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-- firms have -- take it on the chin in the form of a new tax President Obama unveiled just this morning.
How -- impact big name banks and could that -- be passed on to you the consumer get away and Anton -- president of spending cap on diet and not always a great to see is so this this a good idea do you think the president go ahead and added extra beyond these banks.
I don't -- -- the thought -- the -- comes to mind you we want the banks to lend you know we want take money away from them.
And I suspect this takes over a trillion dollars of lending capacity out of the system by taxing the banks.
-- -- trillion dollars trillion and not let true insurer because -- who take a 10020.
Billion dollars away from the banks.
You lever that night -- ten times that's a trillion dollars and -- about.
When you know so far right said the Fed is thinking accent and -- congress approves it and we -- they will all that they do so what -- the average person who I try to put -- -- market.
What do I -- -- credit card what do I need money from my business what happens to me.
Now there's less money around for the banks and into the regulators are clamping down the bank saying hey you have to have a certain capital well if they're if they've paid out the capital.
That's not there so they can't elaborate and -- capacity gets diminished in the industry and that's.
Obviously wrong time and the notion of trying to.
Pay back -- by assessing the banks I mean the American taxpayers made an 8% return.
On the investment in banks and the American taxpayer has lost money in -- will lose a lot of money by investing in car companies and -- -- which is -- -- -- So quite frankly why are you punishing the companies that are not guilty.
And if you want to assess the plane a 100% on the banks.
Let's ask where the regulators were an oversight.
Let's ask where the you know regulators were in overseeing Fannie and Freddie making all those loans and and growing balance sheets to have seen levels.
Let's talk about you know fed policy.
And should rates have been raised to stop the Bobble.
I mean blame -- be passed around many many many places.
And quite frankly banks and still survive today and the employees are getting the bonuses are not the same employees or really necessarily in the same companies.
That one could even blame I mean.
-- and they've changed the bonus -- and most of them are saying we're talking about a structure it's going to be you know they're gonna it's gonna be a claw back provision for most of them.
A lot of it's nonstop cannot catch which is not -- Wall Street operate in the past let me ask is that the Elizabeth Warren was on Fox Business morning she said there's no way to -- at large but true losses of TARP at this point ninety billion dollars the estimate is that the ten year program -- the administration.
Now what happens to the banks if next year all we're only -- you lose a billion on TARP two billion dollars.
What happens to the banks band.
-- you know they don't get it back -- and quite frankly from taxation policy it's a slippery slope.
Let's say hey let's go after baseball players or let's go after entertainers.
Or god forbid.
TV business anchors.
That'll level there was a stop -- -- -- right now anti us not get too crazy here.
I don't exactly could slippery slope.
It negatively or certainly no let me ask you this it's over as a portfolio manager because a lot of folks and again I got back the -- the financials brought us out.
And 2009 as a portfolio manager you hear this today changing.
How you would -- you structure your portfolio as a -- you advise your clients about that the structure of their.
Well I -- quite frankly you know the financial stocks have had a big move.
But in a given they fell 88% from the peak.
They're not even close -- -- any of their old returns -- multiples and -- there's been dilution.
But many of these companies traded very very low multiples normalized earnings and -- -- the best example I give is yes from the biggest and JPMorgan.
Probably is capable in -- normal environment averting you know 6650 share.
And you know I -- -- they'll argue that -- one of the best American financial stations not you put -- -- -- 65 dollars and put it twelve multiple lines that you're.
Talking close to eighty.
You know here's a stock that's in the in the low to mid forties so.
You know a lot of upside still remains in financial sister and quite frankly I cannot believe that that the senate would passes the house passing.
The flurry got the house going you're trying to taxing more than a -- tax all right and tons of thank you.
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