Not So High and Mighty Now, Huh?

| About: The Royal (RBS)

With the Brits about to quasi-nationalize what’s left of its banking sector Monday morning, it seemed appropriate to regurgitate this little blast from the past. 

The financial crisis in America is really a moral crisis, caused by the series of proofs...that the leading financiers who control banks, trust companies and industrial corporations are often imprudent, and not seldom dishonest. They have mismanaged...funds and used them freely for speculative purposes. Hence the alarm of depositors and a general collapse of credit. -The Economist  Nov. 2 1907

(Tug o’ the forelock,  Different JB.)

Relevant factoid: H.M. The Queen will, when the British government assumes a controlling stake in the Royal Broke of Scotland (NYSE:RBS), achieve primary dealer status at the Federal Reserve Bank of New York, through her ownership of Greenwich Capital Markets Inc d/b/a RBS Greenwich Capital. Two things:
  1. Tim Geithner will have to start minding his Ps and Qs at those endless meetings about cleaning up the CDS debacle. 
  2. Be interesting to see what happens with that big flash building with the raggedy-ass RBS banner and the big flash trading floor set-up now under construction in Scamford, Conn, adjacent to the UBS (NYSE:UBS) complex, speaking of things that have out-lived their usefulness.