tag:blogger.com,1999:blog-316774933262163695.post1543055453135191235..comments2023-10-11T08:31:50.397-04:00Comments on moneythoughts: The Credit Rating Agencies: Sometimes You Need To Build A Firemoneythoughtshttp://www.blogger.com/profile/08462893426608294171noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-316774933262163695.post-32717465421270120202010-05-11T10:39:48.627-04:002010-05-11T10:39:48.627-04:00...to Lceel......
What has happened over the last ......to Lceel......<br />What has happened over the last 20-30 years in corporate America?<br /><br />Corporate chieftans have discovered they can take as much money out of the company as the shareholders will let them....in other words, there is virtually no limit, especially with stock awards and options. In the news today, 3 CEO's were listed as making over $30-40 million this year. This is absurd! I believe this is creating a huge separation of classes in America and will lead to our inevitable demise.<br />Secondly, the stock market today is controlled by hedge funds making enormous daily trades. It has gotten very speculative.winslowhttps://www.blogger.com/profile/13031974674813319353noreply@blogger.comtag:blogger.com,1999:blog-316774933262163695.post-35105220386228481792010-05-10T19:42:51.657-04:002010-05-10T19:42:51.657-04:00Lou, it does. Shares sell on what is referred to ...Lou, it does. Shares sell on what is referred to as a Price/Earnings ratio. Shares sell at a number, say 10, times the earnings per share (EPS), say $5.00. Then that corporation would sell at $5 x 10 = $50. If EPS falls to $1.00 and the ratio remains at 10, the price of a share would then sell for $10. The shareholder has now lost 80% of the value of his shares.moneythoughtshttps://www.blogger.com/profile/08462893426608294171noreply@blogger.comtag:blogger.com,1999:blog-316774933262163695.post-53210631222133144022010-05-10T13:52:11.298-04:002010-05-10T13:52:11.298-04:00There's something that bothers me, a little. ...There's something that bothers me, a little. If shares in a company (and shares in a company usually refers to publicly owned, or publicly held companies) confer some sort of ownership of the company, why is it that it's only profits in which the shareholders share? I wonder how the game would change if 'shareholding' meant participating in the loss as well as the profits. <br /><br />And something else - it bothers me to some extent that the financial well being of the nation seems to be dependent on the whim and fancy of gamblers. Speculators. High volume traders. People whose only purpose in 'investing' is to line their pockets - not to build anything, grow anything or preserve anything.Anonymoushttps://www.blogger.com/profile/13024392628362568010noreply@blogger.comtag:blogger.com,1999:blog-316774933262163695.post-42682132654093184402010-05-10T12:42:58.302-04:002010-05-10T12:42:58.302-04:00I think I'm feeling too misanthropic to consid...I think I'm feeling too misanthropic to consider old man legislators today. Today, I give them an imaginary kick in the nuts and go back to my business.Julie Kwiatkowski Schulerhttps://www.blogger.com/profile/00292349838507731268noreply@blogger.com