Filed under: Other issues, Deals, Rants and raves, Competitive strategy, JPMorgan Chase (JPM), Washington Mutual (WM), Entrepreneurs, Housing
Eighteen months ago, banks were throwing money around with very tiny discretion. Now we find that they made a lot of bad loans, took extreme risk and jeopardized the global economy and the well being of hundreds of millions of people.
All this was supported by a simple minded president, corrupt Congress and an over-confident, short sighted investment community maneuvering in and around a sleeping Securities and Exchange Commission.
Having invested in a broad range of real estate assets (as well as stocks), I am feeling the pain like most everyone else. Reduced values, tighter liquidity, and uncertainty rule the market place.
What has me steamed currently is that I think there’s more capital in the marketplace than courage! The lack of courage along with a shortage of leadership and wisdom continues to exacerbate a bad situation. I’m probably superior off than many people having been able to shut two loans in the past month. It was not easy. However, after dealing with many financial institutions that are now doing a better job in the review process, I see that they’ve swung too far to the conservative side.
Continue reading Banking stupidity, then and now
Banking stupidity, then and now originally appeared on BloggingStocks on Wed, 19 Nov 2008 13:30:00 EST. Please see our terms for use of feeds.
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