Is ABN Amro (ABN) Too Expensive Yet

Like two poker players who have been up for 36 hours straight, RBS and Barclays (BCS) keep upping their bids for ABN Amro (ABN),

Barclays will use money raised from China Development Bank and Temasek Holdings to up its bid to $93.34 billion. That is still a bit below the RBS bid, but, according to The Wall Street Journal “Barclays is counting on an increase in its stock price to close the gap”. Why that would be true is anyone’s guess. Raising its bid for ABN should lower Barclays stock. But, that is their problem.

Temasek, which is controlled by the government of Singapore ad China Development Bank will buy shares in Barclays to help the UK bank fund its takeover. What happens if the ABN bid does not work is unclear.

At some point the price of ABN may become to high. Or perhaps that has already happened.

Douglas A. McIntyre

Sponsored: Tips for Investing

A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.

Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.