No. of Recommendations: 85
Most of us put a lot at risk when we invest, maybe more so now than ever before, as the government appears to be dictating the direction of not only certain companies and industries, but entire equity markets as well. How better to overcome the risk, than to be responsible for the very laws that regulate who can buy and sell stocks with insider information? How much further inside can you get than to write the laws immediately before calling your broker to trade on the companies that you just regulated?

I heard that. Someone in the back of the METaR auditorium is hollering, "Life isn't fair, get over it." I hear you, I get that. But stacking the deck so sharply against the average investor in our equity markets, goes against everything that capitalism stands. It twists all the normally expected market reactions due to the fact that some powerful investors KNOW what is going to happen to markets and economies and have a license to trade their portfolios accordingly. One can only hope that the practice will at least become illegal. Of course that wouldn't guarantee any perp walks for congressmen in the near future either, but who knows? The public is slowly coming awake to some of the myriad ways that those with great wealth and power take advantage of them for their own benefit.

Throw Them All Out, Peter Schweizer's explosive new expose, has pulled back the lid on congressional insider trading, revealing the shocking regularity with which elected officials use their legislative ...

But there is hope. For years, senators (okay, maybe only one senator) has been trying to get co-sponsors of a bill to make insider trading illegal, without success. But in today's headlines, I notice this blurb: Senate to Hold First Hearing on Banning Insider Trading by Lawmakers

The Senate will hold its first-ever hearing on legislation to ban members of Congress from trading on information they learn in the halls of Congress.

You say you're not mad yet? Pull up Google and look up any of the following:

Insider trading+ ....

Still not upset?

Oh, folks, this is just the tip of the iceberg. Thank goodness for the internet. All great investigative reporters have long since been fired, laid off, down-sized, or have seen the writing on the wall and hit the road before the screen door hit them in the a$$ on the way out.

One last quote, then the rant is over and we can all go back to wondering if IBM is a bargain, or over-priced. Those in power don't have to wonder about such mundane trivia. They need only make plays where they are guaranteed the outcome.

Schweizer’s book states that Bachus bought options on the fund right after his meeting with Bernanke and Paulson, then closed his position and doubled his investment a few days later. He made other options trades between July and November of 2008, most on index-based funds, and made profits on most. He did lose $6,000 on one trade.

I was going to buy more IBM today, but thought I'd wait until my weekly briefing with HeloBen and TimTheWeasel. You don't mind if I put that little advantage to work against you in the market, do you? I mean, that's fair, don't you think? I deserve it, it's my right, don't you agree?

Oh, that's right. Life isn't fair.

Never mind.

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