[gotribe]

In the long-run, I agree with you. Increase divvy taxes and they will stop pouring so much money into divvies and do more buybacks. In the end, they’ll privatize and pay the lower corporate taxes that are coming. Good for them.

However, over the next couple of months, I don’t intend to sit around and watch my retirement money get a 10% haircut.

[Alberta's Child]

If I were totally convinced that the stock market is going to get a "10% haircut," I'd sell all of my stock holdings in my 401(k) and sit on the cash until the market declines by 10%, then start buying back the exact same investment instruments afterward.

Personally, I think any anticipated "fiscal cliff" scenario is simply going to incentivize companies to pay a lot of dividends out of their cash holdings between now and the end of the year.