We the 80 percent demark a proportion of our hourly earnings into funds so he and she can live into retirement and their children will have enough money to be educated upon their demise. What is the appropriate way for the government to sponsor so the people who fight for the nation and support the infrastructure have enough funds to live into their golden years? The 20 percent are smarter and have the love of God so they holier than thou can decree how public money is used. The result of the fruitful meanderings and altruistic research is the mutual fund. A mutual fund is an investment business staffed by the 20 percent who have the money, had time, had location to attend an Ivy League college and become the financiers of our great nation. The government which continually tells us that they are on our side says that any interest accrued in a mutual fund is tax-exempt until his or her 65th birthday. The 80 percent that believe the dogma of high finance blindly put their hard-earned cash into 401k, 403b, SEP designated cash-exempt funds. What happens to these billions of dollars that a day laborer or fast-food employee relies upon to give them sustenance during hard times?
Mutual funds are divided into various designations depending on how much time the investment allocates or the amount of risk the investor wants to assume. Growth funds invest in companies that are productive and rapidly expanding. Asset allocation funds invest in blue chip giants that use their and mortar base to make money. Once someone has money, they can lend it or leverage it to make more money and this is what mutual funds do. Index funds use stable giants that guarantee returns and are less susceptible to stirring. What is stirring? Students of psychology note that human beings will endeavor in anything that offers financial returns. The staff of mutual funds, all highly educated, buy and sell stocks and bonds and make a commission on their buys and sells so naturally they will use derivative methods to buy and sell stocks, bonds, and commodities so they can earn six-figure incomes gambling the grub stake of wage earners. Has anyone ever heard of a poor investment banker? Probably not, because they live in exclusive gated communities in large houses with a pool. The as they stir the more investment staff make and index funds are composed of entities that do not need to be stirred as much.
Overseas stocks are highly speculative no matter what investment bankers state. They do not fall under United States government jurisdiction, so the money can not be appropriately and exactly quantitated. This means that third-party players and middlemen take a cut as the money happens from other countries and eventually finds its way to the United States where it can be taxed. What is better than having money make money in a foreign country and no one, even the government knows how much cash is being generated or reinvested in infrastructure? Only the 20 percent know. Only the shadow knows what evil lurks in the hearts of men. Let the giants of industry outsource the economy so no one knows how much cash the companies generate, they can employ slave laborers, and they take a cut and put it in a Swiss bank awaiting retirement and no one knows. Stir, stir, allocate with abandon, and store the booty in overseas accounts along with drug traffickers.
My grandfather was a man of few words and I was too immature to appreciate him. What he said is that men only do what suits them and that if you are not part of the solution, you are part of the problem.
Enter the dragon. If public money is to be invested unscrupulously, the government should do it. If hard-earned cash is to be stolen, the government should steal it, not Ivy League investment bankers.
We shall establish mutual funds based on NET INCOME as demarcated in the yearly prospectus.
We shall establish mutual funds based on slope as given in a Cartesian coordinate system with an x and y-axis.
We shall establish mutual funds based on capital because profit derives from capital and large companies are stable entities for all. Owners’ equity in the equation Assets = liabilities and owners’ equity is a sum that can be taxed and leveraged. Like one of my mentors stated; “it takes money to make money.”
Mathematical quantities like ROI. Quick ratio and others are merely guides for an intelligent investor to proceed because like all math, figures lie and liar’s figure.
One of the most pertinent places to put a nest egg is a certificate of deposit in a FIDC-accredited bank and label the money as an IRA. Bonds are merely debentures that float around, and never go away and the working class pays the interest when they are tagged onto the property tax. Money is money and when this author was a child a peer said he would teach him about money. The author gave him five dollars on loan and the person said to ask for it back and when the author did, he got punched in the face. This is how money is.
This author is not a rabble-rouser or politician. Let him play the devil’s advocate and state empirically that he is mad he never got a piece of the skullduggery. We the people vote to ensure the blessings of liberty for ourselves and our posterity do ordain and establish……