Share prices can go up or down. That is the advice that is always given when shares are being sold. So why do shareholders start complaining when the shares they are holding become virtually worthless?
I know, shares influence your pension, your mortgage etc so it is in your best interests for them to complain blah, blah, blah, but why should the taxpayer bail out shareholders who cannot read the warning signs?
The Chancellor became the Darling of all the opposition political parties when he gave them plenty of Rocks for them to throw at him by announcing that Northern Rock would be nationalised.
However, the shareholders were unbelievably not happy with this. What would they rather the bank be sold to another private company where they would have probably received a fraction of the amount the government will offer in compensation. Or would they have preferred the business went down the pan, where they would not receive any money at all?
Roger Lawson, chairman of the Northern Rock Shareholders' Action Group said he thought there were "good grounds" for legal action.
Why?
The same thing happened a few years ago when Railtrack shareholders were up in arms.
An old adage springs to mind – live by the sword – die by the sword.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment