"It would be extremely premature to be arguing for a breakup" of the large banks, says large...

This news story has 7 comments:

Register or Login to rate comments »

MEKhoury Comments (81)
 
Except that size and complexity beget instability and fragility.
27 Jun 2012, 11:13 AM Reply Like

davidingeorgia Comments (2690)
 
"Bankers and politicians want big, wealthy institutions or else the banks couldn't afford to give big bucks to the politicians," Gorman continued. "You little people need to shut up and do what your betters tell you to do."

There. Fixed it for you.
27 Jun 2012, 11:24 AM Reply Like

timetosave Comments (27)
 
Time to break up the banks. Everyone's a winner.
27 Jun 2012, 12:21 PM Reply Like

edible Comments (22)
 
More words of wisdom from those who created the banking crisis. Never do anything to endanger their grossly exorbitant bonuses, salary, et al.
Leave the wolves in charge of the chicken coop..And keep in mind who raised these people during their childhood days...me, me, me...mine.
27 Jun 2012, 12:21 PM Reply Like

bama54 Comments (3)
 
sell what they have to , and get stronger
27 Jun 2012, 12:27 PM Reply Like

Sensible Investor Comments (60)
 
It would not be premature, however, to ask for Gorman's resignation, sooner, rather than later. Under his watch, MS shares have dropped by more than half, Moody's downgraded the firm 2 notches, and MS cannot raise the dividend. The firm also has moved derivatives to the banking subsidiary. Further, the firm lacks the funds to purchase Smith Barney outright. Ask yourselves this-if MS is better off as a large firm, then why is it doing so poorly? A decline in share price from 107 to 13 is almost criminal, especially to continue to claim things are better or different. Yes-things are not just different, but worse. The firm has also offshored work, rather than keep jobs on US soil, and accepted a bailout from a firm based overseas, rather than US based.

Thus, Gorman is wrong. MS's increased size has led to losses, the inability of management to handle that size, and clirnts and shareholders have not benefitted. Of course Gorman is against a breakup of his firm. His job is on the line if that occurs. Regardless, the sharks are circling politically and financially, because of the underperformance of MS.
27 Jun 2012, 01:44 PM Reply Like

itsAme Comments (98)
 
Could you imagine if they were smaller??? They would have failed like the other 200+ institutions the FDIC has taken over in the last couple of years
27 Jun 2012, 02:22 PM Reply Like