No issue with your comment on it being a good earner from a...

No issue with your comment on it being a good earner from a dividend yield perspective - it seems to have performed well for the reasons you have outlined.

This goes to my point - banks should really build up their capital buffers during the good times so they have a robust layer of risk protection during the lean times. Instead MYS has sought to support and grow its shareprice by payout out dividends.

For the reasons I have highlighted it has a high risk strategy which is not appropriate for the medium to long term sustainability of a bank. There is a reason why it has the external credit ratings it does.

As to management, remember this is an entirely new management team embarking on an entirely new strategy, juicing up the balance sheet by bringing in risk mortgages

I can't refute your strategy as you are clearly doing it in a knowledgeable way with your eyes open. Although it is still akin to picking up pennies in front of the streamroller. MYS is almost uniquely poised to be crushed by even a mild correction in the housing market, and given its size it will be allowed to fail. Depositors within the insurance scheme will be saved, but equity holders will likely be wiped out. It will take a long time to recoup your capital loss through dividends when this happens.

Take time to think of the way management and strategy has changed since Sulchich has come on board and consider whether the old, tried and tested slow growth MYS model is still relevant and safe.

Unfortunately none of the brokers are offering a price to short this stock or even place puts on it due to the low volume turnover. This is indeed the 'Northern Rock' of Australia.