sr9web

Securities Transaction Tax: Wrong Idea at the Wrong Time

Not only is the columist Hebert completly and utterly venal in his thinking, but he's also incredibly stupid.

The only thing a "transaction" tax on securities would accomplish is forcing the so-called speculators to drive the markets to more volatility, not less.

If a tax of "X" is applied, then each trade must make "X" + profit or it will not be entered into.

When you add the "X" to each move, the moves will be larger, up or down.

Also, this idea is absurd on its face - think about this:

In addition to stock trading on my own, I am in several mutual funds. Sometimes a fund might have a turnover ratio of over 100% - that means the entire portfolio is bought and sold at least 1 times per year.

Now comes along this idiot Hebert who wants to TAX MY MONEY .25% each way.

Oh great!

It's not enough that my funds can sometimes go down 40% in just a few months (like they just did) - but now Hebert wants to take another .5% (.25 +.25) of my money.

The man is clearly deranged and an enemy of personal financial freedom.