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Daily Archives: January 27, 2010
Other People’s Money 5 — Sell, sell, sell your financial stocks
The New York Times’ Eric Dash has an excellent story today on the outrageous compensation ratios at the biggest banks and brokerages. $1.50 in employee compensation for every $1.00 of profit, for instance, at Citigroup. At the expense, especially, of shareholders.
Guys and gals — there’s only one answer if you’re mad at these banks. Sell any shares you hold in them. Call your mutual fund company, your 401(k) or pension manager, and urge them to sell. If they won’t, sell your funds and invest in China.
Shareholders are getting the short end of the stick every day, and this is the most egregious example. But hey, it’s your wealth, your retirement. Do what you like.