Charles Schwab behind privatizing Social Security?

[Pallas180]

On Hardball tonight, the revelation that Charles Schwab is good friends with the dimwit...and Schwab is being credited with the idea and the push to privatize Social Security for investment in the stock market.

So -

If you have a Charles Schwab account, CLOSE IT, and be sure to let them know why - as I am in the process of doing.
Switch to one of the $7 or $10 traders. You have the right to have your stocks physicaly sent to you or to have them switched to another trader, (I used to switch them for free, don't know now if Schwab charges for the switch now).

Schwab is too expensive per trade anyway...it's not enough for him to rob traders individually - he'd rather do it on a big scale....

[Nite Owl]

1. He was the one behind

the no tax on dividends too. Actually the Social Security plan of theirs has been in the works for decades, nothing new. They hate the program.

[Sanity Claws]

2. I knew that Wall Street was behind it

It sounded like a gift to brokers. Now we know. Just another example of corporate welfare at the expense of taxpayers.

[TomClash]

6. Not so fast

Some support it. Many oppose it.

Do you think Morgan, Goldman and Lehman really want to administer those $500 accounts?

[Sanity Claws]

7. No but I doubt they would have to

There will be some minimum amount necessary to invest. The companies that do 401Ks and the non-profit's equivalent are the ones who will want these accounts. They're set up for handling smaller accounts.

[TomClash]

14. 100 million of them?

And what about the potential liability?

And the profit potential of "conservative accounts" with government restrictions on fees?

Walmart not Wall Street.

[AP]

15. If they can charge high enough fees, yes.

I read that CALPERS costs 18 cents per $100 in assets to manage because it's so large. If you add zeros to the sizes of the accounts, you don't have to add zeros to the number of people you hire to manage the money, or the size of the building you need for an HQ.

A 401K plan, however, costs something like $2.35 in management fees. The trades are smaller, buy you still have to pay someone to handle them.

That twelve time difference in cost of management constittutes the profit that equities brokers would love to see. Of course they'd love to manage all those small accounts, so long as they get to charge per-transaction fees that make handling those accounts lucrative.

[rox63]

3. Argh!! My 401K plan is through Schwab

Since * is determined to destroy social security, I'm going to need some sort of retirement fund. And my employer matches some of my contributions. What to do???

:argh:

[Tux]

10. Keep it

You do need a retirement plan afterall.

[AP]

16. Do research, find a better plan, and petition your employer to move their

401 plan to the better broker.

[AuntiBush]

4. Makes horribly perfect Do$$ars & Cent$!

Of course! The Schwab's of Wall Street would love nothing more, though I did read just last week that a few on WS don't want their reputations marred by this, as I dare say I blame them!

What greed, and so arrogant at that!

:kick:

[Pacifist Patriot]

5. Color me shocked.

Not!

[AlCzervik]

8. i think he may the first one to admit that

i've noticed how quiet wall street has been on this issue----they stand to make $$$$$$$$ handling these accounts and eventually looting them.

[Tux]

11. Enron executives may get jobs now

[HysteryDiagnosis]

9. Charles Schwab is good friends with the dimwit<<

And Cheney was a farking cheerleader for none other than Arthur Andersen. True that.

http://news.bbc.co.uk/1/hi/world/americas/2119981.stm
In another development, it has emerged that Mr Cheney took part in a promotional video for the disgraced accounting firm Andersen.

The lawsuit was filed at a court in Dallas, Texas, where Halliburton is based.

[leesa]

12. This surprises you?

[zulchzulu]

13. Insert the word "duh"

Ya think Chuck would make money on privitizing Social Security?

Shit...they already are making the brochures and training manuals for the staff for this crap...