Close X Cookies are necessary for the proper functioning of 24hGold.com. By continuing your navigation on our website, you are accepting the use of cookies.
To learn more about cookies ...
EnglishFrench

Israeli Central Bank to Use Its Reserves to Buy US Equities

IMG Auteur
Published : March 02nd, 2012
354 words - Reading time : 0 - 1 minutes
( 0 vote, 0/5 ) , 1 commentary
Print article
  Article Comments Comment this article Rating All Articles  
0
Send
1
comment
Our Newsletter...

 

 

 

 

Not even bonds yet, but stocks?

It makes sense that some Central Banks have started to buy in the stock markets for private corporations. After all, central banks have always held the debt of their sovereigns, and this is just the reality of corporatism.

It is hard to figure out who might be more upset about this story: the US stock bears, or the Israeli taxpayers.

Well, Stan Fischer, the Governor of the Bank of Israel, was Ben Bernanke's mentor at MIT. Maybe he is just helping?

This adds a new dimension of flexibility to the Fed's swap lines with foreign central banks.

Can you say ponzi scheme, bubbe?
תוכנית פונזי

I know it's over when the fat lady sings, but the cantor?


Bloomberg
Israel to Begin Investing Reserves in U.S Equities Today
By Alisa Odenheimer
Mar 1, 2012 4:45 AM ET

The Bank of Israel will begin today a pilot program to invest a portion of its foreign currency reserves in U.S. equities.

The investment, which in the initial phase will amount to 2 percent of the $77 billion reserves, or about $1.5 billion, will be made through UBS AG and BlackRock Inc. (BLK), Bank of Israel spokesman Yossi Saadon said in a telephone interview today. At a later stage, the investment is expected to increase to 10 percent of the reserves.

A small number of central banks have started investing part of their reserves in equities. About 9 percent of the foreign- exchange reserves of Switzerland’s central bank were invested in shares at the end of the third quarter, the Swiss bank said on its website.

The investment will be made in equity index trackers and will include between 1,500 to 2,000 shares, among them stocks like Apple Inc. (AAPL), Saadon said.

The central bank decided to add equities to its investment portfolio in order to diversify, reduce risk and give better performance, Barry Topf, senior adviser to Governor Stanley Fischer, said in a Dec. 1 interview.


Note: When they say 'Securities' on the balance sheet below, they mean debt as in sovereign bonds.
I don't know how they will characterize equities.



 

 

Data and Statistics for these countries : Israel | All
Gold and Silver Prices for these countries : Israel | All
<< Previous article
Rate : Average note :0 (0 vote)
>> Next article
Comments closed
  All Favorites Best Rated  
Israel blackmailed ! The U.S. want their money back ! ☺ ALT1
Latest comment posted for this article
Be the first to comment
Add your comment
Top articles
Latest Comments
Is Silver a Better Bet than Gold...
03 May Roygbiv
"Silver on fire." ??? Even if it goes to 50$ nobody in my environment (and beyond) would recogize it.
Is Silver a Better Bet than Gold...
03 May Roygbiv
One can not invest in gold and or silver !!! You have it and that's it. You converted your paper to something tangible. One can invest ...
License to Steal: Italy’s Highes...
03 May Roygbiv
"Given that theft is no longer a crime, I expect an enormous outbreak of theft from Italian grocery stores. Over the course of a week I ha...
License to Steal: Italy’s Highes...
03 May Roygbiv
Feeling better now after the burp. Continuously thinking about ... gold. Trying to find a definition/description that would end all blablablah<...
License to Steal: Italy’s Highes...
03 May Roygbiv
Feeling better now after the burp. Continuously thinking about ... gold. Trying to find a definition/description that would end all blablablah<...
License to Steal: Italy’s Highes...
03 May Roygbiv
What percentage of Americans are crooks ? Making a living and contributing to GDP ? "What you have in your pocket I want to see in mine !" ??? ...
License to Steal: Italy’s Highes...
03 May Roygbiv
"heling"=dutch and is translated by Google as=fencing. ??? Selling stolen goods I want to find. The Dutch/English dictionary translated it ...
Send Out the Clowns
03 Maysam_site
As you imply, Obamacare's days are numbered. In fact these are the last days of government-protected monopolies like the monopoly that state ...
Most commented articlesFavoritesMore...
World PM Newsflow
ALL
GOLD
SILVER
PGM & DIAMONDS
OIL & GAS
OTHER METALS