- 9 April 08, The Almost Daily Binx, San Jose, CA; by Binx101
“… limit the down-side risk, even if a security drops in value like stone…”
Anyone that has ever made a living in the equities markets understands the term – Averaging Down. From a strictly pragmatic perspective, it makes sense on paper. That is to say, if you have a holding in a stock, and the price goes down, your average price of ownership will be lower if you buy more at lower prices. This may be a sound investment approach, however, it presupposes some very important details; simply stated, one must be confident that the security in long-term is in general good health, and will return to higher prices over a period of time that is suitable to the investor, fund or trust.
It gets a little more risky, when the money that one uses to ‘buy’ the security is in actuality, borrowed. However, the consummate professional will mitigate that risk by using an ‘options’ strategy (remember that word-options) as an insurance of sorts on the overall value. That is to say, it is very possible to limit the down-side risk, even if a security drops in value like stone off a cliff. Conversely, the upside is also limited when using these tools. In the options markets these tools are referred to as straddles and spreads.
Brand Loyalty – Averaging Down America
“… a partnership of considerable criminal activity and fiduciary negligence…”
However, averaging-down, became a practice that assisted in the market crash of the late eighties and again in the ‘dot.com bubble bursting’ in 2000 that sired a Recession. It was aided by an exuberant investing public; largely unsophisticated in the capital markets. and preyed upon by an industry that used Average-Down as a war cry to unload empty promises and essentially fleece the personal holdings of millions of people around the Globe. What distinguished these times from any other times are the tremendous number of predatory investment firms that were unloading their falsely inflated holdings into the hands of individual investors.
Do you remember seeing scores of large investment firms folding during that time? No you don’t. But we’ll bet you remember thousands of stories of personal fortunes gone up in smoke; blamed on the ‘bubble’ – but it was not a bubble at all. It was a partnership of considerable criminal activity and fiduciary negligence by the stalwarts of the investment community, that was compounded by an ineffective Clinton Administration SEC in the late ’90’s; and, further compounded by the Bush re-fitting of the SEC by installing former industry professionals throughout American government that all had ties to the Casino.
The introduction of ‘interested’ parties has essentially circumvented the cornerstone Securities Acts following the Great Depression, that were put in place to prevent precisely what has happened in the sub-prime mortgage debacle. The industry operatives actually created new products, not covered under the acts and placed them in Real-Estate Investment Trusts, Limited Partnerships and other Money Market transactions are not particularly visible until there is a disaster in the market. This is a highly abbreviated explanation but we sure you get the point. Just think of all those ‘who-done-it’ movies’ where someone gets suspicious and checks the hospital bed only to find the patient is gone and carefully placed pillows and blankets have been fooling the guard.
The Money Machine – Transferring American Assets
” … lobbyists posing as a great deal of the Republican legislature.”
Just imagine now that the most successful harvesters of the dozen or so years preceding 2000 got together and picked our next President. He would have to be fluent in English, but not competent in its use. He would need to be a desperate chronic failure in order that a groundswell of disgruntled Americans would see the personification of the American Dream. That is to say, that even a sub-average guy, with bad manners and a tawdry past could be President. But … he would have to have an ostensible pedigree. Enter, Gov. George W. Bush in a cloud of dust that would soon be revealed as the power brokers of energy, banking and warfare.
Of course the great illusion, notwithstanding, our precious Nation has been in the hands of those that cut-their-teeth on fleecing the American people in the investment markets and energy markets, and now had unprecedented access to the machine that prints the money. The only price to pay was to hoist an essentially empty suit and pose him as the American President. Not unlike the movie ‘Dave,’ we actually have had no leadership other than a committee of investment bankers that are building a web of tunnels to the money machine before they appear to leave town, and their expanded roster of lobbyists posing as a great deal of the Republican legislature.
But maybe even worse, that have taken the hard earned money of the American taxpayer and converted it into personal wealth of no particular domain other than their own. The converted assets have been cached in Dubai, Saudi Arabia, Qatar and other points that the bloodhounds would not be unable to track.
“… as they camouflage the wreckage they will leave the next President …”
From our perspective the American public needs to be degaussed; that is to say, the polarity that was manufactured by the Casino at the White House needs to neutralized, in such a way that a dialog can actually occur and our lawmakers can once again become lawmakers instead of hawkers for the bus tours to the Casino.
The first step though is coming to a belief that we have all contributed in some way to permitting this incredible force of impostors and charlatans to fleece our Treasury, Invalidate our Military, spend and ruin American and Iraqi lives like demented Roman Gods and cause most of the world to view the US as a hegemonic and ruthless homestead of dangerous compulsive gamblers on one of the greatest losing streaks in modern history. We must take some of the blame and petition our leaders, watch them closely, remain involved and take the reigns of a form of government in lieu of the Constitutional Principles that so many Americans have given their lives to preserve.
Americans are divided, largely because of steady diet of misdirection and misinformation. The American Press, now a Corporate-For-Profit privatized source of information is very likely not to bite the hand that feeds it. We consider the result that free enterprise has had on the press as tantamount to the Iron Curtain.
It will take a great amount of American spirit and personal reflection to get our friends and neighbors once again confident in our system. The current race for the Democratic nomination and ultimately the race for president while healthy, is not always particularly helpful, inasmuch as the race has served to distract us from the current confounding acts of the Administration as they camouflage the wreckage they will leave the next President of the United States.
Next President : Holistic Leader, No Gambling the Public Trust
“… inspire repair to what has become the road lest traveled.”
We believe there is every possibility that the next American President will preside over the greatest period of reconstruction since FDR. Our next President better very well speak of Hope and Public Service and be inspirational. We Americans need to shed our selfishness and rampant consumerism; our insatiable appetites for ego stroking and status; and return to a time of values that are based in liberty, freedom and equality. Where we didn’t need labels and memberships designed to create a caste system of the ‘haves’ and ‘have-mores’ that have been convinced that one political party wants them to be prosperous and the other wants to take their wealth away. That one political party has a brand on Patriotism and the other party is somehow un-American.
Let us face that the arguments between conservatives and liberals has been fabricated by third parties that are neither and have distracted the American conscience while they have looted the treasury. At some point we accept we are in this together and the only way to avoid further disillusionment is to rise above the confines of our egos and false fact. We have no need for idols, we need to elect a fine manager that can assemble, with particular scrutiny, a group of patriots to inspire repair to what has become the road lest traveled.
We believe that American People, need to start speaking for themselves and not be irrelevant quotes on the lips of politicians that have wrapped pork products in the dashed hopes and countless tax dollars of American patriots. We need to see the draped coffins of our military dead so that the Americans face the full version of reality, not the edited version we’ve become accustomed. And, we must care – care for our Nation not just the interior of our new car, or whether our neighbor is mowing his lawn at 7 AM. We need to care about Americans health and welfare. We need to care as much for living children as we do for unborn fetuses. We need to focus on the many things we share – and break the habit of specious argument, exaggerated threats and unabashed lying that George W. Bush and his handlers have purposelly addicted the US electorate.
Doing good things for our neighbors, both foreign and domestic, is the balm that always healed America.
Filed under: American National Government, Constitution, Corporate Media, Democratic Party, Democratic Primary, Democrats, George Bush, Mainstream Media, Politics, presidential race, Republican Party, Sub-Prime Mortgages, Uncategorized, White House, World Governments Tagged: | Bush, Democratic Race, dot com bubble burst, republicans, White House