"1. You can't trust risk models and risk management specialists....

"1. You can't trust risk models and risk management specialists.

2. Thinly capitalised. Leverage kills.
3. Opacity. "

epi

just wondering if you have heard of a business called a BANKING.

this is what the balance sheet looks like for a BANK.


Balance Sheet Summary
30/06/08

Total assets 487,572
Total liabilities 461,435
Shareholders’ Equity 26,137

http://shareholders.commbank.com.au/GAC_File_Metafile/0,1687,26541%255Fcommonwealth%252520bank%252520full%252520year%2525202008%252520profit%252520announcement%25252013%252520august%2525202008,00.pdf

gearing = 94%
debt/equity = 1,868%

would you say this company is over geared??????

a little

well what you are looking at is probably one of australia's most successful businesses... CBA

did you know that Macquarie is a BANK?

how do banks manage such leverage?

risk management

does Macquarie do risk managment?

Yes.

lol