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There was a very good Gretchen Morgenstern article in the the NYT today - sorry I can't post a link as it's to the "select"(paid) part of their website. It had to do with the proxy votes of various mutual funds and the entanglement of their fiduciary responsibilities to their fundholders and their other cozy relationships to some of the companies whose stock they buy. Long story short - some funds violate their fiduciary roles and go ahead and vote for things that are NOT in the shareholders or fundholders interests, i.e giant executive compensation packages that have no relationship to success or failure of the executive or company. In effect, it is transferring the wealth of the company from the owners to the managers. It is, basically, a scam.
I am sick to death of this shit. In the future, I am putting all my extra dollars in cds and avoiding the stock market and my mutual funds. Go to bankrate.com and read how to "ladder" cds if you are not familiar with the concept. Rates are up. This is smart, this is safe, and it keeps my dollars out of the corporate cookie jar that mutual funds and executives are so willing to help themselves from. There needs to be some accountability and some way to shut off this grotesque charade that robs American shareholders blind. That money belongs to you. It should be going back to you as dividends or re-invested in the company in some way that strengthens the company - not to give some corporate nitwit insider a gazillion dollar paycheck plus severance, plus stock options. They are robbing all of us blind. Then, they go into bankruptcy and screw the employees of their pensions.
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