nothing to prevent the factors that caused the financial meltdown in 2008. The big will still be to big to fail and the small investor will be hurt.
From what I understand any hedgefund above a 10 million dollars will have to register with the SEC. What this means is more lawyers. Lawyers for the regulators and corporate lawyers for SEC compliance programs to satisfy new regulations. This country is being "lawyered" to death.
Essentially, the Obama Administration wants to regulate risk which means of course, people will not invest - at least not here in America. Why invest in American businesses and start-ups when it's easier to invest overseas and not deal with SEC filings.
When the economy really tanks in 2011, I wonder if Obama will continue to call that old play:
"Blame it on Bush".
Further to my post on July 13th, Obama met with Buffett yesterday, and asked Buffett for his ideas on how to stimulate the economy and create jobs.
Today, the SEC settled with Goldman Sachs to the tune of $550M. Pretty cheap if you ask me. I thought the fine would be at least $1B. And also no criminal prosecution. Did I mention Bershire Hathaway holds a significant position in Goldman? Oh did I also forget to mention that Buffett publicly stated at the Berkshire shareholder meeting in May that Goldman did nothing wrong. Probably just a coincidence.
That's 3 Hail Mary's this week. I wonder if Doug Flutie is watching. Any guesses on the next Hail Mary?
-- Modified on 7/15/2010 10:10:49 PM
-- Modified on 7/15/2010 10:12:43 PM
nothing to prevent the factors that caused the financial meltdown in 2008. The big will still be to big to fail and the small investor will be hurt.
From what I understand any hedgefund above a 10 million dollars will have to register with the SEC. What this means is more lawyers. Lawyers for the regulators and corporate lawyers for SEC compliance programs to satisfy new regulations. This country is being "lawyered" to death.
Essentially, the Obama Administration wants to regulate risk which means of course, people will not invest - at least not here in America. Why invest in American businesses and start-ups when it's easier to invest overseas and not deal with SEC filings.
When the economy really tanks in 2011, I wonder if Obama will continue to call that old play:
"Blame it on Bush".
that Obama is doing this for, is about to get screwed. Jaime Dimon of JP Morgan said this, "if you own a restaurant and you can't charge more for a soda, then you charge more for the burger." In other words, the banks will find a way to make the money it lost in finreg. So these new restrictions by Democrats to help the little guy on credit cards, debit cards and overdraft fees, well get ready and say goodbye to free checking, and a host to other new service fees.
So how to you avoid fees on your checking account. Well for you and me we can just keep a preset minimum balance. How does that help those who don't have a little discretionary money lying around? I expect the banks will just jettison all unprofitable customers, which will be exactly the voting base Obama is trying to help.
What is it about unintended consequences that certain politicians just don't understand.
And yes all we did is create the SEC full employment act. More oversight for an organization that's done a pretty shitty job.
...and just go with a credit union. A non-profit institution isn't going to raise their rates to make a profit, since that's not their business.
BOA said this morning that finreg could cost it billions in revenue on its credit card business. So despite a decent earnings report, the market is pummeling BOA to the tune of an 8 percent decline.
At least Goldman has rebounded to almost what I paid for it. But I disagree to the extent you feel a bigger settlement was required. I looked at the SEC's case very closely and concluded it was quite weak. I don't GS is settling bc it fears liability but simply bc this is the sounder business move.
bill #2 is working it's way through the House. It is going to clear up all the fuck ups in financial reform bill #1, or so Schumer, Dodd, and Franks have said. Grossly incompetent? That's putting it lightly.
I better not hear you bought more BAC stock in an attempt to reduce your cost basis yet again. It will be easy hanging out in Manhattan Beach looking for a short, slow, white, out of work porn employee, trying to throw up ridiculous 3s. Any chance you dress like Woody Harrelson in "White Men Can't Jump?"
If you have some death wish, and have an addiction to financials, please just buy more GS. They are still the best in the business, and considering they are not a bank, they won't have to worry about the potential loss of consumer revenue as you mentioned in your post. Eventually BAC, and the other banks, will charge more in fees, but it will take some time to ramp up.
Not a good day today.
I agree with your GS view. My $1B estimate was from back in May. $550M is probably worth it for GS just to close the books and get out of the press.
are a subterfuge designed to maintain political stability in the US.