Are the Aussie major banks as greedy as made out?

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One would imagine that Turnbull and Morrison would consult the Treasury or the Reserve Bank of Australia (RBA) to get a feel for the true state of bank greediness. Of course as a political point scorer it is an easy one because Aussie mortgage debt stress is so high and any relief that absolves their own accountability is a plus. Turnbull doesn’t worry about reality and given his supposed business acumen saw no need to consult the banks. Just Mug them in a back alley. Then wonder why they say in response to the proposed tax slug why employees, customers and shareholders will suffer in some way or another. Any conservative government knows that nearly all financial institutions operate for shareholders over customers. In a round about way customers can always choose to switch institutions if they find a better deal. Market forces keep some level of competition but the above chart shows that the return to shareholders for the evil major banks is at 24 yr lows. Profitability is well off the highs. So shareholders aren’t getting the spoils they are accused of. Of course low interest rate environments place extra pressure on net interest margins and they too are hovering at post GFC lows. Never mind. When trying to arrest disastrous polling Turnbull will happily put himself ahead of country. Even if it means dynamiting the tracks of the one sector that greases the wheels of the economy.

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