Posted on 10/02/2014 5:59:33 PM PDT by TurboZamboni
To oversee this process, Dodd-Frank created the Financial Stability Oversight Council (FSOC), made up of the heads of the financial services regulatory agencies. The council claims very broad power to designate certain activities (like asset management) or companies and products (including mutual funds) as systemically important and subject them to Federal Reserve bank-style regulation, including leverage and capital requirements.
And the council is doing just that – first with banks, then insurance companies and now, potentially, mutual funds. President Obama’s “independent” insurance expert on the council issued a blistering dissent when it designated Prudential – the nation’s second-largest life insurer – as subject to this sort of regulation. It was, he asserted, unwise, unneeded, and would be harmful to insurance companies and their policyholders.
Indeed, mutual funds – already heavily regulated – have shown they are no threat to the financial system, even during the last financial crisis. While hundreds of banks failed, sending reverberations throughout the financial system, mutual funds go out of business all the time with no systemic noise because they do not “fail;” investors hold their equity stake and simply ride their investment up or down.
What should investors fear from this designation process?
• The Federal Reserve might impose capital requirements on your fund, meaning that 8-12 percent of your investment would not be put to work and would earn a rate similar to a bank account.
• Further, investors might not be able to sell when and how they want. They might be asked to “take one for the team” in turbulent financial times because the Fed could restrict sales of certain securities.
• The Fed could also decide to create disincentives to selling fund investments by imposing fees
(Excerpt) Read more at thecitizen.com ...
Paging in Ann Barnhardt
Amen!
Between the leftwing godless communists and crony socialists, it’s looking bad for the Constitution.
May God save America...
I am of the opinion that they wont come for the funds directly. Rather they will require a percentage invested in government bonds. Then that percentage will be increased each subsequent market “crash”.
The Fed wants to seal the doors so you can’t leave the next time the market crashes and burns. They’re going to confiscate our savings to pay for their crony capitalist banksters.
Yep, that’s what I’m thinking. It’s for our own protection, dontcha know.
>>>Between the leftwing godless communists and crony socialists, it’s looking bad for the Constitution.<<<
Ask many people if a leader should do what he thinks is right or if he should follow the Constitution. Insert whomever you like for leader. Be it the president, congressman or supreme court justice. And very often you will hear the answer “he should do what he thinks is right.”
I think that is exactly how things are going right now. GW Bush was a dictator and fascist remember? Now those same people are quiet when we all feel on this site that he is ignoring the constitution. And it is my opinion they are quiet because it is somebody they largely agree with, doing what is right.
So the constitution is effectively dead imho. We will still enjoy the benefits of it for the time being. But those rights are no longer permanent.
God has given up on America.
Yes, they may be coercively invested in "myIRA" accounts, which were previously voluntary. "My" as in Obama, not you.
Then the feds could borrow money at near-zero interest rates when they stop just making the stuff out of thin air. And the percentage of ones fund in a bond could be held back until the bond matures.
Stop giving the feds ideas!
Nothing yet on ETF’s. Talk to Financial pro’s off the record and how Dodd Frank and FINRA have fubar’d their business. A fan of Mutual Funds and diversification on this end, ( and this is not investment advice ) but buying odd lots ( discount houses ) of “Common”, reinvesting the divi’s, and buying and holding of really high quality companies maybe the last refuge...
Anyone that doesn’t vote for the Pubs in the midterm elections, and for the Pub candidate in 2016 will deserve this because there will be no one to reverse it.
Are you sure it's not the other way around?
Perhaps you have it backwards. America has given up on God.
God never changes!
The people have changed but the Constitution has not.
The founder’s wisdom limited the government’s legislative powers because of man’s flawed nature. The progressive movement may have changed people but they are not improved. The constitutional restriction on government legislations still exist and are as necessary now as they were then.
Demand that your representatives honor their oath and elect candidates who will honor their oath to the Constitution rather than seek loopholes.
"When you take an oath, you hold your soul in your hands and if you break that oath, you open up your fingers and your soul runs through them and is lost." -- Sir Thomas More
36% of adults lack retirement savings — 14% of them 65 or over
http://www.freerepublic.com/focus/f-news/3194201/posts
...and they’ll keep voting on the gibmedat ticket.
You know, I think you guys are right. It really is the other way around.
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