DBS (Development Bank of Singapore)

[weijian]

Hi weijian,

It is alright to bet on a good capital allocator, but do remember than DBS is a professional managed outfit. CEO will come and go. Unless there is a long embedded culture in the company of good capital allocation, a new CEO sometimes might turn things around and have his own new idea of doing things.

hi ghchua,

What would be the alternative? Betting that the visionary founder has similarly capable offspring?

Come and go CEO, in a meritorious manner? OR It's in Our family, like Kwek Junior making bets to make his mark at CDL, or those that have the whole clan working in the company and make property investments (that are non core to ops) to hold across generations?

Well, at the least the former has a mechanism to make changes! But of course, no system is best and everything needs to be adopted accordingly to needs and available resources at that point of time. We as OPMIs, are on the look out for exceptions to the norm.