Nah, you're right.
But there is more to the buy side than just hedge funds - there are other investors in bonds, some more active than others.
Occupy London! Here we go again!
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Nah, you're right.
But there is more to the buy side than just hedge funds - there are other investors in bonds, some more active than others.
Private investors are pension funds, even just individual people. I mean you and anyother individual can go to companies like M&G and invest in hedge funds or anyother investment you want. The fund managers themselves are just individuals, and yes they benefit the financial 'in' people, but that could be you if you do a bit of research into who is managing what fund and what their past performance was like. All that information is largely in the public domain.
The BoE buying bonds from the market forces demand up, reducing the cost down for the goverment to sell more bonds. When they come to sell them it'll be at what ever the going rate is at that time, the effect to decrease demand and pushing the interest rate up for the government. Not the other way round that you're trying to argue. QE has the effect to reduce the cost of borrowing for the government, whilst also increasing money supply in the system at the detriment of increased pressure on inflation.
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[TW]Fox;20318596 said:
I don't think you do. You don't have to be a genius to see that there's something very wrong with the world, or that something should be done about it. No 'Occupy _____' event has officially released a list of demands because that's not what they're for. They're for people who have had this realization to come together and discuss what could and should be done. Workshops, as it were. Well, that's one of their functions...Coming up with a whole opinion and conclusion on something without any external influence is a very bad idea, as not only are you unlikely to think of everything and have probably missed countless extremely important points, but once you have reached what in your mind is an acceptable conclusion you are, far more often than not, not going to change it. And that's because of any number of types of categories of bias. The human brain doesn't like to go back on decisions because it would take too much time, bias simplifies things and lets us get through more stuff in any given time. But it also means we make a lot of mistakes.
Madrid:
Pretty sure BOE has to sell the existing bonds they brought with the original obligations.
To invest in a hedge, you need to be a qualified "investor". They are less regulated then mutual funds. But they are the same thing. But because they less regulated, they can't offered to the general public. They are not even allowed to advertise.
Any fund manager can gain from this anyway. Because he gets
performance related bonus.
There a lot of hedge funds between "friends"
Now imagine this happening, with all the fund managers doing it, and banks doing it. A slight transfer of wealth I think from the general public.
Part of the problem is QE never filters down into normal businesses very well. Hardly any bank is loaning.
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http://www.ft.com/cms/s/0/71e6b5f0-bd2a-11e0-9d5d-00144feabdc0.html#axzz1athHu9aF
Have a read of that to see what effect demand for government bonds do to the cost.
Have a read of that to see what effect demand for government bonds do to the cost.
Yes I know. Goverment can create bonds with lower yields.
But BOE is buying existing bonds, with obligations the goverment agreed to already a few years back maybe. They have to sell the same ones again.
Bonds are "productised" as a legal contract, once they are created they exist as a "thing" you buy
and you can't reduce the yield on a existing bond. "I think"
If brought a bond, then the goverment put its yield to zero, I'd be angry =P which is why its a legal contract.
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Soldato
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Why do people keep linking to ft articles? You need an account to read them, even then there's a limit. No thanks.
Yep, the interest rate is fixed on the bond, so the government gets nice cheap money at the moment.
I didn't realise that hedge funds weren't available to the public, even via other investment portfolios? I'm not sure on the transfer of wealth from the public. Hedge funds and other investments of those types are typically market corrective in their nature, in the sense that they make money from when things are overvalued or undervalued. Essentially making money from the markets being wrong.
I don't have an account and it works fine for me.
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I looked into american hedge funds, they ask for you to be a "qualified investor", by education or over a certain amount of wealth =S
The regulation may be different here.
Other funds may invest I think, however they might be have to be of certain quality.
Yes joe public can gain, but theres a lot taken by the finance industry to, for the management of these funds.(I mean a lot, fund managers live like kings). So a lot of new money will stay in the hands of the relatively few, and by new money, I mean gain by the effects of the created money being put in.
Then theres the banks, which are selling the bonds to the goverment so they don't fall over.
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Bad times, don't know how that worked for me first time, doesn't work now.
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Soldato
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Tried to look, can't remember the source. Got bored. So no. I don't keep a massive library of all the pages i've ever read
Soldato
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It's because you were talking bull****, as oftenTried to look, can't remember the source. Got bored. So no. I don't keep a massive library of all the pages i've ever read
Whenever you say something without providing a decent source for it, most of the time I've found it to be at best questionable and exaggerated, at worse utter tosh.
Sorry for popping out of no where with that, but that last 'fact' of yours broke the camel's back.
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Soldato
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It's because you were talking bull****, as often
I'm up to 43% sure i'm not entirely making it up
WARNING: LONG POST!
I see these protests as another way for the left looney bin to spout large amounts of rubbish in peoples ears, Granted it sounds harsh but these types of protests really annoy me.
The people protesting do not seem to have a specific message but rather a mismatch of issues ranging from the unions to hippys wanting to get rid of our nuclear weapons and of course discontent with the financial sector.
There are really only 1 group of people to blame for the current situation of protests and thats themselves. I hear you cry "YOU ARE BARKING MAD" which is understandable but please hear me out.
I'll start by agreeing on the one and only point and that is that the banks should not of been bailed out. However they are hardly to blame for the personal situations of the prople protestings and heres why. You could say were having austerity measures because of the banking collapse but in reality this would have happened regardless of the recession as labour borrowed too much.. afterall you cant use a credit card and never expect to pay it back and the same principal applies here.
One main problem is the mentality of the public of whom have the thought process of "must buy shiny new item". If you can't afford to buy the item or service then the answers simple, SAVE UP until you can afford to buy it. This sounds incredibly simple but im afraid to a lot of people the concept is very hard to grasp. Money management will help you deal with situations such as been unemployed and general skills in life which surely cant be a bad thing to have.
Now, on a more personal level its a prediciment largely caused by the protestors own life choices. All too often they see themselves as the "victim" which is a purely negative and inaccurate description of themselves. "I want 40k+ PA job with nice house, car etc" is what everyone wouldn't mind having and it's quite frankly not impossible as it's down to hard work. The protestors have said they refuse to take low-paid jobs such as a cleaner for example and whilst not pleasent, never-the-less it's STILL MONEY and can simply be used as a tempory stop-gap whilst searching for your next job.
You could and should be part of the group of people who are SEOTS as you never know where being one of the SEOTS could lead. SEOTS stands for Self employed on the side and this basically means if you have/havnt got a job you should be self employed. This is also where hard work comes in and whilst work is not guaranteed it is still a worthy aspect of your time, which means creating a website (which is VERY cheap and you can use a lot of the pre-built websites) for yourself lets take an example of this. A graphic designer could offer his/her services whilst in/out of employment and earn money from it but this can also be applied to most other occupations. They would advertise themselves in the yellow pages, have a website, and business cards / posters in local shop windows etc of which all is very cheap to do and could generate a lot of business allowing you to become self employed permanently.
All of what I said can be achieved by HARD work but no matter what I, the government or anyone else says it can't be followed by everyone, including those with a "why cant I have that attitude" as those who can't help themselves cannot be helped. You may agree or disgaree with part or all of what I've said but it's my opinion and im only putting it out there so that other people can understand my point of view.
I see these protests as another way for the left looney bin to spout large amounts of rubbish in peoples ears, Granted it sounds harsh but these types of protests really annoy me.
The people protesting do not seem to have a specific message but rather a mismatch of issues ranging from the unions to hippys wanting to get rid of our nuclear weapons and of course discontent with the financial sector.
There are really only 1 group of people to blame for the current situation of protests and thats themselves. I hear you cry "YOU ARE BARKING MAD" which is understandable but please hear me out.
I'll start by agreeing on the one and only point and that is that the banks should not of been bailed out. However they are hardly to blame for the personal situations of the prople protestings and heres why. You could say were having austerity measures because of the banking collapse but in reality this would have happened regardless of the recession as labour borrowed too much.. afterall you cant use a credit card and never expect to pay it back and the same principal applies here.
One main problem is the mentality of the public of whom have the thought process of "must buy shiny new item". If you can't afford to buy the item or service then the answers simple, SAVE UP until you can afford to buy it. This sounds incredibly simple but im afraid to a lot of people the concept is very hard to grasp. Money management will help you deal with situations such as been unemployed and general skills in life which surely cant be a bad thing to have.
Now, on a more personal level its a prediciment largely caused by the protestors own life choices. All too often they see themselves as the "victim" which is a purely negative and inaccurate description of themselves. "I want 40k+ PA job with nice house, car etc" is what everyone wouldn't mind having and it's quite frankly not impossible as it's down to hard work. The protestors have said they refuse to take low-paid jobs such as a cleaner for example and whilst not pleasent, never-the-less it's STILL MONEY and can simply be used as a tempory stop-gap whilst searching for your next job.
You could and should be part of the group of people who are SEOTS as you never know where being one of the SEOTS could lead. SEOTS stands for Self employed on the side and this basically means if you have/havnt got a job you should be self employed. This is also where hard work comes in and whilst work is not guaranteed it is still a worthy aspect of your time, which means creating a website (which is VERY cheap and you can use a lot of the pre-built websites) for yourself lets take an example of this. A graphic designer could offer his/her services whilst in/out of employment and earn money from it but this can also be applied to most other occupations. They would advertise themselves in the yellow pages, have a website, and business cards / posters in local shop windows etc of which all is very cheap to do and could generate a lot of business allowing you to become self employed permanently.
All of what I said can be achieved by HARD work but no matter what I, the government or anyone else says it can't be followed by everyone, including those with a "why cant I have that attitude" as those who can't help themselves cannot be helped. You may agree or disgaree with part or all of what I've said but it's my opinion and im only putting it out there so that other people can understand my point of view.
[TW]Fox;20317251 said:
shoes said:
kemik said:
It seems not knowing what they are talking about is not just the preserve of the protesters
http://en.wikipedia.org/wiki/File:UK_taxes.svg
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I am sorry but, generalizing people for a valid view is hardly making you or anyone else more correct.
Do you know how Oppenheimer felt when his creation went off?
I sure don't, but it must have been pure horror and the only way that he could see salvation was to give someone else the same edge.
The only thing Oppenheimer could not perhaps see was the possible use by people who do not care and we have plenty of those nowadays, MAD is no longer a valid idea, it might stop nations, but it wont stop people, it is only a matter of time.
At least Oppenheimer will not see that day.
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I think that you will find that most of them are protesting about 'corporate greed', the unpunished irresponsibility of the banks and the increasing level of unemployment.[TW]Fox;20317251 said:
I think that the protester's anger is felt by very many people who aren't there.
Hope that helps you