tag:blogger.com,1999:blog-31883295.post1610245364434569593..comments2023-10-10T13:06:04.750+03:00Comments on No_Angel: Arab Bank in trouble ?No_Angelhttp://www.blogger.com/profile/11443783795297272286noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-31883295.post-69973212644746751842007-04-10T13:40:00.000+03:002007-04-10T13:40:00.000+03:00hey thanks for dropping by ! oh well i'll leave u ...hey thanks for dropping by ! <BR/>oh well i'll leave u with this quote regarding capitilism since mortage is part of it :)<BR/><I>Consumerism needs this infantilist ethos because it favors laxity and leisure over discipline and denial, values childish impetuosity and juvenile narcissism over adult order and enlightened self-interest, and prefers consumption-directed play to spontaneous recreation.</I>No_Angelhttps://www.blogger.com/profile/11443783795297272286noreply@blogger.comtag:blogger.com,1999:blog-31883295.post-74458491013355199982007-04-10T10:43:00.000+03:002007-04-10T10:43:00.000+03:00i agree with qwaider, i noticed a lot of changes h...i agree with qwaider, i noticed a lot of changes have occured, and thats only to catch up with the mad competition out there. <BR/><BR/>Arab bank isnt a retail bank thats for sure, its always been a stronger commercial bank and even the earnings percentile prove it.. now the focus shifted to retail banking, which is a hard market i admit, AB is still new at it (less than a decade as opposed to 70 years of commercial banking) and true, client servicing isnt at its best there, but they're working on it, true they shud be working on it before working on their image, but they need products to throw into market. <BR/><BR/>and i also agree with Q on another point, mortgages ARE the most profitable products anywhere in the world, fa ma balek a country where property is in bloom. i actually think its a wise move on their part..PŕōuđPāŀĩhttps://www.blogger.com/profile/12260569738710569953noreply@blogger.comtag:blogger.com,1999:blog-31883295.post-34097229558363587172007-03-21T02:40:00.000+03:002007-03-21T02:40:00.000+03:00Hmm -ve PR died out a while back, and it didn't ef...Hmm -ve PR died out a while back, and it didn't effect things locally at all.<BR/>granted that they were unable to transfer money that easily to the US anymore they had to jump it to Geneva or Frankfort.<BR/>the problem is exactly that, internally they lack new blood, the upper management been quarreling for about 4-5 years now. the retention rate of their employees is crappy plus shitty wages.<BR/>They bring in an American team to restructure that screws things even more, never mind their extravagant over spending (think .dot com style)<BR/><BR/>The trick about ARM's is that it creates a speculative market. they are definitely not the sort of mortgage that you take for the long run you, more like a hit and sell kinda loan. With the stagnant and over inflated real estate market in jordan thats not really much of an option.<BR/><BR/>So the bases of rigid risk analysis that they belt on went the way of the dodo it seems.<BR/>The reason its profittable in the USAian sense is that they bundle them and trade them on the stock market, so any damage will spread out (Atleast from my limited understanding of banking systems)<BR/>so i doubt there is a similar thing going on here.<BR/><BR/>It will be alot more profitable for the bank if no foreclosure occurs thats for sure. In general its a new game here in the region, and am not sure what the outcome of this whole thing will be. <BR/><BR/>Anyways I hope that i am wrong, and i hope they change to the better. After all no matter how much i hate dealing with them i can still respect them as an institution, and a(if not the) pillar of the country.No_Angelhttps://www.blogger.com/profile/11443783795297272286noreply@blogger.comtag:blogger.com,1999:blog-31883295.post-3852234105983131112007-03-20T21:08:00.000+03:002007-03-20T21:08:00.000+03:00I'm not sure I share your pessimism here. I think ...I'm not sure I share your pessimism here. I think they're trying to move forward and catch up with the world financial institutions.<BR/>AB has been plagued more with negative PR and targeted in the west for being the bank that finances terrorism. Which is not true as you know.<BR/>Anyway, I think they're continuously pumping new blood, and that's a positive. How much experience does this new blood have is a concern and needs to be the concern of every shareholder.<BR/><BR/>Now regarding Adjustable Rate Mortgages (ARM) I think these are the type of loans where the financial institutions make their money the most. Because the consumer is unaware at signing time of the impending hidden cost. True, it's alright if you pay nothing at signing, but you will pay a lot in interest, and the minute you decide to refinance (which you will want to do on the long run) they will get their money, and folds. So that does sound like a good deal<BR/>Besides, it's 90% of the estimated value which is less than the actual value in other words. If anything happens, your house ends up theirs and they're free to sell it! And even make a profit on it.<BR/>Of course there is risk with everything, but mortgages have proved to be the most profitable and most safe betsAnonymousnoreply@blogger.com