A lesson from Genneva
Genneva, a gold trading company that offered its customers 24% returns on their investments has its business suspended. It was definitely too good to be true. Its office has been raided and is now under investigation by CAD. It was under the watchlist of MAS all the while.
When the company was set up, it tells a story of good returns and everything good. The returns were absolutely good, very good, outstanding. No one borders to ask what can go wrong to make the promises turn sour. The company would be the last one to want to tell what can go wrong.
Sinkies are now living it up, in high heavens. Everything is so rosy, so good, so very good. The housing price is just on one track, up. The savings in the CPF with 4% interest rates for the oldies must be excellent. Jobs aplenty and more foreigners and more citizens are needed. Nothing can go wrong. Really?
Murphy’s Law says that what can go wrong will go wrong. Same thing happened to Genneva. Same thing happened to toxic notes and Lehman Bonds. Same thing happened to all the too big to fail banks in the US and Europe.
Anyone believes that nothing can go wrong? Anyone believes that the housing price will be happily stay up there? Anyone believes that the high population is only good? How many believe that their CPF savings will not be worthless at the end of the day?
And how many believe what the ministers said, that the young today will have a lot of money when they retire? Anyone out there willing to say what can go wrong, what can go awfully wrong?