So, I have a small amount of money in an E*TRADE savings account. E*TRADE has been in the news recently and its stock price has taken a big hit.
For the record, I am not removing my money. It is only about $200, actually.
I suspect E*TRADE will have to take a big hit just like all the other companies stupid enough to put their assets in securitized mortgage papers. But I'm not one for jumping on the bandwagon; that's how a "run on a bank" goes from rumor to reality. Interesting, too, that the analyst predicting a possible run on E*TRADE works for a competitor, Citigroup.
My prediction: it is Citibank that will be bankrupt within 36 years and begging for Federal bailout. E*TRADE will be a smaller but wiser and still functional concern. As someone who has many thousands of dollars in interest and fees to Citigroup over the past 20 years, I would see this entirely as the wheel of karma turning as it must!