Banks - GRRRRRRRRRRRRRRRRRRRRRRR

[AngryAnt]

You are still yet to state what regulation should be enforced. All investment comes with risk.

Agree 100%. Banksia was a non-bank lender - people should understand that this carries more risk. What regulation would have prevented this from occuring?

 

[TigerForce]

Agree 100%. Banksia was a non-bank lender - people should understand that this carries more risk. What regulation would have prevented this from occuring?

I heard on the news they were audited and given the tick just months earlier.

 

[mld]

Agree 100%. Banksia was a non-bank lender - people should understand that this carries more risk. What regulation would have prevented this from occuring?

Ban non-bank lenders, I imagine.

 

[AngryAnt]

I heard on the news they were audited and given the tick just months earlier.

Private auditors.

 

[TigerForce]

Private auditors.

Corruption lives......

 

[mld]

Does anyone know what returns they were giving and/or promising?

 

[TigerForce]

Does anyone know what returns they were giving and/or promising?

Receivers still calculating, but do say the company does have 'substantial liquid assets'. They'll have to pro-rata the investors' debenture redemptions some way.

 

[michael roach]

Does anyone know what returns they were giving and/or promising?

I read somewhere they were promising 9% returns.

 

[mld]

I read somewhere they were promising 9% returns.

Thanks.

 

[pahoffm]

Word coming out today is that there were concerns about Banksia raised as much as 18 months ago, but it was still found to be operating with in the paltry regulations of NBFIs.

Like that similar Geelong-based, rural-Victorian NBFI of the late-1980s, it offered well over the market rate for deposits, in a desperate attempt to maintain its liquidity.

 

[TigerForce]

Word coming out today is that there were concerns about Banksia raised as much as 18 months ago, but it was still found to be operating with in the paltry regulations of NBFIs.

Like that similar Geelong-based, rural-Victorian NBFI of the late-1980s, it offered well over the market rate for deposits, in a desperate attempt to maintain its liquidity.

Like the one with the Sphinx? ;D

 

[TigerForce]

I read somewhere they were promising 9% returns.

Where was this?

 

[mld]

So echoing gia, what sort of regulation could have prevented this happening?

 

[pahoffm]

So echoing gia, what sort of regulation could have prevented this happening?

NBFIs need to come under similar regulations as regular banks with % reserve deposits and securities.

 

[michael roach]

Where was this?

Scott Pape article in yesterday's HUN.

This is the returns promised by Banksia to get people to invest, which is what I believe mld's question was.

 

[TigerForce]

Scott Pape article in yesterday's HUN.

This is the returns promised by Banksia to get people to invest, which is what I believe mld's question was.

OK sorry I thought mld meant 'they' as the receivers. ;D

 

[TigerForce]

So echoing gia, what sort of regulation could have prevented this happening?

ASIC does, but who knows how thorough these regulation procedures really are.

 

[Giardiasis]

http://www.leithner.com.au/newsletter/nov12_newsletter.pdf

 

[Giardiasis]

http://www.plata.com.mx/mplata/articulos/articlesFilt.asp?fiidarticulo=194

 

[Giardiasis]

http://globaleconomicanalysis.blogspot.com.au/2012/11/whats-really-behind-gross-inequalities.html