If Spain are in such a state - Why do thet now own half our banks?

Radiantsoul

ILW wrote: »

I don't know either, hence posing the question. Does the economy of a country bear any relation to the stability of a business based there?

A bit. Governments can infer and cultures matter.

Thrugelmir

worldtraveller wrote: »

Don't worry about it! Give it a few more months and, as taxpayers, we'll probably end up owning half of theirs.

Heard Santander are considering floating the UK operation to raise capital and expand their South American Operation.

Aren't they also in the process of buying 600 branches from RBS? The ones RBS need to divest to comply with EU directives.

michaels

Would make sense to float - at the moment uk banking margins are historically high - however I think they would have to be very transparent on the mortgage book to get a sale away. Are there any trade buyers out there? May be Standard Chartered or a large Chinese Bank? How about anAustalian or even someone like BNP or Credit Lyonnaise?

purch

Does the economy of a country bear any relation to the stability of a business based there?

Only to the business actually done in that country. Santander has always been the most International of all the Spanish Banks, and has grown hugely by acquisition, a lot of that outside of Spain.

A good tactic considering the current state of their "home" economy.

John_Pierpoint

ILW wrote: »

I don't know either, hence posing the question. Does the economy of a country bear any relation to the stability of a business based there?

I think I would have some misgivings if my worldly wealth was held by the Nigerian Bank that collects all the deposits in the joint ventures of tracking down the prince's secret hoard.
The gold consignment stuck in customs.
The beautiful young tourist who has been mugged.
etc.

Thrugelmir

michaels wrote: »

at the moment uk banking margins are historically high

UK bank margins have peaked and are on the decline. The days of banks being "exciting" investments are over for now.