How many of you think that stress test conducted on finances like banks and other institution will help to gain the trust of the people for investing ?
How many of you think that stress test conducted on finances like banks and other institution will help to gain the trust of the people for investing ?
Regards.
Mike
Hello. Trust is hard won. Many banks in different countries are at risk of bankruptcy and this is not good publicity for any bank. We can only assume prior information and common sense in where to invest to expand a profit.
I made a post earlier this purpose information about which banks were safe and learn a little more.
I hope its good to conduct such test from the company side to ensure best result. Any organization can't do much about "Trust" its totally depend on person to person.
The test will only be used to determine how people and businesses are taking the issue of the crisis, beyond that I do not think governments can do anything, just be able to take preventive measures because the crisis is something that escaped its control
In times of panic is the prevailing mood is contagious and spreads throughout the population. Investment levels fall, declining GDP and consumption is contracted by the fall in purchasing power as a result, at times of inflation or unemployment.
The picture is not encouraging at all, banks are on the brink and that distrust in the banking system has left many depositors withdraw their savings, compared to banks that have had to leave a deposit to ensure that this trend is not increase.
But at the same time many investors profited from this crisis.
How would you ....
In times of panic is the prevailing mood is contagious and spreads throughout the population. Investment levels fall, declining GDP and consumption is contracted by the fall in purchasing power as a result, at times of inflation or unemployment.
The picture is not encouraging at all, banks are on the brink and that distrust in the banking system has left many depositors withdraw their savings, compared to banks that have had to leave a deposit to ensure that this trend is not increase.
But at the same time many investors profited from this crisis.
How would you ....
Crisis = Opportunity. It's an old Japanese proverb that fits the real present. Many companies take advantage of low prices to acquire shares or buying whole companies that are their competition in the market. Once the crisis is overcome then the acquired companies turn to regain its true value to generate a lot more profit. Depends on how we see the crisis, we see it as an opportunity?
As people have lost their faith on banks and other financial institutions therfore the people have stop investing their money. So currently it's very important to keep the flow of investments from public side. In order to make people trust the financial organization, these stress test are been invoked. When the banks and financial institutions bear and pass the stress test then it ultimately gains the interest of common people to make their investments in such companies or banks.
As people have lost their faith on banks and other financial institutions therfore the people have stop investing their money. So currently it's very important to keep the flow of investments from public side. In order to make people trust the financial organization, these stress test are been invoked. When the banks and financial institutions bear and pass the stress test then it ultimately gains the interest of common people to make their investments in such companies or banks.
Regards
Conan
It said the test would be of great help to restore confidence in banks, it may be true, but to restore confidence in banks is to ensure common economic interests of the banks only. I know of another class of banks (and where I have accounts) that benefit to their customers, are the offshore banks. This class of banks to provide more security for your client accounts compared to a common bank that is always protected by the jurisdiction where it is, are excluded from taxes so that they can provide greater benefits to their customers.
Stress test on financial institution.
Re: Stress test on financial institution.
Re: Stress test on financial institution.
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