LAT: Wall Street Lying Low on Social Security

[DeepModem Mom]

Wall Street Lying Low on Social Security
By Tom Petruno and Walter Hamilton, Times Staff Writers


Discount stock trading pioneer Charles R. Schwab has long supported the idea of diverting a share of Social Security taxes into private investment accounts....

***

But with the debate over Social Security's future now kicking into high gear, the 67-year-old Schwab is staying out of the public eye. "He has made a specific decision" to decline interview requests on the topic, a spokesman said.

Schwab's reticence is emblematic of the peculiar wallflower role adopted by much of the U.S. financial services industry when it comes to overhauling Social Security.

The nation's brokerages and mutual fund companies could be big winners if the government were to allow Americans to funnel some of their Social Security taxes into private investment accounts each year. Firms such as Fidelity Investments, Vanguard Group, Merrill Lynch & Co. and Schwab collectively could reap billions of dollars in management fees and commissions over the long term.

But the emotions triggered by President Bush's call for restructuring Social Security also have raised the risk that the financial industry could become a target of public ire....


http://www.latimes.com/business/la-fi-wallstreet18jan18,0,3175728.story?coll=la-home-headlines

[opihimoimoi]

1. As financial advisors, they know a bad deal when it comes down the pike.

If they make billions, and the taxpayers pay for the transition,
where does all this new investment money go to??

and in the rush to invest, surely there will be winners and losers...

but with so much investment money all at once, the world becomes flooded with investments. The boys in the trade are hesitent to make the call for the big picture. They know Bushies track record... the odds are he will repeat his losing streak.

and if our National debt grows to 10 trillion$$ plus, what the hell happens to the stock market??

[The Zanti Regent]

3. C'mon baby, let the RED INK flow!

After all, we got Je$u$!

[Kolesar]

2. Amex & Fidelity gave campaign contributions to Bushcheneyco 2004

...which were beyond what they had ever given anyone before. It is obvious they are buying influence to get the SS $$.

That LA Times article is a good read, though!

[quaoar]

4. Social Security "reform"

Is nothing more than a smash-and-grab robbery by Bush on behalf of his cronies in the financial services industry who are all salivating at the prospect of billions in fees.

They have already bankrupted the rest of the treasury to give it all to their rich friends. This is the only pile of money left. When they're done they will have achieved their two biggest goals -- to enrich themselves and destroy the government.

Bush will burn for all eternity on a lake of fire in the deepest pit of hell for this.

[cap]

5. they also handle the union pension plans...

so they need to keep their mouths shut.

[w4rma]

6. Remember Argentina. (nt)

[yorkiemommie1]

7. my brother the stockbroker

is very close-mouthed on this. no wonder.