Pondering Number 4
|Author: Paul Violet||Published: 7th July 2010 13:31|
Ponderings No 4
A Beginners Guide.....
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Before giving our business a blatant plug, I have been pondering the current state of the financial markets. The (admittedly very simplistic) answer is: Stalemate!
The government are urging the banks to lend. The banks now admit that they are reluctant to lend because the financial future and their reserve requirements are uncertain. Stalemate!
Interest rates must remain low, thus pension and savings rates must remain low too. Those who have a pension pot or savings are making little or nothing, and will do so until rates rise. Stalemate!
We can't afford the massive public sector salary costs, so many jobs must go. More people claiming unemployment benefit, so the costs to the public purse go up. Stalemate!
These are not political statements, but just an observation of the extremely difficult position we're in. Is there an answer? Certainly not a simple one, and certainly not a painless one either. We will all feel the pinch as there is no choice! But now to the blatant plug!
Have you sorted out your financial future as best you can? We're apparently all one of three animal types!
We know we should sort things out, but can't be doing with it. (Ostrich)
We will do something but don't know what's best, so will do what everyone else is doing. (Sheep)
We know that if we hunt around we'll make a killing, and have a feast. (Big Cat)
It's probably no surprise to learn that if you're an ostrich or sheep, you're in the vast majority. Any Big Cats should give us a call!
And now an irrelevant fact:- One of China's big four banks is the Agricultural Bank of China. It has 320 million customers. That's more than the entire population of the USA, and it's only ONE of the big 4!