tag:blogger.com,1999:blog-7944902213075756335.post7554973670744704647..comments2024-03-29T10:22:24.187+08:00Comments on A Singaporean Stocks Investor (ASSI): Borrow money and be paid to do so!AK71http://www.blogger.com/profile/16832145412062954289noreply@blogger.comBlogger25125tag:blogger.com,1999:blog-7944902213075756335.post-82258058193579902012-07-19T23:03:12.341+08:002012-07-19T23:03:12.341+08:00Hi Victor,
Well, strictly, that isn't currenc...Hi Victor,<br /><br />Well, strictly, that isn't currency appreciation. If that is how the article coined it, it would confuse readers.<br /><br />However, I know what you are saying, having said the same thing myself in my preceding comment. :)AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-73010230398666703892012-07-19T22:40:07.484+08:002012-07-19T22:40:07.484+08:00AK
If they break up, every country will go back t...AK<br /><br />If they break up, every country will go back to their original currency, so here is the pro. If that happen, their wealth if kept in their own country will be down more than half.Those who bought German bund are buying on this perception., i.e. euro breakup. That was from the article i read. Thus currency appreciation.<br /><br />victorUnknownhttps://www.blogger.com/profile/03697748904859515763noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-12712854568912376592012-07-19T10:29:15.364+08:002012-07-19T10:29:15.364+08:00Hi Victor,
I think it is more than that.
After a...Hi Victor,<br /><br />I think it is more than that.<br /><br />After all, Italy, Greece, Spain and Portugal all use the same currency as Germany. Currency appreciation? How is that going to happen?<br /><br />People could be betting on the collapse of the eurozone and that each member country would go back to using their old currencies. So, lending to Germany would be a good bet. <br /><br />LastAK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-55800762783402421762012-07-19T00:27:48.734+08:002012-07-19T00:27:48.734+08:00AK
I try to get the article regarding why investe...AK<br /><br />I try to get the article regarding why invester pay to keep their money safe from CNBC,so I can paste here for you all, but it was gone, I could not find it anymore.<br /><br />Anyway, the article said that it was for currency appreciation. They are betting that the currency in a sound country will rise overtime giving then a profit.<br /><br />Let say, all want to put their money Unknownhttps://www.blogger.com/profile/03697748904859515763noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-39905943144542930342012-07-14T12:24:55.492+08:002012-07-14T12:24:55.492+08:00Hi Victor,
I hear you. Smart and sophisticated in...Hi Victor,<br /><br />I hear you. Smart and sophisticated indeed. :)<br /><br />I am wondering if these people could be smarter and more sophisticated if they were to move a big portion of their money out of the eurozone altogether? <br /><br />Preference shares and bonds offered by Singapore banks could yield 3 to 4% per annum, for example. Or what about Singapore government bonds? We are a AAA AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-4670141905641236632012-07-14T02:29:53.991+08:002012-07-14T02:29:53.991+08:00Hi
Those guy who keep their money there ( german b...Hi<br />Those guy who keep their money there ( german bonds) are not simple people. They are sophisticated invester. Do you all think they are stupid to pay someone to keep their money safe.<br /><br />If you are a Greek or Spanish. Do you dare to put your money in their country's bank, or in their own house vault. What if there is chaos, riot, looting occur. And bank can go bankrupt, what ifUnknownhttps://www.blogger.com/profile/03697748904859515763noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-90338507032563487692012-07-13T11:21:06.067+08:002012-07-13T11:21:06.067+08:00Hi SMOL,
Counter party risks indeed!
I am a bott...Hi SMOL,<br /><br />Counter party risks indeed!<br /><br />I am a bottom feeder, definitely not high up in the food chain. I should increase the stash of cash I have in my Bengawan Solo mooncake tin at home...AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-41232617743771421382012-07-13T11:14:09.746+08:002012-07-13T11:14:09.746+08:00When you don't trust the banks, you "pay&...When you don't trust the banks, you "pay" to put money in a place where you "believe" it's safe.<br /><br />With Spanish banks needing to be bailed out, would you put your savings in Italian, French, Portuguese, Cyprus, and Greek banks? <br /><br />German banks? Do they have counter-party exposure to other European banks above? <br /><br />Bond traders and investors Singapore Man of Leisurehttps://www.blogger.com/profile/13774067113884418001noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-63697732902503188892012-07-13T10:53:44.000+08:002012-07-13T10:53:44.000+08:00Hi Ray,
Indeed, the negative interest rate is pro...Hi Ray,<br /><br />Indeed, the negative interest rate is probably the premium one pays for insurance against the break up of the eurozone. This is one possible explanation.<br /><br />However, to make money from this particular bond issue, one would have to be very pessimistic as one would have to expect the eurozone to break up within the next 6 months.AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-87086448072401181282012-07-13T08:21:12.074+08:002012-07-13T08:21:12.074+08:00Bonds can appreciate if they are deem more and mor...Bonds can appreciate if they are deem more and more valuable.<br />Why buy bonds that dont pay interest or AKA zero or negative yield?<br /><br />I'm not sure if it's 100% correct but this is what I found:<br /><br />"the purchase of a German government bond, even with a negative yield, is an insurance against the break-up of the euro. A German government bond, which is later Rayhttps://www.blogger.com/profile/16883833861386039879noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-75707741661058248682012-07-10T19:04:09.189+08:002012-07-10T19:04:09.189+08:00Hi Ling,
Well, the report says "investors&qu...Hi Ling,<br /><br />Well, the report says "investors". <br /><br />Like Ray said, people could resell these bonds to other people who feel similarly insecure about leaving their money anywhere else. Of course, if they manage to sell these bonds at a gain, it would mean that the buyers would be losing even more money...<br /><br />You are probably right to suggest that the money could AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-37431306695253042932012-07-10T17:29:37.893+08:002012-07-10T17:29:37.893+08:00I think this is public funds? cannot be private in...I think this is public funds? cannot be private investors... who would be so silly?Anonymoushttps://www.blogger.com/profile/17657337758518554619noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-9778369281037605202012-07-10T14:10:40.712+08:002012-07-10T14:10:40.712+08:00Hi coconut,
I realise that I am ignorant of so ma...Hi coconut,<br /><br />I realise that I am ignorant of so many things in the world. The older I grow, the more aware I am of my ignorance.<br /><br />This is self-knowledge. Very humbling.<br /><br />I am very giamsiap and would not be in danger of giving away mooncakes and biscuits as gifts. Haha.. Rusty tins are a hazard. Might get tetanus if we accidentally cut ourselves. I kiasi. ;)AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-13817619217243604052012-07-10T12:44:13.603+08:002012-07-10T12:44:13.603+08:00sure can do AK, its the most direct investment int...sure can do AK, its the most direct investment into interest rate. <br /><br />banks deposit are for people like us, usually left with bones haha.<br /><br />"kam sia", mooncake and biscult tins i don't want, wait accidentally gives away as gift. i collect rusty one, very safe.coconuthttps://www.blogger.com/profile/09479603768240288905noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-42240316880445480382012-07-10T12:13:28.262+08:002012-07-10T12:13:28.262+08:00Hi Ray,
These bonds can appreciate in price meh? ...Hi Ray,<br /><br />These bonds can appreciate in price meh? I wonder who would want them. I am, of course, a frog in a well and can only see a small patch of the sky. :(AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-67465711683166257582012-07-10T12:10:18.292+08:002012-07-10T12:10:18.292+08:00Hi coconut,
A friend in need is a friend indeed. ...Hi coconut,<br /><br />A friend in need is a friend indeed. Hahaha.. Yes, how come I don't have friends like that?<br /><br />The day I have to pay the banks to deposit my money with them is the day I keep most of my money at home. Still have to keep some in the banks, unfortunately.<br /><br />Thank goodness I have been collecting Bengawan Solo mooncake tins and Red Lion biscuit tins! You AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-43035550456614397282012-07-10T12:01:14.336+08:002012-07-10T12:01:14.336+08:00Hi Jay,
Now that you say it, yes, Switzerland too...Hi Jay,<br /><br />Now that you say it, yes, Switzerland too! My, my. Singapore is next?!<br /><br />All the hedge funds and their shennanigans are way beyond me. I cannot understand their elaborate plans. :(<br /><br />It has been a long time since I shorted anything... Years, in fact. I try to leave the shorting to others. <br /><br />What is happening to the world? I remember my professor in AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-72107623387146480662012-07-10T11:55:30.174+08:002012-07-10T11:55:30.174+08:00Hi FoodieFC,
Well, Germany is using the Euro too....Hi FoodieFC,<br /><br />Well, Germany is using the Euro too. So, there really isn't any difference that way. Investors who fear that their Euro deposits are going down in value, they could think of shifting some of their money into Singapore or Switzerland, for examples.AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-16003949650394653202012-07-10T11:36:02.635+08:002012-07-10T11:36:02.635+08:00so a bond cannot be compared to a bank deposit :) ...so a bond cannot be compared to a bank deposit :) coz deposits dont appreciate in price.Rayhttps://www.blogger.com/profile/16883833861386039879noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-83446006694826495442012-07-10T11:27:58.377+08:002012-07-10T11:27:58.377+08:00we are forgetting the fact that the bonds can appr...we are forgetting the fact that the bonds can appreciate in price.Rayhttps://www.blogger.com/profile/16883833861386039879noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-19237357379002243162012-07-10T11:08:13.658+08:002012-07-10T11:08:13.658+08:00i just heard last night that the italian gov't...i just heard last night that the italian gov't is borrowing money @ 7% and lend it to spain @ 3%.<br /><br />why i don't have this kind of friend haha.<br /><br />its a sign that the economy is turning upside down, back to the very old days, better start collecting some tins.coconuthttps://www.blogger.com/profile/09479603768240288905noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-90055527163226679362012-07-10T10:27:29.784+08:002012-07-10T10:27:29.784+08:00AK71,
Keeping a few thousand $ under the matress ...AK71,<br /><br />Keeping a few thousand $ under the matress is something different from a pension fund selling his stocks or getting new money and needing to invest 100M$ somewhere; or a hedge fund betting that the Eurozone will break up and a new Deutschmark appreciate.. ;-)<br /><br />Negative interest rates exist in many 'safe haven' curreny environments. Swiss banks have historically Jayhttps://www.blogger.com/profile/10603260010525244134noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-39411777118248604702012-07-10T10:26:43.749+08:002012-07-10T10:26:43.749+08:00Hi AK71
What a (shocking) surprise it must have b...Hi AK71<br /><br />What a (shocking) surprise it must have been for the woman!<br /><br />I have been thinking. Is it because the pple do not want to hold on to Euro as they do not know how much more it will fall? <br /><br />Hence, they rather pay a little to hold on germany bonds (which is unlikely to depreciate too fast).FoodieFChttps://www.blogger.com/profile/11205055536110127445noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-2089167719332947612012-07-10T10:10:30.612+08:002012-07-10T10:10:30.612+08:00Hi FoodieFC,
Under your bed sounds better than in...Hi FoodieFC,<br /><br />Under your bed sounds better than in your bed. ;p <br /><br />I still remember a report on an Israeli woman who lost her life savings because she stashed her money in her very old mattress. No one knew. Her daughter decided to buy her a new mattress one day as a surprise and threw out her old one!<br /><br />What would really upset me is to wake up one day to find that AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-50576247500431154212012-07-09T23:38:26.939+08:002012-07-09T23:38:26.939+08:00I have heard of this scenario before. But in reali...I have heard of this scenario before. But in reality this does not make sense (to me)..<br /><br />Why would I want to pay money and park the money at another place? If thats the case, I rather keep it under my bed!FoodieFChttps://www.blogger.com/profile/11205055536110127445noreply@blogger.com