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View Full Version : ‘Like lambs to the slaughter’



boutons_deux
06-17-2020, 09:16 AM
Trump quietly offers up retirement plans to Wall Street ‘wolves’

the U.S. Labor Department earlier this month quietly gave corporate sponsors of retirement plans something they’ve been agitating over for years:

a government green light to invest workers’ savings into funds managed by notoriously predatory (https://prospect.org/economy/last-legislation-stop-private-equity-abuses/) private equity firms.

allows large managers of 401(k) plans and individual retirement accounts (IRAs) to

put workers’ retirement savings into private equity investments

that offer the possibility of huge returns — and devastating losses.

Scalia released the guidance in response to a request for clarification of the Trump administration’s policy by Partners Group and Pantheon Ventures, private equity firms that collectively manage more than $140 billion in assets.

The labor secretary presented the guidance as an effort to “level the playing field for ordinary investors.” :lol

“investing retirement savings in private equity exposes ordinary retirees to high risk.”

U.S. workers “have socked away $6.2 trillion in 401(k) accounts and another $2.5 trillion in IRA accounts.”

“If just 5 percent of the money in these retirement funds were available to private equity,”

“it would be a windfall of $435 billion

— real money even to private equity millionaires and billionaires.”

Blackstone CEO Stephen Schwarzman — a major donor to President Donald Trump — has been lobbying for looser restrictions on retirement investments for years.

“private equity firms will now be allowed to access — and skim fees off of — the $9 trillion in 100 million workers’ 401k plans and IRAs.”

“a lot more money could end up flowing into these opaque deals,

enriching private equity executives and their friends —

while leaving workers’ meager retirement savings even further depleted.”

“a huge win for the private equity industry” and

“a monstrous setback to American workers who invest in 401(k)s for retirement security.”

opened the door for

private equity wolves to sell the highest cost, highest risk, most secretive investments ever devised by Wall Street to 401(k) plan sponsors,” wrote Siedle.

“401(k) investors will be devoured like lambs to the slaughter.”

https://www.rawstory.com/2020/06/like-lambs-to-the-slaughter-trump-quietly-offers-up-retirement-plans-to-wall-street-wolves/?utm_source=&utm_medium=email&utm_campaign=4792

boutons_deux
06-17-2020, 09:22 AM
so now 401(K) and IRA managers skim their (hidden) fees off for decades, and now P/E predators will also take their 2% every year

The entire racket will be totally hidden and opaque, fucking RIGGED

Ain't Capitalism GREAT! (only for the Capitalists)

Winehole23
06-17-2020, 10:13 AM
Private equity managers underperformed low fee passive index funds over the last 15 years, throwing them America's nest egg seems a bad idea in principle.

boutons_deux
06-17-2020, 10:44 AM
One of the 1000s of actions by Trash's EOs and his Exec to be killed or reversed by Biden's Exec

DarrinS
06-17-2020, 10:53 AM
I thought this was going to be about Cuomo's nursing home policy. :lol

TimDunkem
06-17-2020, 10:57 AM
I thought this was going to be about the bartenders serving up drinks nightly to Darrin's wheezy, cigarette-sucking ass. :lol