Archive - Oct 15, 2009 - Blog entry

Blackrock's Trillion Dollar Man Bob Doll claims that the impacts of current cyclical positives on the US economy are outweighing those of secular headwinds. Therefore, according to him we should all be plowing into US equties. But is he right or is he just talking his book? And if he is right, should he be making what is nothing more than a trading call on the ability of government stimulus and Fed money printing to prop up the economy? I say no.

All U.S., Canadian and global public pension plans should disclose dealings with placement agents on their websites. Moreover, regulators should ban firms from using middlemen. For every one good placement agent, there are a hundred corrupt fools looking to line their pockets.

Prosecute the criminals, or else the economy won't improve...

Yes folks, in due time, all that wealth will trickle down to the peasants who have to work for a living. Just be patient. Oh, you're hungry now? Facing a tough Christmas? Don't worry, those good Samaritans at Goldman Sachs are considering a billion dollar donation to charity. God bless their golden hearts. We need more good bankers like them.

I have found evidence that this bank has $32 billion of naked (as in apparently unhedged) swaps on its books - just like AIG. The difference is this bank is bigger, probably has more exposure, and has already been bailed out - several times. Oh, did I mention the insured collateral is nearly half BBB rated or lower??? How about extreme management issues at the top, and I mean all the way to the top. A trunk full of junk, surrounded by drama! It should be an interesting conference call tomorrow when they report, that is if anybody decides to ask the right questions...