From the bottom of p12 of the 2012 financial statements:
"The Group enters into transactions whereby it transfers assets recognised on its Statements of Financial Position, but retains either all risks and rewards of the transferred assets or a portion of them. If all or substantially all risks and rewards are retained, then the transferred assets are not derecognised from the Statements of Financial Position. Transfers of assets with the retention of all or substantially all risks and rewards include, for example, securitised assets and repurchase transactions." (my bold emphasis)
So HNZ retains the downside risk for their sold off securitized assets after all?
I approve of HNZ using securitized loans to optimize their capital structure. But if these same loans can be used to hide liabilities 'off the balance sheet' then this is a real worry. If I was a shareholder, this is the question I would be asking at the HNZ AGM!
SNOOPY
Last edited by Snoopy; 07-09-2012 at 03:46 PM.
Watch out for the most persistent and dangerous version of Covid-19: B.S.24/7
I approve of HNZ using securitized loans to optimize their capital structure. But if these same loans can be used to hide liabilities 'off the balance sheet' then this is a real worry. If I was a shareholder, this is the question I woudl be asking at the HNZ AGM!
SNOOPY
Get drummed out of the brownies or something like that if you mention things like this on this thread ..... bad reaction when I mentioned something similar, seemed to upset one or two ....... of course HNZ would never do this Snoopy.
Get drummed out of the brownies or something like that if you mention things like this on this thread ..... bad reaction when I mentioned something similar, seemed to upset one or two ....... of course HNZ would never do this Snoopy.
I agree.
The fact they wanted [and have now applied for] a bank licence means they are being well behaved "boy scouts".
This adds a large measure of security for shareholders,as does the very conservative equity ratio of 16%.
Moving steadily on an upward trajectory.Time to load up as the train is about to leave the station.Toot Toot.
A guy (somebody who once posted here) made this comment in the NBR ..... "Luckily Nelson Building Society have now entered the Ashburton market with their old core values and customer loyalty"
He got the one finger salute or whatever from the HNZ loyalist .... serves him right eh
Surely old core values and customer loyalty wouldn't work in places like Ashburton .... and take business away from Heartland
A guy (somebody who once posted here) made this comment in the NBR ..... "Luckily Nelson Building Society have now entered the Ashburton market with their old core values and customer loyalty"
He got the one finger salute or whatever from the HNZ loyalist .... serves him right eh
Surely old core values and customer loyalty wouldn't work in places like Ashburton .... and take business away from Heartland
We wish him well and trust he has a fast and safe trip back to Nelson.
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