Is banking immoral?

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All this in one day? Sure!!

And this is not a question directly to you but everyone on this forum - do you not think the Bank of England's new quantitative easing scheme is really immoral, as the BoE is giving money to banks such as BARCLAYS so these banks give it smaller businesses, in order to help money flow through the economy, however the banks are actually keeping the money for themselve?. Yet again banks continue to prove they are willing to go the extra mile for immorality.
Basically, BoE is giving money to banks but banks are keeping it for themselves (a clear example of immorality)

Reply 101

funsongfactory

Original post by chefdave

Would we be better off without the bankers and spivs that occupy the City of London?

No. Then we would have no banking system.

Reply 102

JamalAhmed

From what you said, this is the conclusion I came upon....

I see your point - you should care more about finances and see problems earlier in your situation so you can act upon it (I agree with what you said about this)

But if you are too late, banks will take advantage of you, which is still immoral for banks.

Reply 103

cl_steele

Original post by funsongfactory

No. Then we would have no banking system.

Depending on what type of banking we're talking about its not necesserally such a bad idea, investment banking [whilst very profitable for our economy theres no doubt about it] is going to blow up in the banks faces in the coming couple of years i guarentee it.

Reply 104

Hackett

Original post by cl_steele

Oh really? You can foresee the future can you!? Don't be so bloody ridiculous.

Reply 105

Roy064

Original post by cl_steele

I'm interested in what you mean by "blow up in the banks faces"?

Reply 106

funsongfactory

Original post by cl_steele

Oh mighty soothsayer, I bow to you.

Ahaha, seriously though, you can read the future? Impressive, you should be on TV!

Owait no.

Reply 107

BristolStudent96

People think banking is immoral until the bank gives them loans which let's them buy nice things which improves their quality of life.

Reply 108

cl_steele

Original post by Roy064

I'm interested in what you mean by "blow up in the banks faces"?

Original post by funsongfactory

Oh mighty soothsayer, I bow to you.

Ahaha, seriously though, you can read the future? Impressive, you should be on TV!

Owait no.

Original post by Hackett

Oh really? You can foresee the future can you!? Don't be so bloody ridiculous.

If either of you two would take the time to actually read a financial article then you might notice that there is a $1,500,000,000,000,000 derivitive bubble of CDS's that will come to maturity soon but naturally since you both know more than the experts i should just shut my mouth right because students are oh so learned in this.
And besides it doesnt take a genious to note that banking bubbles come and go, take a look in a History book at some point and you might notice that these things happen in cycles so either way at some point i will be right.

(edited 11 years ago)

Reply 109

snozzle

If our present banking system does nothing but produce bubbles of debt, which can only be destroyed by cycles of crisis (wars, depressions etc), then it might not be immoral but it is a ****ed up thing.

Reply 110

Hackett

Original post by cl_steele

Banks like Morgan Stanley, Citi etc. etc. have been trading in things like P.E.A.R.Ls, CDS's and other derivitives of verious perversions and these things to put it very simply are wired like a bitch and tend to go down in value especially given that compared to when they were created the debts, exchange rates, debts etc. etc. these things are backed against have gone down the pan meaning when these things come to maturity some people are going to be left seriously out of pocket, sort of like what happened in 1994 but on a far grander scale since the markets have grown expenentually since then.

If either of you two would take the time to actually read a financial article then you might notice that there is a $600,000,000,000 derivitive bubble of CDS's that will come to maturity soon but naturally since you both know more than the experts i should just shut my mouth right because students are oh so learned in this.
And besides it doesnt take a genious to note that banking bubbles come and go, take a look in a History book at some point and you might notice that these things happen in cycles so either way at some point i will be right.

considering I have just spent today and yesterday sitting on the desk at one of the top IB's trading these credit products, I can tell you now that what you have written is. Well Bull****. Banks are sell - side instituions, let's leave it at that. I am limited in what I can say due to confidentiality etc.

Reply 111

cl_steele

Original post by Hackett

mmm so all of these sources are simply lying?

prove them wrong and i might believe you untill then though i think i'll trust the experts over someone whos worked in a bank for a whole 2 days...

http://theeconomiccollapseblog.com/archives/the-horrific-derivatives-bubble-that-could-one-day-destroy-the-entire-world-financial-system
http://www.globalresearch.ca/index.php?context=va&aid=12947
http://articles.marketwatch.com/2008-03-10/finance/30753760_1_derivatives-bubble-subprime
http://www.marketoracle.co.uk/Article21764.html
http://aotearoaawiderperspective.wordpress.com/2012/05/14/500-trillion-to-1-5-quadrillion-in-derivatives-or-why-2-billion-is-just-the-beginning-of-the-end/
http://www.dailymarkets.com/stock/2010/08/09/so-whats-going-to-happen-when-the-insanely-large-derivatives-bubble-pops/

want more?

(edited 11 years ago)

Reply 112

cl_steele

Original post by Hackett

All a bunch of crappy sources, give me stuff written by proper economists or people who work in the industry with a track record.

I have yet to see you prove anything to the contrary and please dont try and cite that you worked in a bank for a few days as that really proves nothing especially considering i doubt you have access to or the time to see a history of all their past trades...
From someone written in the industry; somewhat dated but have a read of F.I.A.S.C.O by Frank Partnoy it goes into some depth about the last time the derivitives market hit 'a bump' and lost billions of dollars and considering that was back in the '90s and the market in them has exploded in size by over 1000% since then i think its pretty safe to say that these sources arent wrong.
but heres a couple more anyway. Im still eagerly waiting for your sources saying anything to the contrary though.
http://www.siliconvalleywatcher.com/mt/archives/2008/10/the_size_of_der.php
http://www.examiner.com/article/financial-time-bomb-five-megabanks-monopolize-700-trillion-derivatives-market

and as with most of the other links they all refference back to other sources

Reply 113

ufo2012

Original post by cl_steele

Original post by Hackett

You can deny it all you please and of course the traders will play it down, but the reality is as steele says.

Derivatives are a dangerous game, but one that they are happy to play because the profits are obviously enormous. The downside is a lot of people are going to suffer when that bubble also bursts and as steele indicates it will be a mighty big one.

Again, the fault can be laid more at the door of the US and their penchant for deregulation, but unfortunately it won't stop the UK from being hurt as well.