Seeking Multiva GEO investors

we keep our money in canada in a canadian bank. it's the safest banking system in the world. it's really stupid to use a mexican bank or investment house as yet again another bunch of stories about losing money does attest.

Lets be fair folks. Casting a shadow over everybody is not fair.  Big difference between Bancomer and Monex,Multiva, or the other investment houses with a bank charter.  More interest more risk.  If one is getting 5 to 10% for bonds I bet it is an unsecured or partially unsecured loan. Do you really think the risk are equal for a money market account at Bancomer versus a bond from a development down the road?  I hope all the folks recover the money lost but it is a good lesson for the rest of us.

Zed are you saying that Bancomer is the only safe bank to have funds in CD's?

look. yer money ain't even insured in an ordinary bank account here.
if the bank goes tits-kiss yer money goodbye. there ain't no such thing as a SAFE financial institution under the mexican system. but hey-ya kin make tons of interest on everything-right?

It doesn't even seem to be covered if your account is compromised by hackers or crooked bank employees.

Is this presumed class? action against GEO, only for Multiva clients, or for anyone, as many investment firms sold their paper?
Also, are legal fees for attempted recuperation based on a percentage of settlement, or by retainer?
As far as I know, Multiva has what Zed refers to as a "bank charter"
I think determining the legal culpabilities of this failure, will be a long and drawn out process if someone doesn't breathe new financial life into GEO, which at this time seems unlikely.  
Most retired people will not see the end result.

Pedro wrote:look. yer money ain't even insured in an ordinary bank account here.
if the bank goes tits-kiss yer money goodbye. there ain't no such thing as a SAFE financial institution under the mexican system.

If I'm not mistaken your money up to a certain amount is insured and when was the last time a Mexican bank failed?
The main concern I would have is the one CBob mentioned,peso devaluation.

slainte39 wrote:Is this presumed class? action against GEO, only for Multiva clients, or for anyone, as many investment firms sold their paper?
Also, are legal fees for attempted recuperation based on a percentage of settlement, or by retainer?

Excellent question about the fees,one would hope that they're contingency based.

Actually the list of failed banks in Mexico is fairly extensive:

Defunct banks
Banca Confia (failed); acquired by Citibank and now absorbed into Banamex
Banca Promex (begin as Banco de Zamora)
Banco Central Mexicano (failed, early XX century)
Banco del Centro (bought by Banorte)
Banco del Sureste
Banco Mexicano Somex (bought by Invermexico and became Banco Mexicano)
Banco Mexicano (bought by Banco Santander and became Banco Santander Mexicano); now part of Banco Santander
Banco Mercantil Mexicano (merged with Banco Nacional Mexicano to form Banco Nacional de México, 1884)
Banco Sofimex
Bancreser (later Bancrecer)
Banpaís
Banoro
BBVA Probursa (merged with Bancomer and became BBVA Bancomer)
BCH
BITAL (taken over by HSBC)
Comermex (bought by Inverlat and became Comermex Inverlat)
Multibanco Mercantil de México
Prudential Bank (taken over by Actinver S. A.)
Multibanco Mercantil Probursa (later BBVA Probursa)
Crédito Méxicano
Banrural
Banpeco
Banco Unión (failed and bought by Banorte)
Banco Nacional Mexicano (merged with Banco Mercantil Mexicano to form Banco Nacional de México, 1884)
Banco Internacional (bought by Prime and became BITAL)
Banco Hipotecario
Banco de Londres, México y Sudamerica (first Mexican bank, later Banca Serfin)
Banca Serfin (merged with Banco Santander Mexicano); absorbed into Banco SantanderSerfin
Banco del Atlántico (bought by BITAL, BITAL was later taken over by HSBC)
Banca Cremi (bought and became Banco Unión)

While this listing is dated 6/13/2012, it doesn't indicate the failure dates for the above list.

http://www.globalbankingandfinance.com/list-of-banks-in-mexico/

the banks here do have a certain amount insured think its 1.6million pesos per account. normally current accounts and fixed interest, but obviously not investment accounts.

CG...Failed banks acquired or merged with other banks is quite different from failed banks where the depositors lost their assets.
.....like going to the hospital and the results are either recovery or death.... 

i wouldn't want my money in either countries' banks and even less so in mexico. until that almost worldwide mess the us banks created because they were self regulated and now they're not,they were as unstable as the financial institutions here. thank you canadian banking regulations and banks!
oh i did have my yanq bucks in the belt valley bank fer a number of years and it was fine and safe there because of this guy who is the ceo.

Additionally, banks being "Guaranteed" or "Insured", or whatever else they may label your deposits - actually paying off in the event of fraud or loss or failure IS A WHOLE 'NOTHER BALL OF WAX.

Good luck. Risk versus reward. You pays your money and you takes your chances.

Pedro wrote: thank you canadian banking regulations and banks!

From what I've read the Canadian banking system deserves that praise,had the US banking system had the same regulations in place it might have avoided the disastrous financial crisis brought about thru greed,incomptence and de-regulation.

SunshineyDay wrote:Zed are you saying that Bancomer is the only safe bank to have funds in CD's?

NO!  Do your Research. All I was saying is putting your money in Bancomer MM fund is probably safer than many investments at
so called investment houses.  I am sure Bancomer will sell you unbacked investments also but I bet they won't say it is guaranteed.
I have not been lied to at Bancomer. Banks are not created. Others mileage may vary.

The point of the discussion is, if one of the Bancomer employees embezzles your money do they cover it? Doubtful.

Actinver isn't.
But this is a different issue than what Spencer is talking about w/ MVa.

US banks covered by FDIC (read Uncle Sam) up to 250,000 per account over that not so much. Uncle Sam stepped in 2008/2009 and covered up to 1,000,000 but it wasn't just greed on banks part it was greed on all the people who bought over inflated over hyped real estate and refi their mortgages over and over. Banks 25% US gov 25% investors 25% borrowers 25%. All to blame. Been in mortgage biz 40 years looking at loans gone bad and greed is everywhere. IMHO if it's too good too be true it probably is or will be soon

Too many people at banks have little training in investments and use terms loosely such as guarantee and many are forced to sell products or lose their job. I am hoping to get enough people together to see what can be done, I dont work for free but if there are enough people and we get a good plan together, there might be a way to recover some of the money lost.

There are too many issues in Mexico with incompetent and dishonest people promoting investments and then the banks not putting their money where there mouth is. I would not recommend anybody stick money in any Mexican bank except for smaller amounts or in accounts where they are insured and there is proof of that. There is too much fraud, lies and collusion and employee embezzlement and the authorities really don't seem to care and the consumer gets the shaft.

We were told that CETES accounts were guaranteed my Mx Gov. True or false. Minimum investment is around 500,000 pesos +/-. Pays 28 day rollover.

That is good advice, Spencer! Thank you, I know you're right. I will take your advice.