Read what Bill Clinton said .... "Bill Clinton today expressed regret for listening to such sentiments. He said that he should not have listened to the former treasury secretaries Robert Rubin and Larry Summers, both of whom opposed tight protection when derivatives were gaining popularity during the 1990s." “I think they were wrong and I think I was wrong to take [their advice] because the argument on derivatives was that these things are expensive and sophisticated and only a handful of investors will buy them,”
good article,what Bill C.had said is true to sense that such products were once sold only to 'private'customers ie.Private Banking ranking,i had experienced such offer before,Hedge fund either 'short'&/or'long'position to gain e better of 'investment' of both sides..back then,such instruments are consider "brilliant" & Hedge fund companies are making big bucks! All 'bankers' even RM are asking 'private'customers to buy into Hedge funds,or at least 'diversified',at best playing both coins of the game..guess what is the percentage of interest given?a whopping ever 32% is not uncommon but to the later CDO(which is uncover as minibond,or other names)such investments are not for the common folks BECAUSE 'some people'are already knowning betting against their fall!with huge taking in favor on the hedging side!so,is a story of 'head i win, tail u lose!' the sad thing is this, who cares when a few chosen is making huge money,when majority (of the less 'intelligent')is loosing?u see, it depends which camp u are on & sad?well,is reality of "investment",u hedge against something u buy,just like insurance but this time round,most products are sold in Asia,outside of USA,Europe,as u are not supposed to sell such 'products' within these countries,what Goldman Sach happening is the tip because if u go back to to late80' to early '90,many of such products are avail & many have made huge monies!is financial capitalism & it 'works'!look at GIC,Temesek,u think they gonna make a few cents at best..?with what & boasting of huge percentage return over the years BUT in one scoop lost all..listen guys..wake up,these institution are all partaker of the UNHOLY COMMUNION!really,is shows greed,lies,deceits but is just part of the work,of capitalism & to the 'idiots'few,is bad choice of timing & investment & let me add,if all hedge funds are to be dragged to scrutiny,a huge involvement for & from the fund (money)are from very reptutable institutions to 'fund' the project,"loanshark"the money because the return of others loosing is a huge gains for just a few lucky winning..which side are you on...?then, & want more story, layman understanding of such products, well create a portal & i will teach u more...
It is wrong to pay bankers sky high bonuses just because they are making huge profit for the banks.
To make huge profit for the banks, these bankers will likely resort to
1) design financial products (such as minibonds, pinnacle notes, high notes, credit linked notes …) which make unreasonable large profit from their customers. These products are likely bad or toxic.
2) take huge bets (such as credit default swaps …) with other parties on some events.
This (paying sky high bonuses based on profit) could be the main cause of the financial crisis and the reason why during the financial crisis, some bankers still enjoying sky high bonuses while others (investors, pension funds, university endowment funds ….) lost a lot of money.
When the company makes money, bankers earns millions. When the company don't make money, bankers earns millions paid by taxer payers.
Does this makes sense?
In Sgp, bankers from USA are kings i.e. cheat singaporeans of their life savings and MAS just tell the investors to complain to FIDREC. Is there Justice when clearly the World is showing us that these USA investment companies have been taking us for a ride and the local authority is too scare to investigate. To make things worst, local authority just ban the local banks and FIs from selling a dead structure product for a period of time believing that such act severly tarnish their reputation. But what happen to us? The actual victims who lost money because MAS did lousy job in regulating, Banks and FIs were not responsible and do all sorts of things to make us buy e.g. hookwink us with all the wrong informations and claim that they were trained that way by those USA investment companies.
MPs knew the truth and also did nothing as they are too scare of the Ms.
What kind of system do we have? MPs and Ms only think of themselves and have the cheek to keep asking for salary increase even though they are the best paid in the World.....
In reality, whether you vote for your MP or not, they are bound by Party Whip. They are duty-bound to the Party more then their constituency. That means no MP will speak for anybody for these structured notes saga.
"Goldman Sachs hits back at mortgage profit allegations" http://www.channelnewsasia.com/stories/afp_world_business/view/1052563/1/.html
Senator Carl Levin said the bank had bundled toxic mortgages into complex financial instruments, got credit rating agencies to label them as AAA securities, and then sold them to investors, magnifying and spreading risk throughout the financial system.
Isn't this the what Minibond, Jubilee, High Notes and Pinnacle is all about. In addition, the creators trained local FAs that the product is a bond [safe and low risk] and related to the 6 big banks or financial institutions.
The Permanent Subcommittee on Investigations in US is sueing Goldman Sachs on the above. Isn't this enough proof to Singapore MAS that we, the Singaporeans who lost millions because those investments banks and local financial institutions did everything they could to con us into buying. Aren't MAS going to investigate on those Americans institutions when America and Britian have started.
My prediction: MAS no guts, no backbone, no brain and good for nothing as they are just too scare to do what's right. So why work for MAS, earn tax payers money and only making sure Chairman and Deputy Chairman are happy when we, the investing public of about 12,000 people are being punished because our regulator did not do a good job and our local financial institutions help to lure us into these products.
Read what Bill Clinton said .... "Bill Clinton today expressed regret for listening to such sentiments. He said that he should not have listened to the former treasury secretaries Robert Rubin and Larry Summers, both of whom opposed tight protection when derivatives were gaining popularity during the 1990s." “I think they were wrong and I think I was wrong to take [their advice] because the argument on derivatives was that these things are expensive and sophisticated and only a handful of investors will buy them,”
ReplyDeletegood article,what Bill C.had said is true to sense that such products were once sold only to 'private'customers ie.Private Banking ranking,i had experienced such offer before,Hedge fund either 'short'&/or'long'position to gain e better of 'investment' of both sides..back then,such instruments are consider "brilliant" & Hedge fund companies are making big bucks! All 'bankers' even RM are asking 'private'customers to buy into Hedge funds,or at least 'diversified',at best playing both coins of the game..guess what is the percentage of interest given?a whopping ever 32% is not uncommon but to the later CDO(which is uncover as minibond,or other names)such investments are not for the common folks BECAUSE 'some people'are already knowning betting against their fall!with huge taking in favor on the hedging side!so,is a story of 'head i win, tail u lose!' the sad thing is this, who cares when a few chosen is making huge money,when majority (of the less 'intelligent')is loosing?u see, it depends which camp u are on & sad?well,is reality of "investment",u hedge against something u buy,just like insurance but this time round,most products are sold in Asia,outside of USA,Europe,as u are not supposed to sell such 'products' within these countries,what Goldman Sach happening is the tip because if u go back to to late80' to early '90,many of such products are avail & many have made huge monies!is financial capitalism & it 'works'!look at GIC,Temesek,u think they gonna make a few cents at best..?with what & boasting of huge percentage return over the years BUT in one scoop lost all..listen guys..wake up,these institution are all partaker of the UNHOLY COMMUNION!really,is shows greed,lies,deceits but is just part of the work,of capitalism & to the 'idiots'few,is bad choice of timing & investment & let me add,if all hedge funds are to be dragged to scrutiny,a huge involvement for & from the fund (money)are from very reptutable institutions to 'fund' the project,"loanshark"the money because the return of others loosing is a huge gains for just a few lucky winning..which side are you on...?then, & want more story, layman understanding of such products, well create a portal & i will teach u more...
ReplyDeleteIt is wrong to pay bankers sky high bonuses just because they are making huge profit for the banks.
ReplyDeleteTo make huge profit for the banks, these bankers will likely resort to
1) design financial products (such as minibonds, pinnacle notes, high notes, credit linked notes …) which make unreasonable large profit from their customers. These products are likely bad or toxic.
2) take huge bets (such as credit default swaps …) with other parties on some events.
This (paying sky high bonuses based on profit) could be the main cause of the financial crisis and the reason why during the financial crisis, some bankers still enjoying sky high bonuses while others (investors, pension funds, university endowment funds ….) lost a lot of money.
When the company makes money, bankers earns millions. When the company don't make money, bankers earns millions paid by taxer payers.
ReplyDeleteDoes this makes sense?
In Sgp, bankers from USA are kings i.e. cheat singaporeans of their life savings and MAS just tell the investors to complain to FIDREC. Is there Justice when clearly the World is showing us that these USA investment companies have been taking us for a ride and the local authority is too scare to investigate. To make things worst, local authority just ban the local banks and FIs from selling a dead structure product for a period of time believing that such act severly tarnish their reputation. But what happen to us? The actual victims who lost money because MAS did lousy job in regulating, Banks and FIs were not responsible and do all sorts of things to make us buy e.g. hookwink us with all the wrong informations and claim that they were trained that way by those USA investment companies.
MPs knew the truth and also did nothing as they are too scare of the Ms.
What kind of system do we have? MPs and Ms only think of themselves and have the cheek to keep asking for salary increase even though they are the best paid in the World.....
In reality, whether you vote for your MP or not, they are bound by Party Whip. They are duty-bound to the Party more then their constituency. That means no MP will speak for anybody for these structured notes saga.
ReplyDelete"Goldman Sachs hits back at mortgage profit allegations"
ReplyDeletehttp://www.channelnewsasia.com/stories/afp_world_business/view/1052563/1/.html
Senator Carl Levin said the bank had bundled toxic mortgages into complex financial instruments, got credit rating agencies to label them as AAA securities, and then sold them to investors, magnifying and spreading risk throughout the financial system.
Isn't this the what Minibond, Jubilee, High Notes and Pinnacle is all about. In addition, the creators trained local FAs that the product is a bond [safe and low risk] and related to the 6 big banks or financial institutions.
The Permanent Subcommittee on Investigations in US is sueing Goldman Sachs on the above. Isn't this enough proof to Singapore MAS that we, the Singaporeans who lost millions because those investments banks and local financial institutions did everything they could to con us into buying. Aren't MAS going to investigate on those Americans institutions when America and Britian have started.
My prediction: MAS no guts, no backbone, no brain and good for nothing as they are just too scare to do what's right. So why work for MAS, earn tax payers money and only making sure Chairman and Deputy Chairman are happy when we, the investing public of about 12,000 people are being punished because our regulator did not do a good job and our local financial institutions help to lure us into these products.