Tweet
A set of short rather alarmist articles in a daily news collector rag (web site) catering to expatriate Indians and covers US and India news.
Large investment banks and commercial banks can go bankrupt in the next several years fighting the bubble effects of mortgage, real estate and leveraged mergers and acquisition
There are links to over a dozen short articles in India Daily on this topic.
Large investment banks and commercial banks can go bankrupt in the next several years fighting the bubble effects of mortgage, real estate and leveraged mergers and acquisition
What is happening is Bear Sterns is not just unique to them, it is an industry trend. The losses from bad investment decisions, loans to leveraged buy out deals, hedge less hedge fund operations, irresponsible commercial and residential real estate mortgage underwriting and some of the many reasons why the banks are in deep trouble.
We wrote in India Daily that a 100 year and 40 year banking cycle topped simultaneously. Cycle tops always manifest total craziness on part of banks. They forget their conservative approach to managing finances. In massive mega cycle tops, investment and commercial banks start ‘gambling’ with their money.
This time that is exactly what happened. The banks are now getting shock of their lifetime. The cycle down is here. It is just a matter of time before large investment banks and commercial banks go bankrupt in the next several years fighting the bubble effects of mortgage, real estate and leveraged mergers and acquisition
We wrote in India Daily that a 100 year and 40 year banking cycle topped simultaneously. Cycle tops always manifest total craziness on part of banks. They forget their conservative approach to managing finances. In massive mega cycle tops, investment and commercial banks start ‘gambling’ with their money.
This time that is exactly what happened. The banks are now getting shock of their lifetime. The cycle down is here. It is just a matter of time before large investment banks and commercial banks go bankrupt in the next several years fighting the bubble effects of mortgage, real estate and leveraged mergers and acquisition