ANYONE KNOW WHY THE ROYAL BANK OF SCOTLAND IS SHOWING A SHARE PRICE AROUND THE 6.59 MARK WHEN IT WAS 18.00 OR SO THE OTHER WEEK OR AM I GOING STRANGE?????????????

Whats with the we love Sandy chen?

He is the same as Paul Kavanagh in the dot com bubble.

Panmure Gordon were saying buy RBS at 600p pre crash and now say sell at 200p. Great advice to follow. Maybe if you did the opposite you will be better off.

Have a look at article from the Share mag on 16th August 2007, and you will see he wasn't far off the mark. See below............

UK banks have been slow to confess how exposed they are to the current bad debt crisis but an apocalyptic note from stockbroker Panmure Gordon suggests they could have around 80 billion of loans at risk.

Banking analyst Sandy Chen says these debts are wrapped up with many others in exotic packages ranging from Credit Derivative Products (CDPs) to Asset Backed Commercial Paper Obligations (ABCPOs)

Too much cheap money has resulted in over-lending to high-risk borrowers. Worst of all, the banks dont know what is in the various packages and the extent of their liabilities. The Bank of England last month instructed the clearing banks to clean up their act. They were given the quarter day as a deadline (September 31) to identify and write-down bad debts. Some of these loans will have to be taken on board by the banks.

Chen says the European bank with the largest exposure is Dutch giant ABN Amro with 27 billion. So buying the bank for around

40 billion could prove a poisoned chalice for bidders Barclays (BARC) and Royal Bank of Scotland (RBS).

Barclays is already up to its ears in dodgy debt, says Chen. He estimates it could be owed 25 billion substantially more than its capital reserves of 19 billion which would make it the most exposed UK bank.

RBS is relatively safe with only 6 billion at risk, representing a sixth of its capital. Lloyds TSB (LLOY) has 11 billion poor quality loans only a fraction under its 11.5 billion capital. HBOS (HBOS) has

20 billion and 22 billion capital, while giant HSBC (HSBA) is not too exposed at 15 billion against 55 billion capital, according to Chen.

The good news is that probably just a fifth of these low-quality loans will never be repaid, totalling some 15 billion and spread over several years. But banks will need to raise extra capital from rights issues and/or selling stakes to better capitalised competitors in the Far East.

Chen has had to field some irate phone calls from the banks after his estimations. The problem is there is no disclosure. There is a lack of clarity about their ABCPOs and likely asset impairment charges. The over-arching risk is the drying up of liquidity. The banks will probably have to use their cash to top up their own products, which means less to lend to companies, he said.

Shares says: A fully blown financial crisis is still unlikely but the banks will come under more pressure.

good artcile.......typical of shares mag to give wrong prediction in last line though.....it is a financial crisis in uk and in government and with people debts and negative equity

Speculative Buy.

spectacular buy now! in 3 to 5 years plus dividends this will be great to have

this bank is a joke..worth 50p on fundamentals

god maestro shorting it...must be time to buy

scottish twats have fucked up the economy...brown and his scottish rites should fuck off back to haggis land

i agree that Brown has made an arse of some things however he can hardly be blamed for the credit crunch or the global cost of oil...

and who prey tell is "the scottish twat that has fucked up" the rest of the global economy ie the US? or is that all gordon brown's fault too....still dont see what Brown's link to RBS is apart from them being Scottish and if this is your reason for shorting then you are even more mental than we all thought (and that takes some doing )

another great and well informed post from you.....away and lie yourself down for a while so they can give you the medication

If mitzy says speculative buy then it must be very nearly time to do that if so inclined.

hilarious comments treblewide.

yes, brown took credit as iron chancellor but he was a buffoon.....as u say treblewide we have global things like food and oil rocketing.....but he did screw the economy and using and abusing our money....selling of gold, screwing our pensions.

maestro.....your comments are wild and dare i say it...racist.

also, if u think rbs is crap.....then rest of british banks r doomed.....in fact most of WORLD BANKS r doomed in that case.....just look at usa, its in total financial crisis.....and who runs that.....bush.......have u heard of him maestro.........he's he guy that got tony the terrorist to join him in his game in a wee country called iraq.

also maestro.....if u hate a nationality cos of 1 or 2 individuals.....then tha shows u r a very stupid imbecile.....and as for haggisland....well about 20% of it is inhabited by ENGLISH PEOPLE......actually they r proper english people and are probably relieved to see so many brits in this part of the country compared to the united nations part of uk called england

I have to agree with Maestro although it hurts me to admit it but he is right you know the whole economy is suffering due to government imcompetence.

mitzy...can you give a couple of examples?

Well I dont have to because I dont live there thankfully.

so why make that kind of statement if you cannot back it up?

because its a crap place to do business in.

right......so the world's fifth biggest economy is a crap place to do bsuiness? prey tell where would you recommend? and i was actually asking for specific examples of the government messing up the economy in the UK which was your original stetement

can't believe anybody listens to mitzy bitzy.

what should be far more concern is what is happening to the sp today along with other banks.

RBS down on concern that no one wants the insurance business and that they will need to raise cash some other way...