FREE CHECKING IN DUBAI
Just kidding – for now.
If the Washington mavens are going to limit salaries and bonuses of bank executives how long will the banking center of the world remain in New York?
Currently your little bank down the street is being swallowed up by “banks too big to fail”. Goody Two Shoes Bank & Trust will be bought out or go out of business because they will not be able to compete. Your little branch may become the Ramakrishna Saving Bank of India or some other unknown entity in a land you will never visit.
Am I being a nut case to even imagine this might happen? A well run bank makes a lot of money. The reason is very simple. They have some very smart folks who are paid very large sums to make their banks millions. Because they make those millions they are paid millions – deservedly so.
When bank executives will not be able to find a position commensurate with their value they will move to another country. No one has to be a rocket scientist to figure that. Quality bank managers are already heading for the door and this is only the beginning.
Not only will the banking industry suffer, but also Wall Street. If the high priced execs leave town New York will become a ghost town. Imagine what residential real estate will be worth when 6 and 7-figure renters disappear. The monied people who maintain residences will not be there any more. Needless to say commercial real estate is now becoming affected.
Washington and Obama are Hell bent on “leveling the playing field”. Whatever that means. To them it means everyone should have the same whether they have the talent and the drive to work for it. Somehow they have come to the conclusion that those who make large sums of money are stealing it from those who have less.
They are striving for mediocrity. They constantly talk about averages: average wages, average hours worked, average cost of living, average this and average that. Question! Are you striving to be average?
We stopped being average the day we were born. This country was not built and did not become great with leaders who wanted to be average. What we are witnessing is the dumbing down of America.
If people decide they want to live in a country that strives to make everything equal they will see a slow decline in every service and profession. The quality doers will leave for other countries where their talents are appreciated.
Why will anyone care if the Bank of Argentina holds a customer’s checking and savings account? It will be a good guess that the service will not be as efficient or polite.
Our central government has a proven track record of not being able to run anything properly. It is up to each person to let his elected representative know how he stands. If not…….
Good luck with the Bank of Bangladesh.
You may receive Al Thomas’ investment letter that profited 10% in 2008 at no charge for 3 months on the web site www.mutualfundmagic.com Never lose money in the stock market again. His book “IF IT DOESN’T GO UP, DON’T BUY IT!” has become a classic. Copyright 2009. Williamsburg Investment Co. All rights reserved.