Get Amazing Stories

Get great contents delivered straight to your inbox everyday, just a click away, Sign Up Now.

How does Wall Street’s Super Rich get even richer?

25 Apr How does Wall Street’s Super Rich get even richer?

This past week, I was in a meeting with an investment management firm and the CEO told us some pretty shocking news from the most recent financial crisis. It was so mind blowing that I decided to do some research on it. What I read (if true) really disturbed me about how the world works. Here’s a simplistic way to explain what supposedly had happened:

Let’s say there’s this big central bank who wants to lend hundreds of millions of dollars to you so you can invest in some risky investments and you only need to put up 10% upfront capital. Okay no biggie here? Well, what if I told you that if you lose any money from these risky investments then you are not on the hook for the losses because the bank will take all the risk. It gets more interesting. What if you make millions in profits from these risky investments then the bank tells you that you can keep 100% of the profits. Sounds too good to be true? Would you borrow money from the bank to make these types of investments? Heck yeah! Where do I sign up? Well, the reality is this was the type of opportunity presented to the super rich and particularly, to 2 Wall Street wives during the financial crisis. The secrets that are coming out right now will anger and shock you. Trillions of dollars were lent to a few select individuals and corporations at virtually no risk and at low interest rates, while the global economy was in a state of turmoil and millions of people around the world were living in poverty. The news gets worse. You can read the full details here¬† http://bit.ly/ga7xnz

What happened to the Super Rich after this crisis? They became Super Duper Rich. Here’s an example. Did anyone watch the movie, “Wall Street 2: Money Never Sleeps” staring Michael Douglas as Gordon Gecko. Another cult classic Wall Street movie! It talks about the financial crisis and how Gordon Gecko turned an investment of $100 million into over $1 billion in a short period of time. Pretty inspiring eh? Well not really. I remember one quote from the movie when Gordon Gecko was on the phone and he told the person on the other line, “I’m looking for deals, only good deals”. Now I know what he means.

No Comments

Post A Comment

Get Amazing Stories

Get great contents delivered straight to your inbox everyday, just a click away, Sign Up Now.
Secure and Spam free...