Stunning Disregard
If you want proof that there was disregard for individuals and investors on the part of large banks and corporations before the fall of the market last year, just listen to the news coming out of Hong Kong. Of course this is conveniently buried now that the Swine Flu is the main headline.
Banks and Investment firms were selling notes linked to Lehman Brothers before they failed, to old people, less sophisticated investors and even the mentally ill. There is even evidence that they were being sold as low risk investments.
To rub salt in the wounds of the investors that bought the notes, the regulatory body that found out about the practices, stated in a report that to disclose the information would be against public interest. I wonder how much that guy was collecting under the table. The findings were originally blacked out of the report, and not revealed.
Now for all those here in the US, if you think this isn’t reflective of the practices here in the US, forget about it. I agree with one statement from the article, “If more restrictions are placed on the sale of investment products it could add a lot onto banks’ operating costs,” What are you supposed to do though; it’s apparent that the industry cannot or will not regulate itself. BoA is in the headlines needing another 60 to 70 billion. I wonder where they are spending all that cash.
If you want proof that there was disregard for individuals and investors on the part of large banks and corporations before the fall of the market last year, just listen to the news coming out of Hong Kong. Of course this is conveniently buried now that the Swine Flu is the main headline.
Banks and Investment firms were selling notes linked to Lehman Brothers before they failed, to old people, less sophisticated investors and even the mentally ill. There is even evidence that they were being sold as low risk investments.
To rub salt in the wounds of the investors that bought the notes, the regulatory body that found out about the practices, stated in a report that to disclose the information would be against public interest. I wonder how much that guy was collecting under the table. The findings were originally blacked out of the report, and not revealed.
Now for all those here in the US, if you think this isn’t reflective of the practices here in the US, forget about it. I agree with one statement from the article, “If more restrictions are placed on the sale of investment products it could add a lot onto banks’ operating costs,” What are you supposed to do though; it’s apparent that the industry cannot or will not regulate itself. BoA is in the headlines needing another 60 to 70 billion. I wonder where they are spending all that cash.
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