Thai Banks Lure Asia's Wealthy

[diddums]

I'm sorry, but government backed insurance deposit at that level is simply too good to be true.

i.e. Iceland walked away from their banks' UK and Dutch depositors and the Icelandic deposit protection wasn't for 50,000,000 baht's worth per person.

If the shit completely hit the fan and Bangkok Bank and SCB went bust (like RBS and HBOS in the UK would have done without government backing), would you honestly expect them to guarantee 50m baht (1.6m dollars or £1m per person, per bank.) - The UK's deposit protection is, I think, a twentieth of that (£50,000), and in the US it's $250,000, and their governments have banks that are "too big to fail" because of it.

What makes anyone think that Thailand could afford the deposit protection at that level if the banks had a repeat of 1997?

THAILAND's International Reserves and Foreign Currency Liquidity

http://www.imf.org/e...ng/curtha.htm#I

Nothing like blind faith hey.

You mean the IMF has blind faith?

Maybe you...did you post that as proof and faith ?

[Thai at Heart]

I'm sorry, but government backed insurance deposit at that level is simply too good to be true.

i.e. Iceland walked away from their banks' UK and Dutch depositors and the Icelandic deposit protection wasn't for 50,000,000 baht's worth per person.

If the shit completely hit the fan and Bangkok Bank and SCB went bust (like RBS and HBOS in the UK would have done without government backing), would you honestly expect them to guarantee 50m baht (1.6m dollars or £1m per person, per bank.) - The UK's deposit protection is, I think, a twentieth of that (£50,000), and in the US it's $250,000, and their governments have banks that are "too big to fail" because of it.

What makes anyone think that Thailand could afford the deposit protection at that level if the banks had a repeat of 1997?

THAILAND's International Reserves and Foreign Currency Liquidity

http://www.imf.org/e...ng/curtha.htm#I

Nothing like blind faith hey.

You mean the IMF has blind faith?

The IMF is there for when blind faith runs out.

[chiangmaikelly]

THAILAND's International Reserves and Foreign Currency Liquidity

http://www.imf.org/e...ng/curtha.htm#I

Nothing like blind faith hey.

You mean the IMF has blind faith?

The IMF is there for when blind faith runs out.

I didn't post the link to imply that the IMF was a lender of last resort. I posted it because the IMF lists, THAILAND's International Reserves and Foreign Currency Liquidity in answer to the posters question, "What makes anyone think that Thailand could afford the deposit protection at that level if the banks had a repeat of 1997."

[diddums]

Nothing like blind faith hey.

You mean the IMF has blind faith?

The IMF is there for when blind faith runs out.

I didn't post the link to imply that the IMF was a lender of last resort. I posted it because the IMF lists, THAILAND's International Reserves and Foreign Currency Liquidity in answer to the posters question, "What makes anyone think that Thailand could afford the deposit protection at that level if the banks had a repeat of 1997."

So you think they would not have spent a vast majority of that to try to save themselves first and then would be more than willing with what is left to pay you out your 50million ?

[Thai at Heart]

If corporates pulled their cash, 1mn would be a very big commitment for private individuals.

A run is a run, first out wins.

[chiangmaikelly]

To the two above posters.

Take a look at the baht in relation to the other currencies in the area and world and the SET and the GDP and tell me what countries should be worried about the scenarios you are talking about.

Thailand has a strong economy and that is one of the reasons that the baht has appreciated so much against the pound and dollar.

Corporations are not pulling cash they are pouring it in to Thailand before the currency gets even more expensive.

If you want to worry about corporations pulling cash and industry look to Ford and Mazda that are investing billions in Thailand.

[Thai at Heart]

To the two above posters.

Take a look at the baht in relation to the other currencies in the area and world and the SET and the GDP and tell me what countries should be worried about the scenarios you are talking about.

Thailand has a strong economy and that is one of the reasons that the baht has appreciated so much against the pound and dollar.

Corporations are not pulling cash they are pouring it in to Thailand before the currency gets even more expensive.

If you want to worry about corporations pulling cash and industry look to Ford and Mazda that are investing billions in Thailand.

I am not saying it's likely. The question was, can the banks guarantee to the level they claim? Very difficult to say for sure.

Once a run starts, it's virtually impossible to stop.

Edited February 6, 2013 by Thai at Heart

[Tatsujin]

To the two above posters.

Take a look at the baht in relation to the other currencies in the area and world and the SET and the GDP and tell me what countries should be worried about the scenarios you are talking about.

Thailand has a strong economy and that is one of the reasons that the baht has appreciated so much against the pound and dollar.

Corporations are not pulling cash they are pouring it in to Thailand before the currency gets even more expensive.

If you want to worry about corporations pulling cash and industry look to Ford and Mazda that are investing billions in Thailand.

I am not saying it's likely. The question was, can the banks guarantee to the level they claim? Very difficult to say for sure.

Can they? Yes, possibly. Will they? No. Only to the most important people.

[chiangmaikelly]

To the two above posters.

Take a look at the baht in relation to the other currencies in the area and world and the SET and the GDP and tell me what countries should be worried about the scenarios you are talking about.

Thailand has a strong economy and that is one of the reasons that the baht has appreciated so much against the pound and dollar.

Corporations are not pulling cash they are pouring it in to Thailand before the currency gets even more expensive.

If you want to worry about corporations pulling cash and industry look to Ford and Mazda that are investing billions in Thailand.

I am not saying it's likely. The question was, can the banks guarantee to the level they claim? Very difficult to say for sure.

Once a run starts, it's virtually impossible to stop.

Put a bank run in some kind of perspective. 193 countries in the world. How many might have a bank run?

You have taken a thread that is about Thailand's banks appealing to the wealthiest most savvy investors in Asia and started talking about bank runs which is 180 degrees away from any probable outcome. Why? It is like the Swiss buying cheese in America because they are worrying about running out. With the exception of 10 posters on Thai Visa everyone else in Asia thinks Thailand has one of the strongest economies in the region.

Edited February 6, 2013 by chiangmaikelly

[Thai at Heart]

To the two above posters.

Take a look at the baht in relation to the other currencies in the area and world and the SET and the GDP and tell me what countries should be worried about the scenarios you are talking about.

Thailand has a strong economy and that is one of the reasons that the baht has appreciated so much against the pound and dollar.

Corporations are not pulling cash they are pouring it in to Thailand before the currency gets even more expensive.

If you want to worry about corporations pulling cash and industry look to Ford and Mazda that are investing billions in Thailand.

I am not saying it's likely. The question was, can the banks guarantee to the level they claim? Very difficult to say for sure.

Once a run starts, it's virtually impossible to stop.

Put a bank run in some kind of perspective. 193 countries in the world. How many might have a bank run?

You have taken a thread that is about Thailand's banks appealing to the wealthiest most savvy investors in Asia and started talking about bank runs which is 180 degrees away from any probable outcome. Why? It is like the Swiss buying cheese in America because they are worrying about running out. With the exception of 10 posters on Thai Visa everyone else in Asia thinks Thailand has one of the strongest economies in the region.

I have been one of the biggest supporters of Thailands situation. The discussion turned to government backed guarantees and if it's feasible.

I am not talking specifically about Thailand, the issue is about the psychology of bank runs.

As for the actual subject.

If the wealthiest in asia are on average in hong kong and singapore, korea and japan, where they have access to just about any global bank they like, why would they want to invest in a Thai bank?

Doesn't make too much sense.

Edited February 6, 2013 by Thai at Heart

[Briggsy]

The headline states "Thai banks lure Asia's wealthy"

The irony is that Laos banks lure Thai's wealthy.

[BarryM]

Foreigners investing in Thailand are cows to be milked, nothing more.

Only bring to thailand what you can afford to squander. A thriving sex industry and relatively affordable hotels mean its worth spunking some cash against the wall here.

As a serious country to invest? Dream on.

[chiangmaikelly]

To the two above posters.

Take a look at the baht in relation to the other currencies in the area and world and the SET and the GDP and tell me what countries should be worried about the scenarios you are talking about.

Thailand has a strong economy and that is one of the reasons that the baht has appreciated so much against the pound and dollar.

Corporations are not pulling cash they are pouring it in to Thailand before the currency gets even more expensive.

If you want to worry about corporations pulling cash and industry look to Ford and Mazda that are investing billions in Thailand.

I am not saying it's likely. The question was, can the banks guarantee to the level they claim? Very difficult to say for sure.

Once a run starts, it's virtually impossible to stop.

Put a bank run in some kind of perspective. 193 countries in the world. How many might have a bank run?

You have taken a thread that is about Thailand's banks appealing to the wealthiest most savvy investors in Asia and started talking about bank runs which is 180 degrees away from any probable outcome. Why? It is like the Swiss buying cheese in America because they are worrying about running out. With the exception of 10 posters on Thai Visa everyone else in Asia thinks Thailand has one of the strongest economies in the region.

I have been one of the biggest supporters of Thailands situation. The discussion turned to government backed guarantees and if it's feasible.

I am not talking specifically about Thailand, the issue is about the psychology of bank runs.

As for the actual subject.

If the wealthiest in asia are on average in hong kong and singapore, korea and japan, where they have access to just about any global bank they like, why would they want to invest in a Thai bank?

Doesn't make too much sense.

1. The issue is nothing abuot the psychology of bank runs; that would be 180 degrees away from the topic.
   
2. What is Thailand's situation?
   
3. Savvy investors all over Asia are investing in Thai banks what do you know that they don't that would make you write, “Doesn't make too much sense.”
   

Edited February 7, 2013 by chiangmaikelly

[chiangmaikelly]

Foreigners investing in Thailand are cows to be milked, nothing more.

Only bring to thailand what you can afford to squander. A thriving sex industry and relatively affordable hotels mean its worth spunking some cash against the wall here.

As a serious country to invest? Dream on.

In June, Thai auto production reached a record of 205,600 vehicles, while from January to June 2012 a total of 1,057,638 vehicles were produced, up 30.47 per cent compared to the corresponding period last year.

In June, auto sales in the country jumped to an all-time record of 123,471 vehicles, up 75.7 per cent compared to the same month last year, which enabled Thailand to secure the world's No 10 position in terms of auto production.

Mazda is investing 26 billion Yen.

Ford recently invested 450 million US dollars.

Do you really think they are dreaming?