OFFICIAL CLICO THREAD

[tr1ad]

at CMMB today there werent crowds of ppl taking back their money

a lot of ppl came with enquiries mostly, some actually deposited

est 15 million tt moved today cant say out of the total figure, which was far less than what was expected, FCB offered a high line of credit to CMMB in the event there would have been mass withdrawals

[Hammy Bolo]

at CMMB today there werent crowds of ppl taking back their money

a lot of ppl came with enquiries mostly, some actually deposited

est 15 million tt moved today cant say out of the total figure, which was far less than what was expected, FCB offered a high line of credit to CMMB in the event there would have been mass withdrawals

evidence of a mature investor clientele

[tr1ad]

yup, as i said while i got this info,
you can tell the difference of the average joe/bank customer/utc to the ones who react intelligently

[Damien]

tr1ad,remember not everyone one is not smart like you eh

[tr1ad]

did you look carefully at my last post?
i think not

[Damien]

[Smokey]

spoke to a friend who is a director at one of the largest insurance companies (not Clico) in trini.......details of our convo that i can spill here is:

1. Government intentionally brought down Clico in order to aquire it's assets (several advantages here aside from controlling a large portion of the media........but just think about this point, the government now controls the largest private sector firm in the country).

2. Clico was not managed badly at all, but like everyone else who invests widely internationally, they were experiencing the effects of the credit crunch recently and the government took advantage of their susceptability at this time.

3. No one's money is guranteed in Clico, RBL etc.....firstly no firm, despite assurances and insurances, can ever gurentee your money is safe. What he indicates may very well happen is that people's money that is tied up in some of Clico's funds, will be returned gradually and partially over time (if they want it withdrawn)......everyone is saying don't panic, don't withdraw etc. However, as a director he said when these things happen you can never prevent this, and infact, it is the safest thing to do in any case. Why leave your money in something with so much uncertainty especailly in these times.

4. Most depressing thing (for me as I have well over the insured limit at Clico) for me is that he said due to Clico's asset base and previous accounting sheets, is that they can't and now most definetly won't be able to pay back everyone unless of course government bails them out fully......i.e. the governemnt coughs up the $8B+ figure that is being thrown about....however, this is easier said than done and in the end, things can get a bit crazy soon.

5. When asked if other insurance companies etc can benefit from this, he said most defintely they would, especially RBTT and Scotia. However, he said that with Clico being brought down, the repercussions of that in Trini will be felt very soon.....he said this is just the start....governemnt revenue will fall by more than 50% by Sept.......and that is trouble. He indicated the H&SF is just a drop in the bucket for this country and will almost definetly be tapped into by the end of the year (in the next budget).

Anyway, he said the most puzzling and disturbing thing is the swiftness government has moved to bailout and take over clico. He said he these circumstances a loan or partial bail out was much more appropreiate. Given that Clico's finances were not so baddly off recently, he said that it is/was the government's doing that brought down Clico. He said NGC/Petrotrin withdrawing the 250mil (rumoured to be twice that) was not the only government organization trying to withdraw recently........interesting times ahead given that internationally, the most optimistic recovery time for this recession is no sooner than 2 to 3 years away.

[Damien]

Nice info

[eliteauto]

Nice info

agreed

[Smokey]

at CMMB today there werent crowds of ppl taking back their money

a lot of ppl came with enquiries mostly, some actually deposited

est 15 million tt moved today cant say out of the total figure, which was far less than what was expected, FCB offered a high line of credit to CMMB in the event there would have been mass withdrawals

evidence of a mature investor clientele

you would expect this from CMMB clientele as well......however, please remember many are still in 'wait and see' mode depending on the outcome this week.

[SR]

what i have noticed over the last few days is how many people from "other" comapnies all of a sudden are quick to give "comfort" advice

and recomend to withdraw etc and invest with them...................


now there is a lot more to come out of this entire move by govenrment and they may have been planning this since last year as clico also had a lot of govenremnt based clients some of whom have been withdrawing cash since before xmass

the next few weeks gonna be interesting

the sad thing is that there are people withdrawing large sums of cash / closing off investments in retunr for cash etc to actually ut under thier matress

and yes ah serious

there is now way yo can travel anywhwere in the world with such large sums of cash
so where does it go..................home???
or some other investment opportuny

bottom line is those people doing such are creatig such a big risk for themselves
as far as saftey is concerned

[pugboy]

assuming the bailout is $8b+ or so since the assets the govt taking for sure is at least that-
what is interesting is none of the tv pundits have said where the $8b+ gonna come from, are they gonna take it from the heritage & stabilization rainy day fund ?
if they do that there should be riots

they already had to chop back the budget due to lower oil/gas prices.

does FCB have that kind of cash in a pan somewhere ?
or will they have to borrow it from somewhere ?
are they gonna issue bonds and borrow from the public ?
make NIB, UTC buy pieces of it ?

$8b is a quarter or so of the budget, that aint no easy money to find in the short term

[Hammy Bolo]

Its a plus with the CMMB & FCB arrangement as both Companies compliment one another and so makes them a force to be recon with

FCB was the 2nd largest bank before the arrangement- lets see where this takes them

I feel the interest rates CLICO guaranteed (12% & 15%) to some depositors will not be met with the Govt taking over- this rates were unreal as the risk was great- by next week we will be informed of an average rate ppl will be paid at

[pugboy]

express papers talking about small run at RBL,
govt not getting support to pass bill

bachannal start

[evo-STI-k]

So- what happens now? will M browne be appointed to be the new ceo of Rep B?

As the little sheit head imbutt has already implicated, the supposed failure of a certain realestate development in the heart of woodbrook, has he and his govt set their greedy eyes on this and are looking to make the project go belly up- and then assume control under the same company that is currently in an investigation?

Then what? as history has proven over the years with this particular corrupt political party , only to turn over those same said apartments to their politically aligned supporters as they have done so many times in the past.

Will they use the banking institution in their plans for dictatorship?

[pugboy]

doh forget browne used to run clico's business in barbados, lol

So- what happens now? will M browne be appointed to be the new ceo of Rep B?

[evo-STI-k]

So CLICO is the SMOKESCREEN for the bald head thief in construction?

Sop what will happen to all those ministers that Pulled out their money out of clico before the takeover that unwillingly ADMITTED that they did so on INSIDER Informtaion?

Is insider information Still a crime? so its OK for ministers in the PNM to break the law?



something is sriously WRONG and corrupt with this government!

i hope more people wake up and realise this before its really too late.

[ray d saint]

So CLICO is the SMOKESCREEN for the bald head thief in construction?

Sop what will happen to all those ministers that Pulled out their money out of clico before the takeover that unwillingly ADMITTED that they did so on INSIDER Informtaion?

Is insider information Still a crime? so its OK for ministers in the PNM to break the law?



something is sriously WRONG and corrupt with this government!

i hope more people wake up and realise this before its really too late.

yes it is... 10 years jail and/or 500,000 fine...

[ronsin1]

So what happen to the UdeCOTT Commission of Inquiry is that old news now??????

[Terran]

Effectively, yes. You think UDECOTT have money like CLF?

[ray d saint]

On the note of a 'run' on the bank, RBL...

Total shares traded on the TTSE from Monday 26th to Thursday 29th totalled:

75,453 valued @ 86.00/share

Shares traded on the TTSE for Friday 30th and yesterday, Monday 30th totalled:

286,751 valued @ 86.00/share

[SR]

well at least the share value hasnt dropped.............interesting to note the amount of shares traded

the question is

so who is buying???

[pugboy]

^^^ that is always the real question to be asked when there is big movement like that

another question is if those shares were small bits here and there or large blocks put up by big shots/institutions

[ronsin1]

notice the two biggest movements were made by N&M and RBL with their prices

N&M shares are half the price of RBL and they trades double almost double the amount of shares that RBL traded

[ray d saint]

well at least the share value hasnt dropped.............interesting to note the amount of shares traded

the question is

so who is buying???

jus make a wild guess and i am sure you will 'hit the nail on the head' so to speak.....

NML - 433,233 @ 49.50 traded yesterday alone!!!



Also to note... most brokerage houses have 'revised' their view on RBL from a HOLD to now a SELL

[Trinifieds]

Been following this thread since Friday. Very interesting discussions you guys have but the question the layman will be asking on the street is, where do you really invest/keep safe your money?

I know internationally it would be a mess given the financial crisis in the US. Locally the options seem to be Unit Trust, FCB and RBTT. Given the run on RBL, uneducated investors will just pull out their money and keep it as far away as possible till the dust settles.

What would an educated investor do?

[SR]

dont pull out from rbl.........duh

[Terran]

Is their a connection between Guardian Holdings and RBTT?

[Trinifieds]

dont pull out from rbl.........duh

Gothca on that one but what about CMMB? I see they are letting people take their money out given FCB increased their line of credit available. Would it be wise to remove you assets?

[SR]

well now thats a difficult one to say
CIB is definatly gone

but i am curious as to where govenrment/fcb is going to get the 8B to facilitate covevering the withdrawals from cmmb etc

even if they sell the rbl shares that wont give them liquidity fast enough

unless govenremtn gives them a loan ........again which will look good on paper
but fcb is government and they are basically lending to themsleves ...........


follow yuh minister of finance.........she had inside info and withdrew
so did the governor of central bank as he hasnt disclosed how much was his "small" sum he had invested

and i am sure there are quite a few other goverment officials who have withdrawn over the last 2 months in december