Davos 2010: Soros calls for break-up of big banks
Wednesday 10 February 2010
Legendary investor George Soros has called for a radical break-up of banks that are "too big to fail". says BBC
He also backed US President Barack Obama's proposed reforms to limit the size of banks at the World Economic Forum in Davos.
He is also interviewed by the BBC's Robert Peston, where he told him the payment of bonuses by banks from 2009 profits is wrong, as the profits have been built on a 'gift' - government bail-outs.
Billionaire investor George Soros has told the BBC that although the banking sector needs a radical overhaul, there is no rush as the situation in 2008 is unlikely to repeat itself for at least 50 years.
In the interview he talks about contagion, where events spread from one market to another. This is what happened and needs to be avoided in the future.
The problem with finance for most people is a lack of understanding. We cannot all be Warren Buffett or George Soros, but what is clear individuals need to take more responsibility for managing their finances. In this way, future problems hopefully can have less of an impact on those that have planned for the volatility in the system.
posted by Murray Round Wealth Management @ 09:51,
Get lower fees in a Jiffy
Thursday 4 February 2010
According to the FT, Asset management houses are being forced to hand over a larger slice of their revenues to powerful distributors in exchange for selling their funds, according to McKinsey & Co, the management consultants in an article by Steve Johnson.
Its not that exciting news to investors, but indirectly it is…simply because the costs are paid by the investors. Unfortunately the fund management industry has historically used the lack of consumer knowledge and education in financial matters, to keep costs , let us say...opaque.
In the same article, a director of McKinsey & Co, Mr Huber, went on to say ”retail investors, most of whom have little idea how much they are paying in commission at present, will be loath to pay anywhere near as much in transparent advisory fees, slashing revenues for all participants."
We now know why the banks, product providers are fighting transparency as it, according to Mr Huber, will drive down their fees.
About time too.
But do not get too excited, it will take a long time for these providers to cut their revenue…but you as an investor, you can do it in a jiffy. A jiffy by the way is going to a fee-only adviser, discussing what you want for your future, and building an investment portfolio with lower fees…and transparent to boot.
Simple.
posted by Murray Round Wealth Management @ 15:26,
The Authors
Nicholas Round
Nic is the Managing Director of Murray Round Wealth Management Limited, who seeks to ensure the advice provided is truly independent. Based in Shropshire with clients local, national and worldwide, Nic has strived to find the best possible service for his clients needs, by researching and studying the market, trends and philosophies. Nic strongly believes Asset Class Management will bring his clients Financial Freedom, Independence and Happiness.
Kirsty
Kirsty is our communication guru. Managing information requires considerable due diligence and her passion for organisation gives the clarity we all seek. From Shropshire, with a Psychology Degree and much travelling, she is now back in Shrewsbury...and London often, keeping us all at Murray Round focused.
Welcome to our Blog
Our Blog focuses on the three Ts...truth, transparency and trust. The world of investment management is fraught with self interested parties keen to sell investment products but wrapped up as 'advice'. Only with totally transparency, can investors make informed and successful decisions. We have included various categories for simpler navigation, alternatively search our Blog using key words you think are relevant. We hope you find something of interest to you.
Contact Us
We welcome your enquiry to us. Simply click on Contact Us' link at the top of the page. You may also email us at service@murrayround.co.uk or telephone 01743 248108.
Visit us again!
