引用:
作者: lifeisfun
Thanks for the information
Have a couple of questions:
1. What's Net Inc stands for here? I saw CIBC is negative in this item, do you know why?
2. In this turnmoil period, what's your suggestion to put money with? GIC, stock, bond or whatever? Not sure if there is any possibility for any Canadian bank to go bankrupt?
3. I know term deposit are insured by CDIC, how about those money invested in stock, mutual fund etc?
Thanks.
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1. Net Inc stands for net income.
CIBC Q1 2008 results included the following pre-tax charges and losses:
A. a $2.28 billion ($1.54 billion after-tax or $4.51 per share) charge related to credit protection purchased on bond insurer ACA Financial Guaranty Corp;
B. a $626,000,000 ($422,000,000 after-tax or $1.24 per share) charge on credit protection purchased from other financial guarantors;
C. $473,000,000 ($316,000,000 after-tax or $0.93 per share) mark-to-market losses on collateralized debt obligations and residential mortgage-backed securities related to U.S. residential mortgage market;
D. $108,000,000 ($64,000,000 after-tax or $0.19 per share) loss on the sale of some of the bank's U.S. businesses to Oppenheimer Holdings Inc. as well as management changes and restructuring of other businesses.
But on the other side, the results for the quarter were positively impacted by $56,000,000 of tax-related items and $171,000,000 ($115,000,000 after-tax or $0.34 per share) from changes in credit spreads on the mark-to-market of credit derivatives on corporate loans
2. CASH IS THE KING.
Personally I believe capital preservation is the first priority in this typical bear market. If I want to play safe, I would prefer investment vehicles with high liquidity and capital guaranteed. For more experienced investors, I would suggest “Long And Short strategies”.
I won't bet bankruptcy issues here. But compared with U.S banks, all big Canadian banks are much better regulated and at least no news came out at this time.
3. Most brokers were insured by CIPF. You can check the attached link for more details.
Canadian Investor Protection Fund
Thanks.