The Israel Deception

Is the return of Israel in the 20th century truly a work of God, or is it a result of a cosmic chess move to deceive the elect by the adversary?

Showing posts with label banks. Show all posts
Showing posts with label banks. Show all posts

Wednesday, October 5, 2016

London dumps 1,000 tons worth of gold contracts on Oct. 4 to allow pre-Brexit shorts to cover before price explosion

On Oct. 4 gold fell by more than $40, and nearly $100 over the past few days as the Chinese holiday provided the perfect environment for London to dump 1,000 tons of gold contracts onto the market to drive down the price.

According to long-time gold analyst Andrew Maguire, the London gold cartel facilitated a massive shorting of gold futures contracts to drop the price back down to pre-Brexit levels so that bullion banks and other insiders could cover their short positions still open after gold spiked $100 back on June 24.

Eric King:  “Andrew, we’re seeing a massive takedown in the gold and silver markets today along with the shares, what’s really happening here?  What is really taking place?” 
Andrew Maguire:  “Close to a staggering 1,000 tonnes of paper gold has been rinsed out in the paper gold markets today…. 
Andrew Maguire continues:  “That’s just below the targeted 100-day moving average that was taken out earlier today.  Before this is finished today, this will exceed over a shocking 1,000 tonnes of paper gold that will have been rinsed. 
This takedown is a complete joke, and the wholesale market is all over (on the buy side of) this paper takedown.  This is a desperate effort by Western officials to cover massive offside pre-Brexit over-the-counter short positions put on by their agent bullion banks near the $1,275 level. - King World News
Each year approximately 2500 tons of gold are produced, making this paper contract dump equivalent to 40% of the world's entire gold production for 2016.

With the European banking system standing on the precipice of another liquidity crisis, and the Chinese beginning their new paradigm as a member of the IMF's SDR global currency, expectations of gold skyrocketing upward in the coming weeks or months left the bullion banks with little choice but to try to pull off a massive manipulation play to cover their several billion dollar short position that had left them vulnerable when they had bet against a Brexit vote.  And when China comes back online after their holiday ends this weekend, expect the price to climb back up over $1300 as it regains all its losses imposed upon it from yesterday's gambit.

Friday, September 30, 2016

If the rich aren't willing to store their gold in banks, then why should you trust them either?

Following the 2008 financial crisis the United States began a form a capital controls to try to keep individuals, businesses, and trusts from moving their wealth offshore.  And one of their primary controls is through a law known as FATCA, which gave the IRS a modicum of authority backed by SWIFT to find out all personal accounts and information held in foreign banks by American citizens.

But as we saw in the Panama Papers scandal earlier this year, what is meant as restrictions for 'little people' is barely a bump in the road for the elite and super wealthy who have access to alternatives that the 99% do not.  And one of these alternatives is the ability to offshore their wealth into special private vaults that are outside the touch of the U.S. government, and which may hold thousands of tons of gold outside the banking system.

For decades, Switzerland had a reputation for bank secrecy that made it the most sought after tax haven for billionaires from around the globe.  But, after more than 80 years of secrecy, a series of bilateral agreements with countries around the world, including America’s Foreign Account Tax Compliance Act (FATCA), have forced the private-banking industry in Switzerland to embrace an entirely new era of transparency that requires a full exchange of tax-relevant information with more than a hundred countries. 
Which, as Bloomberg points out, has been a huge boon for Swiss operators of private vaults which are not subject to the same transparency and reporting requirements as banks.  In fact, these super-secret, privately operated storage facilities buried around the Swiss Alps can basically store anything from anybody because they're not even required to report suspicious activity to Switzerland's Money Laundering Reporting Office.  
“There is growth in gold,” Wipfli says. “Since 2008 there has been a real interest in alternatives to bank deposits.” The company explicitly taps into that demand. Swiss Data Safe “is independent from the banking system and any other organization or interest group,” according to a PowerPoint presentation Wipfli shows clients. The company and its anonymous rival aren’t regulated by the Swiss financial-services regulator Finma. 
Nor do such companies have to report suspicious activity to Switzerland’s Money Laundering Reporting Office.In the past, submissions to the agency have led the Swiss attorney general to open investigations into corruption at FIFA, the global soccer body, and banking ties to Brazil’s Petrobras bribery scandal. 
Moreover, American citizens aren’t required under FATCA to declare gold stored outside of financial institutions either.  So perhaps it's no surprise that, according to the Swiss defense department, of the roughly 1,000 former military bunkers still in existence across Switzerland, several hundred of them have been sold to private individuals who are now operating them as private storage sites for the gold stash of the world's wealthiest of billionaires. - Zerohedge
The elites know that they cannot trust holding their wealth in a bank, and often go to extraordinary lengths to ensure it remains outside the hands of governments, regulators, and law enforcement.  So if the rich do not trust the banks to hold their money and assets, then why should you?

Thursday, September 15, 2016

Got gold? Goldman Sachs and Wells Fargo scandals show why it is no longer safe to store your wealth in a bank

Within the past seven days two major banks revealed why it is no longer safe to hold your wealth in financial institutions.  First with the Wells Fargo fraud scandal, where employees opened over a million fake accounts under real people's names to commit identity theft, and then with Goldman Sachs, who was discovered to have re-hypothicated customer deposits to use in making risky and speculative bets in the stock markets, the bottom line is that there are few protections available for depositors to protect their money in a bank today.

All this shows that not only have the regulators and the government accomplished nothing in 'fixing' the problems that allowed banks to commit fraud and crimes at will, but now they have given many of them some legal justification to do so... as in the case of Goldman Sachs where the Dodd-Frank Wall Street Reform Act turned your deposit into an unfunded liability that allows banks to do with your money as they see fit.

goldman sachs
As Goldman Sachs Group Inc (GS.N) has built its U.S. consumer bank, it has established a team to put its deposits to work on Wall Street, a telling development about Goldman‘s ambitions for the retail bank. 
Led by 40-year-old Goldman partner and credit trading veteran Gerald Ouderkirk, the team’s job is to use consumer deposits and other types of funding for trades, investments and big loans to earn profits, people familiar with the matter told Reuters.
It is no longer a matter of being prepared to deal with taking your wealth out of a bank only when a potential financial crisis appears on the horizon, as the possibility of you losing your money during even normal times is now just as great.  And in the end it is our responsibility, and not our brokers, bankers, or our government's, to protect our wealth and to know the playing field as it exists following the changes that took place after 2008.

Got gold?

Wednesday, September 7, 2016

Negative interest rate blowback: businesses in Switzerland having to take out insurance on their money already stored in banks

When central banks implement monetary policies never tried before, there are always ramifications that take place that no one could have forecast.  For example, in both Germany and Japan there has been an incredible run on safes because individuals are flocking en masse to get money out of the banking system and store it within their domiciles to avoid negative interest rate (NIRP) fees or bail-ins.

But in Switzerland the consequences of NIRP have sparked a different reaction as businesses holding large amounts of deposits in their banks are taking out insurance on their money that they currently keep in a bank.

Why?  To mitigate the losses the banks will take from them due to negative rate fees.

Only unlike Japan and Germany, the Swiss are much more subtle about their cash hoarding than telling the neighborhood they have a stash of cash in their home by publicly buying a safe; instead, as Bloomberg reports, more and more companies are taking out insurance policies to protect their cash hoards from theft or damage
"Because of the low interest rate level, we note increasing demand for insurance solutions for the storage of cash," said Philipp Surholt at Zurich Insurance Group AG, among underwriters reporting a surge in such requests. "We’re seeing demand for coverage for sums ranging from 100 million to 500 million francs.
Where the Swiss also differ from many other nations is that numerous local banks have already passed on negative rates to their wealthiest customers. The SNB imposed NIRP in early 2015, charging banks for excess deposits. Many lenders including UBS Group AG and Credit Suisse Group AG have passed on at least some of the burden, they don’t disclose how much, to cash-rich clients like asset managers and big companies. 
Meanwhile, a fascinating arbitrage has emerged between NIRP and insurance costs: Helvetia Holding said it charges about 1,000 francs ($1,020) a year to insure 1 million francs, a fraction of the 7,500 francs a company would pay to park the same amount in a bank for a year, assuming the lender passes on the full charge. While that amount doesn’t include the cost of logistics such as transport or security features like reinforced walls, guards and alarm systems, those may not be an issue for the wealthiest clients who already own their own safes and have their own means of transportation of the physical cash. - Zerohedge
Perhaps instead of paying out extra money each year to insure your money from confiscation, loss of purchasing power, and other consequences of NIRP, businesses and individuals should instead store their excess reserves in physical gold, which is much more easily stored in a safe, and is a silent rebellion to the policies of central banks who no longer have any idea what they are doing.

Sunday, September 4, 2016

As the world rushes to hoard cash, and gold supplies dwindle, what might a frenzy on gold buying look like?

Two interesting events are taking place right now in different parts of the world that threaten to create a frenzy not unlike the bank runs we saw in the 1930's and again following the bursting of the Housing Bubble in 2007.

Trust in banks have seriously eroded in places like Japan and Germany to the point where average people are making a run on home safes, and moving their cash out of financial institutions.  The root cause of course is the advent of negative interest rates and the growing fear that insolvent institutions will soon be forced to conduct bail-ins to stave off bankruptcy.

But it is not just a run on cash that is occurring in different pockets of the market.  Last week demands for delivery of physical gold were met with severe resistance, and this is a signal that most paper gold ETF's are not actually backstopped with physical gold, and which could soon bring about a run that would skyrocket the price to well over $5000 according to well respected metals analyst David Morgan.


Economist David Morgan of The Morgan Report is one of the world’s best known silver investors. In the following interview with Future Money Trends Morgan discusses his personal experiences during the last major run-up in gold, when it hit a price of $850 in early 1980. As Morgan describes it, there was significant panic buying during that time period, and should central banks and governments continue on their current course, we’ll see a similar endgame play out this time around: 
"What’s good for gold is the end of empire… And we’ve got governments that are failing… When these bond markets blow up further, that’s when you’re going to see a run to gold than we’ve already seen… 
Wait until the physical market freezes up, which could happen. I am not saying it would happen, but it could. With the worldwide demand and a failing currency across the world, where do you think people are going to go? They’re going to go to precious metals which have been trusted for thousands of years. 
If that were to occur, and I think it could happen… could you imagine the amount of money sitting on the sidelines in a panic mode that would go into the mining shares? It’s incredible. 
I saw it once… I saw what happened with gold and silver when it was a panic buy… My commodities broker was a woman. She worked for Dean Witter… She was very savvy… She would leave her office at lunchtime and go and buy gold at the local coin dealer… then after she closed her office she would stand outside her front door and sell gold coins to people who were lined up… believe it or not. 
That’s the kind of frenzy you get at the top of the gold market." - SHTFPlan

Wednesday, August 3, 2016

As European banks continue to collapse following the stress test, gold buying accelerates on the continent for investors seeking safe havens

Another day, another severe decline in European banks stocks.  This has become the norm in Europe ever since the stress test results have shown that a large majority of financial institutions on the continent are either under-capitalized, or flat out insolvent.

And as investors rush to find any type of safe haven asset in the midst of new central bank stimulus threats and negative interest rates, the one place they are turning to en masse is the one asset that protect one's wealth above all others.

Gold.


Gold prices have bounced back from recent dips and are likely to continue to climb as investors seeking haven from market turmoil in Europe pour money into the precious metal. 
James Butterfill, executive director and head of research and investment strategy at ETF Securities, said gold has proven to be resilient since the U.K. voted to leave the European Union in June. 
"Since Brexit, we've seen $1.5 billion of inflows into our gold product. Clearly, gold is popular," he said on CNBC's Squawk Box. - CNBC

Monday, July 25, 2016

Got your wealth in gold? Dutch bank to begin negative interest rates on customer deposits

Until now, negative interest rates pretty much were only affecting sovereign debt, and to the tune of over $13 trillion to date.  But on July 24 one bank in the Netherlands is now setting the precedent to institute negative rates on common depositors, meaning that it will now cost you money to hold your cash in a business checking or savings account.

Negative interest rates are the desperate concoction of central banks to try to force people to spend into an economy rather than save for emergencies or the future.  And when you add in the fact that banks in Portugal and Italy are both standing on the cusp of new taxpayer bailouts, any money that you own or control is quickly becoming fair game for banks and governments to seize to protect their own financial insolvencies.

ABN AMRO 3
One of the largest Dutch banks, ABN Amro, has now warned its business clients a negative interest rate on the business accounts is in the works. The bank is currently updating its terms and conditions and will more specifically include its right to reduce the interest rates below zero as the bank wants to ‘protect itself’ against the continuously changing market circumstances. - Zerohedge
Fortunately, there are a few ways that you can protect your wealth from confiscations, bail-in, or loss of purchasing power, and that is through the ownership of bitcoin or gold.  And in particular, in a company, business, or process that allows you to store it in that asset, but have it available to be interchangable with any currency you need to be able to pay bills, purchase products and services, or simply just to keep it outside the banking system.

Sunday, July 17, 2016

First Brexit and now the failed coup in Turkey helping to keep the gold rally forging ahead

Long before the June Brexit vote and the failed coup attempt in Turkey that took place on Friday, gold has been climbing since the beginning of the year and remains the best performing asset in the global financial system.  But it is events such as these, coupled with many more taking place in Italy, Japan, and even the United States, that will keep the gold rally forging ahead and ensure that the price will rise and overtake its all-time high before the end of the year, or early into 2017.

In fact, even after six days of the gold price falling due risk on speculation in the equity markets thanks to rumors of new quantitative easing and 'helicopter money', the price shot up $10 alone in after-hours futures when word hit that a coup attempt was taking place against Turkish President Erdogan.

The Turkish lira fell to a three-week low versus the US dollar in late trading on Friday in New York due to news of the coup in Turkey, which likewise spurred safe haven bids for 
US Treasury bonds, paring their earlier losses. 
The Turkey lira was last down 5.0 per cent at 3.0300 lira per dollar. 
“Have you seen the latest headlines on Turkey? That probably has something to do with it. This dollar surge is very much headline-driven,” said Vassili Serebriakov, currency strategist at Credit Agricole in New York. 
Spot gold prices turned higher, reversing earlier losses in late trade on Friday in New York on the Turkish news. Gold was up 0.23 per cent at US$1,337.73 per ounce at 4:42 p.m. New York time (4:42 am Hong Kong on Saturday, July 16), moving off intraday lows of $1,322. 
“Gold has been frog-marched $10 higher over the last hour when it became apparent that there has been an attempted coup in Turkey,” said Tai Wong, director of base and precious metals trading for BMO Capital Markets in New York. - South China Morning Post
Whether it is a banking crisis going on right now in Italy, the upcoming U.S. Presidential elections, the growing threat of war over the islands in the South China Sea, or global bond yields now encompassing over $14 trillion in sovereign debt, the biggest winner from all of this will continue to be gold.  And as each day passes, more and more investors and individuals are turning towards the metal as the only real protection from economic and geo-political chaos.

Monday, July 11, 2016

Global bonds at negative yield reach $13 trillion as the Dutch join in with the rest of the EU

We may have to rename the global bond market to ‘Fast and Furious -1.0’ because that is exactly what is happening to the expanding amount of sovereign bonds in both Europe and Japan.  Last week, bonds with a negative yield were estimated to be about $11.5 trillion, and just one week later, that amount has grown by 11.5% to now be around $13 trillion.
And the newest member to join the negative yield club are the Dutch, who’s Netherlands sovereign bonds for the first time fell to negative yields.
Read more on this article here...

Sunday, July 3, 2016

Sweden begins ball rolling to try to cut off gold acquisition by the masses as price begins to soar

One of the major reasons why the bullion banks have been able to keep the price of gold and silver down over the past four years is because only 1% of Americans and Europeans actually own the physical metals, or have not changed their investing paradigms to seek intrinsic safe havens rather than trust in paper assets.  But since the beginning of the year, and with last week's 'shot heard round the world' in the UK over their Brexit vote, central banks along with sovereign governments are now deathly afraid the people will finally wake up and rush to the door to get their hands on precious metals.

And following the past two trading days of extreme movements upward in both gold and silver, one nation announced a sudden bank policy in which they will no longer allow bank deposits to be used to purchase gold or silver in an attempt to keep the masses from moving out of negative yield bonds and into real wealth protection.

Tavex
Best customer, 
We hereby announce that as of 15:30, Thursday, June 30, 2016, we can no longer accept bank transfers or bank deposits for gold and silver to our Swedish SEB account. 
The reason for this is that SEB - at very short notice - informed us that they will close down our bank account. This decision has, unfortunately, been made without first consulting us, and in addition to state in its notification letter that the decision to close our account due to “a general business decisions,” they have not yet given us any concrete reason why they decided to take this measure . 
The banking system in Sweden is operated however vigorously towards a cashless society, as you probably are aware of, and Tavex has, as one of the largest wholesale suppliers of physical notes and investment metals in Sweden, as we see it become a target for the major commercial banks. 
With that said, we are working frantically to set up a new payment system that we believe will be operational in two to three weeks. - Tavex Guld & Valuta via Silver Doctors
It is beginning in Europe, but how long until the U.S. issues their own banking restrictions where you can no longer purchase gold or silver, have your paper ETF accounts seized, or the Mint suddenly elects to shut down its supplying bullion dealers, and those who do not have gold already will be left wanting, and out in the cold.

Thursday, June 30, 2016

As Deutsche Bank teeters on edge of collapse, rise in gold prices signal warning of pending monetary collapse

Since the price of gold has been rising steadily since January of this year, we already know that it wasn't simply last week's Brexit event which created the catalyst for gold prices to climb to a new two-year high.  And following Britain's historic move to leave the European Union six days ago, analysts are now seeing gold signal a warning sign that a larger monetary event may be just on the horizon.

Modern financial collapses tend not to come from economic recession or declines in the stock markets, but rather in liquidity crises that emerge from insolvent banks... such as from those we saw from Northern Rock in 2007, and Bear Stearns, Lehman Bros, and Morgan Stanley a year later.  And with the Federal Reserve's stress tests on banks coming to a completion, fears are emerging that Germany's largest financial institution is ready bring about a new monetary collapse.

Domestically, the largest German banks and insurance companies are highly interconnected. The highest degree of interconnectedness can be found between Allianz, Munich Re, Hannover Re, Deutsche Bank, Commerzbank and Aareal bank, with Allianz being the largest contributor to systemic risks among the publicly-traded German financials. Both Deutsche Bank and Commerzbank are the source of outward spillovers to most other publicly-listed banks and insurers. Given the likelihood of distress spillovers between banks and life insurers, close monitoring and continued systemic risk analysis by authorities is warranted. 
Among the G-SIBs, Deutsche Bank appears to be the most important net contributor to systemic risks, followed by HSBC and Credit Suisse. In turn, Commerzbank, while an important player in Germany, does not appear to be a contributor to systemic risks globally. In general, Commerzbank tends to be the recipient of inward spillover from U.S. and European G-SIBs. The relative importance of Deutsche Bank underscores the importance of risk management, intense supervision of G-SIBs and the close monitoring of their cross-border exposures, as well as rapidly completing capacity to implement the new resolution regime. 
The IMF also said the German banking system poses a higher degree of possible outward contagion compared with the risks it poses internally. This means that in the global interconnected game of counterparty dominoes, if Deutsche Bank falls, everyone else will follow. - Zerohedge
There is a reason why the 'smartest men in the room' have been not only divesting themselves and the funds they manage out of stocks, and instead are using those proceeds to buy into gold as their largest investment.  And that reason is because the global financial system is going through a fundamental sea-change, and as yet there is no clear determination on how things will play out... only that it is crucial to be in some form of physical safe haven asset that carries no counter-party risk from the paper markets.

Gold has always acted as a barometer for the strength or weakness of currencies, but in today's paper and electronic monetary system, it now acts as a warning sign on the strength of banks, markets, and economies as well.  And with central banks, sovereign governments, hedge funds, and those few who have woken up to the warnings on the horizon having bought gold to the point that supplies are now extremely tight even before the crash begins, it is unlikely that there will be much supply left at all for those who do not buy into gold now rather than wait until it is far too late to acquire it.

Friday, June 17, 2016

Only 27 percent of Americans trust banks and the media, and nearly all institutions rank in bottom 30 percent

A new Gallup poll out on June 14 shows that very few Americans have any faith in their core institutions, with banks and the media registering near the bottom of the people’s trust.
In the decade since the start of the housing crisis and subsequent bank bailouts, trust in America’s financial system has fallen from 49% in 2006, down to just 27% in 2016.  And other institutions like the media have dropped to below even that percentage as only 20% of Americans trust their news outlets to provide them the truth and correct information.
gallup poll
Read more on this article here...

Wednesday, June 8, 2016

Bank of Montreal initiates final processes for their gold fund program

Last year, the Bank of Montreal (BMO) announced plans to start a new gold fund which would allow investors to partake in the buying of physical gold, while having greater protections than would normally be seen in a private vaulting company.

But unlike the GLD and SLV ETF metals funds on the American stock exchanges, this fund by BMO would easily allow clients to withdrawal their gold at any time.

And on June 7, BMO filed a prospectus with the SEC to fund the new program with $500 million in physical gold bullion, in preparation for clients and investors to begin changing their currency into precious metals.

A year ago February, Bank of Montreal announced plans to start a physical gold fund -  
http://www.reuters.com/article/us-bank-of-montreal-gold-idUSKBN0L80BQ201… 
— and today the bank filed a prospectus with the U.S. Securities and Exchange Commission signifying intent to stock the fund with $500 million of gold, to denominate the shares in ounces, to vault the metal at the Royal Canadian Mint, and to give investors the option of withdrawing their investment in real metal: 
http://www.sec.gov/Archives/edgar/data/927971/000121465916012033/d63160s… 
The prospectus provides a few interesting and even amusing details: 
— It cautions that the “official sector” is active in the gold market and can affect prices, an acknowledgment that will never make it into any reports by mainstream financial news organizations. 
— The fund will not insure its assets, trusting the Royal Canadian Mint to protect them. 
— The fund is structured separate from the Bank of Montreal so that its assets will not be vulnerable to claims by creditors against the bank. 
The amusing part — the fund seeks to eliminate “derivatives risk (i.e., the use of unallocated gold, gold certificates, exchange-traded products, derivatives, financial instruments, or any product that represents encumbered gold),” as well as “’empty vault risk’ or gold bullion lending risk (i.e., the practice of the gold custodian lending, pledging, hypothecating, re-hypothecating, or otherwise encumbering any of the investors’ underlying gold bullion).” - Gata via Silver Doctors
Interestingly, the Bank of Montreal is going above and beyond to ensure that investors know of the perils within the banking system that currently allows institutions to confiscate customer accounts in the event of insolvency by the bank itself, and that this new gold fund does not fall under the parameters of those bail-in procedures.  In essence, the fund is not only a signal of the importance and need for gold diversity, but that it will appeal greatly to the growing number of citizens realizing that trusting their wealth inside banks is a losing proposition.

Wednesday, May 11, 2016

Member of the Obama administration publicly admits TTIP meant to protect bank fraud

Last year, Wikileaks published a section of the Trans-Pacific Partnership (TPP) agreement which outlined how the super secret trade deal was written to give sovereign power to corporate entities.  Now on May 7, a member of the Obama administration, the Italian Ambassador John Philips, let slip that the European version of TPP (The Trans-Atlantic Trade and Investments Partnership - TTIP) needs to be signed quickly by EU nations so that corporate banks can be protected from foreign and civil lawsuits tied to the bank’s mortgage fraud and other crimes.
In essence, the TTIP would allow corporations to engage in criminal activity, with no repercussions from either the American or foreign legal systems.

ttip
Read more on this article here...

Sunday, April 17, 2016

FDIC study determines most large American banks not ready for next financial crisis

On April 13, the FDIC issued a new report from a study they made regarding the ability of major U.S. banks to deal with a systematic financial collapse.  And in their findings, the FDIC is reporting that 5 of the 8 ‘too big to fail’ banks do not have feasible plans in place to stave off a crisis, and in fact are geared towards the expectation that the government and taxpayers will bail them out once again.
Despite the fact that the 2010 Banking Reform Act specifically placed bond and equity holders as the entities which would bail out a financial institution during the next crisis, major U.S. banks have summarily ignored the new laws and are sure that fear and panic will cause the government to give in and bail them out as they did eight years ago.
taxpayer-big-banks
Read more on this article here...

Sunday, April 10, 2016

Got gold? Bank bail-ins have returned, and are beginning in Austria

Last year saw a mad rush by Western governments, especially in the Eurozone, to pass bail-in legislation before the end of 2015.  And while the European Central Bank has done its part in attempting to buy every single toxic debt that was on the books of European banks, it hasn't been enough to satisfy the trillions in loans made to subsidize the oil industry, emerging markets, or artificial bubbles in sectors like housing.

And it appears that these new laws came none too soon as on April 10, Austria invoked their bail-in procedure and will initiate a debt haircut on senior creditors for a failed bank that was nationalized six years ago.

Today, the Austrian Financial Market Authority (FMA) in its function as the resolution authority pursuant to the Bank Recovery and Resolution Act (BaSAG - Bundesgesetz über die Sanierung und Abwicklung von Banken) has issued the key features for the further steps for the resolution of HETA ASSET RESOLUTION AG. The most significant measures are: 
•a 53.98% bail-in, resulting in a 46.02% quota, for all eligible preferential liabilities, 
•the cancellation of all interest payments from 01.03.2015, when HETA was placed into resolution pursuant to BaSAG, 
•as well as a harmonisation of the maturities of all eligible liabilities to 31.12.2023. - Examiner
Are you prepared for a bail-in at your financial institution?  Or are you set in having your wealth transferred to the only asset that cannot be confiscated in a bail-in, or devalued by central banks?

Wednesday, March 23, 2016

Canada preparing for bail-ins as collapse of oil industry forces new legislation in their budget

On March 22, Canada's new ruling party submitted their budget for fiscal year 2016-17, and hidden within it was new legislation to approve of depositor bail-ins for banks that might become insolvent.  And with the Canadian oil industry in fill collapse due to lower oil prices, the leverage by the banks in the energy industry is pushing them closer and closer to default.



Introducing a Bank Recapitalization "Bail-in" Regime 
To protect Canadian taxpayers in the unlikely event of a large bank failure, the Government is proposing to implement a bail-in regime that would reinforce that bank shareholders and creditors are responsible for the bank’s risks—not taxpayers. This would allow authorities to convert eligible long-term debt of a failing systemically important bank into common shares to recapitalize the bank and allow it to remain open and operating. Such a measure is in line with international efforts to address the potential risks to the financial system and broader economy of institutions perceived as “too-big-to-fail”. 
The Government is proposing to introduce framework legislation for the regime along with accompanying enhancements to Canada’s bank resolution toolkit. Regulations and guidelines setting out further features of the regime will follow. This will provide stakeholders with an additional opportunity to comment on elements of the proposed regime. 
Bail-in Regime for Banks 
Canada’s financial system performed well during the 2008 global financial crisis. Since that time, Canada has been an active participant in the G20’s financial sector reform agenda aimed at addressing the factors that contributed to the crisis. This includes international efforts to address the potential risks to the financial system and broader economy of institutions perceived as “too-big-to-fail”. Implementation of a bail-in regime for Canada’s domestic systemically important banks would strengthen our bank resolution toolkit so that it remains consistent with best practices of peer jurisdictions and international standards endorsed by the G20. - Zerohedge

Ted Cruz disproves he’s an outsider by hiring the one who removed Glass-Steagall

There has already been much rumbling over whether Presidential candidate Ted Cruz was a conservative outsider whom the establishment hated, or if he was simply a wolf in sheep’s clothing to give Republicans the illusion of choice.  And on March 18, Cruz’s facade was completely shattered when he hired the individual behind the removal of Glass-Steagall as his economic adviser.
In addition to now bringing former Senator Phil Gramm to his campaign, Ted Cruz has done at least two things that have made voters question his stance as a ‘champion against the establishment’.  First, he covered up a loan made with Goldman Sachs to help fund his Senatorial campaign and shrugged off the fact that his wife works for a bank that was bailed out during the 2008 Credit Crisis.  And secondly, after months of rhetoric to bring forward a bill to audit the Fed, he chose to be absent on the day of the vote.

Read more on this article here...

Monday, March 7, 2016

German banking association recommending banks stockpile cash for loans to stimulate economy

On March 4, the Bavarian Banking Association recommended to its member banks that they take out all their deposits being held with the European Central Bank (ECB) and stockpile the cash for use as loans in order to stimulate the economy.  This recommendation comes as the ECB prepares for negative interest rates, and the charging of interest to banks under their authority for sequestering cash in their facility.
Like with the Federal Reserve in the U.S., ever since the ECB began its own form of quantitative easing and zero interest rates, banks within the Eurozone have simply borrowed cheap money from the central bank and either bought government bonds or parked it with the ECB where they received a modicum of interest.  This has resulted in a sharp slowdown in the velocity of money, and a massive decrease in lending to businesses and the general economy.

Read more on this article here...

Friday, March 4, 2016

Bitcoin: first they ignore you… then you win

The great civil rights activist Mahatma Ghandi once said, first they ignore you, then they laugh at you, then they fight you, then you win.  And for the Bitcoin community, the day of capitulation by the banks may have finally arrived as a new report out shows that 40 of the world’s top financial institutions are deep into research to use the blockchain technology that underwrites the Bitcoin currency.
And perhaps most ironic in these revelations is the fact that for several years, banks have been vilifying Bitcoin and trying to use every means possible to deter or destroy its use in the global financial system.

Read more on this article here...