Pretty poor - especially when led by an ex PM (theres a theme there)
https://www.stuff.co.nz/business/112...k-censures-anz
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Pretty poor - especially when led by an ex PM (theres a theme there)
https://www.stuff.co.nz/business/112...k-censures-anz
This will impact repricing a lot of insto/commercial/property finance loans on their current book - will be interesting to see the long term impact ....
Talk about shooting yourself in the foot the week the consultation papers on the bank capital review are due in :ohmy:
The ANZ problem been known for a while. They told their commercial and ag customers a month or so ago ....and expect tighter lending and probably higher costs
All banks (not just the big four) run ‘dodgy’ models to assess risk and equity ratios. All ‘fine tuned’ to give the ‘answer’ they want.
All banks take too much risk and/or too leveraged if current ROEs are anything to go by. No wonder the RBNZ is doing the right thing and getting it sorted.
Hypothetical question: What would you say if someone offered you an investment with a promised pre-tax return of close to say 20% pa over many years?.
You mighty say: “How much can I buy?” or like most sensible people: “What is the catch?”
Think about it
Did they say that, ie that they had been miscalculating their adherence to current capital rules - or did they warn that tighter lending and probably higher costs would follow the RBNZ's proposed higher capital requirements?Quote:
The ANZ problem been known for a while. They told their commercial and ag customers a month or so ago ....and expect tighter lending and probably higher costs
It is tempting for first home buyers to take bigger risks to save for deposits that have grown in size over the years by far more than the after tax increase in incomes.
They are on the wrong side of the systemic lift in house prices that is the result of the shift to a low interest rates.
ANZ sharing in the election effect this morning. Up $1.65 in Aussie!
Certainly a nice swing back up from Friday-pleased I bought on the dip then.
"This increases the minimum capital ANZ must hold for operational risk by around 60 per cent, to $760 million, the Reserve Bank said."
60%, that is massive. If our main banks are prepared to act like this, how can the Reserve Bank say that there is no need for an investigation equivalent to the Royal Commission in Australia? Why, because the RB asked the banks if they were doing anything dodgy but they said no and the RB said OK, no inquiry necessary.
Sorry ordinary people, you are just here to be abused because these rules and regulations are in place to protect you and so by default, you are the ones being abused.
For a bit of balance.
https://www.stuff.co.nz/business/112...banking-expert
Calls for Key and others to resign
Pretty slack governance
https://www.stuff.co.nz/business/113...esign-from-anz
NZ CEO shown the door
http://nzx-prod-s7fsd7f98s.s3-websit...104/301740.pdf
“characterisation of the expenses” is an interesting term