Brokerage Accounts "Cyprus'ed" ?

[Swan Noir]

Inflation concern is a constant based on the reality of fiat currency. I don't believe you start and stop worrying about purchasing power.

Quote from oldtime:

and just about the time you think you are at least covered up to 250k, then you have to start worrying what 250k will be worth when you get it back

 

[oldtime]

Quote from Swan Noir:

Inflation concern is not event based it is based on the reality of fiat currency.

maybe so but (didn't we just get into this last weekend?) it's all worry, and worry is just relative.

When I'm in a trade the last thing I'm worried about is the broker going broke.

If I'm flat, I worry about my cash.

If I have a lot of cash, then I'm worried how much it is worth.

and if I buy physical gold to hedge, then I'm worried about someone stealing it

and if I just go raise chickens, I will worry about coons and coyotes

I take my worry with me, it's just different levels of sophistication. At one time, it was how to pay the rent, now it's sipc, fdic, and haircuts and hyperinflation.

 

[piezoe]

Quote from Swan Noir:

Concentrate on things more likely to happen this year or next.

How nice it is to see sanity represented!

 

[oldtime]

Quote from piezoe:

How nice it is to see sanity represented!

so that's it? Just this year or next? Anything beyond that is insanity?

 

[piezoe]

Oldtime, you know perfectly well what I meant. For someone whose perception is less keen than yours I would have to spell it out. For you, thankfully, I don't.

 

[oldtime]

Quote from piezoe:

Oldtime, you know perfectly well what I meant. For someone whose perception is less keen than yours I would have to spell it out. For you, thankfully, I don't.

well, that perception is not getting any sharper, I have to keep it keen

it's been so long since there has been any sanity on this site that I'm afraid it is getting a little dull

too bad, because it started out so pristine before I ruined it with years of hard living

next time I am going to marry better women and avoid trading on margin

 

[comintel]

Quote from nepenthean:

Please review Canada's 2013 budget.

....

See http://www.greaterfool.ca/2013/03/28/hysteria/

 

[nepenthean]

Quote from comintel:

See http://www.greaterfool.ca/2013/03/28/hysteria/

I wonder what the 'unsecured creditors' --depositors-- whose accounts have been commandeered think about that article?

 

[Swan Noir]

But in Canada (or the US) there are no such depositors.

Quote from nepenthean:

I wonder what the 'unsecured creditors' --depositors-- whose accounts have been commandeered think about that article?

 

[comintel]

Quote from nepenthean:

I wonder what the 'unsecured creditors' --depositors-- whose accounts have been commandeered think about that article?

The article points out:

"Nowhere does any document talk about ‘deposits’ or ‘depositors’ or funds held by the banks in trust for customers. The only reference is to the conversion of ‘certain liabilities’ into capital if the SHTF. And you can bet those liabilities will be new bond issues floated by the banks – which will be snapped up in a heartbeat by investors who know how deluded the doomers are."

The panic is all based on a misinterpretation of the phrase "certain liabilities" in the budget document. I am sure that it never even occurred to the authors that anyone would think this referred to deposits.


See
http://business.financialpost.com/2013/04/02/ottawas-bank-bail-in-plan-targets-certain-liabilities/

"Kathleen Perchaluk, a spokeswoman for Finance Minister Jim Flaherty, confirmed in an emailed statement that “the bail-in scenario described in the budget has nothing to do with depositors’ accounts and they will in no way be used here.”