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We have: - Stocks - Derivatives of stocks - Natural resources (oil/gold) - Derivatives of natural resources - Bonds - State bonds - Real estate - Land (
by hmottestad 14y ago
We have:
- Stocks
- Derivatives of stocks
- Natural resources (oil/gold)
- Derivatives of natural resources
- Bonds
- State bonds
- Real estate
- Land (without a building)
- Undervalued company that owns all your stuff and you own the company (put that one in there, since it's a usual and practical way of owning real estate and more)
No, let me think. Let's just stick with people pensions. So much better.
- hkmurakami 14y agoMy understanding is that securities (stocks, bonds, derivatives) are under your name so you maintain ownership of the securities even if the ibank that acted as your broker goes down. (This is why money management companies maintain separate accounts for each of their clients rather than have an aggregate pool) So the Cypress banks going bankrupt wouldn't have affected these securities. The deposits on the other hand would have potentially lost a huge fraction of their value. (Though I still don't think this was a wise move...) edit: I wonder what warranted a downvote in this comment of mine?
- pmorici 14y agoYour understand is wrong in practice. In fact a recent example in the US is the MF Global fraud. That is why there is the SIPC http://www.sipc.org/How/Brochure.aspx http://www.sipc.org/How/Brochure.aspx it's like the FDIC except for losses related to fraud surrounding the failure of a brokerage firm.
- deleted 14y ago[deleted]