The crisis in Europe is just opening up. How serious it will become is still anyone’s guess. Europe is going down, and so is the US. Foreign banks here are starting to retrench some of their staff, in small numbers. The cause, financial deals are drying up. The financial industry will be the first to be hit this time as investment banks are losing credibility with their huge appetite for gambling.
High net worth clients who are smart enough would be getting cold feet with banks gambling with their money. Yes, it is big time gambling, not playing jackpot machines in the casinos. Many high net worth clients must be losing huge sums of money with stock markets going down in a spiral. And with cash is king, some may be tempted to just sit on it.
The retrenchment of investment bank staff is likely to affect the finance talents whose incomes are pretty substantial. And if these people are committed to multi million dollar properties and expensive cars, it is going to hit them in some ways. The big mortgages are not going to go away. They need two big incomes to service.
Then people will be pointing naughty fingers at them. Why take such big loans and big risk? Why buy properties beyond their means. The thing is that they were not given a chance. They were not eligible to buy properties within their means, to eligible to buy more affordable public housing. Hope it is not going to be the case, or some will be strangling themselves. Those in MF Global are likely to be seeking new jobs too.
When the bubble bursts, those who put these people at unnecessary high risk must touch their hearts and ask themselves if they have done wrong.
8 comments:
Yep. Most of people's attention have been directed to all the problems in Europe. However china is in deep shit and the shit is getting deeper.
The only difference is that China has the REAL MONEY to pay their way out of crisis, whereas the Mat Saleh (so-called) Demo-crazies tend to borrow and spend to live well beyond their means, placing their children and grand children in debt.
China has a growing inventory of empty real estate -- commercial and residential. Developers are starting to go bust -- sweet, sweet music man.
Chinese Government Officials are playing this down.
What Temasek, GIC and HDB can do is to buy up these non-performers to solve S'pore's public housing shortage. Then SIA, Tiger and Scoot (also under the control of Temasek) can run shuttle services from the chinese cities, to The Motherland, Singapore.
In this way, a small cuntry -- Singapore -- can actually COLONISE a larger cuntry -- China -- without firing a shot.
Since Temasek et al uses CPF money to fund their global imperialistic capitalist conquests, Singaporeans should rejoice when "their money" (which is not their money, in fact) which runs a perpetual Legal Politicised Pyramid Scheme (CPF-HDB), these Singaporeans can at least expect some "justice" from their hard-working government which is voted in to "solve the big problems".
In Singapore, ALL PROBLEMS are BIG PROBLEMS. We don't fuck around. We are Number One.
Singapore is well positioned to take advantage of other-peoples-pain. To remain a meritocracy, the first step is to have the ATTITUDE based on courage and big balls to seize opportunity when it arises.
As Frank Zappa advises in his song: The Meek Shall Inherit NOTHING
Dear redbean
It's an unstated rule of employment as a private banker.
You can't have an HDB address.
Suspect it may be the same for the MPs of a certain political party too.
A tiny spark may start a prairie fire.- Mao Tze-Tung.
Europe crisis will not only affect Europeans. The world will suffer. But, whatever go up will come down, and whatever come down will go up. This is the continuous lifecycle of economy. Hold onto you property so long as you cane service it, it will be OK. After all, everyone wants to rush to this small island to live and work. The future is OK for Spore.
At least in the foreseeable decade said the Sin Prime Minister. Singaporeans will be able to ride on the success of other Asian Countries according to him.
Think what he said is true, so carry on spending, worry 10 years later.
Here's my prediction:
1 Smart, and savvy Sporeans will make tons of money. (watch some of the young guns in the hedge funds. They will become rock stars)
2 Butt nutty idiotic Sporeans will be whinging and playing THE VICTIM cursing the government, cursing the US, cursing "greed" and "evil" (whatever they are.. I don't believe they exist), cursing foreigners... Same ol same ol sing song of the same old song.
If one is in the right mood, and it is quite entertaining to watch :-)
Here's my prediction:
1 Smart, and savvy Sporeans will make tons of money. (watch some of the young guns in the hedge funds. They will become rock stars)
2 Butt nutty idiotic Sporeans will be whinging and playing THE VICTIM cursing the government, cursing the US, cursing "greed" and "evil" (whatever they are.. I don't believe they exist), cursing foreigners... Same ol same ol sing song of the same old song.
If one is in the right mood, and it is quite entertaining to watch :-)
Don't trust American and European banks especially the big ones. They are all run by sophisticated rogues, crooks and scoundrels like as the Christians say in a holy trinity. Don't deposit money with them and don't trust their private investment bankers. They always use clients money ( Other People's Money or OPM )to play with in gambling and speculation in stocks and derivatives. If they and the firms win they keep the profits but if they lose the clients forfeit their deposits and this can mean incur loses of up to hundreds or thousands of billions of dollars of innocent clients' money. It is this untrustworthy westerners' business policy,"Head I win. Tail you lose." So if you have invested or deposit money in these American and European banks, pull out before it is too late. If Singapore Government through GIC and Termasek Holdings can lose billions in Merrill Lynch, Citi Bank, Bank of America and CBS, how can individuals hope to make money from their investment in these American and European banks. In fact any western financial institution is a suspicion, unreliable and untrustworthy.
Southernglory1
Don't trust American and European banks especially the big ones. They are all run by sophisticated rogues, crooks and scoundrels like as the Christians say in a holy trinity. Don't deposit money with them and don't trust their private investment bankers. They always use clients money ( Other People's Money or OPM )to play with in gambling and speculation in stocks and derivatives. If they and the firms win they keep the profits but if they lose the clients forfeit their deposits and this can mean incur loses of up to hundreds or thousands of billions of dollars of innocent clients' money. It is this untrustworthy westerners' business policy,"Head I win. Tail you lose." So if you have invested or deposit money in these American and European banks, pull out before it is too late. If Singapore Government through GIC and Termasek Holdings can lose billions in Merrill Lynch, Citi Bank, Bank of America and CBS, how can individuals hope to make money from their investment in these American and European banks. In fact any western financial institution is a suspicion, unreliable and untrustworthy.
Southernglory1
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