Goldman Sachs is only a Crap Shoot. FDIC? Not here!

Having grown up in a Fundamentalist home in the 1950s, I was taught gambling was evil and should be avoided. Possibly avoided at any cost. But the cost has been high.

So, instead of gambling at great risk, I discreetly invested my money in IRA accounts, mutual funds, and annuities. Most of which I have over the past dozen years or so have lost money on. Lost to market crashes and bad investments. Investments that weren’t insured. No FDIC. Just MDTT(money down the tubes). Money in. Money out. Gone.

So tell me, what is the difference between investing and gambling? One is legal and the other is illegal(in some places). Both can easily turn out the same. One you call a broker and the other you call a bookie. Both has its risks. Easy come. Easy go. Absolutely no assurance of making a good investment or gamble. Just a transfer of wealth from my wallet to a bank account down in the Bahamas. Gamble you do. Gamble you lose. This is what is meant by Risk Management. Only you and I take the risk. Banks and Wall Street only show us how it’s done.

What is meant by risk management is we investers take all the risks.

You know if the government wants to privatize Social Security, then require banks and investment houses to pay high interest insured deposits. Depositing a portion of FICA money into an investment account. Put about 20-percent of total monthly SS contributions into a long term bank savings account. Require banks to pay at least 5-percent interest in a FDIC insured account. Insuring absolutely no risk on the SS recipient account.

Then capitalize the FDIC with a flat 1-percent interest from high yielding home and business loans. Maybe something like it use to be. Use to be before greed took over.

However, this idea would be grossly appalling to most or all banks and investment houses. Banks want the Social Security contributors(you and me) to take all the risk. Banks just want the money with no strings attached. Free and clear. Do with as they wish with no regard for safety or responsibility. “Oh darn. You made a bad investment.”

We take all the risk. Banks and investment houses skip home free. That’s what is meant by Free Enterprise. Maybe more like Risk Enterprise.