Friday, April 29, 2016

Why no banker went to jail for crash of 2007

Why has no banker gone to jail for the 2007-8 financial crash?
It appears from one retired SEC employee that the staff feared prosecuting Goldman, Paulson and others. One former employer believes that the big banks had “captured” his agency—that is, that the S.E.C., which is charged with keeping financial institutions in line, had become overly cautious to the point of cowardice.
According to one writer, in late 2006, when the hedge fund Paulson & Company asked Goldman Sachs to create an investment that would pay off if U.S. housing prices fell. Paulson was hoping to place a bet on what we now know as “the big short”: the notion that the real-estate market was inflated by an epic bubble and would soon collapse. Goldman created a vehicle of mortgage bonds which it sold to a German bank. Paulson spiked the vehicle with bad bonds so Paulson could not lose. Wall Street likes sure bets and this was a big one using deception and hubris.
We can’t beat Wall Street traders because we aren’t inside:

IRS to be eliminated in 3 years
GOP is pushing bill to end IRS after cutting $1 billion in last 5 years. Audits limited by 17,000 layoffs. Teas want revenge after reports their orgs were targeted for review. GOP has no alternative to collect taxes but Dems have bill to automate tax reconciliation so we receive refund automatically. NO paperwork needed.

FEES are FALLING for millennials
Fees fell to 61 cents from 73 on every $100 of invested assets. The decline doesn’t mean that investment firms are cutting fees for actively managed funds. Rather, it reflects a shift to passive funds, both mutual funds and ETFs, with lower expense ratios, many of them run by Vanguard, the world’s largest mutual fund company and a pioneer of low-cost investing. Vanguard is owned by its shareholders so your costs for passive and active investments are that of the owner. If you pay 2% a year total, over your lifetime, you give up 63% of your earnings to the owner of your funds. Earn 10% not 3.69%.

GOP Religionists to remove OK doctors from women’s health clinics
OK will terminate doctors who do abortions in their clinic practices.  “Oklahoma politicians have made it their mission year after year to restrict women’s access vital health care services, yet this total ban on abortion is a new low,” Amanda Allen, senior state legislative counsel. Doctors are already in short supply in OK and this will make it worse. “If we take care of the morality, God will take care of the economy,” the bill sponsor said. OK to turn back time to the 1950s moral climate.
TN has made it legal to let mental health counselors to refuse to treat patients based on the therapist’s religious or personal beliefs. So pledge to ‘heal the sick’ has caveats.
Religionists think that if they ban doctors, they ban abortions, they ban sex education, they ban contraceptive devices, they can ban sex for unreligious purposes

Does our President need to be smart and truthful? Do they even care about truth?

Don: I can play any part needed in this live TV “reality” show called “Election 2016”
            I will testify that my U diploma is great and a bargain in RE deals
            I tricked FAA so I could keep my “ride” and not have to fly with my voters!
            My new advisor, Manafort, is real dealmaker too—Rap sheet is extensive!

            Boehner didn’t really call me “Lucifer in the flesh” and “miserable son of a bitch.”

Paul Ryan: No budget deals and Teas want more cuts of benefits so I punt.

John: I can eat whatever I want. I campaign wherever I want. Deal? I am the way.

50 people pay for HALF the election money spent—we don’t know if they are Americans

Regulators are the only protection we have since we can’t sue anymore
            “It is nearly impossible for one individual to take on a corporation with vast resources.” (GOP bill requires impossible: every person in class action suffer “same type and scope of injury”)
               Supremes stop us from suing—State courts no longer available to sue corporations!

.Pressler & Pressler, New Century Financial caught churning out deceptive debt lawsuits.
.London-based Fiat Chrysler recalls million vehicles because they can roll abruptly.
.Measles back in TN and containment challenge. Not immunized—religionists?

We need regulation—GOP wrong—companies/cities wouldn’t fix bad products on own

Supremes feel politicians helping donors with favors is OK
VA Gov conviction for corruption was not fair, they think. All politicians do what McDonnell did—provide favors for benefactors. That is what gov is all about. “For better or for worse, it puts at risk behavior that is common,” said Justice Breyer, who along with Justice Roberts suggested that the federal corruption laws are so vague that they might be unconstitutional. There’s a Gov in AL, one in LA and one in IL who want out too. Most Gov are more subtle and indirect like NJ Christie. He gave state pension money to his supporters so they could take $ millions in fees for ‘managing’ a lack of growth over time. For instance, Treasury records show that, three years ago, the hedge fund Third Point LLC received a $100 million pension investment from Grady’s state investment council. The investment came a few months after Third Point's founder and CEO Dan Loeb gave $400,000 to the Republican Governors Association. Campaign finance records show employees and political actions groups affiliated with firms managing New Jersey pension money have given more than $7.1 million to the RGA, headed by Christie. His hedge fund friends have lost significant earnings over the past 5 years.
Supremes could respect jury system that sent Govs to jail

How our government wastes our money

Finally, our Cyber Command to launch attacks against ISIS for the first time. But to use       the intel is to limit the source’s future, as in the WWII Enigma story.
VW buyback plans but what about Audi, VW, Porsche, ‘clean’ diesels that cheated too?
            Mercedes, Nissan, etc next?

Who owns your account now?

41 Watchung Plaza, B242
MontclairNJ 07042

Friday, April 22, 2016

Go to the games and avoid taxes

Another way wealthy avoid fair tax share: go to the games
The wealthy are watching their favorite sports team as owners. They avoid paying their fair share of taxes. With a $1 million paper loss at a sports team, they might shield from taxes a real $1 million in profit from their regular business. They could own many rental properties and a car dealer. After they have spent years writing off their real profits with paper losses, they can sell their interest and use the profits to buy another paper “loser.” Since they are not an employee, they avoid the payroll taxes that the average citizen must pay up to 33% of income. They live on capital gains and loans from their portfolios and end up paying under 18% like Buffett, Romney and Kerry. You may even avoid taxes altogether like Trump did in 1978-79 due to depreciation on properties.

GOP voted our taxes for Trump convention riot gear and Flint water disaster
We pay $50 million for riot gear so GOP can have a Trump convention in Cleveland. Our tax dollars will pay $300 Billion to fix GOP mistakes in Flint. GOP will NOT pay to protect all of us from Zika infestation and vaccine. Ryan had said he wanted to get ahead of the crisis but changed GOP priorities. GOP wants no regulations yet tax payers have to clean up the mess they make. Inciting hate and lead in water are manmade crises.
KY and KS will close schools and highways before reinstate tax on wealthy. NJ and KS will default on employee pension obligations before reinstate wealth tax. Wealthy avoid paying their share of society costs so they have more in the future.

GOP votes to end Fiduciary Rule in first month
The House has taken the first step to eliminating Obama’s mandate that retirement plan advisors always put their clients’ financial interests above their own. They have also prepared to file documents in support of industry lawsuits in the federal courts. This move comes as the industry has already watered down the original Rules and delayed full implementation. Currently, advisors can provide products/advice that meet a lower standard (suitability) and may be very costly to clients. The industry does not want to give up the lucrative “transfer of 401k assets” business to the not-for-profits like TIAA, USAA and Vanguard.
Use the most cost effective alternative for your money:

Are hedge funds right for you … even for your pension?
NY just told its hedge fund managers to sell their country homes and jets. NY joined CA pension funds in dropping these expensive Wall Street tricks after some lost 18% in two years. Any long-term investment must rely on real dividends and gains not on complicated hedging strategies that gain from gambling on quick return tricks. The fact that a hedge manager may make a brilliant move one year or two does not predict future brilliance. Rather it shows that luck may be the real source of outsize returns. Long-term returns are created by buying and holding solid companies at the right price. Warren Buffett has earned 19.7% on average since 1965 by doing just that.
Since you can’t know the future, use unbiased advice:

Are Vanguard mutual funds right for you?
Vanguard took in more deposits than all others COMBINED in March. Is Vanguard, which is owned by its depositors, right for you? Like most shoppers, Vanguard knows that costs matter. Forbes proved it. If I pay TEN times the cost of investments for nearly the same result, I am going to lose eventually. For instance, my broker manages all my money in one account. The actual investment vehicle also has its own charges. My total charges are 2% per year. I don’t mind when the return is 20%. However, when I earn only 6%, the 2% cost really hurts. That 2% over my whole life of investing can lower my total by 63%. That means I give up HALF my retirement money to my broker!
The Vanguard Top Ten earned 11.5% NET to us over time:

60 Minutes reveals life insurers may keep your benefits—cash it in now?
April 17 program shows how they may legally pay your money to themselves and drain your life policy of cash value. Regulators have not been able to close or change some insurers because loopholes in law. Even when insurers know beneficiaries are due the benefits, they keep the money. Kemper says your money belongs to them legally. You may have a benefit waiting and you won’t be notified. Insurers don’t have to tell you and so will keep your benefits. If you wish to leave a legacy, life insurance may NOT be the best way to do that. You can leave money to our family a safer way. When you leave securities in an account, they inherit tax FREE just like life insurance.

GOP Religionists make TN next “genitals” inspection state and RCC immune
TN GOP delays a bill that would require students in public school grades K-12 and higher education institutions to use the restroom that corresponds with their sex at birth. GOP said corporate threats and competing protestors had nothing to do with the delay action. GOP will push schools to carry out monitor programs on their own. One gay student said the legislation would “legalize bullying” and “stigmatize and humiliate” transgender students.
Meanwhile, GOP states have blocked sex abuse victims from suing priests and the bishops that hid crimes. Not a single bishop has been called to account by the tribunal, which itself remains more notional than real. Despite Francis pledging accountability, nothing has happened.
Religionists have protected their powerful supporters and are growing the 2nd largest religious group—the nones.

Does our President need to be smart and truthful? Do they even care about truth?

Don: New advisors to GOP “Trump just playing a “part”: new mask vs Hill
            The election rules must be wrong since I don’t understand them.
            McCain, Romney and many GOP elites will skip convention.
            Drug lords skip Don’s wall and go under it
            My advisors are the best influencers in the business. Thank god for lobbyists.

            It’s a "significant sacrifice" for me to run for Prez (the pain will be over soon)
            “I am a Christian—NOT American—first.” False profit or theocracy?

Paul Ryan: I emailed you to ask what you think [and keep me in mind for the future]

John: You can avoid rape by not going to parties (alcohol is at every party). Stay home!
            I promise GOP will be defeated if Cruz or Trump stand for Prez.

Hill: I don’t have to ask Bern to drop out—he has no chance now since Indies can’t vote.

50 people pay for HALF the election money spent—we don’t know if they are Americans

Teas everywhere! London mayor cut Obama for his father’s anti-colonialism of GB.

Regulators are the only protection we have since we can’t sue anymore
            “It is nearly impossible for one individual to take on a corporation with vast resources.” (GOP bill requires impossible: every person in class action suffer “same type and scope of injury”)
               Supremes stop us from suing—State courts no longer available to sue corporations!

.FL bans medical bills from surprise non network docs/procedures added later.
.Pentagon lied to Congress on sexual abuse cases. Prosecutions stall.
.Schools are buying assault rifles despite chance of missing single shooter.
.Dmitry Fomichev, Davit Gasparyan, T3Leads, caught making bad deals with lenders.
.Wall Street execs forced to give back bonus when their schemes go bad later on. 
.VW agrees to buy back tricked-out diesels. Suits abound in future.
.2 year old shoots self with mom’s gun: but “guns don’t kill, people do”

We need regulation—GOP wrong—companies/cities wouldn’t fix bad products on own

How our government wastes our money
FBI wasted over $1.4 million for hacker to open Farook’s phone—hacker says nothing!
1/3 of Army and Air facilities are eating up tax dollars not to mention bad defenses. Our             “reps” get election dollars to keep wasting taxes despite Pentagon’s plan to save.

Secure devices don’t exist: In this 60 Minutes story, hackers are able to exploit SS7             system to get into your phone, listen in, and use your camera to watch your acts.  
All cloud data can be tapped without your knowledge—no legal review needed.
Trucker pension contract promises may be voided by Congress and Obama

Who owns your account now?
J.D. Power, the rating firm, to XIO Group, Chinese investors.

41 Watchung Plaza, B242
MontclairNJ 07042


Friday, April 15, 2016

Why your tax is so high!

70% of US companies pay NO taxes
Why do we pay more taxes than the companies we buy from? The average person’s tax burden is 31% yet 1.6 million US firms pay less. 70% of the 1.6 million pay no Fed tax. Could it be that they have 12,000 lobbyists in Congress and we have NONE? Could it be that our “reps” give subsidies to the companies that give them election money? Could it be that our “reps” write laws that favor the wealthy who own these large companies? If 70% do not pay taxes and the rest hide their income offshore like many wealthy people, who will be stuck with all the debt our “reps” are running up. Who would you think will be stuck with all this debt—Social Security and Medicare recipients? Veterans? People who make under $100,000 or people who make over $100,000?

Wasted tax dollars—war ships the Navy buys but don’t work
Yes. We spent $23 billions on the $23 billion Littoral Combat Ship fleet  but the Navy said the LCS lacked a surface-to-surface missile to destroy an important class of would-be attackers. The new Pentagon budget tries to kill the full ship contract. Defense head Carter told the Navy to cut its request since the LCS has been plagued by cost overruns and technical glitches and faces serious questions about its survivability. Congress gives the military contractors in certain states this windfall and they get ship named for them. Lobbyists profit on the over $2 billion cost. We don’t have the money but Congress runs up our deficit anyway. They waste our hard-earned money.
Stop the waste with your tax-FREE account:

What to expect from your advisor/broker with the new Fiduciary Rule
Obama has forced your advisor/broker to offer you clearly disclosed product/solutions not just a “suitable” one. For instance, unless you are an active security trader, hopping from one “fantastic” opportunity to another, you should be offered the lowest cost long-term funds or securities available. The offer may be the firm’s “index” ETF or fund. But check the price. LPL is using BlackRock’s robot advisor but still charging over 100 bp.
The new GOLD standard is Vanguard’s 500 index (large stock fund) which costs 5bp ($5 per $10,000) and earns 10.8% since 1976. This is the one Warren Buffett recommends (p.20) in his will. If your guy/gal charges you 1% ‘managed’ account fee plus 1% expense ratio and/or 12b1 fee, you are giving up 63% of your potential total accumulations. This is your sign that they may have violated the fiduciary rule and you need to move your money to a licensed advisor on salary at Vanguard.

GOP stops AZ Dems from voting—won’t vote for budget or new Supreme either
Dems are suing GOP because the lines to vote take 5 hours. GOP cut county voting places by 85% (400 to 60) in Maricopa County’s black, Hispanic and Native American communities. One voter waited hours with child and inside was told no ballots for DEM left. GOP runs the polls and said “miscalculation” in saving money! 16 GOP states have changed voter ID laws for 2016 in effort to win elections. Dems may not have time to obtain relief in AZ by Nov since GOP officials may delay outcome and investigations.
Dems need new strategy for new voters since 5 hours in AZ sun may be too much.
It is easier for a woman to vote in Saudi Arabia than in AZ, FL, other GOP states.

GOP fails to keep contract agreements for retirees—SS, Medicare cuts next?
Like Gov Christie in NJ, KS Gov has decided to skip the state’s promised $92.6 million funding of retirees’ pensions. GOP seems to think legal contracts are meant to be broken. KS gave businesses a tax break and has no revenue. As in NJ, the wealthy are leaving KS AFTER receiving a millionaire tax break. In KY, the AG is suing the Gov for illegal education spending cuts. There is no integrity to the GOP promise of more jobs for tax cuts. Instead of winning more new business for the states, GOP regimes are driving out middle class jobs. In GOP’s “voodoo” economics, KS said skipping the funding will have “no impact on KPERS beneficiaries.” Such BS is driving our deficit higher.

We spend more on taxes than we do on Food, Clothing and Housing combined
31% of national income goes to pay for running all governments. In return we have representatives in no-work jobs, overpriced defense, lead in water and schools, subsidies for almost every corporation and product, wealthy people who pay only 17% tax on income and hidden income in tax havens. All of our income for Jan-Apr goes to taxes but rich work only Jan-Feb for tax man. Congress people earn 3 times what we do on investments with insider information and most are multimillionaires. Most spend over 50% of time raising money from other wealthy people. They each have 25 lobbyists for FREE perks.
We have taxation without representation:

GOP Religionists tell doctors when to use anesthesia and NC inspects your genitals!
UT state lawmakers (lawyers) are now taking doctor/patient decisions for everyone no matter what the conditions. For all procedures of certain types, lawyers are mandating by law that anesthesia be given to a patient. Even though reputable scientific research, backed by mainstream groups such as the AmericanCollege of Obstetricians and Gynecologists, indicates that the anesthesia may not be necessary. The law mandates that doctors follow a vague course of action that is likely to leave them stymied over how to reconcile the demands of the statute with their best medical judgment. 
Why does GOP want to regulate women but is against regulation for everything else?
NC police-monitors to inspect your genitals before using bathroom—Need birth cert too.

Wealth inequality explained by a 10 year old
Why do the poor go to jail and the rich pay the fine and skip the trial altogether. This kid explains it completely. How many people went to jail in the 2007 Wall Street con game? Will anyone go to jail for the sub prime auto loan fraud scandal? How is it possible to tank your company stock 31% and receive bonuses of $43.8 million?
Learn the tricks of the wealth game. Use your tax-FREE IRS account:

New study says you DO NOT need $ millions for retirement
We know that 45% of Americans don’t save for retirement—usually because they don’t have the extra coin. For those who do, the amount needed is very personal. "We find that the actual replacement rate is likely to vary considerably by retiree household, from under 54% to over 87%," Blanchett noted in his 2013 report. How do you know what you will need? There are several key decisions you can make at every age.

Banks can offer higher interest but …
As usual, there is a catch. You must be willing to abide by their special rules. For instance, some account pay higher interest on checking if you keep your balance LOW. You can’t add more to get more interest. Some need you to spend a certain way. Some don’t have a branch in your town. Some are credit unions. The alternative is to keep just enough in a checking to avoid fees and buy a higher yielding mutual fund.
Use the Vanguard Top Ten averaging 11.5%:

Supremes need a tie breaker and Pres can appoint one when Senate fails
When the Senate fails to exercise its Constitutional duty, the Pres can consider inaction a waiver of the duty and go ahead and appoint a person to the Supremes. This seems like the logical step given that the founders did not intend that the Senate should shut down the government for ideological reasons. Does a government stop making changes in your street after it gives you notice it is holding a public hearing and goes ahead? NO. If the founding fathers had wanted the Senate to name the Supremes, it would have said so. These old guys assumed that both sides would work together. The Pres initiates the process and when the other side does nothing, it waives its duty. We don’t stop the world because GOP does nothing; we go on and fill the office.  
Obama can put the Supreme tie breaker in office since GOP waived its duty. Hill's pick may be worse?

Universal Insurance offers homeowners insurance from Web
UPCIC’s direct offering for homeowner’s insurance products will allow customers to purchase, pay and bind policies online without the need of intermediaries. The site will launch this month in Pennsylvania with more states to be added in the coming months. "With Universal Direct, we are tapping the power of the internet to reach customers directly, a business model that has proven successful in other segments of the insurance industry, such as auto insurance,”

Does our President need to be smart and truthfulDo they even care about truth?

Trump: “I give a lot to charity.” It just isn’t my money—golf rounds from my courses cost me $0.
            Voting for me is hard. Even my children are NOT voting for me. They know me!
            Melania and the kids wished he’d act “a bit more presidential.”  Can he?
            “But I know it's [GOP] rules stacked against me by the establishment." World is not fair.

Cruz: “I love the smell of New York” Heidi worked for Wall Street’s Goldman Sachs.
            GOP Religion is on my side! I have prosecuted all kinds of sex cases.

Palin: “My dad taught science to sixth graders.” “See Climate Hustle for the real “facts.”

Ryan: I am not running but … in case these fools can’t decide I raised $17 million last qtr.

Bern: I am against fracking everywhere because pollution and earthquakes. 27,000 agree!

50 people pay for HALF the election money spent—we don’t know if they are Americans but they have the money to give $1-$5 million and they don't have to show their birth certificates. 

Regulators are the only protection we have since we can’t sue anymore
            “It is nearly impossible for one individual to take on a corporation with vast resources.” (GOP bill requires impossible: every person in class action suffer “same type and scope of injury”)
               Supremes stop us from suing—State courts no longer available to sue corporations!

.Medicare needs to negotiate drug costs before Medicare goes broke in 2030. Bulk rate!
.CA residents need earthquake insurance because you never know 110 years later.
.NC police monitors to inspect your genitals before using bathroom—Need birth cert too.
. ConvergEx Khaled "Kal" Bassily caught charging hidden markups on trades.
. Michael Donnelly, Coastal Investment Advisors, got 99 months for fraud securities 
.Elm Tree Investment, Fred Elem, caught defrauding $17 mil on IPO insider claim 
.Flint still can't get decent water and water bills goes up and up. 

We need regulation—GOP wrong—companies/cities wouldn’t fix bad products on own

How our government wastes our money
Hackers work for the FBI now (to crack Farook’s phone) and everything else you own.
            FBI found nothing linking Farook to ISIL et al but can hack your phone now.
GOP in WI, AZ, KS, MS, MO, OK, TN, UT spending $1 million for worthless drug tests.
Tax prep and processing costs us $2 billion and could be FREE like other countries. 

Goldman pays pittance for nearly ending financial system 2007-8 and NO ONE goes to jail. In 2006, Goldman Sachs was selling bad loan packages knowing they would blow up.
Congress makes law to make encrypted phones not encrypted and hackers easy access. 
MS sues over law that MS can’t tell us when Feds get our emails/data. BIG BRO
Drunk kid kills 4 but gets only 2 years in prison. Should have left him in Mexican prison.

Who owns your account now?
TradeKing to Ally Financial

41 Watchung Plaza, B242
MontclairNJ 07042