Salami tactics

In the wake of the subprime crisis, a term used to describe the business policy of large banks and insurance companies of not announcing their losses all at once, but rather of gradually disclosing them to the public in slices. – The ECB criticized this behavior because such a communication policy is likely to increase general uncertainty. Incurred losses leak out in any case: they give rise to rumors and end up hurting a bank more than an immediate publication of the bad news. – See ad hoc announcement, shareholder letter, information deferral, factual design, sleeping money, loss camouflage.

Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent!
University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/

Sidebar