Building Portfolio on Average Income, Reality or Illusion?

Thanks but your barking up the wrong tree here.

 

Not sure what you mean, but I think people like Taku have drive, spirit or whatever you want to call it, not a donkey engine. I know you did not mean it in a bad way, so not "barking" really

Well, people can love you, hate you or be indifferent towards you, but a person/s can't do & build what you do with no drive Sashca

 

l think you have taken me out of context. Nothing wrong with working hard and doing more than other people to achieve your goals. I am a firm supporter of this and my broker and accountant knows the sheer amount of hours and energy l put into my work to achieve my goals. I was referring to how it could be misconstrued or misleading as the total income is not average anymore for the purpose of this topic.

 

Not all of my posts, or the whole posts, were aimed at you

I did not see a $$$ figure, so do not know what he is earning nor if it is average, above or below, people just have to decide if they will or they won't & get on with it.

I have seen and know of many things that have been wrong on this forum, many things where multiple people said you cannot do this or that at the time. So the goal posts move, you change your game.

Another way of looking at things is this. Wipe the slate clean now, everyone starts at go with the same cash and rules, probably would find the same ones racing ahead.

So all good, we all have a differing view.

 

There is a huge focus on risk... that area of the bank comprises of 3 separate levels of control.

All CBA bank staff members are being encouraged to speak up if they see anything wrong. I see it all the time. It's another huge focus.

 

Strong regulations are one of the factors that prevented our banks to not get into the mess of the GFC.

With the threat of a Royal Commission looming, do you think there has there been a genuine improvement in risk management culture?

 

We have had the risk team presenting to us on more than 1 occasion in the last few months. (Then again, I like to learn everything I can, so I attend lunch and learn sessions on what everybody does). There's monthly briefings, quarterly updates, weekly newsletters... infomation is abundant.

Ps. One way to view things is that the Royal commission threat is only there because the politicians have nothing better to argue about. The Labor party (ie. The opposition) needs to be visibly goading the Liberal party so they can be seen to be doing something "for the people". But they can't suggest to improve infrastructure because the electorate is not keen on spending money. Nor can they suggest to cut the budget (eg. Defence) because that puts people off side too. So what do they do? Decide to attack the banks. Because politically, it's a safe move. It costs nothing to suggest a Royal commission and an investigation into Banking. Bank bashing is a sport.

And everyday people (non shareholders) on the street don't think banks making huge profits is fair.
So anyway, banks have to put up with all this scrutiny just to operate. Of course, if the banks go down, Australia will go down.

I will say, banks/some bank staff haven't always behaved well. However there is a culture in place to change and improve behaviours, weed any bad apples out, at least from my viewpoint. I can't speak on behalf of the whole banking sector though.

 

That's reassuring to know. Personally, l think the greatest risk for the CBA is the number of people taking ciggie breaks as it's bad for their health and for productivity.

 

I thought it is all their junior staff who have to commute from the outer suburbs getting fat and depressed

 

I reckon there's far fewer smokers around in the workforce these days.
Personally I hate walking through people's smoke. I've never smoked and glad I haven't. Horrible habit.

 

Used to know a boss in mac bank that forced people to pick up a lunchtime sport. To his credit, he ran around martin place at lunchtime

 

Going to get worse once CBA relocates to redfern

 

We had an activity where everybody in the team (at least 200 odd people) had to each do 30 minutes on a treadmill and go as far as they could. One of our bosses is a running fanatic, she actually went the furthest out of everybody iirc. Think her team came something like 3rd on the Chase Manhattan team event. Another is a ballet dancer.

I am not a runner but doing that I found it was possible and I realise I am capable of more than what I first thought, and I think that's part of the purpose of doing that activity too.

 

Awkward. frankly I am astounded with you statement....what can I say.....please read the articles below....better to zip it given the amount of controversy with the CBA...numerous instances....

Commonwealth Bank whistleblower says he went to wealth boss Annabel Spring

The man who blew the whistle on CBA

Ditto........that culture has not changed.....CBA is run by ex McKinsey types...very different behaviour to Retail Banker types...

 

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One thing to take into consideration is lending policy - every bank assesses new and existing loans differently which can have a huge impact on if you can borrow more/enough.

 

I can't chat now, I'm at work. But your links are all public knowledge. And the bank culture has changed. I've had to change my reporting. Everything evolves and for the better.

Dr.Koh was dismissed for forwarding sensitive bank emails to his personal email.
So?

My question to you was do you think credit policy will relax? (As you claimed earlier in the thread). You haven't replied with a yes.....haven't provided any substance that would indicate that it was on the radar. Therefore I take your silence on that question as a no.

 

OK.....the indoctrination is working...I believe......APRA ....ASIC...govt senators...general public would have a different opinion.

Lets say I have a lot of knowledge around this top. His dismissal is now going through the courts....have read of whistleblower protections....

Just window dressing unfortunately......

I wonder...if you believe other things at face value also?? Critical thinking is a requirement to be a successful investor....

 

classic mistake/assumption.... buy the land with Lender A , and then find out Lender A wont allow funds to build on the land. You should tell them to speak with a broker urgently

 

I'll +1 on you for this. Still doesn't mean credit policies will loosen up though...

 

From what I know, experienced and hear, the banks will always lend you whenever you want, as long as you submit a good business case.

I have been an investor and in business for nearly 40 years and never failed to borrow money when I wanted/needed it including during tough financial times like the GFC.

I know of a retired couple who bought a property earlier this year. From memory, the property was $2.5M+ (in Sydney) and they borrowed 105%.

One bank wouldn't touch them as they were retired (didn't have a job). I am a little familiar with their business case and it was strong. So strong that two other banks fought for their business.

Banks are in business and have a product called cash. They need to sell it but they need to be sure that the buyer can/will pay for it. Just like any other business. Like all businesses, submit a strong business case and it will (most likely) be approved.

Like @Gockie wrote earlier, don't ask "Can I ...?"; you run the (high) risk of getting the answer "No".

The better question to ask is "How can I ...?"; an answer of "No" doesn't make a lot of sense to this question. This answer forms the basis of your business case.