posted on Jan, 28 2013 @ 05:54 PM
reply to post by sleeper
You have a point and yeah the mutual fund option would be great. I have dabbled in stocks for the short term and have no complaints, it took me many
sleepless nights of research but the outcome was good. There is money to be made in stocks.
But what I don't understand is how this would work for retirement. It sounds good on paper just like Social Security did in the past but problems
arise when it's "cash in" time. The problem with Social Security is there is no new population to pay in to SS and I completely understand that to
depend on at my age for the future is down right crazy. But I see the same problems happen when you add the word retirement and stock market
The benefits of having an entire generation buying into a company will be in contrast just as devastating when the retiree cashes in. Just like SS,
mutual funds would need to be fueled by a younger generation who is larger than the first and even then there would be a drop in stock value.
So in all honesty I have a hard time seeing things play out in my mind with out sharp rules and regulations made in agreement by both government and
Wall Street, not to mention on humans doing their part of having babies even during good times.
Now it could work fine, people retire and cash in lowering the value of the stock which in turn helps a younger generation buy in cheap and ride to
the top and the cycle repeats......in a perfect world.
I still think sons and daughters should have a moral obligation to their fathers and mothers not just their children because when you get right down
to things, family is really all you have. Investing in family above all else is a good start before people start worrying about SS and mutual fund.
Governments and Wall street act like the mob sometimes so having your own....adds a little security to all equations even retirement.