Monday, April 19, 2010

Lucky Tan and Mini-bonds

Read this article by Lucky Tan.

11 comments:

Anonymous said...

HOw will Goldman's case affect our Pinnacle Note holder's class action to sure Morgan? WIll it help us?

Anonymous said...

When an ordinary investor bought a financial product (from a financial institution), which is designed by a group of “talents” (financial and legal experts), discovered later that the product is bad or toxic.

The investor complain to the authorities, but the authorities apply the phase “Caveat Emptor”, did not investigate into the quality of the product (whether bad or toxic) instead the authorities is more interested in how the financial institution trains their sales staffs.

The group of “talents” managed to get their associates to create an impression that the victim is greedy and has unrealistic expectation (such as expect high return and no risk …).

The results are that, the poor investor not only lost most of his 30-years hard earned money, but also being humiliated.

Anonymous said...

Please read this article:

http://www.nytimes.com/2010/04/19/business/19goldman.html

"According to these people, executives up to and including Lloyd C. Blankfein, the chairman and chief executive, took an active role in overseeing the mortgage unit as the tremors in the housing market began to reverberate through the nation’s economy. It was Goldman’s top leadership, these people say, that finally ended the dispute on the mortgage desk by siding with those who, like Mr. Fabrice and Mr. Egol, believed home prices would decline."

Lloyd C. Blankfein sits on the International Advisory Panel (IAP)of MAS(link: http://www.mas.gov.sg/about_us/IAP_Members.html)

Was he on the panel in 2006/2007 when the Minibonds and Pinnacle Notes were being sold?

Anonymous said...

Somehow other regulators see investment companies swaps as wrong doing and mislead clients, Singapore MAS sees it as business as usual i.e. none of their business & that it is investors' responsibilities before signing on the dotted lines.

I guess MAS when come to Morgan Stanley, Lehman Brothers, Goldman Sach etc surrender it's responsibility to the Sgp victims because they dare not deal with the ANG MO. Then why pay themselves S$millions a year. The chairman and deputy chairman should take a pay same or lower than their Hong Kong or Malaysia counterparts since they cannot regulate, don't know how to answer petitions, dare not fault the banks and think the Ang Mo investments firms are always right.....

Anonymous said...

Unfortunately our leaders think that these large US investment banks like Morgan Stanley & Merril Lynch are so important to S'pore that justice for few thousands S'pore victims of these toxic CDO should be sacrified.
My UK friend told me the UK government has compensated their citizens who suffered huge losses after investing in Iceland Companies that defaulted. This is done even though Iceland has not paid UK back.

Anonymous said...

The institutions that we hate now is MAS and the SGX, they allow FIs and red chip companies to con investors with the caveat emptor clause on concealed fraud where information is concealed under a layer of complicated instruments and foreign laws. And what angers us is they just sit behind their desks, put up their legs, receive huge salary payments and worst of all, start blowing their trumpets over what they have done, when in fact they practically do nothing.
Singaporeans must realise for the past years, SGX officers are sent to kampong areas to persuade Chinese bosses to list their business here, never mind how small or how flimsy their integrity or businesses are, all these to compete with Hongkong to attract Chinese businesses to list on the Stock Ex. And this all only a number game so these officers recive huge bonuses at the expense of the gullible investors.
A lot of trust placed on this Govt.,it is bullshitting by the local media, the mouthpiece by the Govt. And Govt ministers and civil servants pay based entirely on GDP growth. That is the gist of the matter. So investors are better off investing in Hongkong or Australia, only reputable Red Chip companies are allowed to list on HK Ex, SGX will even grab the trash.
Only other countries outside Singapore protect and compensate their people. This is the type of trashy and own self Govt we have here. It is time to wake up, we have been duped far too long.

Think Risk, Not Trust said...

Anon: April 19, 2010 8:29 AM

"On Friday, attorneys for Lehman Brothers filed notices of subpoena..."

Maybe, there is still a little hope for u guys, just maybe...

http://www.reuters.com/article/idUSN1920367220100419?type=marketsNews

Anonymous said...

What hope is there for victims of minibond. Even KM lawyers from US told us last Tuesday that is of no use pursuing Lehman Brothers as they are already bankrupt. Investors of Notes are different from Owners of LB shares and bonds. We are not even consider as creditors.

Anonymous said...

It looks like a waste of time for Minibond investors at last Tuesday's seminar by the American KM lawyers, but we have a better insight into these CDOs and the way American lawyers see and act and defend their clients, infomation that may come in handy should the Minibond case end up ultimately in Court. The KM lawyers called credit linked notes
concealed fraud. But there are doubts, as our Court kowtows to the Govt., and be may forced to be pro FIs as DBS is PAP Govt.

Anonymous said...

Lehman Brothers International is bankrupt, but Lehman Brothers Singapore is not and has some asset and reserve. That is the difference.

Anonymous said...

There are a lot of things happening behind the scene, like LB
Singapore may have their moneys and assets drawn down to pay out compensation brokered by pricewaterhouse.
If not, why MAS becomes mump all of a sudden.

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