with out a scooby! HELP!

redpete

tim1leg wrote: »

Speculation and gut feeling are my only source (not an expert) i wonder if there was somewhere i could invest that neither the banks or the uk goverment would have any hand in, as for the moment i dont trust them. Sorry if I seem paranoid or if i have run out of options of where to be directed.

The only UK bank in recent times to get anywhere close to going bust was bailed out by the UK government to levels over and above the guarantee required - so I don't really understand your concern.

tim1leg

James and pete
I’m not sure maybe the following stuff happens all the time and its only cause I now have an interest that I see it but the likes of SCOTTISH WIDOWS, the life arm of Lloyds TSB, imposing a 180-day delay period for certain transactions involving its £1bn Life Property fund and £1.1bn Pension Property fund. Also other property funds have made similar moves to restrict access to their assets in order to prevent a run on their resources, including Morley, M&G and Scottish Equitable and now With our government's £60 billion loan to Northern Rock and today the Fed's 0.75% interest rate cut, the message Im getting is that something out there is scaring the big boys - like things must be really bad if such actions are taken.

But are both these acts cases of using up all the ammunition? What else can be done if the 0.75% cut doesn't help the US economy for long or if another British bank gets into very deep water? Another big rate cut in US or another £60 billion of UK taxpayers' money?
Im scared because not at lot of people are adding this all up especially the uk media!!! Im adding it all up and it equalls economic meltdown internationally! but hey Maths was never my strong point so who knows.

jamesd

tim1eg, it's happened before in London residential property and in European property so nothing really new about it. Lots of people seeing it for the first time, though. I had the advantage of reading about that history in a book - Fundology - so I knew that it was possible.

Redemptions can be delayed for longer if necessary, if selling property proves impossible. The funds are obliged to protect the interests of those who aren't selling. If some selling is possible I expect that they will have to do some, over time. It's between the FSA and the funds, potentially influenced by investors.

The US sub-prime mortgage and followup credit problems, bank profit problems and possible recession are worrying people. Getting the avalanche stopped before it goes much further is somewhat important.