₦airaland Forum

Preator:
You do realize that you should be more afraid of UBA collapsing? Stanbic doesn't hold your funds per SEC rules. The money is with UBA as custodian. And neither stanbic bank nor the group will cover the loss should UBA go under.

This is purely hypothetical anyway since most of the money with UBA also are either already used to purchase government securities or placement with other banks. So lots of risk points along the line.

If you really want to rely on stanbic strength, find a asset manager that use them as custodian. Then you be sure they will "never" go under.

Thats how the markets works.

OK.. Thanks for the input and adding more context to it.

I sometimes chuckle to myself when I read some arguments put forward in this thread. It just shows you know nothing about accounting and finance. A huge AUM tells us nothing about the safety of a fund manager…it simply indicates the scale of client money under its care. That money belongs to investors, not the firm. It represents a fiduciary liability that generates fees, and in times of stress it can quickly become a burden if redemptions begin to feed on themselves.

Judging safety by the size of AUM is no more reliable than judging a bank by the size of its deposits…both are liabilities, not capital. Anyone that is savvy with US market will remember what happened to The Reserve Primary Fund in 2008 during the financial crisis. It oversaw tens of billions in assets, yet when liquidity pressures mounted it still broke the buck. Scale gave it no protection once confidence and market liquidity vanished…

The same applies to the claim that a large parent company guarantees safety. Subsidiaries are separate legal and operational entities. A parent will step in only when doing so serves its own strategic or reputational purposes. There is NO automatic obligation. Corporate groups regularly sell or close businesses the moment continued ownership no longer makes economic sense.

At the end of the day, real financial strength is determined by capital adequacy, strong corporate governance, disciplined liquidity management and rigorous risk management…not by headline AUM figures or the prestige attached to a corporate name.

I’m also dropping this here for future readers with little knowledge of how the financial system works. Misinformation is a dangerous virus we should always frown upon.

It is well. I always advice that people should do due diligence on their own especially when the funds you are investing is a significant portion of your net worth..

By the way, for those in the stock market directly or through equity funds, portfolios go crash tommorow. Steer away from new banking stocks. Oil stocks will jump though with strait of Hormuz now closed.

Free advice: do not under any circumstances panic sell. Just wait and ride it out...

Preator:
You do realize that you should be more afraid of UBA collapsing? Stanbic doesn't hold your funds per SEC rules. The money is with UBA as custodian. And neither stanbic bank nor the group will cover the loss should UBA go under.

yes.. UBA as custodian and trustee as well.

Though, I don't fully agree with the bolded.


A Govt(customer)employs a contractor(Stanbic) and the contractor sublets to a sub-contractor(UBA).
If the subcontractor defaults, The contractor is still responsible for any default to the Govt.

I suppose this is how it works.
UBA invests the money as you say, but at the direction of Stanbic and Stanbic directs the particular investment and teach ratio the money should be split.
Stanbic also initiates withdrawals on behalf of clients by contacting UBA-trustees who confirms and crosschecks clients details and amount. Then directs UBA-custodians to withdraw required amount.
In all Stanbic is the Asset Manager and responsible for the movement of the funds and performance of the funds despite not being the custodian.
They perform constant monitoring of the fund.


So in a case of eventualities the parent company would have to bail Stanbic out on behalf of clients. to keep their name and brand at least.

Any issue with UBA would be sorted in-house amongst themselves after setting customers.

The customers will have nothing to do with UBA.
All they know is Stanbic Mmf.

chimex38:
yes.. UBA as custodian and trustee as well.

Though, I don't fully agree with the bolded.


A Govt(customer)employs a contractor(Stanbic) and the contractor sublets to a sub-contractor(UBA).
If the subcontractor defaults, The contractor is still responsible for any default to the Govt.

I suppose this is how it works.
UBA invests the money as you say, but at the direction of Stanbic and Stanbic directs the particular investment and teach ratio the money should be split.
Stanbic also initiates withdrawals on behalf of clients by contacting UBA-trustees who confirms and crosschecks clients details and amount. Then directs UBA-custodians to withdraw required amount.
In all Stanbic is the Asset Manager and responsible for the movement of the funds and performance of the funds despite not being the custodian.
They perform constant monitoring of the fund.


So in a case of eventualities the parent company would have to bail Stanbic out on behalf of clients. to keep their name and brand at least.

Any issue with UBA would be sorted in-house amongst themselves after setting customers.

The customers will have nothing to do with UBA.
All they know is Stanbic Mmf.

Oga, i am not sure which industry you work in o but i make a living, until recently, as a Business Finance advisor. Any deposit in a nigerian bank, including those held as a custodian have the same NDIC protection limit which is N5m. Anything after this you will get after the assets have been sold, if money remains.

There is no subcontracting. The Custodian acts as a banker to the fund manager same way they act as bankers to other individuals and businesses. The fund manager gives instructions to the custodian same way you give instructions to your bankers via transfer instructions.

Government needs money and your fund manager decides to lend. They instruct the custodian to move money to government. Government repays later to the custodian with interest. The fund manager instructs the custodian to credit the account of unit holders (investors) with their money and accrued benefits. I'm sure you've seen that your inflows come from UBA.

If UBA fails after government has remitted what it owes, na gobe be that. During winding up process, ordinary depositors are the last to be settled apart from the NDIC guaranteed limits.

You are free to select your custodian as long as its not your own group bank.

By the way, Stanbic has well over 2Trillion in AUM, only N5m of that is guaranteed by NDIC. You posit that the stanbic Group will settle that amount for reputation sake and without any regulatory obligations to do so? How much is their entire balance sheet in nigeria?

This is all hypothetical anyway since it's almost impossible for banks(DMB) to fail now in nigeria. Heritage will be the last one for a long while.

Harddiskng:
I never mentioned anything about bankruptcy, I was going on about the deplorable state of their services in recent time, which you also agreed with.

Do i think it’s a solid business, yes but at your bolded is a lie, nothing hate more than lies. In this case it seem your lie is a product of your ignorance. There is nothing “Too Big To Fail”. Bigger and better companies than Stanbic IBTc in 1st world countries have go bankrupt if you don’t know

No company is immortal. Standard Oil was broken up by the law; the East India Company (once the most powerful entity on Earth) was dissolved by the British Crown. While the "Big Tech" giants of today seem untouchable, history suggests that eventually, every giant either evolves, gets broken up, or fades away.

*******************************

If you are reading diverse your funds between atleast 2 MMF operators.

It’s so disappointing I still cannot access my funds over a week after the transaction. Whatever internal or network issues they are battling with should not deprive customers of access to their own money.

It is unacceptable that I have been unable to use my funds for this long . I was already tolerating the low rates, but adding prolonged network issues that have lasted over a week is too much

At this point, I will withdraw all my funds and move them to ARM. I no longer feel confident keeping my money with Stanbic .

Candanyl:
It’s so disappointing I still cannot access my funds over a week after the transaction. Whatever internal or network issues they are battling with should not deprive customers of access to their own money.

It is unacceptable that I have been unable to use my funds for this long . I was already tolerating the low rates, but adding prolonged network issues that have lasted over a week is too much

At this point, I will withdraw all my funds and move them to ARM. I no longer feel confident keeping my money with Stanbic .

Wait untill ARM has their own issues too lol. These kind of issues happen everywhere in the world. The last time i travelled to the US, the wifi was soo bad, i couldn’t do anything. I immediately started missing my MTN Fiber. Had it been i experienced such a glitch in Nigeria, i may have been tempted to ascribe it to Nigeria. Point is, there is no financial company that will not experience a glitch from time to time .

Why not forget about this topup and make a fresh one?

chimex38:
yes.. UBA as custodian and trustee as well.

Though, I don't fully agree with the bolded.


A Govt(customer)employs a contractor(Stanbic) and the contractor sublets to a sub-contractor(UBA).
If the subcontractor defaults, The contractor is still responsible for any default to the Govt.

I suppose this is how it works.
UBA invests the money as you say, but at the direction of Stanbic and Stanbic directs the particular investment and teach ratio the money should be split.
Stanbic also initiates withdrawals on behalf of clients by contacting UBA-trustees who confirms and crosschecks clients details and amount. Then directs UBA-custodians to withdraw required amount.
In all Stanbic is the Asset Manager and responsible for the movement of the funds and performance of the funds despite not being the custodian.
They perform constant monitoring of the fund.


So in a case of eventualities the parent company would have to bail Stanbic out on behalf of clients. to keep their name and brand at least.

Any issue with UBA would be sorted in-house amongst themselves after setting customers.

The customers will have nothing to do with UBA.
All they know is Stanbic Mmf.

Thank God you are also experiencing my frustration when i argue with folks here. One particular character here has chosen to be the antithesis of reason. Maybe na OPAY business adviser 😂. The things he says are purely academic and not practical atall.

Anyways, you right in your argument. I’m a CFA and i should know. There is no way standard bank will not bail out stanbic if anything. If governments can bail out companies they dont own, how much more a parent? Can these clowns name me a case of a subsidiary that has gone under without the parent’s intervention?

With my 100k in stanbic, i still watch them with eagle eyes. So, imagine how much more stanbic will close mark UBA? The may even have staff on secondment with UBA 😁.

If UBA so much as runs high temperature while sleeping at night, stanbic will be the first to know. Besides, that money is not even sitting with UBA, so UBA can still go under and the government will simply remit stanbic’s money to another bank.

Another said AUM does not count. Riddle me this, if you were SEC, which Fund Manger would you be most interested in? RT Briscoe with 700million naira or the one with 2 trillion? Even SEC’s money follow dey inside stanbic 😂😂

There is even no way Stanbic would not have tried to insure its holdings to a degree

chimex38:
Diversification is highly advisable. It's no brainer in any venture.

But my point still remains:
For now:

You'all can Diversify to other firms for other reasons; rate, customer service, app simplicity, tailored efficiency,etc. It's all good, and highly advisable. Not against it.

But Diversify-INTO Stanbic as a safety net against future bankruptcy of firms in the near term (if at all) NOT away from Stanbic.

Diversify into Stanbic specifically for robust, longevity, economic Shock absorber, capital safety, safety-net against bankruptcy in your lifetime. Their parent company is still the No. 1 financial firm in Africa and over 150yrs Old and so Stanbic Mmf have a huge backup shield.



I don't advice OPAY for bulk holdings as indirectly insinuated.
The more regulated a firm is, the safer your assets as a customer.
Your choice anyway.



I am writing for over 50+ individuals coming to the thread in future to make informed decision.
(Not trying to convince anyone in particular).

Me would say, one must not have account with Stanbic IBTC but if you must ensure you have account with at least 1 or more banks in the league of Stanbic IBTC. Imagine having 500,000 naira and you put them all into STI or split into STI and another in STI's league.

The wise thing would be split your funds into 2 and put 1 part into a bank in the league of Stanbic and the other whereEver you wish to.
No go put your mooney where your total funds makes up their major capital so tey if you make withdrawal, others go feel am.

Another is, if you have more than 5-million naira. split into as many providers as possible so as to be covered by insurance should anything go wrong. Nothing is too big to fail.
I recall earlier last year when I shared how I use more than 3 diffferent platforms, una shout tire with some new in the game suddennly turning to advisers. now na una dey deCamp like Nigerian poliThiefCians.

Even your fellow human being go access you based on appearance; Some are willing to pay more for bottled water just because of the enviroment YET you want the status of a banking platform to be easily ignored. Forget it, perceptions is reality

Neurotika:
I sometimes chuckle to myself when I read some arguments put forward in this thread. It just shows you know nothing about accounting and finance. A huge AUM tells us nothing about the safety of a fund manager…it simply indicates the scale of client money under its care. That money belongs to investors, not the firm. It represents a fiduciary liability that generates fees, and in times of stress it can quickly become a burden if redemptions begin to feed on themselves.

Judging safety by the size of AUM is no more reliable than judging a bank by the size of its deposits…both are liabilities, not capital. Anyone that is savvy with US market will remember what happened to The Reserve Primary Fund in 2008 during the financial crisis. It oversaw tens of billions in assets, yet when liquidity pressures mounted it still broke the buck. Scale gave it no protection once confidence and market liquidity vanished…

The same applies to the claim that a large parent company guarantees safety. Subsidiaries are separate legal and operational entities. A parent will step in only when doing so serves its own strategic or reputational purposes. There is NO automatic obligation. Corporate groups regularly sell or close businesses the moment continued ownership no longer makes economic sense.

At the end of the day, real financial strength is determined by capital adequacy, strong corporate governance, disciplined liquidity management and rigorous risk management…not by headline AUM figures or the prestige attached to a corporate name.

I’m also dropping this here for future readers with little knowledge of how the financial system works. Misinformation is a dangerous virus we should always frown upon.

Most don't set out to misinform, most drop what they know and experienced, others might know more from where another stopped.

So Yes, correct whatever you think is misinformation, it helps to enrich the discuss as well. Let readers do their findings.

The initial discuss is not the infallibility of Stanbic or standard group as a stand alone entity but in comparison to others currently in Nigeria based on bankruptcy.

But thanks for your history lessons on the reserve primary fund 2008 global recession. On further reading, there was a rescue effort by US government Precisely making my point. Customers were shielded


@2nd bolded,
Those qualities you mentioned[b]("financial strength is determined by capital adequacy, strong corporate governance, disciplined liquidity management and rigorous risk management…"[/b]) are more or less well attributed to Stanbic than other entities currently I believe. We are talking decades of existence and consistency; That's precisely my point also.


@First bolded. You are correct on a general note.
Subsidiaries can be closed down if returns are poor. Especially entities that have wider subsidiaries( construction, mining, oil and gas, foodprocessing, Agriculture,etc..). It's much difficult to leverage skill across these vast sectors to mitigate risk of solvency.

But:
1)You will agree that for Financial services, despite the variety of subsidiaries, their general activities and operations are usually intertwined. Banks also do investments, asset managers also invest in banks fixed-deposits, etc..
It's almost inevitable they won't come to bail out or prevent/reduce it in the first place at the slightest sign. The sector has a lot of leveraged skill that are complementary, supplementary and even composite.

2) a subsidiary that gives you market share isn't easily closed down.
MTN-Nigeria has been on a loosing spree for years,it was never closed down by parent company until recent gains. Workers are being paid.

Standard Chartered has been selling and closing entities in Africa, But they still left their Nigerian brand.
Parent companies don't easily close their flagship entities in countries they have market share.

3) In the event of a close down, unlike probably any other parent company without name or reputation, I believe Standard bank will pay off clients if they ever want to shut down Stanbic asset management. They have a name and reputation to protect. You may dismiss it,
but It's an advantage to clients that a company values it's brand as an intangible asset.

4) Yes AUM isn't the golden standard. It's a liability. But you can't accumulate such liability without those metrics you listed.
It's s 2-way street .

But Stanbic and their group has also shown being at the forefront of technicalskill application in other financial sectors as well.
From Stanbic pension, to stockbrokers, to Stanbic Capital, etc.
Like I stated earlier , their capital arm are leading house in Dangote refinery listing on NGX.
They also successfully listed DangCem commercial paper on NGX first ever.
Participated in 250bn Listing of PRESCO Right Issue on NGX.
This points to the fact they are still largely trusted; and they deliver as well. They are still robost to that effect.

They aren't infallible especially with our own retail requirements of customer service, etc but they are still up there and far from bankruptcy COMPARED TO OTHERS.
not necessarily discussing Stanbic in isolation.

Others might have improved interface, better retail customer services, better automation and app-user experiences...
Not taking that away.

Candanyl:
It’s so disappointing I still cannot access my funds over a week after the transaction. Whatever internal or network issues they are battling with should not deprive customers of access to their own money.

It is unacceptable that I have been unable to use my funds for this long . I was already tolerating the low rates, but adding prolonged network issues that have lasted over a week is too much

At this point, I will withdraw all my funds and move them to ARM. I no longer feel confident keeping my money with Stanbic .

coming here to cry solves nothing. You should focus on asking them when network issues would be resolved. If they tell you 1-week, wait at least extra day and call. You need cosntantly followUp. Me don help person fund account wey no gree reflect. while waiting, the man sent more funds and I sent and it reflected by end of the day YET the previous was no way to be found. After a while, I had to call and after several calls, it was found the issue was from quickTeller BUT quickTeller kept telling me transaction was successful which also reflected on the notification they sent me while I made the payment.

BUT stanBic kept telling me otherwise. It was after several to and fro, did quickTeller finally acknowledge it was from their own end and stanBic was the one who actually assisted in figuring that out. quickTeller said it was a system error from their end hence system said successful but somethings didn't happen behind the scene. Later the got back to me and said it's been done. I went back to stanBic and they checked and confirmed it's now in their custody. And by 5pm or thereAbout, the funds reflected in the person's account. Imagine if I had repeatedly come here to cry unnecessarily. In all, spent about 1,000 naira or more worth of airTime because me no get strength + time to enter bank. Spending on airTime ie even cheaper for me than moving about.

So once again, get in touch with them, give them your reference details, and ask for status report. One of the advantages of being a customer to a smaller company is, they have much much more of your time BUT when the company is really really huge, it becomes different.

Another is, a lot of us are not informed at all in almost anything + common sense, we still no get hence when we call customerCare and the person at the other end tries to discharge us with any how talk/suggestion/instruction, we easily fall for them. e get wetin you go talk, I go refuse andinstead ask you actually be the one to do it.

A bank once reNewed ATM card for a card that got trapped in the machine of another branch very very very far away which I stopped using for over 6 years. I saw the sms alert for the charges and I enter okada with slippers without even changing my house wear. I enter banking hall, follow customerCare staff reason matter, they tried talking me down teling me it's been done already by their system BUT unKnown to them, most times, I know what I want. I told them No and gave my reasons. I also told them I don't care if their system already did it or not. I asked they refund my account as I didn't instruct or make such request. They tried asking I go to my branch and write to them BUT I insisted that I must not go to my branch as I can be attended to, from any branch. After plenty talk, they said I should write a letter, I still told them I didn't play any part towards them deducting my account, I wasn't about to play a part in them making the refund. I made it crystal clear I don't mind spending the money they deducted 10 times on Okada costs just coming and going to ensure they play their part. At end of the day, they agreed and discharged Me. I waited 2 days and went back and they promised it would be done before end of the day and guess what, 3 days later, my money was 100% refunded.

Funny enough, the charge was about 1,050 naira BUT I spent like 300 naira on Okada transportation just to ensure they returned back the 1,050 naira. reason being If I had left it and they won, there would be a repeat either to me or another person. As a poor man, we dey know our Account balance to the last digit.

Have said it several times, very high interest rates are paid by those who are FRESH in the game hence looking for customers. The oldies don't have such pressure. Even Norrenberger gives around 17% but some wey never reach 2-months old dey give advertise 20% and above. Dem no go even tell you wether it's tax or vat inclusive or not. dem no go eveen tell you if their charges are inclusive or not.

Some go still delay reflecting your daily earnings so that whhen they finally update it, chances are, you wouldn't easily be able to tell what value was used. As early as 12:05am, stanbic IBTC don already credit accounts both mine and others and even compounded current earning to existing capital. Some never even credit yesterday's earning up till now. mayBe they do so later in the day or wait till next week to pay both.

Those with serious money, no dey reckless. shey person with 100million naira go get mind put everything for those advertising highest rates ?

Yea I agree the high rates are tempting BUT if you not greedy, you need look beyond the rates. I rather earn less and have rest of mind than try to earn huge and constantly at the edge emotionally due to fear, or worse still loose my capital. na wetin dey make people fall for S C A M be that.

bassdow:
Have said it several times, very high interest rates are paid by those who are FRESH in the game hence looking for customers. The oldies don't have such pressure. Even Norrenberger gives around 17% but some wey never reach 2-months old dey give advertise 20% and above. Dem no go even tell you wether it's tax or vat inclusive or not. dem no go eveen tell you if their charges are inclusive or not.

Some go still delay reflecting your daily earnings so that whhen they finally update it, chances are, you wouldn't easily be able to tell what value was used. As early as 12:05am, stanbic IBTC don already credit accounts both mine and others and even compounded current earning to existing capital. Some never even credit yesterday's earning up till now. mayBe they do so later in the day or wait till next week to pay both.

Those with serious money, no dey reckless. shey person with 100million naira go get mind put everything for those advertising highest rates ?

Yea I agree the high rates are tempting BUT if you not greedy, you need look beyond the rates. I rather earn less and have rest of mind than try to earn huge and constantly at the edge emotionally due to fear, or worse still loose my capital. na wetin dey make people fall for S C A M be that.

wanted to help someone purchase commercial papaers, but after accessing the person, seeing the rates, and comparing it with MMF, I showed the person the differennce, included the fact even the company is not a very strong company like Dangote, and told the person it's not worth the risk

I have once tweeted about this NDIC protection limit. 5 million is quite small.

Preator:
Oga, i am not sure which industry you work in o but i make a living, until recently, as a Business Finance advisor. Any deposit in a nigerian bank, including those held as a custodian have the same NDIC protection limit which is N5m. Anything after this you will get after the assets have been sold, if money remains.

There is no subcontracting. The Custodian acts as a banker to the fund manager same way they act as bankers to other individuals and businesses. The fund manager gives instructions to the custodian same way you give instructions to your bankers via transfer instructions.

Government needs money and your fund manager decides to lend. They instruct the custodian to move money to government. Government repays later to the custodian with interest. The fund manager instructs the custodian to credit the account of unit holders (investors) with their money and accrued benefits. I'm sure you've seen that your inflows come from UBA.

If UBA fails after government has remitted what it owes, na gobe be that. During winding up process, ordinary depositors are the last to be settled apart from the NDIC guaranteed limits.

You are free to select your custodian as long as its not your own group bank.

By the way, Stanbic has well over 2Trillion in AUM, only N5m of that is guaranteed by NDIC. You posit that the stanbic Group will settle that amount for reputation sake and without any regulatory obligations to do so? How much is their entire balance sheet in nigeria?

This is all hypothetical anyway since it's almost impossible for banks(DMB) to fail now in nigeria. Heritage will be the last one for a long while.

UncleJudax:
I have once tweeted about this NDIC protection limit. 5 million is quite small.

Well, its an improvement over the old 500k limit. And it's okay for lots of Nigerian individuals. Data from the Presidential committee on tax actually indicates that over 90% of nigerians have less than 1m in their bank accounts. So only institutions and HNIs are left largely with the risks.

Plus i no dey get cash for my banks anyway. If not for SCB with high limits. And even that one sef, just put the money in mmf. It counts towards their 7.5m wahala

Preator:
Oga, i am not sure which industry you work in o but i make a living, until recently, as a Business Finance advisor. Any deposit in a nigerian bank, including those held as a custodian have the same NDIC protection limit which is N5m. Anything after this you will get after the assets have been sold, if money remains.

There is no subcontracting. The Custodian acts as a banker to the fund manager same way they act as bankers to other individuals and businesses. The fund manager gives instructions to the custodian same way you give instructions to your bankers via transfer instructions.

Government needs money and your fund manager decides to lend. They instruct the custodian to move money to government. Government repays later to the custodian with interest. The fund manager instructs the custodian to credit the account of unit holders (investors) with their money and accrued benefits. I'm sure you've seen that your inflows come from UBA.

If UBA fails after government has remitted what it owes, na gobe be that. During winding up process, ordinary depositors are the last to be settled apart from the NDIC guaranteed limits.

You are free to select your custodian as long as its not your own group bank.

By the way, Stanbic has well over 2Trillion in AUM, only N5m of that is guaranteed by NDIC. You posit that the stanbic Group will settle that amount for reputation sake and without any regulatory obligations to do so? How much is their entire balance sheet in nigeria?

This is all hypothetical anyway since it's almost impossible for banks(DMB) to fail now in nigeria. Heritage will be the last one for a long while.

If UBA no remit what govt has paid, na the trustee(escrow)
we go blame.


Correct. It's not obligated that the parent group will settle.
I am only justifying the likely probability that they would settle based on history modus-of-operation robustness, African and international reach and nuances of financial sector interdependence.
Unlike other subsidiaries, Most of these financial services subsidiaries depend on each other. So they need it to exist to support other subsidiaries.


That said if UBA's balance sheet begin to misbehave, that's enough for Stanbic to change custodian.




Anyway,please enlighten me if you know:
isn't the funds in the unique UBA-account we all pay to not exclusive to Stanbic asset Management Balance Sheet?

Does CBN and SEC allow UBA and other custodians to report their custodian assets in their balance sheet?

Checked online, discovered NDIC doesn't cover investments liquidation.
SEC does and it's called Investor Protection Fund(IPF)
Lol... only ₦200k .
eee no funny..

More reasons we all need to shine eyes where we invest our money.
SEC can't help you beyond 200k.
This is both funny and annoying.

Someone mentioned Firms that add more internal mechanism to guage risk inaddition to SEC are much better... I agree

Iamblessed8888:
Thank God you are also experiencing my frustration when i argue with folks here. One particular character here has chosen to be the antithesis of reason. Maybe na OPAY business adviser 😂. The things he says are purely academic and not practical atall.

Anyways, you right in your argument. I’m a CFA and i should know. There is no way standard bank will not bail out stanbic if anything. If governments can bail out companies they dont own, how much more a parent? Can these clowns name me a case of a subsidiary that has gone under without the parent’s intervention?

With my 100k in stanbic, i still watch them with eagle eyes. So, imagine how much more stanbic will close mark UBA? The may even have staff on secondment with UBA 😁.

If UBA so much as runs high temperature while sleeping at night, stanbic will be the first to know. Besides, that money is not even sitting with UBA, so UBA can still go under and the government will simply remit stanbic’s money to another bank.

Another said AUM does not count. Riddle me this, if you were SEC, which Fund Manger would you be most interested in? RT Briscoe with 700million naira or the one with 2 trillion? Even SEC’s money follow dey inside stanbic 😂😂

There is even no way Stanbic would not have tried to insure its holdings to a degree

Last time i'll ever quote you. It seems when you dont have anything to say, you pivot to personal denigration. You can make a point without personal abuse, the fact you chose not to shows weak intelligence. I've responded to Chimex38 simply because he is willing to at least consider other views without sounding like a know it all.

Preator:
Well, its an improvement over the old 500k limit. And it's okay for lots of Nigerian individuals. Data from the Presidential committee on tax actually indicates that over 90% of nigerians have less than 1m in their bank accounts. So only institutions and HNIs are left largely with the risks.

Plus i no dey get cash for my banks anyway. If not for SCB with high limits. And even that one sef, just put the money in mmf. It counts towards their 7.5m wahala

Does SCB have a naira MMF? If so, how does one access it? Can't seem to find it in their app...

chimex38:
Checked online, discovered NDIC doesn't cover investments liquidation.
SEC does and it's called Investor Protection Fund(IPF)
Lol... only ₦200k .
eee no funny..

More reasons we all need to shine eyes where we invest our money.
SEC can't help you beyond 200k.
This is both funny and annoying.

Someone mentioned Firms that add more internal mechanism to guage risk inaddition to SEC are much better... I agree

You dnt play in the capital market though. Yours is money market.

Per your earlier post, UBA does not really distinguish the deposits from others. However, in their FS, you will see a note covering how much they hold in money market funds from other institutions. Taking 2024 FS, you will see the money market deposit vs total deposit is quite low. Additionally, high liquidity, low loans ans advance vs deposit ratio makes them the custodian of choice.

chimex38:
Most don't set out to misinform, most drop what they know and experienced, others might know more from where another stopped.

So Yes, correct whatever you think is misinformation, it helps to enrich the discuss as well. Let readers do their findings.

The initial discuss is not the infallibility of Stanbic or standard group as a stand alone entity but in comparison to others currently in Nigeria based on bankruptcy.

But thanks for your history lessons on the reserve primary fund 2008 global recession. On further reading, there was a rescue effort by US government Precisely making my point. Customers were shielded


@2nd bolded,
Those qualities you mentioned[b]("financial strength is determined by capital adequacy, strong corporate governance, disciplined liquidity management and rigorous risk management…"[/b]) are more or less well attributed to Stanbic than other entities currently I believe. We are talking decades of existence and consistency; That's precisely my point also.


@First bolded. You are correct on a general note.
Subsidiaries can be closed down if returns are poor. Especially entities that have wider subsidiaries( construction, mining, oil and gas, foodprocessing, Agriculture,etc..). It's much difficult to leverage skill across these vast sectors to mitigate risk of solvency.

But:
1)You will agree that for Financial services, despite the variety of subsidiaries, their general activities and operations are usually intertwined. Banks also do investments, asset managers also invest in banks fixed-deposits, etc..
It's almost inevitable they won't come to bail out or prevent/reduce it in the first place at the slightest sign. The sector has a lot of leveraged skill that are complementary, supplementary and even composite.

2) a subsidiary that gives you market share isn't easily closed down.
MTN-Nigeria has been on a loosing spree for years,it was never closed down by parent company until recent gains. Workers are being paid.

Standard Chartered has been selling and closing entities in Africa, But they still left their Nigerian brand.
Parent companies don't easily close their flagship entities in countries they have market share.

3) In the event of a close down, unlike probably any other parent company without name or reputation, I believe Standard bank will pay off clients if they ever want to shut down Stanbic asset management. They have a name and reputation to protect. You may dismiss it,
but It's an advantage to clients that a company values it's brand as an intangible asset.

4) Yes AUM isn't the golden standard. It's a liability. But you can't accumulate such liability without those metrics you listed.
It's s 2-way street .

But Stanbic and their group has also shown being at the forefront of technicalskill application in other financial sectors as well.
From Stanbic pension, to stockbrokers, to Stanbic Capital, etc.
Like I stated earlier , their capital arm are leading house in Dangote refinery listing on NGX.
They also successfully listed DangCem commercial paper on NGX first ever.
Participated in 250bn Listing of PRESCO Right Issue on NGX.
This points to the fact they are still largely trusted; and they deliver as well. They are still robost to that effect.

They aren't infallible especially with our own retail requirements of customer service, etc but they are still up there and far from bankruptcy COMPARED TO OTHERS.
not necessarily discussing Stanbic in isolation.

Others might have improved interface, better retail customer services, better automation and app-user experiences...
Not taking that away.

You’re still pushing the same strawman argument I challenged from the start. I’ll reiterate it again: Brand history, corporate pedigree, “decades of consistency,” aren’t safety signals!. It’s a flawed logic not even supported by facts.

Read up on corporate failures and understand how these things actually work. Even the Reserve Primary Fund you said you researched on wasn’t rescued as a going concern…its parent refused to inject capital, the US Treasury guarantee explicitly excluded it, redemptions were frozen, and investors only got partial recovery after the fund was liquidated.

Besides, govt bailouts are usually selective and political…Nigeria is even a closest example to learn from. CBN literally called Skye Bank “too big to fail” in 2014, pumped in cash, then watched it collapse and get seized anyway. What of Heritage Bank? Other struggling banks kept getting the liquidity window but Heritage wasn’t fortunate and got liquidated outright.

Look, you can’t assume a parent will ride to the rescue unless you’re sitting in the boardroom reading their actual policy papers. The only public, verifiable window outsiders have is the latest CBN/SEC capital-adequacy returns, liquidity coverage ratios, and SEC risk filings.

Until you quote those current numbers to show Stanbic actually beats its peers today, talks of intertwined operations, flagship status, and brand protection is just hopeful narrative and cope. It’s a nice little story that doesn’t survive the facts. I’ve said enough on this.

morofolu:
Does SCB have a naira MMF? If so, how does one access it? Can't seem to find it in their app...

They do euro and usd. Not aware of any naira. The 7.5m threshold is naira or equivalent. I do both usd and eur. Note tha principal is not guaranteed like naira mmf.

Preator:
You dnt play in the capital market though. Yours is money market.

Per your earlier post, UBA does not really distinguish the deposits from others. However, in their FS, you will see a note covering how much they hold in money market funds from other institutions. Taking 2024 FS, you will see the money market deposit vs total deposit is quite low. Additionally, high liquidity, low loans ans advance vs deposit ratio makes them the custodian of choice.

OK.. Thank you for your response and insight.

Neurotika:
You’re still pushing the same strawman argument I challenged from the start. I’ll reiterate it again: Brand history, corporate pedigree, “decades of consistency,” aren’t safety signals!. It’s a flawed logic not even supported by facts.

Read up on corporate failures and understand how these things actually work. Even the Reserve Primary Fund you said you researched on wasn’t rescued as a going concern…its parent refused to inject capital, the US Treasury guarantee explicitly excluded it, redemptions were frozen, and investors only got partial recovery after the fund was liquidated.

Besides, govt bailouts are usually selective and political…Nigeria is even a closest example to learn from. CBN literally called Skye Bank “too big to fail” in 2014, pumped in cash, then watched it collapse and get seized anyway. What of Heritage Bank? Other struggling banks kept getting the liquidity window but Heritage wasn’t fortunate and got liquidated outright.

Look, you can’t assume a parent will ride to the rescue unless you’re sitting in the boardroom reading their actual policy papers. The only public, verifiable window outsiders have is the latest CBN/SEC capital-adequacy returns, liquidity coverage ratios, and SEC risk filings.

Until you quote those current numbers to show Stanbic actually beats its peers today, talks of intertwined operations, flagship status, and brand protection is just hopeful narrative and cope. It’s a nice little story that doesn’t survive the facts. I’ve said enough on this.

OK. Thanks for the insight and contribution.

bassdow:
coming here to cry solves nothing. You should focus on asking them when network issues would be resolved. If they tell you 1-week, wait at least extra day and call. You need cosntantly followUp. Me don help person fund account wey no gree reflect. while waiting, the man sent more funds and I sent and it reflected by end of the day YET the previous was no way to be found. After a while, I had to call and after several calls, it was found the issue was from quickTeller BUT quickTeller kept telling me transaction was successful which also reflected on the notification they sent me while I made the payment.

BUT stanBic kept telling me otherwise. It was after several to and fro, did quickTeller finally acknowledge it was from their own end and stanBic was the one who actually assisted in figuring that out. quickTeller said it was a system error from their end hence system said successful but somethings didn't happen behind the scene. Later the got back to me and said it's been done. I went back to stanBic and they checked and confirmed it's now in their custody. And by 5pm or thereAbout, the funds reflected in the person's account. Imagine if I had repeatedly come here to cry unnecessarily. In all, spent about 1,000 naira or more worth of airTime because me no get strength + time to enter bank. Spending on airTime ie even cheaper for me than moving about.

So once again, get in touch with them, give them your reference details, and ask for status report. One of the advantages of being a customer to a smaller company is, they have much much more of your time BUT when the company is really really huge, it becomes different.

Another is, a lot of us are not informed at all in almost anything + common sense, we still no get hence when we call customerCare and the person at the other end tries to discharge us with any how talk/suggestion/instruction, we easily fall for them. e get wetin you go talk, I go refuse andinstead ask you actually be the one to do it.

A bank once reNewed ATM card for a card that got trapped in the machine of another branch very very very far away which I stopped using for over 6 years. I saw the sms alert for the charges and I enter okada with slippers without even changing my house wear. I enter banking hall, follow customerCare staff reason matter, they tried talking me down teling me it's been done already by their system BUT unKnown to them, most times, I know what I want. I told them No and gave my reasons. I also told them I don't care if their system already did it or not. I asked they refund my account as I didn't instruct or make such request. They tried asking I go to my branch and write to them BUT I insisted that I must not go to my branch as I can be attended to, from any branch. After plenty talk, they said I should write a letter, I still told them I didn't play any part towards them deducting my account, I wasn't about to play a part in them making the refund. I made it crystal clear I don't mind spending the money they deducted 10 times on Okada costs just coming and going to ensure they play their part. At end of the day, they agreed and discharged Me. I waited 2 days and went back and they promised it would be done before end of the day and guess what, 3 days later, my money was 100% refunded.

Funny enough, the charge was about 1,050 naira BUT I spent like 300 naira on Okada transportation just to ensure they returned back the 1,050 naira. reason being If I had left it and they won, there would be a repeat either to me or another person. As a poor man, we dey know our Account balance to the last digit.

I have lost count of how many times I’ve called and sent emails regarding this issue. Each time, I’m given the same response — “network issues,” assurances that they are working on it, and promises that my funds will reflect before the end of the day. Since last week Monday , same excuse!.and yes the problem is from their end.
I understand that organizations may experience technical difficulties, but a delay of over a week is unreasonable. What should typically take one to three days has now extended far beyond that, and it is affecting a time-sensitive investment I planned to use the funds for. I’m just calling them out for their inefficiency on this platform

Candanyl:
I have lost count of how many times I’ve called and sent emails regarding this issue. Each time, I’m given the same response — “network issues,” assurances that they are working on it, and promises that my funds will reflect before the end of the day. Since last week Monday , same excuse!.and yes the problem is from their end.
I understand that organizations may experience technical difficulties, but a delay of over a week is unreasonable. What should typically take one to three days has now extended far beyond that, and it is affecting a time-sensitive investment I planned to use the funds for. I’m just calling them out for their inefficiency on this platform

well if said issue is less than 1-week, then give them time. The one I shared between stanBic and quickteller, I waited for over 1-week before I made the first call. Imagine if I had decided to be disturbing myself everyday.

If issue is less than 1-week, wait for like 3 to 5 days and give a call. Before ending every Call, try and insist on getting a clear response to "When is the Network issue likely to be resolved ?" or "when next should I check back ?". If they tell you in 2-days time, wait like 3-days before calling again. And to save you the time, always ask for ticket id. Even when you call, they keep records hence if I call and they want me to start explaining myself all over again, I just ask they reference their records regarding the last time I called. I once ran a contact center hence know the flow whether call Center or contact Center. Even if I don't have the ID, I can always ask they check their records from last I called. They should always have it even if you don't. they would ask for a couple of seconds to review and continue the conversation. That way, you don't waste airTime reTelling stories again.

No need getting frustrated unnecessarily as that wouldn't solve the issue. You no even know whether the staff attending to you don chop or pay e rent. We all hhave our private issues.

I for say make I help you BUT that would require sensitive details hence do am yourSelf. Don't bother sending messages. They're likely to get ignored.

Also note that whe issues such as this occurs, there definitely would be backLogs hence whenever they get issue resolved, they have to also clear those backLogs and mostly in FirstInFirstOut method.

Calling them out here would unlikely produce result because we don't even know if they have representatives here. mayBe calling them out on their social media platforms abi handles could be more productive.

I for say make you request for fund reversal BUT that na another work.

bassdow:
well if said issue is less than 1-week, then give them time. The one I shared between stanBic and quickteller, I waited for over 1-week before I made the first call. Imagine if I had decided to be disturbing myself everyday.

If issue is less than 1-week, wait for like 3 to 5 days and give a call. Before ending every Call, try and insist on getting a clear response to "When is the Network isse likely to be resolved ?" . If they tell you in 2-days time, wait like 3-days before calling again. And to save you the time, always ask for ticket id. Even when you call, they keep records hence if I call and they want me to start explaining myself all over again, I just ask they reference their records regarding the last time I called. I once ran a contact center hence know the flow whether call Center or contact Center.
No need getting frustrated unnecessarily as that wouldn't solve the issue. You no even know whether the staff attending to you don chop or pay e rent. We all hhave our private issues.
I for say make I help you BUT that would require sensitive details hence do am yourSelf. Don't bother sending messages. They're likely to get ignored.

Also note that whe issues such as this occurs, there definitely would be backLogs hence whenever they get issue resolved, they have to also clear those backLogs and mostly in FirstInFirstOut method.

Calling them out here would unlikely produce result because we don't even know if they have representatives here. mayBe calling them out on their social media platforms abi handles could be more productive.

I for say make you request for fund reversal BUT that na another work.

Why do you think you need to defend stanbic ibtc?
They are big,yes.
Efficiency,on a downward spiral.
Rate, poor and unattractive.
They are just behaving like someone who is already full who doesn't need food again.
Mind you I have been doing business with them for more than fifteen years.
They need to sit up and up their game.

Candanyl:
I have lost count of how many times I’ve called and sent emails regarding this issue. Each time, I’m given the same response — “network issues,” assurances that they are working on it, and promises that my funds will reflect before the end of the day. Since last week Monday , same excuse!.and yes the problem is from their end.
I understand that organizations may experience technical difficulties, but a delay of over a week is unreasonable. What should typically take one to three days has now extended far beyond that, and it is affecting a time-sensitive investment I planned to use the funds for. I’m just calling them out for their inefficiency on this platform

Dont call them out here again. Serves no purpose. The fact i had same issue and it’s been resolved should let you know they are clearing their backlog. Look on the bright side, what if this is an act of God? I wanted to top up my equity fund since 24th. If i had done that top up, it would have been red by now since the stock market nose dived that week. I saw it as divine intervention. It could even be the stanbic algorithm trying to protect you.

1. Call on Monday.
2. Ask to speak with a supervisor, make sure you byepass the first line rep who would answer.
3. Explain the situation and what it has cost you so far.
4. Ask for a firm timeline of resolution. It has to be tomorrow. Put your foot down.
5. Say you will call back in an hour or two time. Ask for the supervisor’s name and say you want to speak with them specifically when you call back. That way, they may take ownership.
6. Alternatively, ask for your account officer and let them help you. My account officer intervened, i guess-it helped my case.
7. Just relax and know it will be done tomorrow. It’s a backlog issue
8. In all this conversation with them, maintain your calm and act like a HNI which you are.

pluto09:
Why do you think you need to defend stanbic ibtc?
They are big,yes.
Efficiency,on a downward spiral.
Rate, poor and unattractive.
They are just behaving like someone who is already full who doesn't need food again.
Mind you I have been doing business with them for more than fifteen years.
They need to sit up and up their game.

Thank you jare . Lack of being accountable. I shouldn’t call them out . What if it’s an emergency that needs to be taken care of . They need to sit up

I really thank God for the stanbic glitch. Apart from MMF, all other investments were red that week. I am starting to suspect they were even protecting investors.

pluto09:
Why do you think you need to defend stanbic ibtc?
They are big,yes.
Efficiency,on a downward spiral.
Rate, poor and unattractive.
They are just behaving like someone who is already full who doesn't need food again.
Mind you I have been doing business with them for more than fifteen years.
They need to sit up and up their game.

So because I talk wetin different from your thoughts and views, you think say I dey defend stanBic IBTC.

what I said applies to all banks. I share what I know and have done. When I hear people say how they have left their money with so so so bank, i kinda cringe because e never do me before. Me ke, I go see to iend of it.

BUT if you think I'm defending stanbic, then you funny. Last I checked, I don't work with them, neither Am I an ambassador or whatEver.

Abi if dem begin talk today, you go hear say even oPayy, moniPoint, GTB, firstBank, etc all have their issues. So don't come here making it seem like it's a new issue. Shout from now till 5 years time, if they don't have valid representatives here to carry the talk to them, you just filling nairaland's servers memory with text while increasing pageCount. No be una fault; most are used to outSourcing their thinking to religious leaders such as pastors, priests, imam, etc.

I read a lot of unInformed things on this page and I just dey smile. Person wey no get any idea on something go just dey talk authoritatively.

There are platforms I could call out here if I want because I am sure they have insiders here BUT there are those it's just noise e.g GTB, Zenith, probably even stanBic IBTC, oPay, etc

Iamblessed8888:
I really thank God for the stanbic glitch. Apart from MMF, all other investments were red that week. I am starting to suspect they were even protecting investors.

don't get you please. Explain further