May 15, 2009
Good starting point:
Define what stock ownership is and what protections it should be afforded. It takes and investor's hard earned cash to purchase stock in companies that their research suggests is viable.
Then list and count how many ways that ownership interest, as evidenced by a stock certificate, can be violated and by whom.
Even mutual funds(the investment manager) don't own the stocks..their investors do...they should be prohibited from loaning shares also, if they do.
If equity owners are the first to lose their investment in common law they should at least be protected under common law. Some would say that if the underlying company is bad it should be exposed by short sellers. What rights should they be afforded...they have no investment to lose so simply have them either not invest or purchase a controlling interest in the company and turn it around. What rights do they have without investment ???? However, the market place has allowed them not only to identify weak companies but turn good companies into weak companies and effectively convert all equity to themselves without investing a dime. Doesn't seem fair does it ?
Big question...those who have shorted America to death have ALL the money that previously was owned by investors and retirement plans....Everything I have lost is now in the pockets of the other side of the transaction....then WHY are the BANKS failing....WHERE"S THE DOUGH???????????? Is it at GOLDMAN, JP Morgan, offshore banks, overseas banks, middle east, asia???? It must be somewhere other than in our banks Do you find it curious as to where the money resides? Who paid taxes on the gains generated at my expense and loss?
Just a few things to ponder when you finally wrestle with the concept of stock ownership and who your rules will be designed to protect. The investor the pension plan or HEDGE FUNDS, INVESTMENT HOUSES, DAYTRADERS, CREDIT DEFAULT SWAP INITIATORS, PIPE FINANCIERS, OFFSHORE AND NON TAX PAYING ENTITIES, MUTUAL FUNDS, ETF'S, OFFSHORE ETF'S(GIMME A BREAK..BUY DXO AND YOU BET ON OIL PRICE HOWEVER YOU ARE ONLY AN UNSECURED CREDITOR OF DEUTCHE BANK), SHILL MEDIA PLANTS(REMEMBER STEVE JOBS IS DEAD? I OWNED APPLE STOCK AT THE TIME), PAID STOCK BASHERS, BEAR RAID COMPUTER PLATFORM TRADERS(WERE YOU WATCHING DENDERON...I OWNED THE STOCK AND WATCHED THE PRICE DROP FROM 25 TO 3 IN 70 SECONDS), INSIDER TRADING CULPRITS(NOW INCLUDES SEC ATTY'S), SEC REGULATORS THAT CREATE RULES FOR THE ABOVE PARTIES TO OPERATE, BERNIE MADOFF, THE OFFSHORE CD GUY, JP MORGAN(DIDN'T THEY START THE CRASH OF 1929 USING SOME OF THE TECHNIQUES ABOVE?), GOLDMAN SACHS(WHO TRAINS ALL SEC AND TREASURY PERSONNEL).
How does the investor or legitimate business stand a chance against the above???