Jump to content
House Price Crash Forum
Sign in to follow this  
gruffydd

F*** - Fsa Bins Uk Banks' Capital Rules

Recommended Posts

http://ftalphaville.ft.com/blog/2009/01/19...-capital-rules/

ARGHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHH

HHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHH

H

HHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHH

H

HHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHH

H

HHHHHHHHHHHHHHHHHHHHHHHHHHHHH

Edited by gruffydd

Share this post


Link to post
Share on other sites
Guest Steve Cook
http://ftalphaville.ft.com/blog/2009/01/19...-capital-rules/

ARGHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHH

HHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHH

H

HHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHH

H

HHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHHH

H

HHHHHHHHHHHHHHHHHHHHHHHHHHHHH

you and me both

Share this post


Link to post
Share on other sites

throwing basel out of the window, ie you don't need as much reserve capital to run a bank.... well the tightening of the rules in 07/08 caused the crunch as banks scrambled to find capital that didnt exist. Ignoring, easing the capital requirements will help return us to crazy lending, which will help the economy.

Nice article explaining how basel ii contracted the credit supply/creating the credit crunch.

http://www.voxeu.org/index.php?q=node/1398

http://www.bis.org/

a. Tighten Capital Requirements

b. Self inflicted Credit Crunch

c. Print lots of money

d. Ease Capital Requirements

Can you tell what e is yet?

Edited by moosetea

Share this post


Link to post
Share on other sites
The FSA is authorising a modelling trick that will allow UK banks to significantly reduce their risk-weighted asset requirements stipulated under the Basel-II accord.

is this the same FSA that hasnt yet paid out the equitable life pensioners ?

or the same FSA that failed to regulate banks over the last 7 years ?

now using a 'trick' ?

wtf ?????

Edited by the-sign-jacker

Share this post


Link to post
Share on other sites

Do you get it yet?

The government is owned and run by and for the bankers.

They'd take the last crust out of your hungry childs mouth just so they could have a slightly larger feast. They'd sell you into slavery for half a penny and get you to borrow the penny beforehand.

Share this post


Link to post
Share on other sites

I would have thought this would have made our banks even more unlendable to, if they are less stable than the foreign banks from whon the loans would come.

Gordon has said repeatedly that ALL nations must act....maybe there is something in the pipeline from the banking community.

Share this post


Link to post
Share on other sites
FFS.

Haven't we had enough of this behaviour getting us INTO this mess?

No.

Want toborrow £100bn injin dollars?

The State of Injin will let you leverage it 1050 times if you give my russian billionaire mate that bypass his steel workers needs.

Whaddya say?

Share this post


Link to post
Share on other sites

Who regulates how Basel is implemented in the UK?

PS. Apparently - I have this from an FSA employee - Treasury discussions about Basel have been going on for weeks. They were obviously looking for wriggle room.

Share this post


Link to post
Share on other sites
Fantastic can't see a fault with this at all.

When you require no capital to run a bank I'm starting my own up so I get my hands on some of this taxpayer money.

and when the borrower fracks off into the sunset, you get it all back.. even though you didnt have any in the first place.

Share this post


Link to post
Share on other sites
No.

Want toborrow £100bn injin dollars?

The State of Injin will let you leverage it 1050 times if you give my russian billionaire mate that bypass his steel workers needs.

Whaddya say?

Sounds good to me. Can I get you to guarantee my loans at the same time?

Share this post


Link to post
Share on other sites

Riiiight.

So on the one hand we're told that lax regulation and risky lending caused all of this in the first place but now apparently banks need less regulation and a smaller capital reserve making their balance sheets even riskier making any foreign investor even less likely to lend to them.

WTF?

Share this post


Link to post
Share on other sites
No.

Want toborrow £100bn injin dollars?

The State of Injin will let you leverage it 1050 times if you give my russian billionaire mate that bypass his steel workers needs.

Whaddya say?

I wanna know what Injin Bank notes would look like.

Share this post


Link to post
Share on other sites
Do you get it yet?

The government is owned and run by and for the bankers.

They'd take the last crust out of your hungry childs mouth just so they could have a slightly larger feast. They'd sell you into slavery for half a penny and get you to borrow the penny beforehand.

substitute 'they'd' for 'they have' and your on a winner.

I wanna know what Injin Bank notes would look like.

a little like the pound but instead of the queens image it would be dale winton.

Share this post


Link to post
Share on other sites
substitute 'they'd' for 'they have' and your on a winner.

a little like the pound but instead of the queens image it would be dale winton.

And the motto...

Please can everyone just be nice to everyone else, pretty please.

Share this post


Link to post
Share on other sites
Of course.

lets call it the ouborous mechanism, shall we?

Excellent.

I will settle in boggiebonds if that's ok by you. They are a safe haven in these difficult times and I've never defaulted.

Share this post


Link to post
Share on other sites
Riiiight.

So on the one hand we're told that lax regulation and risky lending caused all of this in the first place but now apparently banks need less regulation and a smaller capital reserve making their balance sheets even riskier making any foreign investor even less likely to lend to them.

WTF?

You forgot that the banks were guilty of not only ignoring risk, but also palming that risk off to someone else.

The someone else has gone from being pension funds and investors and is now the taxpayer.

I have to laugh, really.

Share this post


Link to post
Share on other sites
You forgot that the banks were guilty of not only ignoring risk, but also palming that risk off to someone else.

The someone else has gone from being pension funds and investors and is now the taxpayer.

I have to laugh, really.

Well if you can pass the risk safely onto someone else the risk isn't your problem is it so why calculate it. The question of risk is now down to the numpty who's now buying it off you. If they can't be bothered to go through the math by your very own rocket scientist it's not your fault is it.

This is what passing the buck is all about. This was a flawless plan which clearly would never blow up and house prices would always go up meaning the math was correct.

Share this post


Link to post
Share on other sites
You forgot that the banks were guilty of not only ignoring risk, but also palming that risk off to someone else.

The someone else has gone from being pension funds and investors and is now the taxpayer.

I have to laugh, really.

Using the same logic, anyone who sold or built and sold an overpriced house is as guilty as a bank. The buyer is being bailed out by low rates at eveyone else's expense.

Share this post


Link to post
Share on other sites
Do you get it yet?

The government is owned and run by and for the bankers.

They'd take the last crust out of your hungry childs mouth just so they could have a slightly larger feast. They'd sell you into slavery for half a penny and get you to borrow the penny beforehand.

spot-on Injin.

I wonder just how many long term hpc posters that have just switched into the inflation camp today. ;)

I wonder how many of them will have th guts to admit they got it wrong. ;);)

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.