Comments on: BMO and Barings http://www.moneysmartsblog.com/bmo-and-barings/ Investing and Personal Finance Fri, 10 Feb 2012 14:34:49 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: FourPillars http://www.moneysmartsblog.com/bmo-and-barings/comment-page-1/#comment-139 FourPillars Wed, 20 Jun 2007 02:03:13 +0000 http://www.moneysmartsblog.com/bmo-and-barings/#comment-139 I just reread the latest edition of Random Walk Down Wall Street which was updated to include the dot com bubble. Malkiel's explanation for the market's inefficiency during that time was that since the market eventually went down, it was eventually efficient. I like the book but that explanation was a bit lame. Mike I just reread the latest edition of Random Walk Down Wall Street which was updated to include the dot com bubble. Malkiel’s explanation for the market’s inefficiency during that time was that since the market eventually went down, it was eventually efficient. I like the book but that explanation was a bit lame.

Mike

]]> By: moneygardener http://www.moneysmartsblog.com/bmo-and-barings/comment-page-1/#comment-138 moneygardener Wed, 20 Jun 2007 01:33:39 +0000 http://www.moneysmartsblog.com/bmo-and-barings/#comment-138 I guess we all get lucky sometimes. However the IGM example is my most convincing experience yet, on how the market is not 100% efficient in the short term, or it could have just been a 50/50 bet, I'll never know. Good company to take that chance on though. I guess we all get lucky sometimes. However the IGM example is my most convincing experience yet, on how the market is not 100% efficient in the short term, or it could have just been a 50/50 bet, I’ll never know. Good company to take that chance on though.

]]> By: FourPillars http://www.moneysmartsblog.com/bmo-and-barings/comment-page-1/#comment-137 FourPillars Wed, 20 Jun 2007 01:22:02 +0000 http://www.moneysmartsblog.com/bmo-and-barings/#comment-137 I just looked up the chart for IGM - looks like u got a steal. You're right about the dividend propping up the stocks. I'd be curious to know how the banks did in 2001-2002 compared to the rest of the market. Mike I just looked up the chart for IGM – looks like u got a steal.

You’re right about the dividend propping up the stocks. I’d be curious to know how the banks did in 2001-2002 compared to the rest of the market.

Mike

]]> By: moneygardener http://www.moneysmartsblog.com/bmo-and-barings/comment-page-1/#comment-136 moneygardener Wed, 20 Jun 2007 00:13:32 +0000 http://www.moneysmartsblog.com/bmo-and-barings/#comment-136 It's just interesting that I commonly hear people talk about this nat. gas trading fiasco, like it was such a big hit to the stock, and such a great time to get in on weakness. I beg to differ. The dividend props the stock up to the point that it became a non event. Compare it to what happened in January, 2007 to IGM Financial, (my most proud stock entry point) and you can see what I mean. It’s just interesting that I commonly hear people talk about this nat. gas trading fiasco, like it was such a big hit to the stock, and such a great time to get in on weakness. I beg to differ. The dividend props the stock up to the point that it became a non event.

Compare it to what happened in January, 2007 to IGM Financial, (my most proud stock entry point) and you can see what I mean.

]]> By: FourPillars http://www.moneysmartsblog.com/bmo-and-barings/comment-page-1/#comment-135 FourPillars Wed, 20 Jun 2007 00:08:58 +0000 http://www.moneysmartsblog.com/bmo-and-barings/#comment-135 That's true MG. The price did drop from around $72 before the fiasco but that was a recent high. All I know is that those dividends should keep coming and hopefully increasing too! Mike That’s true MG. The price did drop from around $72 before the fiasco but that was a recent high.

All I know is that those dividends should keep coming and hopefully increasing too!

Mike

]]> By: moneygardener http://www.moneysmartsblog.com/bmo-and-barings/comment-page-1/#comment-134 moneygardener Wed, 20 Jun 2007 00:06:09 +0000 http://www.moneysmartsblog.com/bmo-and-barings/#comment-134 As far as share price goes, the whole nat. gas trading fiasco was not really a major event for BMO. As far as I can see the stock hit ~67.80 after it occured, and is now trading at $68.23 after some good earnings. Technically the chart looks horrible, and I would not be too surprised to see it break below $67. As far as share price goes, the whole nat. gas trading fiasco was not really a major event for BMO. As far as I can see the stock hit ~67.80 after it occured, and is now trading at $68.23 after some good earnings. Technically the chart looks horrible, and I would not be too surprised to see it break below $67.

]]> By: FourPillars http://www.moneysmartsblog.com/bmo-and-barings/comment-page-1/#comment-132 FourPillars Tue, 19 Jun 2007 21:47:18 +0000 http://www.moneysmartsblog.com/bmo-and-barings/#comment-132 Given that Enron was a fraud situation, CIBC can be cut some slack. BMO - we'll have to wait to see what happened and how the trading losses occurred. If it was just lack of supervision then that's bad news. On the other hand if it's fraud then maybe some slack should be cut for them as well. Mike Given that Enron was a fraud situation, CIBC can be cut some slack. BMO – we’ll have to wait to see what happened and how the trading losses occurred. If it was just lack of supervision then that’s bad news. On the other hand if it’s fraud then maybe some slack should be cut for them as well.

Mike

]]> By: Canadian Capitalist http://www.moneysmartsblog.com/bmo-and-barings/comment-page-1/#comment-131 Canadian Capitalist Tue, 19 Jun 2007 20:55:32 +0000 http://www.moneysmartsblog.com/bmo-and-barings/#comment-131 In my opinion the CIBC Enron write-down is much less worrisome than the BMO trading losses (though I don't follow either company, it won't stop me from giving my opinion :) ) Where was the trading oversight? How much of BMO's capital was at risk? How many more cockroaches are in BMO's kitchen? If I held BMO, it would surely give me a few sleepless nights. AJ, what makes you think that CIBC was worse than BMO? In my opinion the CIBC Enron write-down is much less worrisome than the BMO trading losses (though I don’t follow either company, it won’t stop me from giving my opinion :) )

Where was the trading oversight? How much of BMO’s capital was at risk? How many more cockroaches are in BMO’s kitchen? If I held BMO, it would surely give me a few sleepless nights.

AJ, what makes you think that CIBC was worse than BMO?

]]> By: Mr. Cheap http://www.moneysmartsblog.com/bmo-and-barings/comment-page-1/#comment-129 Mr. Cheap Tue, 19 Jun 2007 18:00:14 +0000 http://www.moneysmartsblog.com/bmo-and-barings/#comment-129 The first dividend check is "oh so sweet" ;-) The first dividend check is “oh so sweet” ;-)

]]> By: Average Joe http://www.moneysmartsblog.com/bmo-and-barings/comment-page-1/#comment-128 Average Joe Tue, 19 Jun 2007 16:43:17 +0000 http://www.moneysmartsblog.com/bmo-and-barings/#comment-128 If CIBC can survive the Enron debacle and still increase their dividend, it almost makes you think that the banks are invulnerable! Compared to that, the BMO 'scandal' doesn't seem like much. If CIBC can survive the Enron debacle and still increase their dividend, it almost makes you think that the banks are invulnerable! Compared to that, the BMO ‘scandal’ doesn’t seem like much.

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