The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
It is a slow day in the small Saskatchewan town of Pumphandle, and streets are deserted. Times are tough, everybody is in debt, and everybody is living on credit. A tourist visiting the area drives through town, stops at the motel, and lays a $100 bill on the desk saying he wants to inspect the rooms upstairs to pick one for the night. As soon as he walks upstairs, the motel owner grabs the bill and runs next door to pay his debt to the butcher. The butcher takes the $100 and runs down the street to retire his debt to the pig farmer. The pig farmer takes the $100 and heads off to pay his bill to his supplier, the Co-op. The guy at the Co-op takes the $100 and runs to pay his debt to the local prostitute, who has also been facing hard times and has had to offer her "services" on credit. The hooker rushes to the hotel and pays off her room bill with the hotel owner. The hotel proprietor then places the $100 back on the counter so the traveler will not suspect anything. At that moment the traveler comes down the stairs, states that the rooms are not satisfactory, picks up the $100 bill and leaves. No one produced anything. No one earned anything... However, the whole town is now out of debt and now looks to the future with a lot more optimism. And that, ladies and gentlemen, is how a Stimulus package works.
Re it’s great to see.BkIR has great reserves and it’s going to need them, never a truer word said. I’d hazard a guess re loans in general for 6 months after we are through this pandemic , there will de a default ratio in excess of 50% across the board. Those reserves will be eaten up in a heart beat. As for the US, I too am very concerned as the heart and soul of commuter travel there is by subway etc in the major cities and this is where the Virus has probably gone rampant in cross contamination . Fingers crossed folks, as I think beyond massive debt relief and the printing of money like confetti and bonds for another generation to worry about maybe the panacea to this terrible virus apart from the obvious of getting a vaccine. Heineken , Adidas, Novartis, Qualcom and Diagio are my picks going forward.
Good investments power ranger . As much as I wanted to call Leamyk Mr Lucas being the Price of Darkness , 1.25c is easily achievable now. Even Ranger4 agrees a massive recession to come .....when we come out the other side and we will re the pandemic it will be a financial bomb scene. Things will recover albeit slowly. Many core businesses will have to be nationalised as they will be intrinsic to the recovery and form part of the lattice of the core economy. I believe in my own profession I will have to work abroad for my final years as pensions will be a bust flush for a long time. That’s how savage this CV19 has been but folks we will recover, we will see day light, the world won’t stop. Working from home now entails a bottle of wine a night now and midday peeks at the laptop..... it’s hard for us all to keep sane in these times.
Yeah, apple green I’d be onto, they will rebound back and have a good product. I know their team. I’m looking at the likes of Adidas and big solid brands to power into.... once things get afloat again people will want goods big time. I’m on the side lines re the airlines as they are hurting like no tomorrow with loads of hardware sitting idle. Leasing companies are in a massive bind re their debt and non performing loans now. That’s what i keep harping on about re BKIR, she’s in a precarious position imo like all banks with a never ending wall of problems on the horizon. Keep her lit fellas and ladies and be safe.
It’s not going to get any better tbh. The bank now is beyond a total punt. Even and please god if there is a god that things get better post this horrible pandemic, the business model of the bank is fughed for a period after and will need its own financial ventilator be it a world wide rescue package or what ever. I hope I’m wrong and the sp goes stratospheric post this horrible time but there’s other shares out there that have golden opportunities as against this dog to go gang busters.
Apart from the dividend we are now entering un chartered waters for the next 3 weeks. Great to see so many contributors here are basking in BOIs ebullient capital ratios and what a safe haven this is......the reality is not worth saying. Safe all and say a prayer for all our front line workers where ever they are..... pure and utter hero’s
I love your enthusiasm and welcome same but we beg to differ. You call me a doom merchant , I call it being pragmatic and realistic. I do agree it’ll be May before we see some easement. In the meantime businesses are collapsing. I wonder what business your in as I’m watching pain all round me. Be safe, at the end of the day it’s only numbers - health and well-being is all our priority now
Freezing dividends won’t save banks from their demise. People are in la la land thinks banks are safe with their revise capital ratios .... once this pandemic recedes and it will the knock on will be rough. Mass businesses failing, loans / mortgages defaulted etc. I can see BoI coming back in some shape or form into the government coffers unless the central banks start printing cash / mass debt relief / and huge off sets for businesses to clamber back in their feet. Purveyor of doom I’m not but that’s the reality I’m looking at. Most important stay safe all.... your health is your wealth, the rest will follow in in due course
Taoiseach dismisses suggestion from Sinn Féin that Government should use some of €13bn Apple tax money to pay for Coronavirus crisis measures.
He says the money is in escrow and "she should know better than coming out with that kind of rubbish“
Most people are not interested in this share Radar, it’s a dud and a bum share that we all genuinely thought would shine through.. It’s a diversion for some of us here to discuss same and get away from the hard reality what CV19 is doing to one and all in one way or another.
Be safe all
Agree Radar. All front line staff are our hero’s . I commend those people that have come out of retirement and signed up to be on the battle front be it retired docs or nurses. That takes guts and utter respect. I never thought I’d say it but the acting Taoiseach , Minister for Health and Tainiste are for me the officers I want on the bridge steering this ship not Mary Lou and SF that have gone to ground