Do you means to say that offshore banks are better then common banks in terms of security and incomes?
From my point of view and with the current crisis I think so. Why? Well, would you have heard of some offshore bank that has a risk of bankruptcy? None. Statistically these are the most profitable banks. If you have accounts in a bank common to compare the interest rate offered an offshore bank and see that the differential advantage of offshore bank is very noticeable. The only problem that may exist with offshore banking is to know which is right. So people should be informed by reliable, but once you find one, you can find that lost time and money only for lack of information.
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
Hi Conan,
I totally agree with your comments. I have read in newspaper or some where around. And the reason you mentioned is the exact purpose of conducting stress test. It will usually help both the investors and bankers to improve their investments
In my opinion, stress test results don't alter the reality that all banks are facing one of their toughest situations this year ever.
I just hope that the decision for the banks does not affect us, who have accounts with these banks. Although I think it's inevitable that we will be us who pay for their mistakes.
One of the best offshore bank example is Swiss Bank. Actually Offshore banks are those which is location outside the nation where the depositor reside, thus to attain some tax benifit, It can be any like HSBC the worlds local banks or Barclays Bank etc.
Hi Mike,
Thanks for sharing the information, you post made my concept clear regarding Offshore banking. So do offshore banks has to go through stress test. For eg: Swiss Bank, dies it need to go through stress test.
Off course.
Re: Stress test on financial institution.
Re: Stress test on financial institution.
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