davidbdc

Volcker's Wake Up Call: Spread the Word

Volker is the man!!

He's just saying what we all know....men passing around pieces of paper add nothing to this country and in fact they are stealing from the "real" economy.

And he's right that despite all the best minds going to Wall Street, there has been nothing of any social benefit produced. Securitization??? please, that just is more paper being produced and cut up and sold off....to create a commission for someone.

Volker might win come November 2010 when the American people finally rise up and throw out all congressional incumbents.....you can only steal from a man for so long before he will fight back....and you have to believe that America has enough fighting spirit left to start hitting back soon.

Why Bank of America Paid Back the Money

So if I understand the article correctly, BAC decided to throw away money and hurt existing shareholders to "get the government off their backs".

Now if I think about this for a few minutes, I have to believe that this is only being done so that management can start paying themselves a ton of money next year. Which means that they don't really care a lick about shareholders.

Shareholders lose, but I can pay myself and my buddies a small fortune.........isn't this exactly the thinking that got us into this mess in the first place?

I'm a huge believer in markets and people building up their personal wealth and building companies, etc.......but that assumes some sort of real achievement - not plundering. I wish I had the answer for how to get management back in line with their investors and societies best interests but I don't have it - but I do know that where we are at (and seem to be going back to) is simply not ok.

The Return of the Plutocrats

The only way to impact executive pay is to change the tax code. The tax code should be used to reward those that actually create jobs (ie business owners). Corporate chief's are just well dressed ass kissers that manage to climb the ladder....maybe they climbed it and produced good results....or maybe they climbed it in spite of results. They need to be paying higher taxes. That will push folks to go out and actually start businesses.....which will impact employment. Our current CEO's/BOD only know one play from the playbook.....headcount reductions.

John Paulson's Hedge Fund Position Updates

Whether you agree with him or not, you have to admit Paulson is on a hot streak.....so perhaps a few thousand shares of C at prices less than what he's paid would be a decent bet.

Time for the U.S. Economy to Reindustrialize

All of the "G20" countries have a buy....France, China, UK, etc policy when it comes to federal expenditures........ex... 1. Thats right, the USA is the only industrialized country that doesn't support its industrial base with a Buy USA policy for Federal expenditures. We need a coherant industrial policy for us to have a strong economy going forward. Once your manufacturing footprint is gone, it isn't going to suddenly reappear.

We need to draw "talent" away from financial engineering....which doesn't produce anything but paperwork into "real" industries. Too much of our best engineering talent ends up on Wall Street.....they make a bundle for themselves but nothing for those around them.

What's the Fair Value for the Dow Jones Industrial Average?

So they have some bonds to sell too........Its really tiring watch Gross go on TV constantly (or his sidekick) and tell people that their stocks will plummet.....and hey just buy some of my bonds and everything is ok.

He should have to pay to be on these shows just like advertisers pay during commercial breaks......he is just product placement advertising.


On Nov 01 07:47 AM Hao Jin wrote:

> Below was a comment from Instablog, which I deleted after article
> is published:
>
> On Oct 31 04:04 PM Graham and Dodd Investor wrote:

What's the Fair Value for the Dow Jones Industrial Average?

I wouldn't support this at all. And I'm not a trader, nor do I short stocks. This would just further enable management to run companies for their own purposes instead of for shareholders best interests. At least now if a management team goes in a direction I don't approve of I can easily exit the position. Now you want me to exit and pay 35% and up if I haven't held for two year?

What if I want to sell to buy a home, or because I found a better investment opportunity?

I don't think short traders make as much as you think - otherwise half of the message board traders would be driving around in Ferraris and I haven't noticed that trend.

Personally, I buy companies I feel are well positioned and (usually) are paying me dividends.....and I don't much care what happens Monday-Friday unless there is actual company news that I need to consider. Collect my dividend and let folks smarter than myself time all their bets. Good luck.


> STOP THE INSANITY NOW!
>
> Revised Tax Rules:
>
> 1. Capital gains under <6 months - 55% tax on capital gains
> 2. Capital gains 6 > 12 months - 45% tax on capital gains
> 3. Capital gains 1 > 2 years - 35% tax on capital gains
> 4. Capital gains 2 > 5 years - 18% tax on capital gains
> 5. Capital gains 5+ years - 5% tax on capital gains
> 6. Most critical of all — Institute a capital gains tax of 55% on
> ALL short sales not directly tied to a long buy by a licensed hedge
> fund. I'm tired of paying for the pure shorts 3rd vacation home.

Why Mortgages Aren’t Modified and What a Ruling Stopping Foreclosures Means

"equity participation modification".....does that extend to Ferrari's? If so, sign me up. I can pay $500/month....government can chip in the rest and have a claim on the residual value when I (we) sell it in four years.

Think you'll like paying taxes so that I can go cruising?

Retail Investors Should Get Out of U.S. Stocks - Now

And get into what exactly?

1% CD's at my local bank......and why do you think people expect another 60% rise in the next 6 months? I expect that the stocks I've bought this year will increase their earnings, continue to pay me dividends and slowly appreciate in value as the earnings increase.

And 3 banks don't make the market.

I'd suggest the author sell whatever he holds and buy PEI, collect the dividends over the next year or two and then rationally consider how to invest going forward.

Galleon Group's 50 Largest Holdings

If you could let us know what they bought last Wednesday, Thursday and Friday that would be great - because big news on those stocks are probably coming out this week!

The Mess at Extended Stay

I would hope that the junior debt holders would be able to enforce the provision that the CEO pays back the $100 million and they get to divi that up. Its tiresome watching these supposed "leaders" be allowed to award themselves 10's and 100's of millions of dollars and then turn around and walk away when the house of cards collapses.

I've got no issues with folks making big bucks, but when it becomes apparent they made the big bucks based on illusions then its time to enforce as much as possible.

Paulson Owes Bank of America's Shareholders a Better Explanation

Actually, I disagree. I'm not really a Paulson fan, but its refreshing to see a government leader taking action with the best interest of the country at heart for a change. I also give Paulson credit for not trying to pass the buck yesterday - seemed to me that he honestly stated what he did and the reasons for why he made his decisions and his actions.

BAC and Merrill Lynch shareholders would be holding stock certificates that would be worthless if it weren't for the government's bailout. So BAC shareholders will have to live with the government's actions to keep the financial sector afloat.

Now if BAC nor Merrill hadn't taken any government money then the whole thing would be different and I'd agree that BAC shareholders should have known - but thats not the way it was.

What bears investigating is the paying out of 3 billion in bonusses with a 20 billion payment soon following to BAC. Seems like the taxpayers could have saved themselves 3 billion.

Who Is Buying Financials?

Or it could be that Ken figured.....hey I make 20 Million a year and spending a million on my own stock will look good and the stock might go up and it will deflect criticism of my stupid deals with Countrywide and MS and I'll get paid for another three months!!

10 Banks 'Guaranteed' to Survive and Prosper

Nationalize C and BAC and any other institution getting multiple handouts. Wipe out the equity holders and bond holders. Buy financials at your own risk - no more bailouts - only BK!!!