Let me get this right – Wells Fargo reported over $6B in write-downs last quarter and after a quarter in which home prices, CRE and credit cards deteriorated they somehow report a 50% REDUCTION in write-downs? That’s fancy accounting right there. Looks to me like that $3B profit should actually be marked as a break-even quarter.
Mr. Roche is the Founder and Chief Investment Officer of Discipline Funds.Discipline Funds is a low fee financial advisory firm with a focus on helping people be more disciplined with their finances.
He is also the author of Pragmatic Capitalism: What Every Investor Needs to Understand About Money and Finance, Understanding the Modern Monetary System and Understanding Modern Portfolio Construction.