Comments on: Bank-bashing is here to stay http://blogs.hillandknowlton.com/scottmckenzie/2010/01/27/bank-bashing-is-here-to-stay/ Mon, 15 Aug 2011 23:43:36 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: H&K London’s Blog » Blog Archive » I don’t care for your ideas, give me a vision and throw me an elbow http://blogs.hillandknowlton.com/scottmckenzie/2010/01/27/bank-bashing-is-here-to-stay/comment-page-1/#comment-384 H&K London’s Blog » Blog Archive » I don’t care for your ideas, give me a vision and throw me an elbow Tue, 02 Mar 2010 11:36:30 +0000 http://blogs.hillandknowlton.com/scottmckenzie/?p=96#comment-384 [...] demonstrable passion in the business community. There’s plenty of passion about things like bankers’ bonuses, quantitative easing and football players. But expert commentator after expert commentator has [...] [...] demonstrable passion in the business community. There’s plenty of passion about things like bankers’ bonuses, quantitative easing and football players. But expert commentator after expert commentator has [...]

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By: Collective Conversation » Scott McKenzie’s Collective Conversation Blog » Blog Archive » What to do with a banker’s bonus http://blogs.hillandknowlton.com/scottmckenzie/2010/01/27/bank-bashing-is-here-to-stay/comment-page-1/#comment-325 Collective Conversation » Scott McKenzie’s Collective Conversation Blog » Blog Archive » What to do with a banker’s bonus Mon, 22 Feb 2010 14:42:42 +0000 http://blogs.hillandknowlton.com/scottmckenzie/?p=96#comment-325 [...] little post-script to my bank bashing blog from a week or two [...] [...] little post-script to my bank bashing blog from a week or two [...]

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By: Scott McKenzie http://blogs.hillandknowlton.com/scottmckenzie/2010/01/27/bank-bashing-is-here-to-stay/comment-page-1/#comment-238 Scott McKenzie Tue, 02 Feb 2010 12:03:23 +0000 http://blogs.hillandknowlton.com/scottmckenzie/?p=96#comment-238 Thanks Michael. I agree with your point about the change in regulatory environment. But do you really believe that the tone of the debate is being conducted by "reasonable individuals"? And while I agree that the "reckless" banking exectives you mention should be punished (in the criminal courts if appropriate) I also think that the ongoing moral indignation is frankly hypocritical. As a country we were happy for Financial Services to be the engine room of our economy for many, many years without really understanding how it generated the wealth that we all benefitted from. And I notice that you didn't address my broader point that most people working in banking - especially on the "frontline" - are hardly living the life of Reilly. They are the ones who are facing the day-to-day reality of the public anger being so ably stoked by some parts of the media. Thanks Michael. I agree with your point about the change in regulatory environment.

But do you really believe that the tone of the debate is being conducted by “reasonable individuals”? And while I agree that the “reckless” banking exectives you mention should be punished (in the criminal courts if appropriate) I also think that the ongoing moral indignation is frankly hypocritical.

As a country we were happy for Financial Services to be the engine room of our economy for many, many years without really understanding how it generated the wealth that we all benefitted from.

And I notice that you didn’t address my broader point that most people working in banking – especially on the “frontline” – are hardly living the life of Reilly. They are the ones who are facing the day-to-day reality of the public anger being so ably stoked by some parts of the media.

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By: Michael Zdanowski http://blogs.hillandknowlton.com/scottmckenzie/2010/01/27/bank-bashing-is-here-to-stay/comment-page-1/#comment-237 Michael Zdanowski Tue, 02 Feb 2010 11:39:53 +0000 http://blogs.hillandknowlton.com/scottmckenzie/?p=96#comment-237 I don't think any reasonable individual or indeed the media deny the right of banks to exist and to make profit. Without banks our economies would cease to exist and the flow of credit and security of deposits would disappear. We know this. The issue at stake is a deregulated banking sector that has resulted in reckless risk-taking that nearly led to a second 'Great Depression'. Recent proposals to reform banking both in the US and the UK focus upon the need to separate retail or commercial banks from investment banks. In light of what has happened this appears to be a logical step. What has occurred over the past decade or so is that investments banks (or investment arms of banks) have gambled with depositors money which has resulted in the banks becoming seriously overleveraged - hence the various bailouts. This is the cause of quite justified public anger as public money has then been spent propping up the banking sector, which has been shown in many cases to have been poorly managed yet with extravagant rewards. With its rigorous cross-examination of the banking and financial sector the media on both sides of the Atlantic has forced bankers, regulators and government to analyse where things went wrong (and continue to go wrong) as well as inform the public about the various options on the table. At the same time the media gives voice to exactly the type of people who you reference in your posting and who are finding life so difficult at the moment. The banking sector might have failed to get its message across but for some banks at least that is because their story isn't good enough to tell. I don’t think any reasonable individual or indeed the media deny the right of banks to exist and to make profit. Without banks our economies would cease to exist and the flow of credit and security of deposits would disappear. We know this. The issue at stake is a deregulated banking sector that has resulted in reckless risk-taking that nearly led to a second ‘Great Depression’. Recent proposals to reform banking both in the US and the UK focus upon the need to separate retail or commercial banks from investment banks. In light of what has happened this appears to be a logical step. What has occurred over the past decade or so is that investments banks (or investment arms of banks) have gambled with depositors money which has resulted in the banks becoming seriously overleveraged – hence the various bailouts. This is the cause of quite justified public anger as public money has then been spent propping up the banking sector, which has been shown in many cases to have been poorly managed yet with extravagant rewards. With its rigorous cross-examination of the banking and financial sector the media on both sides of the Atlantic has forced bankers, regulators and government to analyse where things went wrong (and continue to go wrong) as well as inform the public about the various options on the table. At the same time the media gives voice to exactly the type of people who you reference in your posting and who are finding life so difficult at the moment. The banking sector might have failed to get its message across but for some banks at least that is because their story isn’t good enough to tell.

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