RBS government stake to be sold

[woodham]

we bought them for £5 each and now we are selling them there £3.61

 

I don't get it at all its just a cash grab

[Michael]

It is an odd strategy I agree, but that's the problem with shares - they're always a gamble and not a guarantee on return.

 

The real reason is because the Government wants to make x amount of billion savings this year and selling off assets is one such method as they're slowly running out of options in what can realistically be cut back or removed altogether.

 

The other of course is the Post Office. Is selling it all off a good idea? Is it a good investment as a buyer of shares? I don't think there's a right or wrong answer, but of course time will tell

[LeMarchand]

we bought them for £5 each and now we are selling them there £3.61

 

I don't get it at all its just a cash grab

 

cf. The Royal Mail share issue.

[LincolnE]

The banks needed to be bailed out for a reason, else we're led to believe they would be in a world of pain and everyone will suffer. So to prevent a banking crisis, it needed to be done.

 

The question here is how long do we wait until the price goes back up (If, after the PPI scandals, the Libor rate and everything else, they ever will recover to a reasonable amount). With how banking is changing to be less risky and all, I can see the prices never getting to that level. Better off just selling it now and reclaim something, we'd have to do it eventually anyway.