WaveNet Pharma

What the Citi Conversion Might Really Mean

Amazed to see a disconnected conclusion from an otherwise promising introduction.

The Fed is now doing a fine job. As to Citi, I hope you realize that if it were to be subjected to the abdication that Lehman went through, November would look like the "good times" back then ...

Just Nationalize the Big Banks

These are shallow and arguments. Nationalizing the largest banks will carry a penalty which our society cannot easily accept.

Sacrificing the purveyors of equity capital – on whom banking depends, more so than in any other business category – violates the raison d’être of banks and horrifies an already upset investment community. What makes you assume that it will be easier to attract new private capital for the new banks vs. the established ones ?? Today, nothing prevents new investors to start with a "clean sheet" bank : how many of those have you seen lately ??

The place to start is finding more satisfying ways to calm existing investors, not to scare away potential new ones. And all that with greater management humility -- the example of Citi's CEO cutting his salary to $1 and forgo all bonuses until profitable, is the one to follow.