Bye-bye Barclays

[Alf W]

Quote:
Originally Posted by Alf W
You don't need to be that brave. It's a no brainer back to 300p in the next 18 months

That might be my new sig in 18 months.

OK maybe 18 months was a bit pessimistic. Still well on target.

Better than working for it anyway.

[Cyberman]

I still wouldn't buy Barclays. There's lots and lots of debt still to raise its ugly head over the next year or so, and they are outside of the HMG guarantee scheme.

[denver2k]

But be carefull !!! Barclays are also showing accountancy miracles

[scaramanga]

My girlfriend's father has been gloating about buying Barclays shares at the bottom a few weeks ago and has now made a fortune.

I looked into buying when he did but couldn't being myself to after reading this blog post.

I like the bit where they report their trading income as £3.8 billion yet in the same section claim to have only £42 million of value at risk on any given day.

Doesn't add up to me. A few on here will have worked at BarCap and it seems to me like one of the biggest casinos out there. They have picked up most of the good bits of Lehmans and well done to those who have done called it correctly so far but I just wonder if they will be the next RBS somewhere down the line.

[GardenGirl]

I wouldn't buy Barclays shares because they really don't care about their customers or staff. This is one bank where the Fat Cats are the only ones that get looked after and with that attitude I'd have felt like I was doing business with the Devil to buy shares!!!! I really don't think they have been honest about their debt and don't forget Barclays were desperate to buy ANB Ambro but lost out to RBS. So the reason Barclays isn't in quite the mess RBS is, is down to pure good luck, they might not be so lucky next time!

[Addanc]

They have fallen on hard times because a took all my dosh out the other day; I now keep it in a sock and use it as a pillow.

[max]

I really don't think they have been honest about their debt and don't forget Barclays were desperate to buy ANB Ambro but lost out to RBS. So the reason Barclays isn't in quite the mess RBS is, is down to pure good luck, they might not be so lucky next time!

Desperate is inaccurate. They set a price(to be paid in equity not cash) they thought it was worth, with a 500 million break fee(tasty), and waited 6 months. If they had been desperate they would have upped their offer. They didn't budge.

Even after ABN sold of their US mortgage business, which at the time was big chunk of the worth, RBS maintained their increased offer.

As for honesty about their debt, most of their exposure was older and therefore not subject to the same writedowns later buyers suffered, and recently, when the IFA did a "candles and cans" stress test on the bank they were satisfied they could survive without further capital.

So the reason Barclays isn't in quite the mess RBS is, is down to pure good luck, they might not be so lucky next time!

Maybe luck did play a part(not budging on the price after their initial would indicate some level of competence), but was it the same luck that had them walk out of Lehmans takeover talks, only to buy the entire US equity business the next day, the bit they wanted for the little more than the price of building?

Surely they are a credit crunch winner.

[Solidec]

Closed out this morning before the GDP figures, nice 45% returns as I was buying throughout last 2 months.

Think I will sit on the cash til the next FTSE100 nosedive and start the process again. I am sure there is at least one more bear market rally to come.

[Menelaus]

Barclays completely dodged a bullet on the ABN Amro deal.

I worked on the ABN Basel II deal in Amsterdam for a while (as did many contractors in banking) and it was obvious that as a business the luxuries on offer were tremendous but the amount of business being done, and the credit quality of the business, was appalling.

That RBS failed to perform adequate due diligence and / or allowed themselves to be sold a sucker of a deal in return is little short of obscene.

RBS and ABN Amro =

[ace00]

Bye-Bye Barclays. Thanks for the ride.

Getting a bit rich for my taste - just sold out.