You can forget the days when you had a personal relationship with your banker. It’s a commoditized business with free-checking and no ATM fees. The government more or less controls the too-big-to fail banks. In what’s being called a “major win” for the government, Bank of America has been found liable for fraud related to loans made by its Countrywide unit in ’07 and ’08. Stay tuned for more cases now that the precedent is set. Then there’s J.P. Morgan’s settlement to the tune of $13 billion with the Justice Department. Some thanks J.P. gets for agreeing to the government bailout it didn’t want to participate in back in ’08. Today the TBTF banks are an extension of the government, and they’re too scared to move. Their recent stock market success looks to me like a dead cat bounce.
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Preparing your investments and family for when disaster strikes.
E.J. Smith is Managing Director at Richard C. Young & Co., Ltd., a Managing Editor of Richardcyoung.com, and Editor-in-Chief of Youngresearch.com. E.J. graduated from Babson College in Wellesley, Massachusetts, with a B.S. in finance and investments. In 1995, E.J. began his investment career at Fidelity Investments in Boston before joining Richard C. Young & Co., Ltd. in 1998. E.J. has trained at Sig Sauer Academy in Epping, NH, where he completed course-work in Practical and Defensive Handgun, Conceal Carry Pistol, Shotguns, Precision Scope Rifle and Kidnapping Prevention. E.J. plays a Yamaha Recording Custom drum set with Zilldjian cymbals. His first drum set was a 5-piece Slingerland with Zilldjians. He grew-up worshiping Neil Peart of the band Rush, and loves the song Tom Sawyer—the name of his family’s boat, a Grady-White Canyon 306. He writes to you sometimes from Key West or Mattapoisett, MA (where he grew up), but mostly from Newport, RI or his family’s log cabin in the “Live Free or Die” state of New Hampshire. You can reach E.J. Smith at firstname.lastname@example.org. Sign up here to receive all the best content from Richardcyoung.com each week.