This decade is the worst decade for bank revenue since the Great Depression,in the view of Mike Mayo,Managing Director at Credit Agricole Securities.After a financial crisis,things don't go quickly back to normal.Be prepared to muddle through.A muddle through scenario beats alternatives like failed institution MF Global.
U.S. banks are picking up some loans from Euro banks.You can increase funds for lending,but you can't create borrowers.U.S. debt to GDP is 8 to 1-worse than Greece.We don't have enough proper auditors.Citigroup's have been in place since 1969.
You don't have proper accounting,which creates a crisis of confidence.Let's have auditors sign their names to be accountable.Let's have less regulation,but hold the top people accountable.
We're not having capitalism the way it's supposed to operate.I feel a lot more concern about capitalism when talking to Dick Parsons,Chairman of Citigroup.Just change the characters.Bank CEOs do more damage with ill-conceived incentives,Mike Mayo noted.
Mr.Mayo,a longtime banking analyst,is the author of "Exile On Wall Street."Credit Agricole S.A. is the largest full service bank in France.It ranks second in Europe and eighth in the world.