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Technology Stocks : Applied Materials No-Politics Thread (AMAT) -- Ignore unavailable to you. Want to Upgrade?

To: rhering who wrote (7655)	10/21/2003 6:42:24 PM
From: robert b furman	Respond to of 25522

Well here's where the regulations and overhead comes in. The regulatory burden prevents new banks. Banks have been in a merger and acqquisition mode for two decades. As you comply with the sate and federal examiners - you need to spead the cost over a wider base. Much money has been made by conservative people buying banks and getting a tender price for their quite safe long term investment. My Dad ran a bank and was the largest stockholder.It has been an ongoing move to make local banks into holding companies and then sell into a group which becomes regional and thena as laws changed national. Y ou get the picture. Citigroup is the big dog and has added travelers insurance and many money bank functions. Some are very under the table, as they are offered only through trust departments and to the wealthy. The recent congressional study of utility leasebacks thru fatcat accounting offices and high end bank services are just now being exposed by the IRS. Bob

To: rhering who wrote (7655)	10/21/2003 7:00:58 PM
From: Sarmad Y. Hermiz	Read Replies (1) \| Respond to of 25522

>> I guess it is the fear that the rate paid on short term deposits will ratchet up over the 30 year mortgage term that keeps everyone from opening up a bank and reducing the spread. Roger, Since mortgage refinancing came into vogue, tens of thousands of mortgage brokers have set up shop. But they can only get into the loan-arranging part. They don't have the funds to do the lending themselves. I think the issues are establishing a brand name to get deposits. Writing the financial applications software that runs the business, and avoiding irrationally exuberant lending that leads the borrower and lender to chapter 7. But hey, banker is a lucrative career. Not likely to be off-shored to India. Sarmad