1. This site uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.

Big 4 Banks make over $20 billion.

Discussion in 'General Discussion Forum' started by bob dylan, Aug 11, 2010.

  1. bob dylan

    bob dylan Well-Known Member Premium Member 2016 Tipping Competitor

    6,864
    2,030
    Junee
    Ratings:
    +4,402 / 130
    Commonwealth today announce a $5.6 Billion profit.

    The others to follow.

    Geez the banks did it tough during the GFC. The poor buggers.

    This is totally obscene, maybe the mining tax should be applied to the banks. The governments should not allow this disgrace to continue.

    These parasites continue to treat their customers like **** so the shareholders can stay happy.

    Any thoughts?
     
  2. ManlyBacker

    ManlyBacker Winging it Staff Member

    11,596
    843
    Ratings:
    +971 / 7
    Become a shareholder. It isn't a matter of the profits received but should be assessed on the return they achieve based on the funds they have working.
     
  3. bob dylan

    bob dylan Well-Known Member Premium Member 2016 Tipping Competitor

    6,864
    2,030
    Junee
    Ratings:
    +4,402 / 130
    Oh I am a share holder and have been since day one, getting in on a staff discount.

    Its still sickening.
     
  4. ManlyBacker

    ManlyBacker Winging it Staff Member

    11,596
    843
    Ratings:
    +971 / 7
    You would rather they lost money? Look, they have $501 billion of lending assets and $187 billion of funds under administration. Their P/E ratio is 16 which is high imo (takes 16 years of dividends to cover the share price), and their dividend yield is 4.45% franked (you can get 6.75% with Virgin with no risk and regularly get over 6% on term deposits everywhere and government guaranteed). Their cost of finance is rising again. I don't get where the problem is as this is not a communist country.
     
  5. COMMANDER

    COMMANDER IF YOU DO NOT TRY YOU CAN NOT FAIL 2016 Tipping Competitor

    3,133
    938
    Brisbane, Queensland, Australia
    Ratings:
    +1,740 / 81
    rather than putting money in the bank, buy shares in the bank. 

    i'd hate to have money/shares in a bank that was making a loss!

    God bless em, i say.  particularly westpac and anz.
     
  6. bob dylan

    bob dylan Well-Known Member Premium Member 2016 Tipping Competitor

    6,864
    2,030
    Junee
    Ratings:
    +4,402 / 130
    Well my problem is with what they do with the profit.

    They cut staff almost daily, and cut their wages. They close branches in small towns because the staff cant sell insurance or term deposits. I left because I could not live on the money and in my years with the bank do not have a single former workmate that is still in the bank because of the poor money.

    They fail to pass on interest rate cuts but are happy to put them up the day after a rise is announced without regard to anything other than greed.

    They sell peoples home from under them when sickness strikes the family bread winners.

    There is a lot to be said for communism when corporate greed like this displayed.
     
  7. ManlyBacker

    ManlyBacker Winging it Staff Member

    11,596
    843
    Ratings:
    +971 / 7
    Will any other CBA employees stand up for the bank? BD has a list of negative statements that could be challenged or are they all true?
     
  8. Dan

    Dan Administrator Staff Member Administrator 2016 Tipping Competitor

    32,370
    3,610
    Amsterdam, The Netherlands
    Ratings:
    +5,463 / 74
    i'll make sure I read this tonight if I am having trouble sleeping
     
  9. ManlyBacker

    ManlyBacker Winging it Staff Member

    11,596
    843
    Ratings:
    +971 / 7
    Don't eat pizzas with too much meat Dan.
     
  10. Mark from Brisbane

    Mark from Brisbane Living the dream Premium Member

    16,336
    5,346
    Brisbane
    Ratings:
    +12,737 / 257
    Whilst BD has some points, I own all four of the "big 4" in my self managed super fund and am very pleased I do. I have been running this for about 15 years so even have some $5.40 CBA shares, and some $10.40 ones and a whole heap I bought on September 12th 2001 for about $15.00, plus some more during the GFC at $26. The 100% franking credits I get mean that the income to my super fund is lot higher, if they show as 4.45% I'd probably get about 6.5%, as your super fund is taxes only at 15% rather than the company tax rate of 30%.....so I actually get refunds back.

    I have cash as well in my super account and it all adds up nicely BUT by comparison the $20K I stuck in a TD at Macquarie in 1995 is now worth close to $50K HOWEVER the 1000 CBA shares I bought at the same time for $5400.00 are now worth $50K plus.

    And that's common for all of the big 4, the exception (or worst performing) would be NAB.

    Coming from country NSW I can really appreciate what he is saying about them being pricks (which they are) BUT is profit a bad thing.....no way.
     
  11. CussCuss

    CussCuss Active Member

    204
    7
    Ratings:
    +15 / 1
    What an awesome decision that was to sell off CBA! Thanks John.

    btw Good to see you did well out of it Mark, no disrespect to people who saw an oppertunity and took it.
     
  12. The Gronk

    The Gronk Well-Known Member

    3,475
    37
    Ratings:
    +37 / 0
    6 billion is a massive massive profit.  If there was some more competition maybe they couldn't charge fees and put up mortgage interest rates above what the reserve bank sets so easily. 

    Not being a shareholder or an employee I don't enjoy those things quite as much. 
     
  13. Zep

    Zep Active Member

    1,692
    8
    Ratings:
    +8 / 0
    Damn those banks for making a profit from a Business. You know what **** every company that ever made a profit from doing Business.


    YAWN!! Cry more?! happens every year.
     
  14. CussCuss

    CussCuss Active Member

    204
    7
    Ratings:
    +15 / 1
    http://en.wikipedia.org/wiki/Coercive_monopoly
     
  15. Rusty

    Rusty Well-Known Member

    1,285
    44
    Ratings:
    +44 / 0
    The issue isn't making money or profit, simply how fair the system is that protects their profit.

    I have no problem with these banks succeeding in the current environment, however I wonder if the government shouldn't encourage more competition. The governments primary concern should be the best welfare of the people, and that must be a consideration made with all the elements weighted against each other, ie. Shareholders v Consumers.

    In my opinion the current business environment does indeed benefit shareholders at the expense of consumers to an undue level. This is a hard issue to fix but a good start would be to prevent any further mergers and to allow more institutions to act as banks.
     

Share This Page