turns on the television, and there is an interview with Gekko on television. Gekko has become an author and a lecturer promoting his new book, "Is Greed Good?" Winnie gets upset and throws the remote at the TV after Jake does not turn it off. Winnie is Gekko’s estranged daughter and wants nothing to do with him. Jake drives Winnie to the airport on his motorbike, and she goes off to gather investors for her online political magazine.
Jake goes out to celebrate with his best friend and buys Winnie a ring. He mentions that Winnie is not big on marriage, given the outcome of her parents' marriage, but Jake knows that she loves him and he loves her. His friend asks about rumors that Keller Zabel is in danger, but Jake brushes it off. He bets his broker friend that Keller Zabel stock will be going up and invests the remaining million of his bonus.
The next day the company’s stock starts crashing and loses nearly fifty percent of its value. Jake's broker friend urges Jake to sell his shares to at least come out without even one ounce of debt, because Jake had leveraged up his million dollar position in the stock to 1.5 million through margin. Jake ignores his friend's suggestion to sell and goes looking for Lou Zabel. Zabel doesn't come in to work so Jake goes and finds him walking his wife's dog in the park. Jake asks him if Keller Zabel is going to go under, but Zabel just tells him that the right question is, "Who isn't?"
Jake visits Gekko again and gives him the photo of Winnie that he promised. Gekko tells Jake that his research pointed out that the Locust Fund, a private offshore hedge fund, was betting against Keller Zabel. Jake explains that he was offered a job by Bretton James, and Gekko tells Jake that he suspects it was James’ testimony which got him sent away for eight years. Jake is confused, having assumed that it was Bud Fox who put Gekko away. Gekko explains that Bud Fox got him on insider trading but that was nothing compared to some of Gekko's other activities. He and Bretton had a falling out, and, though he doesn't know for sure, he suspects that Bretton was behind it. Gekko asks for another trade: he wants to have a face to face with his daughter.
Winnie and Jake go out to Long Island to meet with Jake’s mother. She asks for $200,000 to float her properties. Jake gives it to her, but Winnie tells Jake in private that she's only going to waste her chance again. She asks him to take her very expensive ring back because she isn't comfortable wearing something so expensive. Jake pretends that he called Gekko to have dinner and ask his approval so he and Winnie go to have dinner with him. During their reintroductions, Gekko sees Graydon Carter, the editor in chief of Vanity Fair, and introduces himself, only to be brushed off as a nobody. Winnie realizes that Gekko hasn't changed and leaves upset. Jake pursues her and she tells him that if he goes back, Gekko will destroy them.
At work, Jake is put on the sideline so that Bretton's point woman can take over a pitch to the Chinese. They are unimpressed with her pitch, stating that they are looking for the next big thing in energy. Jake swoops in and presents them with the fusion research he has been supporting. Bretton is impressed by Jake's initiative and is glad that the firm has made more money. However, the firm is in trouble but Bretton doesn't want anyone to know. The economy is slowly starting to crumble. Bretton hosts a fundraiser and invites Jake and Winnie. Gekko asks Jake to front him 10K so that Gekko can also attend and have another chance to reconcile with Winnie.
Wandering around the party, Gekko ends up bumping into Bud Fox (Charlie Sheen). Fox did his time in prison and went on to build Blue Star into one of the premier airlines in the country. He sold the company and retired a multimillionaire. He wishes Gekko well and tells him to stay out of trouble. Gekko approaches Winnie and Jake at Bretton’s table, but Winnie leaves when Gekko arrives. Gekko and Bretton exchange a tense conversation where Gekko implies that he has proof that Bretton is responsible for putting him away. Bretton gets uncomfortable but points out that Gekko is no one. Gekko leaves him to find Winnie. Bretton tells Jake that the Chinese are going to invest 150 million in the fusion research Jake has been supporting. Jake calls the head researcher and tells him that the money is on its way.
The economy is in the tank. Numerous companies are failing. Bretton calls Jake into his office and Jake takes a helicopter to meet Bretton at his estate. The two participate in a motorcycle race against each other and Jake beats Bretton. Bretton tells Jake that the money the Chinese invested is going into fossil fuels instead of fusion research. Jake gets angry knowing that Bretton is trying to sink the fusion research since it is not profitable, even though it would benefit the entire world. Bretton would be unable to control the source once the technology becomes known, unlike with the oil industry. Jake quits and tells Bretton to go fuck himself.
A few hours after returning to New York, Jake gets a call saying that the money never arrived. He gets frantic, but his mother interrupts him before he goes to deal with Gekko. She asks for 100,000 dollars but Jake gives her 30K and tells her that he cannot afford to waste any more money on her ridiculous real estate deals. He goes to Gekko's apartment and finds it empty: he's gone.
Jake tells Winnie what happened and that he's been talking to Gekko for a while. She breaks off their engagement and tells Jake to leave: she no longer trusts him or feels safe around him. He leaves bitterly and tracks Gekko to England, where Gekko is running a financial company again with the 100 million he stole from Winnie and Jake. Jake propositions him for one last trade: Winnie gets her 100 million back and Gekko gets a grandson. Jake shows him the ultrasound of his son but Gekko, despite being moved, cannot let go of being someone of importance. He tells him that it's not about money; it's about the game. Gekko says that giving the money away is a "trade he cannot make." Jake leaves.
Over the next few weeks, by using the previous information collected by Gekko about Bretton, Jake begins piecing together everything from Keller Zabel’s collapse to the economic bailouts being issued for Bretton’s company. Jake points out that Bretton owns the www.LocustFund.com and puts the pieces together in one large information packet. He gives it to Winnie, telling her that it will put her website on the map for good as a legitimate source of information and that he misses her like crazy. He then leaves.
Winnie runs the story, and Bretton James is exposed. The board of directors kicks him out of the company, and Bretton is forced to testify to his crimes in front of the Manhattan District Attorney, who notes that they previously had Bretton's cooperation in the Gekko investigation. Bretton's career is over, and he's left to the sharks. Bretton's board of directors goes to Gekko in order to start doing business with him in view of the new credibility Gekko gained through his London firm's astounding success. He speaks to his materialistic business clients in the language they understand and respect: by correctly predicting the coming financial collapse, Gekko sold the market short and turned the $100 million that he stole from his daughter into the incredible sum of $1 billion dollars. He proudly looks at his account assets; Gekko is a billionaire again.
Jake sees Winnie walking to her apartment and helps her carry her things. Their son has been kicking and keeping her up at night. Jake feels his son's kicks and Winnie thanks him for the help but they do not reconcile. Gordon appears and tells them that he deposited the $100 million in to the fusion researcher's account anonymously. Now that Gekko attained his aim of becoming a billionaire by using the money he stole from his daughter, he finally returns that relatively small sum. He tells them that they make a good couple and that he'd like to be there for them as their father and a grandfather. He walks away saying, "What, can't you believe in a comeback?"
Jake kisses Winnie and they reconcile before the birth, and, one year later, they celebrate their son's first birthday with a party, at which Gordon is also present.
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