Life Term Strategies

1. Huge Gains in Long Term
- Receive significant capital gains
- by investing in corporations
- (with wide economic moat & average peers’ net margin)
- In very very long term

2. Strong Periodic Cash Flow
- Maintain self-sufficient monthly cash flow
- Through dividend, gains on derivative & short term trading
- For re-investment to item # 1 mentioned above

3. Mind for Risk Management
- Ensure strong cash position
- Maintain low risk by continue monitor, analyze & feel:
economic trend & environment,
market condition & investors emotion
corporate performance & outlook
asset allocation & direction

4. Be a holy Christian investor:
- Invest in wisdom & varies ways, but consistent & not over nor under of what the Holy Bible expects a Jesus follower should be
- Keep regular & long term spiritual growth
Continue experience God @ finance market
Aim for life transform opportunities
- Even though it may not teach Billy & Bilibala what stocks to invest nor how to make more, more & more $

9.01.2009

Wells Fargo repay TRAP

Wells Fargo Expects to Repay TARP Soon Without New Share Sale
By Erik Schatzker and Dakin Campbell

Sept. 1 (Bloomberg) -- Wells Fargo & Co. plans to repay funds obtained from the government’s bank bailout program in the near future without raising equity.

John Stumpf, president and chief executive officer of the San Francisco-based lender, discussed the bank’s plans for paying back $25 billion obtained from the Troubled Asset Relief Program during an interview today on Bloomberg Television.

“We will pay it back, but we’re going to pay it back in a shareholder-friendly way,” Stumpf said in the interview. “We are now earning capital so quickly, organically, we don’t want to dilute our existing shareholders.”

To contact the reporter on this story: Erik Schatzker in New York at eschatzker@bloomberg.net Last Updated: September 1, 2009 15:55 EDT

Bilibala comments
Based on 2q09 results, if Wells Fargo re-pay the TRAP, the tier 1 capital ratio will drop significantly, may be below 8.0%. Even if the corp can generate another $3-4B in 3q, the ratio will still look too low compare to peers. Although we all know, 8.0% is fine given Wells Fargo's assets based are quite strong from an risk weighted point of view.
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