The National Council for Problem Gambling is coming out to help the big time gamblers. The Singapore govt is offering Indonesia help to put out fires by fire starters. And today we have a front page news that a trader of UBS lost $2.48b for betting and hedging on behalf of the bank.
The world is getting to be a stranger and stranger place by the days. What is the point of trying to help fire starters to put up fires? The problem is not with the fire but the fire starters.
The other question is, who are the big time gamblers? The guy who blown away his life savings of $200k or the guy who betted and lost $2.48b? Or is it the guy who sits at the top of a huge bank worth trillions of dollars and authorizing the bank and its army of gamblers to gamble on behalf of the bank? Or is it the politician that put out his soldiers to wars hoping to reap financial rewards at the end of the game? Or is it the politicians that spend and spend without a care of when they are going to pay back, or be able to pay back the money they have spent?
We have just seen how America nearly toppled over. We are seeing Europe on the brink of a financial disaster. Who are the gamblers that are gambling with the nation’s wealth?
Definitely not the politicians? Neither were the bankers and fund managers gamblers. They are legitimate investors, fund managers, taking calculated risks with other people’s money. There is no reason to call them gamblers, while they gamble away other people’s money, the bank’s assets, the nation’s reserves.
The world today is really run by gamblers of all kinds. Everyone is putting his bets for a quick profit for his own pockets but declaring that they are investing for other people’s benefits. Some even claimed to be investing for the long term. When bankers and politicians are looking for quick profits instead of making steady profits and returns by taking small and measured steps, the world can be easily toppled without the need to have casinos. Every stock exchange is now a casino. Every country is also a casino.
You make very good points in your blog post.
ReplyDeleteBut what's the alternative?
Work 12 hours a day.
Stay loyal to your employer.
And wait to be retrenched at 40 years old?
And to add insult to injury;
Be told that you need more spurs.
And that it cannot be helped.
I will post my alternative tomorrow, titled, Sell Singapore.
ReplyDeleteThe question is can this happen in Singapore with our local banks? Remember beside local Singaporean we also have foreigners working in local banks. Not insinuating any thing don't get the wrong idea if you think I am going that way.
ReplyDeleteBad investment decisions can never happen in Singapore.
ReplyDeleteOnly the bestest of the best are employed in position of responsibilities in our banks, Temasek and GIC.
You can never lose money if you invest for the long term. A "paper" loss is not a real loss. But a "paper" gain is real and must always be reported and trumpeted to the whole world.
Greece is not in default because they always can find someone to lend them more money.
If you read the financial reports, our SWFs are making money every year. Where got lose money?
ReplyDelete