Allow me to state categorically that Equity is now emitting danger signals!
Apart from the planned major growth out of Kenya and into Africa, various loan products without strong security, diversification, we now have this:
Quote:Equity woos investors with instant payment for share sales
Equity Bank is set to introduce instant payment for share sales in an aggressive fight for a piece of the brokerage and custodial business.
The lender, through its subsidiary Equity Investment Bank, in the next few weeks plans to launch a service that will allow customers to be paid once a sale order goes through.
“You should be able to get your money on the same hour or day that you sell your shares,” said Equity Group Holdings chief executive James Mwangi in an interview.
Normally, customers are paid up to three days after the transaction although some stockbrokers are able to shorten this period for specific clients because at any given day they know how much working capital is available in their account.
Equity Investment Bank said it is introducing the service to add value for its customers.
The lender also hopes to use the securities as collateral for customers taking loans.
Mr Mwangi said the custodial business enables the bank to lend using stocks and bonds, which are more liquid than other forms of securities like land, as collateral. “This will enhance our ability to lend,” he said.
Biz daily
Quite
in an environment where we expect share prices and bonds to fall substantially. 2015 will be interesting!
Conventional thinkers waste time building shelters when they are unnecessary and then have no shelters when they need them the most. Socionomists do the opposite.