Cyprus-Forum.com

[DT.]

You guys firstly need to clear your terminologies...most of the ratios you see now are non performing exposures not loans. NPE’s not NPL’s. The difference is that an exposure is a non performing loan that is now performing again but will still be classified as a non performing exposure for a year.

Secondly Paphitis is right. Taking on all those deposit liabilities from the Russians made the banks over liquid and unprofitable. They had to lend out somehow. Usually in economies like these when a high level of deposits are built up, the banking industry is based on fees such as management fees, performance fees, introducing fees etc...in Cyprus this scale of deposits had to be lent out again to an economy that had neither the fire power to absorb such liquidity nor the creditworthiness to service that amount of debt. If you add into the pot a questionable illiquid collateral asset (Cypriot land) then ta-dah!

Oh and the reason our NPL’s where so low pre crisis? Because none of the banks classified them properly. They’d either transfer the balances to another accouns, refinance them on a rolling basis or simply just not classify them as non performing.

[Paphitis]

You guys firstly need to clear your terminologies...most of the ratios you see now are non performing exposures not loans. NPE’s not NPL’s. The difference is that an exposure is a non performing loan that is now performing again but will still be classified as a non performing exposure for a year.

Secondly Paphitis is right. Taking on all those deposit liabilities from the Russians made the banks over liquid and unprofitable. They had to lend out somehow. Usually in economies like these when a high level of deposits are built up, the banking industry is based on fees such as management fees, performance fees, introducing fees etc...in Cyprus this scale of deposits had to be lent out again to an economy that had neither the fire power to absorb such liquidity nor the creditworthiness to service that amount of debt. If you add into the pot a questionable illiquid collateral asset (Cypriot land) then ta-dah!

Oh and the reason our NPL’s where so low pre crisis? Because none of the banks classified them properly. They’d either transfer the balances to another accouns, refinance them on a rolling basis or simply just not classify them as non performing.

Thanks! I was always very suspicious about the motives of the Ruskies in Cyprus. They are filth and they don't care for Cyprus one bit.

And also I believe they were a huge contributor to the Cypriot Banking Crisis.

But no one will admit it. Everyone has their head in the sand. Cyprus wasn't in a position to absorb these Banking liabilities on such a large scale.

I look at these things from the outside. I ask a lot of questions why but no one gives straight answers.

I am really sorry that there are so many traitors to Cyprus.

Based on that, the Banks were not really to blame so much. The Government was because it set up its Banks for inevitable failures with liabilities it could not absorb on their lending side.

That is why there was never an investigation...

What occurred in Cyprus was definitely criminal...and I really feel sorry for you guys that no one is being held accountable.

[miltiades]

How dare you call Russians filth you ignorant little pretentious shit.
How would you react if someone called your race, whatever that is " filth"
Now go and have a fucking rest and clear off this forum, you are full of shit anyway.
Go on, fuck off ypu Plonker.

[Pyrpolizer]

Now, if people are borrowing from loan sharks, again, it goes to show how stupid you are if that is a widespread practice. You might as well shoot yourself in the head.

Like I said this was happening before the establishment of the Coop over a century ago.
Yep, people were riding donkeys back then, they were mostly illiterate, and their only option to survive was to borrow from the rich of the village who was usually a loan shark. Ask your father for more details...

[Pyrpolizer]

You guys firstly need to clear your terminologies...most of the ratios you see now are non performing exposures not loans. NPE’s not NPL’s. The difference is that an exposure is a non performing loan that is now performing again but will still be classified as a non performing exposure for a year.

Secondly Paphitis is right. Taking on all those deposit liabilities from the Russians made the banks over liquid and unprofitable. They had to lend out somehow. Usually in economies like these when a high level of deposits are built up, the banking industry is based on fees such as management fees, performance fees, introducing fees etc...in Cyprus this scale of deposits had to be lent out again to an economy that had neither the fire power to absorb such liquidity nor the creditworthiness to service that amount of debt. If you add into the pot a questionable illiquid collateral asset (Cypriot land) then ta-dah!

Oh and the reason our NPL’s where so low pre crisis? Because none of the banks classified them properly. They’d either transfer the balances to another accouns, refinance them on a rolling basis or simply just not classify them as non performing.

And where were you Chartered Accountant geniuses back then to do something about it?
Weren't you all employed in the Banks, or the Ministry of Finance, or the Central Bank, and those few of you who weren't were just sucking the honey from the pie?
Who on earth did you expect to take corrective measures early enough ??

[DT.]

Since this thread is called investments I may as well give my two cents as well on what I think (for whatever it’s worth)

As a hedge fund, we’ve just finished raising our new fund and it has been the fastest raise ever. The pretext to raising the new fund was the end of the cycle and a new recession arriving in the next 18-24 months. Our investors have agreed with us. (we’re a distressed credit fund)

So my advise would be to start liquidating some sensitive assets you may have. If these assets are in Cyprus and are prone to becoming illiquid during a recession, I’d consider liquidating now.

[DT.]

You guys firstly need to clear your terminologies...most of the ratios you see now are non performing exposures not loans. NPE’s not NPL’s. The difference is that an exposure is a non performing loan that is now performing again but will still be classified as a non performing exposure for a year.

Secondly Paphitis is right. Taking on all those deposit liabilities from the Russians made the banks over liquid and unprofitable. They had to lend out somehow. Usually in economies like these when a high level of deposits are built up, the banking industry is based on fees such as management fees, performance fees, introducing fees etc...in Cyprus this scale of deposits had to be lent out again to an economy that had neither the fire power to absorb such liquidity nor the creditworthiness to service that amount of debt. If you add into the pot a questionable illiquid collateral asset (Cypriot land) then ta-dah!

Oh and the reason our NPL’s where so low pre crisis? Because none of the banks classified them properly. They’d either transfer the balances to another accouns, refinance them on a rolling basis or simply just not classify them as non performing.

And where were you Chartered Accountant geniuses back then to do something about it?
Weren't you all employed in the Banks, or the Ministry of Finance, or the Central Bank, and those few of you who weren't were just sucking the honey from the pie?
Who on earth did you expect to take corrective measures early enough ??

If you read above you’ll see that I work for a distressed credit fund. Not a chartered accountant and not really in position to help the economy at that time. We did purchase a large amount of NPL’s though.

[Pyrpolizer]

DT
You most certainly belong to the highly professional and qualified group of people who should have done something a long time ago.
Either from their work position or via your association.
Yet no one of you ever did anything. Isn't this a fact?

The last time I tried to warn this forum about Wargaming being one of the new major shareholders of Hellenic Bank I was really shocked to get this reply from you:
cyprus45155.html#p847886
I mean if people like you can't see the risk and foresee possible bad outcomes to Hellenic Bank, then who can?

[DT.]

DT
You most certainly belong to the highly professional and qualified group of people who should have done something a long time ago.
Either from their work position or via your association.
Yet no one of you ever did anything. Isn't this a fact?

The last time I tried to warn this forum about Wargaming being one of the new major shareholders of Hellenic Bank I was really shocked to get this reply from you:
cyprus45155.html#p847886
I mean if people like you can't foresee what will happen to Hellenic Bank, then who can?

Still don’t know what you mean pyro? The problem with Hellenic Bank was before wargaming. Wargaming and 3rd point recapitalized the bank and then lost half their money doing so. If you ask me they’re heroes! And because of their recap the bank could then absorb the crap from the coop (trust me even just the good bank that was transferred over was crap) with a small further recap required, 150m.

If you ask me wargaming have no business owning a bank however they are the largest non bank tax payer on the island and they did step up when no one else would. Did they install cronies and did their cronies eat off commissions from the bank....yes. Small price to pay though.

[Pyrpolizer]

I simply mean they are in the money laundering business.