Despite the authorities' best efforts to keep everything orderly, we know how this global Game of Geopolitical Tetris ends: "Players lose a typical game of Tetris when they can no longer keep up with the increasing speed, and the Tetriminos stack up to the top of the playing field. This is commonly referred to as topping out."
"I’m tired of being outraged!"
"Most investors go about their job trying to identify ‘winners’. But more often than not, investing is about avoiding losers. Like successful gamblers at the racing track, an investor’s starting point should be to eliminate the assets that do not stand a chance, and then spread the rest of one’s capital amongst the remainder." So as the year draws to a close, it may be helpful if we recap the main questions confronting investors and the themes we strongly believe in, region by region.
- China’s Stocks Sink Most Since 2009 as Turnover Jumps to Record (BBG)
- Greek Stocks, Bonds Tumble (WSJ)
- China tightens LGFV funding screws (BBG)
- Crude Rebounds From Five-Year Low Amid Shale-Oil Spending Curbs (BBG)
- Sexual threats, other CIA methods detailed in Senate report (Reuters)
- U.S. Takes Security Precautions Overseas Ahead of CIA Report (WSJ)
- Light-Speed Treasury Trading Governed by Rules Dating to 1998 (BBG)
- Delhi to ban all internet taxi firms after Uber rape claim (Reuters)
- Supreme Group Fined $389 Million for Overcharging Pentagon (WSJ)
"Solutions to the world's problems are not produced in a meeting between Bill Gates and George Soros... Renewal has to come from below... Limiting the influence [of the richest] is of the utmost importance... so that today's upper-class, high-finance capitalism can once again revert to being a capitalism of the real economy and the societal center."
"If we have what everyone would hail as a soft landing, with growth remaining above 6-7% for another two years, it would just mean that credit was still growing too quickly. And once we reach debt capacity constraints, the so-called soft landing would be followed by a very brutal hard landing... Growth miracles have always been the relatively easy part; it is the subsequent adjustment that has been the tough part."
With the revelations of systemic, widespread corporate criminality of banking institutions in recent years, it is clear that global Bank CEOs are becoming the new Drug Lords.
- Scots spurn independence in historic vote but demand new powers (Reuters)
- Salmond’s Journey as Scotland’s Leader Ends Short of Destination (BBG)
- European Stocks Rally to 6 1/2-Year High on Scottish Vote (BBG)
- Jack Ma Planning Personal Roadshow With Clinton to Immelt (BBG)
- Some consumers say Apple is losing its 'cool' factor (Reuters)
- Gold IPhones at $3,600 as China Delay Fuels Black Market (BBG)
- This Man's Job: Make Bill Gates Richer (WSJ)
- Mom-and-Dad Banks Step Up Aid to First-Time Home Buyers (BBG)
- France says it launches first air strikes in Iraq (Reuters)
Are you ready to have your veins scanned every time you use your bank account? Are you ready to use a "digital tattoo" or a microchip implant to unlock your telephone? Once upon a time we read about such technologies in science fiction novels, but now they are here. The era of widespread biometric identification and microchip implants is upon us, and it is going to change the way that we live. Proponents of these new technologies say that they will make our private information and our bank accounts much more secure. But there are others that warn that these kinds of "Big Brother technologies" will set the stage for even more government intrusion into our lives. In the wrong hands, such technologies could prove to be an absolute nightmare.
The penny stock mafia are at it again...
The global economy is structured to systematically funnel wealth to the very top of the pyramid, and this centralization of global wealth is accelerating with each passing year. According to the United Nations, 85 super wealthy people have more money than the poorest 3.5 billion people on the planet combined. Seven out of every ten people on the planet live in countries where the gap between the wealthy and the poor has increased in the last 30 years... And when our fundamentally flawed financial system finally does collapse, it will be the poor that will suffer the worst.
Would you like to have a digital identity card that is automatically issued to you at birth? In one European nation, residents use such a card when they go to the hospital, when they do their banking, when they go shopping and even when they vote. This card has become so popular that this particular European country actually plans to start issuing them to millions of non-citizens all over the planet who request them. Never heard about this? Neither had I before this week. The Economist is calling for the entire planet to adopt this “national identification system” that the little nation of Estonia has adopted. The Economist is touting all of the “benefits” of a “national identification card”, but are there dangers as well? Could adopting such a system potentially open the door for greater government tyranny than we have ever known before?
Let Us Count the Ways ...
As student loan bailouts rain down from Washington, we thought it may be useful to consider where the world's wealthiest University alumni are. As Private Wealth reports, following a survey of 70,000 millionaires around the world, eight of the top ten universities with the highest number of rich alumni are based in the U.S., with the U.K. home to the other two. Engineering degrees produced the most millionaires, although most engineering grads made money as entrepreneurs, the study revealed. MBAs, law, accounting, and finance degrees also led to financial success.
The massive consolidation of wealth, combined with the removal of any limits on money in campaigns, has allowed for the purchase of our government. Americans know that something is wrong, deeply wrong. They see signs of the problem everywhere: income inequality, growing concentration and power of mega corporations, political donations/corruption, the absence of jobs with decent salaries, the explosion of the US prison population, healthcare costs, student loan debt, homelessness, etc. etc. However, the true causes and benefactors behind these problems are purposely hidden from view. What Americans see is Kabuki Theater of a functioning form of capitalism and democracy, but beyond this veneer our country has devolved into the exact opposite.