Brainstorming Wednesday - part 1

1. Markets have entered stage of insanity as the players still left in the game HF and HFT are betting things go bad for the economy BY BUYİNG STOCKS and the FED seems to be forced to go for a full blown QE 2 of another 1 tril. and keep pumping up the markets. All is rising at the same time bonds and stocks with commodities. The system has been perverted in a creating profits for banks system which Mainstreet has to pay for at the end even during the depression. The biggest robbery in mankind has already entered stage 4 or 5 - hard to count depends where you start. gold steep rise is the equivalent we also had in the early 30ies as Gold went from 20 to 500 in a few years and the only way it was brought down was by confiscation - another robbery. Denial of the depression was in the same state 2-3 years after the crash started like in Japan early 90ies which is the path been choosen with one difference as Japan triggered a 2 decade deflation still counting. The current version seems to be a mix as gold rises again but markets never were allowed to drop to a level off real value as back then markets turned around below a PE of 7. None of the toxic investments have been divested - well the FED boıught them at inflated prices partly - and the yield curve reached Japan levels but we remember what happened to stock prices over the next 2 decades still close to the lows in Japan.

2. The robbery of the middle class keeps going on all fronts one little sample is paying middlemen to find investment funds by pension funds. they have highly paid investment-managers who have to find investment opportunities and where are no secret funds out there who need to be detected by specially skilled people who deserve finders fees. actually all fundsare pitching for pension funds money themselves. This criminal actions are just an indications how rotten the system is. Those millions are just tiny pieces compared to the robbery the government does right now with faked low inflation numbers and interest rates close to zero along the yield curve. They steal around 5 percent interest from the savings of all investors and help corporations to do the same that are trillions of Dollars every year.

Millions Squandered on Middlemen?

Posted by: Leo Kolivakis

Post date: 10/06/2010 - 22:41

Florida's public pension has invested about $2 billion in two dozen private funds since December. Rather than approach the pension's staff directly, half the funds used middlemen to get in the door. They paid these well-connected placement agents millions of dollars for making introductions and setting up meetings. Average finder's fee: about $1.5 million.