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pea on mea
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for those NOT in the know...

...is an unconventional monetary policy used by central banks to stimulate the economy when standard monetary policy has become ineffective. A central bank implements quantitative easing by buying specified amounts of financial assets from commercial banks and other private institutions, thus raising the prices of those financial assets and lowering their yield, while simultaneously increasing the monetary base. This is distinguished from the more usual policy of buying or selling short-term government bonds in order to keep interbank interest rates at a specified target value
 

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Administrator
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20,259 Posts
Fake demand on the monetary supply instead of instituting policies that encourages investment?
 

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a dysgenic effect participant
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385 Posts
I have already given up on my 401K as a slow trickle feeding system for the Corporate Overlords and their puppet Gov’t. My vested Pensions (of which I have two) are little more than a dangling carrot to keep me going straight and discourage any naughty behavior. All I have left is lotto tickets, so fuck off!
 

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Born in a class 5 hurricane
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11,297 Posts
So my:

- 401k and IRA will drop in value
- Cash in my money market will start earning more than 0.1% interest
- Said cash will still lose value due to rising inflation
 

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The Entenmann's Shim-Sham
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12,117 Posts

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Administrator
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9,488 Posts
QE is like participation trophies for 8 year olds playing soccer. You're still a loser but here's a cookie so you don't cry as much and so you will pay to sign up again next year.
 

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move the eff over
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7,196 Posts
Discussion Starter #13
Some (most) of yinz guise seem to get it. So, at least I can count on some company down at the Salvation Army in a little while.

You feel me ?
 

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Administrator
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Uh, yeah.

No one gets rich off encouragement.
QE is like participation trophies for 8 year olds playing soccer. You're still a loser but here's a cookie so you don't cry as much and so you will pay to sign up again next year.
Some (most) of yinz guise seem to get it. So, at least I can count on some company down at the Salvation Army in a little while.

You feel me ?
My financial expertise is very limited so I never know if I am being made fun of or not, LOL
 

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move the eff over
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7,196 Posts
Discussion Starter #15
I think it's all relative. Compared to someone like Middy, I'm a smurfing n00b too.

But compared to say... the Big D, I'm Warren smurfing Buffet.
 

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Good Night
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527 Posts
I have often thought a good question to an atheist is "how can something come from nothing"? QE may be their best comeback.

Here is a good link of somewhat explaining.

http://www.nytimes.com/2014/10/30/upshot/quantitative-easing-is-about-to-end-heres-what-it-did-in-seven-charts.html?_r=0

Maybe my damn credit union will quit building $2+ million branches in all the BFEs, NC now. The one nearest to me (built last year) is about 7,000 sq/ft and never has more than 4/5 employees working in the monstrosity.
 

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Born in a class 5 hurricane
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11,297 Posts
401K and IRA maxed for me. I dont know what else to do with pre-tax money.
Possibly an Annuity ? Earnings are not taxed until funds are withdrawn.

https://fidelity.com/annuities/overview

And no, I do not work for Fidelity.
Two thoughts.

1. What do you think tax rates will be when you retire.

2. If you a baller that has fully funded his 401k/IRA and still has money left, I would look to build a portfolio outside of a retirement plan. That way you can tap into it if you want to do something like get a vacation home or retire early. Assuming it grows in value.
 

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Administrator
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20,259 Posts
Two thoughts.

1. What do you think tax rates will be when you retire.
For me, less. I am in the baller with no kids tax bracket, aka, butthurt rates...but no business write offs.


2. If you a baller that has fully funded his 401k/IRA and still has money left, I would look to build a portfolio outside of a retirement plan. That way you can tap into it if you want to do something like get a vacation home or retire early. Assuming it grows in value.
Right now I am paying off principal on my home, because debt is slavery.

The financial advisers I talk to say "vanguard" fund, but the idea of losing money in interest on the house, even though its fairly low, chaps my ass.
 

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Wire Paladin
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