Sunday, May 19, 2013

Royal Black Swan? A Question of Honours.


When the banks in Cyprus were poised to seize deposits from their customers to provide collateral for a bailout, in Greece, Ireland, Italy, Spain, likely Portugal, and disturbingly, Japan, the question of whether it would be the template for other national bailouts became the question on everyone's mind. 

It is one thing to seize deposits of hedge funds, oil and energy companies, agricultural and tourism firms - along with the funds held in the country by foreign investors - as they employ many citizens and there would no doubt be significant, if containable unrest in the event this occurred...