Friday, January 22, 2016

Our Congressmen get rich using insider info illegal for us

Congressmen become the super rich using insider info that is illegal for us
Among the powerful politicians, the portfolios of Republicans outperform the market by 32.05% to 36.19% under a one-week holding period. “Our results imply that the performance of congressional portfolios is mostly driven by private information” that they have and we don’t “based on their power and party membership," Serkan Karadas, economist, Sewanee: The University of the South, writes in the study.
Worse, Congress passed a law that says they are above the law (Insider trading is illegal for us). The study, which looked at almost 62,000 trades made by members of Congress in 2004-2010, found outperformance of 22.13 to 24.16% under a one-week holding period on an annual basis. That short-term outperformance is significant, implying that the politicians were trading on time-sensitive information. Worse, Republicans with little financial experience are beating Wall Street’s “top traders.”
Why let Congress have all the benefits of the tax code: http://www.amazon.com/Win-Investment-War-Earn-11/dp/1522916369

GOP tax plan failure in KS & MI is warning for US
Econ “trickle down” does NOT work! GOP tried to make Kansas a Tea Party showcase, but it has created a budget gap of $190 million just like Bush2. KS has fewer services while small biz pays nothing. US was prosperous in ‘50s 60s with tax rates at 90%. Regulations are needed! GOP in MI tried to save money by poisoning Flint children with lead. It cost $14 to test water BEFORE changing sources.
Wealthy love these low tax schemes and take their money to Caymans. They don’t build more factories in US but in cheap labor countries.

Where is the new tax evasion (insider trading) money going?
This yacht firm’s growth estimate is about 20 percent growth in the client base between now and 2020. You can pick up a used Sunseeker for only $2.5 mil. Many KS lawyers are putting their former tax money in art. Since 2012, professional offices (dr, esq, cfa) have invested in yachts and art work. Congressmen with gains of 36% keep their money offshore like Mitt Romney. Job creating factories are a waste of capital with global markets with cheap labor. Like 26 of the most profitable US firms, they use their tax evasion money outside America—yachts, art, foreign subsidiaries, St Kitts estates.


GOP wins: Washington just cancelled your Social Security benefits!
Consider using the three benefits that Congress has decided to take away from us without discussion. You may apply before April if they help you maximize your Social Security benefits. They are technical so you may have to go to a SS office to make sure you qualify. You may double your benefits if you have to file early (age 62) because you have no job. You lose 25% for life if you don’t wait to age 67 but you could use spousal if file by April. If you are divorced, you may still collect from your EX’s account but you must meet the requirements. Check it out before April.

File your simple tax return for FREE
Many sites provide FREE federal e-file but charge $13 for state e-filing. The IRS approves these firms: https://www.irs.gov/uac/Free-File:-Do-Your-Federal-Taxes-for-Free. We are on our own: 51 million taxpayers called the IRS with questions in 2015.
"I've tried to call them," says Lisa Ross, "I gave up." After waiting on hold for hours, some taxpayers were forced to give up. Do what you think is right (Google it) and send. Check if your preparer is legit at https://www.irs.gov/Tax-Professionals/Choosing-a-Tax-Professional. Free fed and state is offered for simple returns at https://www.taxact.com/index.asp and at http://www.olt.com/main/oltfree/default.asp

Where is the best place to put your tax refund?
The average refund is about $3,000. It is really forced savings at 0% interest. We can spend the money or pay off debt or invest it and earn 8% instead. The market is down 8% so far this year. The market will eventually return that 8% and more. Guess what the smartest investor is doing with this market collapse—Buffett is buying! He is buying energy stocks. Why? Because we panic and sell energy at bottom—down 28%. Buffett is buying a bargain again just like he did with Coke and AMEX last century. He knows that $30 oil can’t last long. Make Warren Buffett your advisor now.

What should you do if your broker has you in junk?
He told you bonds were safer than stocks. She had you buy high income bonds or their funds because you were tired of earning 2% on your money. Now with losses of 20% brokers can’t answer the phone fast enough. But who would buy these losses now? What should you do? If you sell, you lock in a loss so hold on for oil and commodities to rebound. If you have more than 10% of your portfolio in junk, especially “level 3” bonds, you may want to rebalance. You may be better off (more stable income) using a balanced fund like Vanguard’s Wellesley Income Fund which has provided almost 10% annually since 1970. It is one of Vanguard’s Top Ten of all time. http://www.amazon.com/Vanguards-Top-Ten-mutual-funds/dp/150073909X

Why are investors moving from expensive advisors to Vanguard?
Vanguard, which offers passively managed funds, had $236 billion new money in 2015 – the largest in the industry. Investors are quitting active money managers. Reason: costs and wild swings in value. Investors realize it is VERY difficult to find a manager who is right when the market falls and rises quickly. They see hedge funds being trimmed savagely. They understand that if markets earned 1.3% in 2015 and their advisor cost 1.3% they end up with nothing. Average returns (11%) don’t look as bad as broker’s say they do. Investors realize that Wall Street can take up to 63% of their accumulations over time. AND Vanguard has licensed reps you can reach for help when needed:  http://www.amazon.com/Wall-Street-Cleans-Up-Advisors/dp/1517043255

Even wealthy families are cutting out the middlemen to save fees
More wealthy families are using their own expertise to do their own private equity deals, especially for the $500,000 to $5 million direct or co-investment deals, according to Family Office Club data. Over time, a 2% cost (1.3% plus trading costs plus taxes from trading plus BD charges) can take up to 63% of your potential accumulation.
Pay less; keep more:

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

Trump: See how America will be run by Prez Trump – it’s only a deal for him!
            Demagogues even attract the Bible thumpers despite lifestyle: “he’s honest”??
            Are there Two Corinthians?      Palin endorsement=Market collapse?
            Palin attracts followers for Trump despite unseemly family values dysfunctions
Fiorina: "Donald Trump’s a moron.” “…he doesn’t support human rights” for all.
Sanders: If elected, Bill O'Reilly promised to move to Ireland and Ire is not happy.
            Banks will be split up and stock trading taxed 0.5% to reduce speculation.
            MI gov Snyder should resign after poisoning Flint residents with lead esp. kids.
            Dick Cheney had experience but lacked judgment. Clinton blew it.
Cruz: Yesterday he said Iran should have been bombed (“full force”) for holding sailors.
            He is not Prez and so we got back 4 hostages. Bombs were not answer.
            “NY Values” denigration drew the line for GOP religionists
            1790 law says citizenship passes to foreign-born child by father NOT mother.
Rubio: my gun is “the last line of defense against ISIS.” “My boots from WI” No India
            My form of Christianity (was Catholic, then Mormon, back to Catholic) will             “influence me in everything that I do.” Gov pays for priests’ therapy?
Christie: Even his own conservative supporters say “he lied” – compulsive or fungus
Clinton: “We can go after these tax evasion” schemes [like mine] “in the Caymans.”

Can a Trump/Palin/Christie America survive a crisis without killing us all?
Maybe Bernie’s socialism isn’t so bad—and a new Progressive Era could help us.

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!

Finance 500, CA caught selling penny stocks without authority—pump and dump ops
Fiat Chrysler recalls 389,000 Jeep and Dodge SUVs again for wiring; 1st failed
Renault recall to fix emissions scandal too – Do all auto makers lie?
AL Justice Roy Moore says GOP religion trumps Supreme’s decision.
Goldman, Sachs Merrill Lynch caught violating securities lending practices.
A lead-poisoning test kit for Flint water costs $14 and would have saved 1,000 kids IQ.
FL gov making same mistake in de-regulating water QUALITY. GOP cuts regs for $$         
Herbies Auto Sales caught misleading consumers fined – No Jail Time
2,653 guns seized at 236 airports, 20% more than 2014. 80% were loaded. Crazy!

We need regulation—GOP is wrong—companies/cities wouldnt fix bad products on own


How our gov wastes money
DefenseDep says MORE troops to Iraq – “Retrain” those in army that ran away before.
AirForce drones have bugs. 20 broke already. No warranty but cost $64 million each.

SCAMS
Bundy’s terrorists seize Fed property and get to walk away—no consequences to terror?
            Feds asked to give property to terrorists – what about original owners: Indians?
Fear not reality is the motivator for terrorism and gun politics: We spend $billions on             terrorism, which killed 229 Americans. In the same 10 years, 310,000             Americans died from guns.
Texas barbecue joint will give you a discount for carrying a gun!?
LA pays $24.3 million to two men wrongly convicted—prosecutor made up evidence
Low-Value List: Cars/trucks that break most often without warranty-quality/price low
High-Value List: Cars that last a long time—250K miles—quality/price ratio high
            Now policeman apologizes for word choice: "My poor choice of words…” He detailed what drivers could do to avoid being charged with a crime if their vehicles struck someone during the unpermitted march. 

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