Why does the German tax payers money cover the loss of the IKB bank?
Business & Finance, Finance & Investing, Banks & Banking
| Author: | Jens Geukler, Bastian Hartlieb | ISBN: | 9783640226528 |
| Publisher: | GRIN Publishing | Publication: | December 5, 2008 |
| Imprint: | GRIN Publishing | Language: | English |
| Author: | Jens Geukler, Bastian Hartlieb |
| ISBN: | 9783640226528 |
| Publisher: | GRIN Publishing |
| Publication: | December 5, 2008 |
| Imprint: | GRIN Publishing |
| Language: | English |
Research Paper (undergraduate) from the year 2008 in the subject Business economics - Banking, Stock Exchanges, Insurance, Accounting, grade: 1,3, University of Applied Sciences Bielefeld, course: Multinational Finance II (Business Economics), 35 entries in the bibliography, language: English, abstract: The aim of this research paper is to distinguish why the German taxpayers´ money should cover the losses of the IKB bank? General acceptance could be since the IKB is a 'normal' bank, thus it is independent as an enterprise. However this research paper has established that the taxpayers are connected to the losses of the IKB. Beginning with a global overview and the structure of the IKB is a good start to gain an insight into the complex sticking point. Hereafter it is illustrated how the KfW is connected to the IKB as a 'safeguard'. After all, there is a need to clarify the capital split of the KfW to get the idea of the connection to the taxpayers. Further the paper highlights the function of the KfW and the business risk of the IKB within the established conduit of the Rhineland Funding. Similarly the intervention of the IKB will be highlighted, the present causes for the intervention in the IKB crises will be illustrated and analysis will show why bankruptcy has been avoided so far. As a result direct and indirect effects concerning the customers of a bank are mentioned briefly. Topically is to fathom out the future of the IKB with reference to the present situation on the finance & capital market. The selling wave is on going3.
Research Paper (undergraduate) from the year 2008 in the subject Business economics - Banking, Stock Exchanges, Insurance, Accounting, grade: 1,3, University of Applied Sciences Bielefeld, course: Multinational Finance II (Business Economics), 35 entries in the bibliography, language: English, abstract: The aim of this research paper is to distinguish why the German taxpayers´ money should cover the losses of the IKB bank? General acceptance could be since the IKB is a 'normal' bank, thus it is independent as an enterprise. However this research paper has established that the taxpayers are connected to the losses of the IKB. Beginning with a global overview and the structure of the IKB is a good start to gain an insight into the complex sticking point. Hereafter it is illustrated how the KfW is connected to the IKB as a 'safeguard'. After all, there is a need to clarify the capital split of the KfW to get the idea of the connection to the taxpayers. Further the paper highlights the function of the KfW and the business risk of the IKB within the established conduit of the Rhineland Funding. Similarly the intervention of the IKB will be highlighted, the present causes for the intervention in the IKB crises will be illustrated and analysis will show why bankruptcy has been avoided so far. As a result direct and indirect effects concerning the customers of a bank are mentioned briefly. Topically is to fathom out the future of the IKB with reference to the present situation on the finance & capital market. The selling wave is on going3.
