Tuesday, August 27, 2013

Catch Up Catch On

Nomadcanuck I
Yes, but many of these "assets" are bonds that will soon be worthless and derivatives that already are.


Nomadcanuck I:
Don't fall for the soundbites thrown out by political shills who depend on others to parrot the same.
Take a look at the holdings reports from several gov pension fund CAFRs. When you see the global diversification in every category, you will be floored.

When you repeat "worthless derivatives" the reality is the government institutional funds have been stripping massive wealth each year through the use of "derivatives".

All a derivative is, is a bet over time where a price is locked in when the trade is executed as a buyer or seller. The derivative is a paper bet. It is the equity move over time that establishes the profit or loss.

You can take a position and close it out in 5-minutes, 5-days, or five months. When closed out if a profit is made on the buy to the sell point (going long) or the sell to the buy point (going short) if a profit is made, the position is closed and settled and you walk with the cash (taken from the others who were in the opposite position).

The government institutional "global" managed accounts for the last 40-years have controlled and moved the derivative markets collectively networked back and forth liquidating hundreds of billions sometimes monthly. Positions taken, positions closed, truckloads of cash walked off with. That is reality.

EXAMPLE: Gold is at $1700 per oz and you expect it to collapse to $1300 per oz in 3-months. You sell a Gold futures contract of 100 ozs (a derivative) at the strike price of $1700 using a minimal margin deposit of $4000 the physical contract value is $170,000. Over the next two months Gold collapses to $1300 and you buy a futures contract back locking in by closing out the trade.
Well, you sold at $1700, bought back at $1300, that is a $400 difference or $400 x 100 oz = a $40,000 profit on the trade.

Well, if now you think Gold is going to jump right back to $1700 an oz over the next 3-months you buy a Gold futures contract, 3-months later it does jump back to $1700, you then sell a futures contract at the $1700 price closing out the trade and locking in another $400 or a profit of $40,000 on the trade. So here in this example you made a total profit of $80,000 and Gold is at $1700 right back to the price where you started six months earlier. Now the individual who had the opposite side of the two trades lost 80K.

The government institutional accounts acting collectively networked to move the markets up or down, slow or fast, releasing the reports that move the markets, controlling the syndicated media for those contrived soundbite reports, schools the minnows back and forth from one end of the pond to the other as the sharks feast.

The public whom about 99% eventually loose their shirts with decimated account balances, being intentionally programmed conditioned by well orchestrated soundbites keeps scratching their heads saying: There is something seriously wrong here but I just can't put my finger on it."

If the general population EVER had the intelligence and undeterred focus to turn over a few of those rocks to see the reality of the government's institutional account performances over the years, (40-years +) they would have that "Oh my God moment" wake up call of their lives.

Great effort is applied by the gang and their in their pockets talking heads and media outlets for not a peep of the basics here so that the public never gets a cognitive thought of the reality of the situation. (Well planeed propaganda scripts are what the public is constantly spoon fed)

In fact quite the opposite takes place of promoted, for selective presentation of a "few" loss scenarios in government managed accounts to maintain that void of cognitive thinking as to the "overall" net results in realty that the government institutional accounts over the decades have barely missed a heart beat and have blown all other players away in end result.

After major market clips or unexpected jumps, the outside the loop traders find themselves discarded on the curbside licking their wounds and the inside players consistently are laughing their asses off all the way to the bank.

** Break the well maintained void and review a few large well managed government pension fund CAFRs as to holdings and performance on the same over a few years. I recommend a first look at the NY State Retirement fund CAFR - http://CAFR1.com/NYSR.html and then the CALSTERS CAFR - http://CAFR1.com/CALSTRS.html

That will be a good start towards that "Oh my God" moment and setting into motion the cognitive thinking you were intentionally denied your entire lifetime by the masterful intent of the gang of inside players.

The very quickly you will get that hit over the head with the baseball bat "Oh my God" moment when you realize you are just looking at two entity CAFR reports out of tens of thousands of others large and small which in collective totals would dwarf the two you just looked at.

This is truly: "The Biggest Game in Town" and you have been intentionally left out of the loop due to the massive money and control that wealth liquidated from others involves per whom and were it is invested or in the alternative with whom it is not. Much grease on those skids takes place 24/7 with almost an unlimited pool of cooperative players....

The "Silence is Golden" rule over the last 100-years in this arena is truly golden.
TREASON: "Treason doth never prosper; what's the reason? For if it
prosper, none dare call it treason." Sir John Harrington, 1561-1612
Walter Burien - CAFR1.com

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