donzoab

Taking Issue with David Dreman

Interesting article if not oversimplistic. The disclosure at the end is the most interesting part. LONG WFC?? Not buying more? What are you doing to protect the position. Buy puts or sell calls. Do something. This just sit on it mentality is what is forcing retail investors to work for another 10 years. Shame. Stop pointing fingers. Almost every aspect of finance is involved here. Brokers/investment banks selling garbage to the masses, manipulating credit ratings w/ratings agencies, shorting products they are selling to their clients (IE Goldman shorting munibonds), and on and on and on.
The REAL culprit here is the legal system. Unless Tort reform is finally passed, lawyers will rule the world and society will continue to say "I am not responsible for my own actions" Let the penalty fit the crime.

Banking Sector: Band-Aids Just Won't Do It

I totally agree with the author here. Our society today is being destroyed by the utter lack of accountability and responsibility for its own actions. Investors that get burned here have options.
The government can bail out bad mortgage holders but the CEO's of banks and brokerages are getting away with murder. All the profits and bonuses that have been paid out under this system of unregulated greed infested system only line the pockets of a few at the top. The rest lose their jobs, their homes ,their life savings etc.
How do you lose BILLIONS of dollars, then get a bonus to leave the company.??? New CEO's come in to FIX the problem while thousands of hard working employees are laid off for short term savings.? How does this system work any better? Wipe out the common holders (AND TAKE AWAY THESE GOLDEN PARACHUTES) and start over