29 November, 2008

Financials need at least $1 trillion

The article highlights the importance of $ 1trillon...as we are aware that Eight financial companies-Citigroup Inc, Morgan Stanley, Goldman Sachs Group Inc, Wells Fargo & Co, JPMorgan Chase & Co, American International Group Inc, Bank of America Corp and GE Financial -- are in greatest need of capital.

Combined, these eight companies have roughly $12.2 trillion of assets and only $406 billion of tangible common capital, or just 3.4 percent.

Even the liquidity status of the rescuing houses is unstable ..looking at the present crisis all i can comment is -:There is power in unity ",so the banks should help each other by leveraging their services in which each hold expertise to others who need them ....