Originally Posted by CB100
I will leave that for others to decide. They are reading the same as I am.
I will leave that for others to decide. They are reading the same as I am.
How does the FSA stop things it doesn't know about? Or are they omniscient?
PORK KORMA NAO!
Vote Pirate!
Obviously they can't. But as the Libor scandal shows, they get found out in the end. The real thing that is needed is much harsher punishments for the guilty when they are found out. In addition, the management of these organisations need to be held accountable for allowing the culture that encourages it.
Bottom line, the risk reward - balance needs altering. If traders and managers know they will face 20 years + in prison if / when caught and all their assets seized, they will in future be much less keen to go in for fraud and market manipulation.
Trouble is we all know what is needed but it won't happen.
How about this for regulation if bank screw up they go bust the same as every other company?
“Most people do not listen with the intent to understand. They listen with the intent to reply.” Stephen Covey
Exactly, protect the account holders and let the bank go bust, we've just taught them a lesson in they are stronger than the government and they can get away with anything they like, do you think they will change their ways....no me neither.
Nothing is fool proof to a sufficiently talented fool.
Member of the Association of White Posters.
The bank and the state are basically merged into one. This Libor fixing was hardly done under the cloak of darkness it was allowed to continue by the state because as long a every thing seemed to be ticking along no one really cared.
No nothing will change. The voter pleasing rhetoric will be spouted from every corner but in the whole world the only man that seems to have gone to prison is Bernie Madoff and after having read an interview with him from inside prison you'd wonder if he had allowed himself to be convicted because he'd just had enough of it all.
“Most people do not listen with the intent to understand. They listen with the intent to reply.” Stephen Covey
There is always a natural caution in changing the rules for a sector that contributes massively to the economy both in terms of taxes and employment. I do think however that recent events will lead to a hardening of the treatment of bad practice in the financial services industry.
My own view is the real problem is a cultural one, largely imported from the US. Politicians need to focus on sorting that out.
This bank rate fixing happened in 2008; we become aware of it in 2012.
Bit of a gap there don't you think?
It was actually known about by the regulators for quite some time but it has taken quite a while to get all the evidence together.
So who tells you when the market is high, or low for that matter?
The fact is that many things affect individual companies within the market, whatever the actual level of the market as a whole.
Nobody should invest in any company without doing their homework on the individual company, along with taking into account many other factors (e.g. How the various economies in the world affects the company; The spread on the share; The liquidity of the share; Financial position of the company; State of the market(s) the company trades in; etc.).
Also nobody should even think of investing in shares if they are likley to need the money used to purchase the shares in a hurry.
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