The Slow Death of the World's Oldest Bank

[@wallstreetmillennial]

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[@TopShot501st]

Amazing how 500 years of work can be undone in a decade.

[@mansabrice]

I briefly had an account with them a few years ago. Worst experience ever. Dated functionality, frequent data exposures and most importantly they would often fail to complete peoples automatic bill payments. When I wanted to leave the bank, you could tell they were panicking, they made me wait like 2 weeks to fully withdraw and cancel my accounts.

[@lombardo141]

Detuche Bank , Credit Sussie and Citibank. Somehow always at the scene of the crime.

[@thunderb00m]

Financial scandal is not possible without credit suisse. It's their whole business.

[@OnTheThirdDay]

@@thunderb00m lol

[@SnowmanTF2]

It is surprising Softbank was not involved at some point

[@ZQQHello1919rty]

Moral of the story, never hire a lawyer as a bank CEO, it is not their expertise, their expertise is to ‘hide the truth’.

[@petersmith2040]

Absolutely agree. It’s also wise for a country’s population not to elect a lawyer to become the President or Prime Minister. It’s not their expertise to run the country. Their expertise is to deceive the population and “hide the truth.”

[@TheSlizzer348]

Yeah as the ep goes on and all the legal gymnastics starts to come out u really see why they can’t be allowed as ceo lol Giving them all this power to play around with no checks is not cool. Having gone to law school I love all the things he’s doing, it’s great and mad and the kind of fun legal evil genius shit I’d love to do also… if it was a simulator. Like he’s playing legal power fantasy with real folks money 😬

[@fsaldan1]

Central bank governor either.

[@MissMyMusicAddiction]

I used to work for a certain Fortune 50, who hired a corporate attorney as their CEO, who also had zero experience in any of the business units. It did not end well for them, either.

[@fsaldan1]

Somebody should create an ETF that would hold stock of corporations run by lawyers. 3X leveraged. A great short.

[@BEY.961]

"Have to get creative with the accounting" love that lol

[@kendellfriend5558]

We call that “aggressive accounting”.

[@ScruffyPlays212-69]

It’s always the off balance sheet activities that cause the most amount of unknown risk but obviously is very lucrative for banks

[@gabrielebianchi8976]

I would say one of the main issue of the Monte dei Paschi was not really the exposure to the house loans and the American market as much a dubious relation with political parties and politically related people. Now if you favour politicians instead of experienced entrepreneurs of course you will end up with riskier investments and dubious quality political influence, even a former premier said once that a "MPS stock was a great deal to catch". I would say also it's a bad investment in term of divesification as all the politicians end up having their faith related with the fortune of specific leaders of the party. Couriously it's also extremely unlucky because arguably the "most favoured party" was (and is) also known for continuous political backstabbing between its leaders. Ultimately all this political exposure costed up the bank and type of economic viable perspective but ended up in granting the institution a "permanent life line" end endless publicity for the scandals involving the bank.

[@maxnex7676]

Correct, the political relations and the corruption was unbelievable, the bank was milked for every spare million they could squeeze out of it to pad the pockets of the politicians for favorably looking the other way.

[@rodbritton360]

Man, I was really looking forward to another Masterworks segway. Truly, there's nothing more thrilling in life than a Masterworks segway!

[@lambertois11]

I am amazed that a bank is able to do repetitive accounting frauds without being caught.

[@NotKimiRaikkonen]

Fraud? In Italy? Shocking... 😂

[@RoytheLevy]

Never happened before 😂😂😂

[@kendellfriend5558]

*Sips tea in Vatican* 🍵

[@vanesslifeygo]

😅😅

[@FBAagent]

😂😂😂😂😂😂😂😂😂

[@weiSane]

💀😂😂

[@mariswolowitz2969]

An offer they couldn't refuse 😂

[@GoatMeal365]

Awesome video. Thank you for explanations like this for avg Joes such as myself

[@stenbak88]

I feel bad for Italy sometimes, they actually sell things to the world yet are always in trouble or just broke

[@Merle1987]

Ain't no zombie companies in this here, Eurozone!

[@yudhiadhyatmikosiswono9082]

Heard this bank in news during 2008 crash but overshadow by greece financial meltdown.

[@patmat.]

7:35 Should the dividend arrow not be between Santorini and Monte Dei Paschi?... and the 4.8% between Santorini and DB

[@wallstreetmillennial]

yes this was a mistake, dividend should have been from DB to Monte Dei Paschi, good catch

[@willdehne1]

I am a German living in The USA. Look at Deutsche Bank. Look at the mess in the USA banking right now. I think we are in for difficult times.

[@michael2275]

Europe is in significantly worse shape than USA.

[@rightwingsafetysquad9872]

Deutschebank has been the definition of “reputational risk” for 20 years. It doesn’t really count.

[@termitedome]

Db is dirty bank involved in many scandals.

[@SF-eo6xf]

Respect for pronouncing it correctly

[@drzero7]

Sounds like similar to credit suisse situation as well. I guess alot of old european banks are like this.

[@ddhurry4168]

Less of a bank, more of a sieve.

[@sourcecode5273]

well made content.

[@idontactuallykno]

Thank god you did away with Masterworks.

[@letsgobrandon416]

If I've learned anything from the last three years, greed leads to incompetence, leads to downfall and big losses or total collapse.

[@douchebagpatrol7237]

Banks asking for multiple bailouts...makes the wall st bailout look like lunch money lol

[@wtf_usa5597]

Hmm.. Sounds like ALL the banks we have here in the US.. 🇺🇸 .. 😖

[@JohnKelly-jo9bh]

Not so sure putting a lawyer in charge of a bank is such a good idea. It is sort of like putting a lawyer into a political position. What kind of a FOOL would do such a thing? OK I guess it was us.

[@pkhaloobonaccio9883]

bro look at Mauritian politics 3/4 are lawyers . The currency devaluated by 80% since 2002

[@ambrosejeremiah7869]

Woarr how come i have go this from your source. I have not heard of ths bank b4

[@ronjon7942]

Mussari's got a nice tan, tho

[@markmcnicholas9475]

The collapse of Italy’s population over the past few decades must surely be a contributing factor. If there is no people, but declining population, how can economies hope to grow?

[@thunderb00m]

By moving to higher end sectors like luxury cars and merchandise. Which Italy has done successfully

[@markmcnicholas9475]

@@thunderb00m Yes. They do that. And in my opinion, Italians design truly beautiful items. Cars to buildings crockery to kitchens- everything they make. I drove over a fabulous bridge in the north west when last there in 2007. Spectacular. But with no money for maintenance for the forty year old bridge it collapsed without warning a couple of years later. Industrial production economies need mass manufacturing and “services” too. That means more people. We often hear of how AI will lead to fewer workers, but without people to BUY the products, there will be no products. Europe and the “developed” world are running out of people (especially Europe) and without consumers economies will die. That is the future for all our developed economies, and Italy is experiencing that ghastly reality now.

[@richardsmith579]

There are too many people where I live, and there can’t be ever more people indefinitely. Think about it.

[@markmcnicholas9475]

@@richardsmith579 Where do you live?

[@richardsmith579]

@@markmcnicholas9475 I’ve lived in Italy and Britain. Italy feels pretty congested to me and England is worse. More and more people,ad infinitum, buying more stuff is not going to help anyone. Please see A Bartlett, professor, Denver university, who explains exponential growth brilliantly.

[@jamdoodles]

Moral hazard. Every time. If the government will protect you from the consequences of your bad behavior because the government allows you to be necessary to the functioning of the economy, your bad behavior will not stop.

[@lepantzeus1]

@ 9:47 To be clear to viewers here: the problem in 2008 was in the sub-prime residential mortgages, which were less than 4% of the mortgages. Here in the U.S., more than 96% of mortgages were not sub-prime and those mortgages performed well even during the decline in housing prices. In fact, the decline in housing prices made homes more affordable for more people so it was beneficial in the long term for the standard mortgages. It was the sub-prime market that was the problem. I shall allow people with more expertise to discuss the details on that if they choose so to do but too many people believe the problem was home mortgages per se, which is not true. Most borrowers were very well qualified for the homes they purchased and most homes had plenty of equity relative to their mortgage balance. Sub-prime loans by definition were risky, and when the housing market for a relatively brief period of time stopped seeing higher home prices, those loans became a liability. ;-)

[@tonycrabtree3416]

It was the lender’s problem of investment, not people missing payments.

[@eljanrimsa5843]

The problem was that sub-prime mortgages had been packaged with other mortgages and re-sold with AAA rating. The buyer of the AAA package had no way of knowing the actual risk. From the regulator's point of view it was a top-notch investment. For a while, it was very lucrative to buy cheap sub-prime and re-sell top-notch AAA, but as always with such schemes, it was no fun if you were the one holding the risk when the music ended.

[@lepantzeus1]

@@eljanrimsa5843 People who held the bonds profited because they were a good investment. In 2008 there was a panic and that caused the bond prices to fall, but three years later those same bonds were selling at a premium. Anyone in a position where they could not hold the bonds had a serious problem. That's what happened recently to Silicon Valley Bank. They have an excellent bond portfolio which they thought they could hold for the long term, but when they needed short-term cash due to the run on the bank they had to discount those bonds which ruined their capital position. Patrick Boyle has a superb video about that topic on his channel if you have time to view it. ;-)

[@nublet5554]

I work at a global PE megafund and have invested billions of capital and I still learn about finance from you and am impressed with your explanations of everything.

[@Ilikeavocados123]

Sure buddy suree

[@ajmc7461]

@@Ilikeavocados123right lol

[@ProfAzimov]

​@santiagoacevedohernandezgu6320 You don't understand. He is from venezuela

[@elyeffe6469]

And it's gone...

[@songunsongun6253]

Too complicated for me to absorb 😂

[@Selfmade99900]

It’s just a little incidente 😂😂😂

[@sydhsydh1084]

1:10 anybody know where is that place? So beautiful!

[@Blue_8800]

Cinque Terre probably

[@isaacnetero8277]

It's Riomaggiore

[@michael2275]

Europe is one giant dumpster fire in financial terms

[@TopShot501st]

If Germany ever stops being the workhorse of europe god help them

[@michael2275]

@@TopShot501st It's already over. With no cheap natural gas, Germany's entire business model is defunct. The plebs just slow to realize how bad it will get.

[@fsaldan1]

​@@TopShot501st It did already. When Merkel closed the nuclear power plants and made Germany dependent on Russian oil and gas the writing was on the wall. Putin moved, the US bombed the Nordstrom pipeline, and now German industry will have to rely on LNG. Which is expensive, so the chemical industry and others are kaputt. With the Chinese and Tesla producing cheap and good EVs German industry is like Mr. Waldemar in Edgar Allan Poe's tale: dead but does not know it.

[@cyrilpadayatty2248]

Why would you trust a guy with the name Guissepi

[@salguodrolyat2594]

Because he made you an offer you couldn't refuse.🤣🤣🤣

[@thewildformosanformosan]

the same video can be applied to how Chelsea FC is being managed right now

[@dougsheldon5560]

Thank goodness for professional management , right?

[@TweiLimLou]

so much moneys, some use, still failing :/

[@TheSlizzer348]

Is it just me or when he says credit default swap it sounds like credity falls wap

[@AnotherMartinez]

People hired the tanned guy to lose all their money

[@tatianafoule6257]

Last parade it's space outside.

[@akimhamlet5092]

Multiple bailouts? MULTIPLE??? the fuck lmao

[@brianfong5711]

They were as liberal with their loans as Italians are with Olive Oil.

[@MlGHTY1]

today stock value is even lower at 2 Euro

[@reggieduquesnoy]

New name...Monte Carlo...

[@travissobeck4939]

So they build their banks like they build their cars, they look real pretty and sound amazing but require a lot of very expensive maintenance

[@JB-yb4wn]

Paints a pretty picture, doesn't it? Not like the boring Canadian banks.

[@travissobeck4939]

@@JB-yb4wn Canada has more than one bank? i never hear about them!

[@JB-yb4wn]

@@travissobeck4939 Which is good news when you think about it. 🤔

[@travissobeck4939]

@@JB-yb4wn it's like providing IT infrastructure, if nobody knows who you are, you're doing great

[@JB-yb4wn]

@@travissobeck4939 Preaching to the choir here.

[@stuartegrin7543]

Fraud no way 😮

[@ekwem]

This bank is really bad at banking

[@jerrywilliams9208]

It's always on the taxpayers we need to pay attention to who's taking care of our pieces of paper and our shiny yellow metal they're too important to just leave with anybody we have to watch them and make sure they don't still our transparent rocks our money our gold and our diamonds are more important than our food and water and shelter we must have the trinkets the things that people think are valuable rolling on the floor laughing shaved apes are weird food water and shelter should be the valuable things but instead you choose the trinkets that you find in the dirt that's where gold and diamonds come from free out of the ground and they just make the paper

[@relpmat]

I often wondered whether it's racist to say an Italian gave me an "offer I can't reduse"

[@eddiepang7822]

That's karma of NON neutral Swiss. Don't stand too close with the devil 😈

[@tocsa120ls]

Of course Deutsche was involved...

[@MHKing03]

Honestly I was expecting SoftBank or Credit Suisse would jump at the chance

[@as4asia]

Haha😂 Deutsche Bank is in every screw-up

[@ronaldwilliams4053]

Lmao that’s crazy

[@karenwang313]

I love how these big banks and businesses can get infinite bailouts from the government, but the moment the taxpayers ask for a student loan bailout because we were tricked into going into college, everyone suddenly acts like it's a terrible financial decision.

[@eljanrimsa5843]

that's because the students don't pay lobbyists to bribe the politicians who decide who gets a bailout

[@tomcahill1609]

got tricked into going to college?

[@fsaldan1]

One error doesn't justify another error.

[@akimhamlet5092]

Basically they did the same shit over and over again and got the same result.

[@jaymcd8577]

Same old story, greed, greed, greed

[@lattehour]

not a fall but a relief same as svb and suisse

[@mahf_mahf]

Pretty irritating to hear about the concept of "European zombie banks" while all the recent financial crisis actually come from the insane behaviour of American banks.

[@fsaldan1]

The American big banks fixed their problems. The European big banks did not.

[@mahf_mahf]

@@fsaldan1 Examples ? Recent issues are all US-based. All due to a lack of regulation on US large regional banks. The FED just acknowledged it last week. So what the hell are you talking about ?

[@jeffdavis4151]

this look a whole lot like what is happening now I do not want to be a chicken little but WATCH OUT BANKS!!!!!

[@MoonBull13]

Has to be illuminati headquarters 😂

[@SunilKumar-pu7me]

Welcome to another weekly video on 'Once in a millennium event' 😅

[@jglaab]

Gee you sepe

[@retslesaoana3244]

What a waste of time Shut it down asap

[@NosebleedSummer]

First!

[@jessekauffman3336]

The financial model of stock market etc is flawed and very short sighted. They crush competition and as they care about is the profit margin and stock price and growth. Long term isn’t in there portfolio.

[@phyarth8082]

Banca and Italian panca means bench loan giver English and Italian word same origin bench = bank. In 17 century we had 1000 benches loan today we have consolidation big banks, big pharma, big cars, big oil, big retail, big data, big tech, we lost entrepreneurs we lost independent thinkers in 50s with NASA on steroids years big science born no independent thinkers jus 3 billion hadron colliders without scientific theory or evidence fuck it if taxpayers money pours who cares? 17 century thousand banks with 50 tiles less population, today we have serfdom few corporation with motto To big to fail and if fail it will be bail out anyway.

[@johnrobinson5156]

Just like banks saved by Obama and Biden😮‍💨

[@scholarlyreader383]

Biggest mistake hire a lawyer

[@dkaoboy]

this was an Italian bank? you'd think they were black with this level of corruption.

[@zodzoder243]

Corruption is a white people trait. That’s how they control you guys with corruption and the illusion of thinking you’re free.

[@maltlickytexas]

Another KZbin bigot. What a surprise! Smh

[@darkjudge8786]

Lol. Gee-you-sep-pee. How hard would it have been to look up the pronunciation of Guiseppe?

[@SexyThyme]

Gee-you-sep-pay, no?