Quote:
Originally Posted by rfuerst911sc
After yesterdays debacle on Wall street and the financial crisis of the past year or so how nervous should I be with my money with Morgan Stanley? My portfolio is moderate in risk and spread over a fairly broad investment scheme but that won't do much if they go belly up  I think they are posting this quarters numbers tomorrow and I believe they are posting a profit but greatly reduced from initial estimates. So what to do...........if anything? |
Be afraid; be
very afraid.
We are seeing hundreds of billions of dollars in losses being transferred from private companies to the public (taxpayers) with every bailout.
(Even LEH wasn't a real bankruptcy; the Fed has given $138 billion to Morgan Chase & Co. to settle Lehman trades; without this money, Lehman would have defaulted on its transactions. This is just another government bailout -- a particularly sneaky one in that the government is lying to the public telling the public that they "haven't bailed out LEH.")
For the past few decades there have been too many people who have just "blindly" handed their money over to investment companies (your comments make me suspect you may be in this crowd). Most of the investment companies have
mis-managed the money under their control and have effectively
lost their clients money. While losing their clients money, they have been lining their own pockets and presenting the image that "Everything is just fine."
Everything is
not fine. The government bailouts are just another move to keep the
lie alive and hide the true state of affairs from the public.
If you don't know
exactly what you own in "investments" and have a rock-solid understanding of the
reasons why you own what you own, you should get out of whatever you're in and get into something you
understand completely. (Preferably, some type of hard asset, as the current failures are likely to topple our entire fiat money system.)