The last time there were more U.S. corporations with executives reducing their holdings than adding to them was during the week ended June 19, 2007, the data show. The next month, two Bear Stearns Cos. hedge funds filed for bankruptcy protection as securities linked to subprime mortgages fell apart, helping trigger almost $1.5 trillion in losses and writedowns at the world’s biggest financial companies and the 57 percent drop in the S&P 500 from Oct. 9, 2007, to March 9, 2009.(visit the link for the full news article)
Executives at 252 companies in the S&P 500 unloaded shares since March 10, with total net sales reaching $1.2 billion, according to data compiled by Princeton, New Jersey-based InsiderScore, which tracks stocks. Companies with net sellers outnumbered those with buyers by almost 9-to-1 last week, versus a ratio of about 1-to-1 in the first week of the rally.
Originally posted by djvexd
reply to post by Kaytagg
Are you kidding me? So taking control of the major industry in this nation as well as putting a clamp down on the financial sector without limiting governmental roles in said ventures, is NOT socialism? Seriously don't try and do that usual arguement of "show me an internet post or sources ". The info is there but some such as yourself choose to ignore it. Do your own research for a change. I haven't made any claims or posts that are not fact.
The government sponsored enterprises (GSEs) are a group of financial services corporations created by the United States Congress. Their function is to enhance the flow of credit to targeted sectors of the economy and to make those segments of the capital market more efficient and transparent. The desired effect of the GSEs is to enhance the availability and reduce the cost of credit to the targeted borrowing sectors: agriculture, home finance and education. Congress created the first GSE in 1916 with the creation of the Farm Credit System; it initiated GSEs in the home finance segment of the economy with the creation of the Federal Home Loan Banks in 1932; and it targeted education when it chartered Sallie Mae in 1972 (although Congress allowed Sallie Mae to relinquish its government sponsorship and become a fully private institution via legislation in 1995). The residential mortgage borrowing segment is by far the largest of the borrowing segments in which the GSEs operate. Together, the three mortgage finance GSEs (Fannie Mae, Freddie Mac and the 12 Federal Home Loan Banks) have several trillion dollars of on-balance sheet assets. The federal government possesses warrants which, if exercised, would allow them to take a 79.9% ownership share in the companies. The federal government has not currently exercised these warrants.
Other corporations owned by the federal government include the National Railroad Passenger Corporation (which does business as Amtrak), the Tennessee Valley Authority, the Corporation for Public Broadcasting, Fannie Mae, Freddie Mac, American International Group (AIG), General Motors, and the United States Postal Service. Many states have government owned businesses for operations as well (e.g. North Dakota Mill and Elevator or South Dakota Public Broadcasting). Generally speaking, a statute passed by a legislature specifically sets up a government owned company in order to undertake a specific public purpose with public funds or public property.
Originally posted by Kaytagg
reply to post by Iamonlyhuman
It's not all that unusual for execs to sell stock. That's part of how they make money. They get "options baskets," which basically means millions of dollars in free stock. The only way to cash in on that money is to sell the shares, so that's what they do.
I wouldn't look into it too much. They're just making $$$$... lots of it.
Originally posted by Kaytagg
reply to post by djvexd
Do you have any examples of those "governmentalization" going on besides GM and a few bad banks?
I realize it's literally the only thing you see in the news, but GM represents a tiny tiny fraction of the total market share for capitalists in the US, and so far that's all that has been socialized. Not what I would call a "threat" to capitalism, nor is the government going to be a share holder forever.
This crap about "socialism" has got to end. We don't have socialism in America -- so say the actual freaking numbers, regardless of what the news anchors may insinuate. Pay attention.
Originally posted by HunkaHunka
Originally posted by Kaytagg
reply to post by Iamonlyhuman
It's not all that unusual for execs to sell stock. That's part of how they make money. They get "options baskets," which basically means millions of dollars in free stock. The only way to cash in on that money is to sell the shares, so that's what they do.
I wouldn't look into it too much. They're just making $$$$... lots of it.
The issue here is that they are ALL doing it at the SAME TIME.... Yes they will do that naturally, but why the collective phenomenon? Well sure, we could chalk it up to general economic malaise, but it's definitely worth the question, and not to be dismissed out of hand...
