IT: Highlighting the plight of an average bondholder

From The Irish Times, 9th April 2010

To burn, or not to burn. That is the question.

irishtimes.com/newspaper/fro … 05462.html

Blue Horseshoe

How can he justify not putting that money on deposit in a bank account in Ireland?
He’s our Finance Minister FFS!

Do Irish Times reporters not think about some follow up questions when they write stuff?

Is this not a good thing?

It shows he has more cop on than the last shower who were buying property till the bitter end. His investments sound perfectly sensible given the times.

I’d rather a sensible finance minister than a moron who thinks Ireland being an island can prevent capital flight.

OK well if this is ‘sensible’ then why hasn’t he withdrawn all of the state’s deposits from the Irish banking system too?
I mean we’re paying the guy to be ‘sensible’ so why is he doing different stuff with his own money than what he’s doing with the money he’s responsible for?

I’m a bit shocked actually!

He’s paid to instill confidence in Irish banks. That doesn’t mean he personally has confidence. I’m not exactly reassured, and I’m not a fan of the guy, but at least you get the impression he knows wtf is going on, unlike his predecessor. I expect politicians to be conniving shits, I get worried when they’re delusional.

Why? Its worse than a zero sum game for the MoF. In theory the MoF decides where to deposit state funds in practice he cannot pull them because the ultimate cost to the taxpayer would be greater when they have to further bailout the banks. Think of the deposits as the risk cost of self insurance.

As someone else pointed out the fact he has bunds rather than bank shares and property like the rest of the gombeen politicians proves that he has some cop on. My theory on bunds was very simple three years ago. We are in the worst finical crisis in eighty years. The carnage last time was terrible. There is no knowing just how far the carnage will go this time so working on the very simple principal - which tax payer will be last to stop paying his taxes if everything collapses - by a matter of elimination I ended up with the Germans in the Eurozone. Other safe places include Gilts, T-Bill, and Swiss and Norwegian government bonds. But only the Swiss and the Norsk are as sure a bet as the bunds.

I find it very reassuring that the new MoF actually seems to have a clue what is going on and has taken very prudent steps to secure his own personal finances. Unlink the previous one who was little more than an innumerate but fairly plausible advocate for the VI class who seems to have nothing worth declaring.

also covered here:

independent.ie/business/iris … 15030.html

can be summarized as
“Irishman in portfolio diversification shocker!”

Given his age it’s probably fair to say he’s underweight Fixed Income if you follow the Age=> % Portfolio in FI