Breaking up big banks is unrealistic

Have you ever heard such complete and utter shite from one man, cealry when he does speak its completely scripted by his internal legal and hound dogs.

HSBC USA clearly made some grave errors that has put the bank in jeopardy, HSBC has been clsoing down loss making units like this, so this statement is utter crap.

Breaking up big banks is unrealistic -HSBC

Tue Jun 30, 2009 8:11am EDT
LONDON, June 30 (Reuters) - Stephen Green, chairman of HSBC (HSBA.L: Quote, Profile, Research, Stock Buzz), Europe's biggest bank, said on Tuesday the global financial industry should not be revamped to try to ensure no bank was too big to fail.

"It is unrealistic to believe that the industry can be reconstructed such that individual institutions are not too big to fail. Quite small and simple banks are too big to fail in a strict sense," said Green, chairman of Europe's biggest bank, speaking at the British Bankers' Association annual conference.

"The notion that the failure of a bank can be contained by the conventional legal and administractive processes for handling business failures is nonsense."

Green also said there was an "emerging regulatory consensus" on what responsible pay for bankers should look like, including deferrals and clawbacks of bonus payments. (Claw back your bonus for allowing the USA Entity to lose so much money, you are charing this company after all)
But he said it was not clear the industry appreciated the seriousness of the issue. "There is little appetite thus far to interfere with the market in setting quanta (of compensation) ... And so far little sign of any focus on golden hellos."

It was correct for banks to ensure transparency and deferral of pay to account for risks, but neither institutions nor regulators "can go against the grain of the market very far", Green said. (Reporting by Steve Slater and Kirstin Ridley; Editing by Dan Lalor)

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