ethics quagmire: senators beat the stock market

[movie zombie]

"Yet being a corporate insider, and presumably trading on the basis of privileged information, apparently pales next to being a senator. The Ziobrowski et al. study found that senators (including their spouses and dependents) outperformed the market by around 10 percent annually. "Nobody gets results like this in the financial world consistently and over the long term," notes Professor Tom Ferguson, who studies money in politics at the University of Massachusetts-Boston. Any manager of a mutual fund, in fact, who regularly beats the market by as little as two percent annually is considered an investment genius. "


http://www.washingtonspectator.com/articles/20060101senate_1.cfm


interesting article that is critical of both dems and repubs. one can wish that all would follow the example set by republican Senator Lugar.


movie zombie

 

[colormyworld]

Nothing to see here folks just move along.

 

[fire&ice]

I could not view the article b/c I am not a subscriber. But, with the gist of what you said....

I don''t see why this should surprise or alarm anyone. I''d be more frightened if they didn''t have enough knowledge - even periperal - to predict what the stock market might do.

But, call me unethical - if anybody ever invested in the market - all of us has used some sort of "insider trading". I have a friend that was very involved in Lucas ranch stuff. It sounded neat. We bought some stocks b/c of it. At the time, I had no idea what ''insider trading" was. Was it? It''s a gray area. Unless done on a grand and deliberate scale, I have always had a problem w/ this whole insider trading notion.

But, again since I couldn''t view the article - I don''t know to what extent it goes - I just want to reiterate - if the senators/congressmen didn''t have their pulse on what''s going on business wise, regulation wise - I''d be scared.

So, yes - I would tend to move along - no story here. It''s the same ole same ole. I doubt whether this is something new under the sun. If it''s on a deliberate, grand scale - then go after them like you would Martha Stewart.

I think the whole lobbyist debacle is more of a story. Yes, it''s been going on for years. I''ve always found it to be graft. Couldn''t see it any other way.

 

[rodentman]

Martha was not found guilty of "insider trading" but of lying about the circumstances of the trade to investigators.

 

[movie zombie]

interesting....i have no problem getting into the article from the link.

also from the article:

''Mark Twain''s observation, first offered more than 100 years ago, seems pertinent. If your congressman comes back to your state to run for re-election and is not coming home a millionaire, noted Twain, "he is a fool and should be turned out of office." ''

and

"Think of it as the Martha Stewart scenario writ large. "

actually, they aren''t doing anything illegal. unethical perhaps but not illegal.

movie zombie

 

[fire&ice]

Date: 1/29/2006 11:33:36 PM
Author: movie zombie

interesting....i have no problem getting into the article from the link.

also from the article:

''Mark Twain''s observation, first offered more than 100 years ago, seems pertinent. If your congressman comes back to your state to run for re-election and is not coming home a millionaire, noted Twain, ''he is a fool and should be turned out of office.'' ''

and

''Think of it as the Martha Stewart scenario writ large. ''

actually, they aren''t doing anything illegal. unethical perhaps but not illegal.

movie zombie

Are you a subscriber? I''ve not been able to get into a few others though.

And, define unethical? Honestly, it''s something I wrestle on a regular basis. Am I unethical because I buy something way undervalued because I have knowledge of said object that seller/insert someone else doesn''t have?

See, I don''t think Martha Stewart did anything wrong but be a toooo successful women. And, I have to agree with Mark Twain. I only hope that they return w/ money earned from smarts and not from a pocket lined with money earned from a vote.