Commonwealth Bank Profits?

E

errol43

New Member
Silver Stacker
Nowhere in their balance sheet do you see their Derivative exposure! Why? It is what is referred to in big banking circles off the book accounting! $15 trillion exposure? Bank's capital $950 billion. London to a brick is the bet!

Betting on the nod :) Paint your painted pony let the spinning wheel ride.. Banks are the gamblers in the World Casino.

$9.5 billion profit on $950 billion capital = 1% on my reckoning. Even a drovers dog could do nearly as well. :D

Regards Errol 43
 
1%,

Bloody greedy I reckon, come the revolution the blood sucking capitalists will be up against a wall the next day.

OC
 
Said on the radio they had a profit write down on bad loans to resources companies. Poor buggers.
 
Time to fire THE BOARD! ;-)

And I read that the "Provisions for Bad and Doubtful Debts" is 0.19%

That is VERY low and the Banks are usually comfortable with anything less than 1%. Anything over and they begin to worry, and anything near 2% and they call in the CEO to explain.

As for 'Derivatives' in the Balance Sheet. I last checked about 2 years ago in the WESTPAC annual report and they had about 500 Billion on EACH side of it, so I can only assume losses and gains may well cancel each other out, but cannot guarantee that. I had never heard of a derivative until maybe 5 years ago.


OC
 
#3,

The accepted 'spread' for borrowings interest cost, and loans interest return, was/is about 2%, needed to cover basic costs, staff, premises, losses, tax, CEO benefits!

OC
 
You can't put price on dreams. They have transcended the world of profit and loss.

EaqBo1B.jpg
 
You must log in or register to reply here.
Back
Top