Comments on: How To Build a Bank

By: HB

HB — Sat, 01 Nov 2008 22:31:18 +0000

not really… most banks have balances with each other (and- critically) with government owned/backed central banks.

The real problem is regulation, as anyone in the banking or insurance fields has to be monitored by the FSA in the UK. They have ridiculously long returns that you would have to complete on (I think) a quarterly basis and have all kinds of liquidity criteria to comply with. Although many “experts” reckon those criteria weren’t stringent enough in the first place.

The point is, you’d have so much work to do in terms of admin, you’d have to have a sizeable book of business to employ enough adequately skilled people to do it – and even Mr. Cowell’s assets might struggle to cover that

Besides, what if you could make more money through investing in a different type of business? Surely you’d do that instead…

By: Ryan

Ryan — Thu, 30 Oct 2008 15:51:17 +0000

Saatchi and Saatchi tried to buy the Midland Bank in the 80′s with absolutely no banking experience what so ever, they just thought they could run it… and make loads of money. Midland wouldn’t let them though, so I’m guessing you would need to prove you’re pretty responsible.

By: Rhys

Rhys — Thu, 30 Oct 2008 12:46:46 +0000

Oooh cheers

By: Rick

Rick — Thu, 30 Oct 2008 10:19:42 +0000

You may want to google Credit Union.

By: Sibz

Sibz — Thu, 30 Oct 2008 10:00:37 +0000

How does this millionaire actually keep the money / savings etc. In a bigger bank? I think most banks have some in gold (not physically, but invested), in bonds, in the stock market etc etc. Not really possible for one person to manage a wide and varied portfolio of assets to actually have somewhere for the money to be.

At the moment, I think the bigger the bank the better – smaller banks are being swallowed up and its not making the news.