Forum Post: Depressing Bank and Finance firms Stock value more effective than closing Bank Accounts
Posted 13 years ago on Oct. 15, 2011, 3:39 p.m. EST by vanguy79
(5)
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Withdrawing Bank Accounts to make a statement? Ineffective. Playing with their stocks making it drop in value, more effective. I do not know how to implement it though, perhaps by persuading ppl to sell all their stocks in the banks or by buying Bank stocks en masse and then selling them en masse as well. Point is, CEOs and shareholders are more nervous when their stocks fall than any protest. What do you think?
vanguy79,
This is a very interesting idea. You're basically suggesting short selling the stock right? Are you familiar with the Stop Huntingdon Animal Cruelty (SHAC) movement? They did something like what you're suggesting and drove the Huntingdon Sciences stock to go to zero forcing them to seek safe haven for their animal crulety in the US. What the activists did was they got a list of investors in Huintingdon Life Sciences and then held protests at the investors facilities. The investors then started dropping Huntingdon causing the share price to go down.
The question is how do you implement something like that practically on a wide scale. What kind of fund manager would you have to deal with?
I dont think I know damn well most of the people on here dont hold stock in bank of america but closing all accounts and scaring big investors out of their stocks might work
I agree but to get the ones take out their stocks is tricky since they are the ones people are protesting in most cases.to cause a banking scare by losing a customer base might let their greed take control and divert their stocks elsewhere .CITI BANK earned a bad reputation with a lot of customers today I would think just by arresting them 24 people trying to close an account a lot of non protest related people might follow suit out of disgust
My point is retail banking now accounts less for the profitability of Banks than their loans/securities/trading business and therefore has less of an influence on stock market value. Unless you have a critical mass of people withdrawing Billions of dollars from Bank accounts can you achieve that effect. Or at the very least, the minimum of Hundreds of millions of dollars has to be withdrawn to achieve the same effect. But stock market manipulations by a smaller yet critical mass of people can achieve the same scare tactics than withdrawing money from bank Accounts.