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As a brand the name is dead but then look at how National Irish Bank recovered after all the scandal.
Anglo management indicated earlier this month it could write off up to €2.76bn of bad loans over the next three years, though analysts largely believe the outcome will be higher.
Observers believe that the group will ultimately be merged with a larger rival or wound down under government control.
They will be writing off 10s of billions of those loans as common sense indicates the developers have no money to pay them back
Anglo never had a business model, the model was make money now for the board from post-dated paper cheques. The The bank should be removed from the scene without contaminating the other banks which have their own problems.
How do we know that they're going to writing off billions? Simple. The market says so. After making various write-downs at 30 September last, Anglo said that the net assets available to shareholders amounted to €4.1 billion. At Wednesday's closing price, you could buy the entire bank for less than €200 million. If you don't believe the market, and put your trust in the "official" figures produced by Anglo Irish, mortgage your house, remortgage it if needs be, and buy as many shares in Anglo Irish as you can. My simple advice to you is don't. Believe the market.
In fact the market is not always right. It is driven by fear and greed and emotion as well as information and analysis. If the market was always right there would be no such thing as a market bubble or crash
It is possible that the backlash against Anglo Irish at this point is overdone. It would be very interesting to see how their property/developer loans compare in quality to AIB or BOI.
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