two billion reduction in profit on the cards, page-6

I hold all three real banks cba nab and anz. I believe crisis should pass. I wouldnt touch anything to at least the end of the year. I currently am investing in transitional mining stock. If you try and predict the stockmarket on the way up or down and you cant hold that stock for any period of time you will get burnt. Someone I know lost 130k in 3 months. If you are doing a margin loan, you have to be able to cover your position if your stock drops by 50% if you cant dont do it. Only use have the magin of the stock you hold.

If you do are interested in a bank that is very conservative, I beleive Bank SA.
I did a mortguage broking course a couple of months ago to fill in my time.
I was told that their target market for loans is secured higher income earners. If you want to find good bank, maybe find out their lending policy over the last 4 years and what their prudential loan requirements were.
This will give you an idea of their safety.

I tend to sense there are some things that are not being brought to the markets attention, some companies believe if they hold out it might all go away and they can recover without anyone knowing.
Thats why the market finds out the trueth at the worst possiable time, because companies have been holding out, while things have been getting worst.

I believe that even in a recession there will still be a shortage of resources, we will have a situation where resources are high prices in a flat economy. A recession is only a reduction of spending by 10%, this means that the demand for resources should still continue. I am now investing and hold low cost producers that could survive bottom metal prices. I do not invest in any company that can not survive a recession.