Martin Lee @ Sg
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PM Lee on Lehman-Linked Products

Finally, we receive some positive statements from our leaders. After more than a month, PM Lee Hsien Loong first comments on the incident was reported in today’s Straits Times.

It will be handled fairly – Straits Times

This report by BBC on the “house of cards” that finally collapsed is also worth listening to:

BBC feature on current crisis

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5 comments
Patrick says 11 years ago

A good read – an article from Todays online

What banks don’t disclose can hurt you

LOSSES in structured products fall into two categories: Small money and big money.

Small money

The banks have made a big show of solving the small-money cases.

Hong Leong Finance said it will compensate investors with a primary school education and aged 62 or older at the time of purchase. The company did not say how many of its customers fall into this narrow category.

DBS issued $100 million of High Notes 5 that are now worthless.

It will pay out $70 to $80 million to compensate customers for its mis-selling.

The $70m to $80m also includes customers in Hong Kong.

Hong Kong sales include products like Minibonds which a bank could buy back, hold to maturity and redeem at or near full value. It would cost the bank little or nothing.

Full article: http://business.asiaone.com/Business/My%2BMoney/Starting%2BOut/Investments%2BAnd%2BSavings/Story/A1Story20081029-96915.html

Reply
    lioninvestor says 11 years ago

    Part of the article actually isn’t too accurate:

    “Probably. Here is why: Linked notes invest in a 10/90 per cent mix of stock options and risky bonds called CDOs (collateralised debt obligations).”

    Reply
Stanley says 11 years ago

Hi,

i would like to know to whom can i lodge a complaint for minibonds bought from lehman

thks

Reply
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