Do No Evil Google – Censor & Snitch For The State

Submitted by James Quinn of The Burning Platform blog,

“The conscious and intelligent manipulation of the organized habits and opinions of the masses is an important element in democratic society. Those who manipulate this unseen mechanism of society constitute an invisible government which is the true ruling power of our country. We are governed, our minds are molded, our tastes formed, our ideas suggested, largely by men we have never heard of.

This is a logical result of the way in which our democratic society is organized. Vast numbers of human beings must cooperate in this manner if they are to live together as a smoothly functioning society. In almost every act of our daily lives, whether in the sphere of politics or business, in our social conduct or our ethical thinking, we are dominated by the relatively small number of persons who understand the mental processes and social patterns of the masses. It is they who pull the wires which control the public mind.”

– Edward Bernays – Propaganda

 

 

I find the quote above by Edward Bernays to be a perfect synopsis for everything that has come to pass over the last century. The world has become increasingly controlled by an invisible government of greedy Wall Street bankers, shadowy billionaires, immoral big business, crooked politicians, and the military industrial complex, with mammoth media conglomerates, purposefully using propaganda to manipulate and mold the minds of the masses in order to exert power and control over our lives. He wrote those words in 1928, when the only available forms of manipulation were newspapers and radio. Bernays would be ecstatic and delighted with the implements available today used by our corporate fascist state controllers as they deliver the electronic messaging guiding the public mind.

He never dreamed of television, the internet, social media, and the ability of corporations like Google, in full cooperation with the government, to censor the truth, while feeding misinformation and state sanctioned propaganda to the masses in such an efficient and effective mode. Compelling the masses to worship at the altar of technology, while idolizing the evil men running our largest banks and corporations, has been a prodigious success for the shadowy ruling power and their mass media propaganda agents. Mike Lofgren, former congressional insider and author of The Party Is Over: How Republicans Went Crazy, Democrats Became Useless and the Middle Class Got Shafted, describes these mysterious perfidious men as the Deep State:

Yes, there is another government concealed behind the one that is visible at either end of Pennsylvania Avenue, a hybrid entity of public and private institutions ruling the country according to consistent patterns in season and out, connected to, but only intermittently controlled by, the visible state whose leaders we choose.

My analysis of this phenomenon is not an exposé of a secret, conspiratorial cabal; the state within a state is hiding mostly in plain sight, and its operators mainly act in the light of day. Nor can this other government be accurately termed an “establishment.”

 All complex societies have an establishment, a social network committed to its own enrichment and perpetuation. In terms of its scope, financial resources and sheer global reach, the American hybrid state, the Deep State, is in a class by itself. That said, it is neither omniscient nor invincible. The institution is not so much sinister (although it has highly sinister aspects) as it is relentlessly well entrenched.

Far from being invincible, its failures, such as those in Iraq, Afghanistan and Libya, are routine enough that it is only the Deep State’s protectiveness towards its higher-ranking personnel that allows them to escape the consequences of their frequent ineptitude. – Mike Lofgren, Anatomy of the Deep State

The techno-narcissistic American public has been manipulated into falsely believing their iGadgets, Facebook, Twitter, and thousands of Apps have made them smarter, freer and safer. As Goethe proclaimed, the majority of willfully ignorant Americans are hopelessly enslaved, while falsely believing they are free. Our controllers, through relentless propaganda and misinformation pounded into our brains by the government controlled education system and unrelenting messaging by their mass media co-conspirators, have molded the minds and opinions of the vast majority into believing government and mega-corporations are beneficial and indispensable to their well-being.

The overwhelming majority have been conditioned like rats to believe anything their keepers feed them. In order to keep society running smoothly, with little dissent, thought, opposition or questioning, the Deep State utilizes all the tools at its disposal to manipulate, influence, coerce, bully and bribe the populace into passive submission. They’ve trained us to love our servitude. The Inner Party sees this as essential to their continued control, power and enrichment, while keeping the Proles impoverished, ignorant, fearful and distracted with bread and circuses.

http://ift.tt/WjloLI

The key weapon in their arsenal of obedience is technology and the mega-corporations that control the flow of information disseminated to the hypnotized mindless masses. The United States has devolved into a society where a few powerful unelected unaccountable men, controlling the levers of government, education, finance, and media are able to formulate the opinions, tastes, beliefs, and fears of the masses through the effective and subtle use of technology. They have tenaciously and unflinchingly fashioned a technology addiction among the masses in order to keep them distracted, entertained and uninterested in thinking, gaining knowledge, or comprehending their roles and responsibilities as citizens in a purportedly democratic republic.

The mass media, along with their corporate compatriots – Microsoft, Apple, Verizon, AT&T, Comcast, Yahoo, Facebook and Google, gather vast amounts of data, emails, phone calls, texts, internet searches, spending habits, credit information, passwords, videos and private personal information from an agreeable, gullible and trusting populace. Americans have a seemingly infinite capacity for blindly counting on the government and the corporatocracy to use this data in an honorable and ethical manner. But, as Edward Snowden has revealed, the corporate fascist state is collecting every shred of data on every American in a systematic and thorough way. We have voluntarily surrendered our privacy, liberties, and freedoms to mega-corporations like Google and their techno-brethren, who then willingly collaborate with Big Brother NSA and allow unfettered access to this private information.

The U.S. Constitution along with the First and Fourth Amendments are meaningless to these deceitful entities. Our freedoms have dissipated at the same rate we have adopted the technological “innovations” of Facebook, Twitter, and Google. We are being monitored, scrutinized, tracked and controlled by the technology we have exuberantly purchased from the mega-corporations stripping us of our freedom. Technological “progress” has actually resulted in a colossal regression in freedom, liberty, independence, choice, and intelligent questioning of authority. We having willingly submitted to the google shackles of tyranny in exchange for being entertained and amused by Angry Birds, Words with Friends, facebooking, texting, tweeting, posting selfies and statuses, and linking in.       

“Technological progress has merely provided us with more efficient means for going backwards.” Aldous Huxley – Ends and Means

  google big brother-2

                 

David versus the Nameless, Faceless Goliath Robot

“It is difficult to get a man to understand something, when his salary depends on his not understanding it.” – Upton Sinclair – I, Candidate for Governor: And How I Got Licked

 

My enlightening encounter with the nameless, faceless $52 billion “non-evil doing” behemoth entity known as Google, over the last month, has clarified my understanding of how the invisible governing body of the Deep State uses the power of the all-mighty dollar to suppress dissent and obscure the truth. My inconsequential libertarian minded blog that attracts 15,000 visitors per day has been up and running for the last five years. I started my own blog because I didn’t want to deal with ongoing censorship of my articles by Wall Street sellout blogs such as Seeking Alpha, Minyanville, and Financial Sense.

Their salary/living depended upon them not publishing articles critical of Wall Street and the government. My intention has never been to make a living from my blog. Any donations or incidental advertising revenue allowed me to upgrade my server capacity to handle more visitors. I’m certainly not averse to making money, but the sole purpose of my blog has been to try and open people’s eyes to Wall Street criminality, political corruption, media propaganda, and the perilous financial state of our country. Therefore, I was pleasantly surprised when Google approved my website for ads in December.

I will admit my site has been essentially an un-moderated free for all going back to the very beginning in 2009. I do not believe in censorship or false civility. I attempt to induce anger and outrage with every article and post. These are desperate times and anger is the appropriate reaction. The country is on a burning platform of unsustainable policies and practices which threaten the future of our society. I’m pissed off and I want others to be just as pissed off. The regular commenters are intelligent, critical, opinionated, and not afraid to unload with both barrels on fellow regulars or newbies. The language is often strong and the posting of pictures and images adds to the frat house like atmosphere. Regular contributors include doctors, farmers, engineers, business owners, accountants, teachers, waitresses, students, homemakers, soldiers, spies, and retirees. The wild-west nature of the site is not a secret to anyone who has ventured a peek. I assume Google did a review of the site before approving it for their Adsense program.

I started running Google ads on my site in early December. My site operated as it always had. The $30 per day in ad revenue was welcome, as it helped defray my server and security expenses. I experience a surge in visitors whenever I publish an article that gets picked up by fellow truth telling alternative media websites like Zero Hedge, 321 Gold, Washington’s Blog, Jesse’s Cafe Americain, Steve Quayle, Monty Pelerin, Doug Ross, Market Oracle, Dollar Collapse, TF Metals and several others. I published an article called The Retail Death Rattle on January 20 which obliterated the false government and mainstream media recovery storyline and skewered the delusional incompetent CEOs of mega-retailers. It struck a nerve as it generated the highest visitor count in history for my site. It was even picked up by Wall Street Journal owned Marketwatch. My articles are highly critical of Wall Street, the Federal Reserve, corrupt Washington politicians and the feckless captured legacy media, but they usually fly under the radar of the ruling class. On January 22 Google disabled my ads for “policy violations”. This is the vague non-specific description provided by the non-human policing bot:

Scraped content

It’s important for a site displaying AdSense to offer significant value to the user by providing unique and relevant content, and not to place ads on auto-generated pages or pages with little to no original content. This may include, but is not limited to:

  • copying portions of text content from other sources
  • websites dedicated to embedded videos from other hosts
  • websites with gibberish content that makes no sense or seems auto-generated
  • templated or pre-generated websites that provide duplicate content to users.

Sexual content

Google ads may not be placed on pages with adult or mature content. This includes, but is not limited to, pages with images or videos containing:

  • Strategically covered nudity
  • Sheer or see-through clothing
  • Lewd or provocative poses
  • Close-ups of breasts, buttocks, or crotches

Over the last five years I have received exactly ZERO complaints from other websites or authors about re-posting their articles, with full attribution and links, on my website. No one can accuse my site of not having unique and relevant content. I have permission to post articles from Zero Hedge, Charles Hugh Smith, Michael Snyder, Jim Kunstler, David Stockman, John Mauldin, Doug Casey, Paul Rosenberg, Fred Reed and dozens of other brilliant truthful journalists detailing our societal decay. Was there some Kate Upton bikini Gifs and provocative Salma Hayak pictures scattered within the 200,000 comments made on the site in the last five years? Guilty as charged. It seems Google reviewers can’t see the hypocrisy of running ads to meet young bikini clad Asian girls, while disabling ads because there a few bikini pictures on the website. I suspected my article had drawn the Eye of Sauron in my direction and this was the response.

http://ift.tt/1o4J9oQ

Speaking truth to power during these perilous times has repercussions. But I decided to make a good faith effort to follow their rules.

I had made almost 15,000 posts over the last five years. Over the next week I scanned the site and archived posts that included articles from mainstream media websites, along with a hundred or so bikini pictures. You never deal with a human being when attempting to satisfy the Google Gestapo. Identical canned appeal denial responses are issued from Google Central with no clarification or effort to help you understand their reasoning.

Hello,

Thank you for providing us with additional information about your site. However, after thoroughly reviewing theburningplatform.com and taking your feedback into consideration, we’re unable to re-enable ad serving to your site at this time, as your site appears to still be in violation.

When making changes, please note that the URL mentioned in your policy notification may be just one example and that the same violations may exist on other pages of your website. Appropriate changes must be made across your entire website before ad serving can be enabled on your site again.

If you’d like to have your site reconsidered for participation in the AdSense program, please review our program policies and make any necessary changes to your webpages.

We appreciate your cooperation.

Sincerely,

The Google AdSense Team         

There must have been some miscommunication within the Google Gestapo, as the ads were re-enabled after one week and my third appeal. A newbie, who didn’t get the memo, must have mistakenly activated my ads. Regular commenters and contributors were confused by what they could and couldn’t post on the site, as was I. The iron fist of the Google Stasi came down once again within a week, with the identical policy violation notice. I made the assumption that since the site was declared in compliance as of January 29, I only had to address anything posted since that date.

I had purged the site of any and all risqué pictures, so I knew that wasn’t a real issue. I thoroughly reviewed every post made since January 29 and archived or edited them to leave no doubt I was meeting Google’s vague guidelines. I continued to have my appeals rejected. I then went back a year and archived hundreds of other posts. By the fourth appeal rejection, I realized I would never meet their standard because it wasn’t really about violating Google content policies. It was my libertarian, anti-government, anti-Wall Street, anti-Mega-Corporation, anti-Surveillance State views that were the real issue. They were attempting to make me “not understand” or write about the creeping corporate fascist paradigm overtaking the country by making my Google salary dependent on “not understanding”.

Once I understood this truth, I was set free to provoke and prod the nameless, faceless Google entity and prove beyond a shadow of a doubt their true purpose. Their appeal form allows 1,000 characters for your response. Along with the actions I had taken, I began to question the integrity of the Google apparatchik “reviewer”, as it was clear the site was not in violation. I had archived over a thousand posts and tens of thousands of comments. I challenged the man behind the Google curtain to provide me with proof the site was still in violation. I must have struck a nerve, as out of the blue I received a new violation notice.

 Violent or disturbing content

AdSense publishers are not permitted to place Google ads on pages with violent or disturbing content, including sites with gory text or images.

Now this was funny. My site focuses on the financial, political, and social decay of our country. It in no way advocates or promotes violence. It has no graphic images or gory videos. If Google is attempting to suppress videos of revolutions occurring in Venezuela, Ukraine, and Syria from being seen by citizens of the world, their credibility is zero. If Google is attempting to suppress videos of police brutality against citizens or the police state locking down an entire city while violating the Fourth Amendment, they prove themselves to be nothing more than a fascist propaganda tool of the State. This violation notice was laughable, but I decided to call their bluff one last time. I spent three days and archived 14,000 out of the 15,000 posts ever made on my site. All that remained were my main articles, published on dozens of other sites with Google ads active, and original content produced by myself or other approved contributors. There was no violent content, scraped content, or sexual content on my website.

My ninth and final appeal was denied. I then proceeded to write an FU Google post on my website and inform my readers and contributors they were unshackled from the Google Evil Empire of Censorship. I’m in the process of restoring all of the posts I had archived. Some might argue that Google is just exercising their rights under our free market capitalism system. I would argue free market capitalism does not exist today. The unholy alliance of big banks, big corporations, big military and big media has created a state run by the few for the benefit of the few. They use their control of the purse strings to manipulate minds, crush dissent, and censor through bullying and bribery.

Once I mentally liberated myself from their financial control, I was able to see their game. They essentially wanted me to purge the site of every anti-establishment example of free speech and First Amendment rights I had ever written, in order to kneel before the altar of $$$ in the Church of Google. Google would be perfectly fine if I converted my website into a chat-fest where I discussed the details of the upcoming Kim and Kanye wedding, pondered deep issues regarding the benefits of gay marriage, conducted polls on who The Bachelor will choose to be his betrothed this season,  mused about what Hollywood stars will wear at the Academy Awards, and debated who will win the fourteenth season of American Idol. The Google money would flow freely as I contributed to the dumbing down and sedation of the masses. I have chosen not be a Judas that sells out my readers and the American public for 30 pieces of fiat to the Google Pharisees and the American corporate fascist surveillance empire.

This was not the first time the Deep State attempted to silence my anarchistic viewpoint. On June 5 Edward Snowden, American hero and patriot, released the first of thousands of documents detailing the traitorous actions of the NSA, Obama, Congress, the Judicial branch, and the corporate media. Snowden revealed the government, in cooperation with Google, Verizon, Facebook and a myriad of other technology/media companies, was collecting metadata and conducting mass surveillance of every American in violation of the Fourth Amendment, a clearly illegal form of search and seizure.

On June 19 I penned an article titled Who Are the Real Traitors? In the article I declared Obama, James Clapper, Dick Cheney, Diane Feinstein, Peter King and a plethora of other politicians, faux journalists, and talking media heads as the real traitors of the American people. The article achieved wide distribution through my usual channels and must have again drawn attention in Mordor on the Potomac. Two days later anyone with McAfee or Norton security were receiving false warnings about a malicious virus on my site. Long time readers in the military informed me the site was now blocked by the Department of Defense as a dangerous website. Other long-time readers informed me their corporations were now blocking access to the site. The site was inundated by denial of service attacks. It slowed to a crawl and was virtually inaccessible. I’m sure it was just a coincidence.  

I was forced to switch server companies and hire an anti-hacking company to protect the site, thereby increasing my cost to run the site by a factor of 10. Even though the companies I hired confirmed there were no malicious viruses on the site, Norton continued to scare Internet Explorer users from reading my site for the next eight months. How the $8 billion Symantec (owns Norton) entity could rationalize this false warning on only $80 billion Microsoft’s Internet Explorer, seems suspicious to me. The warning would not appear if you accessed the site with Mozilla Firefox, even if you employed Norton security. Norton makes it virtually impossible to appeal their false danger rating. I’m sure thousands of people were scared away from my website by these unaccountable corporate entities, working on behalf of the all-powerful state. Lofgren’s Deep State or Bernays’ Invisible Government hate the truth. They despise anyone who attempts to open the eyes of the public to their deception, criminality, and propaganda.             

Google has become a tool and partner of the Deep State. Enrichment of the state within the state is their sole purpose. Google’s Don’t Be Evil motto, originated when they were a fledgling company in 2000, has become a farce as they have descended into the netherworld as the information police for the ruling despots. They are now a humungous corporation with near monopoly control over the flow of information, searches, emails, and internet advertising. They know more about you and your habits than you do. They attempt to control freedom of speech at the point of a wire transfer. Fall into line or no advertising blood money for you. Not only do they suppress viewpoints through advertising revenue bullying, they manipulate their search engine results to hide the truth from the masses.  Google search engines filter, block and bury blog posts that contain content or information it deems incompatible with the message of its corporate fascist co-conspirators. Its oppressive corporate practices on behalf of its evil partners are an abridgment of the freedom of speech, perversion of the truth, and active attempt to mold the minds of the masses.

One of the most intelligent and cleverest contributors to my website, Nick (aka Stucky), summed up the evil entity known as Google in this pointed comment on my website:

There is an Entity out there who knows every search you ever made.

The Entity knows all about your emails, the content and address.

The Entity knows what you buy online and how often.

The Entity is developing software to predict what you will buy next.

The Entity can now even watch you, and know where you are, and what you are doing.

The Entity even knows your habits.

The Entity has enormous resources and stacks of cash.

The Entity shares your information with Lesser Entities … and also The Big Evil Entity that rules us all.

The Entity makes the NSA, CIA, FBI, DHS, and their ilk look like Lightweight Chumps.

The Entity hates you. You are just a means to an end.

The Entity is building a Profile all about you.

The Entity will soon know you better than you know yourself.

Welcome to Google, the most evil Entity on the planet.

As a society we have fallen asleep at the wheel. We’ve allowed ourselves to be lulled into complacency, distracted by minutia, mesmerized by technology, turned into consumers by corporations, pacified by financial gurus and Ivy League economists, and fearful of our own shadows. Surveillance, censorship and propaganda are the tools of the oppressive state. Free speech and truthful revelations about the Deep State are a danger in the eyes of our oppressors. Words retain power and can change the hearts and minds of a tyrannized citizenry willing to listen. V’s speech to London in the movie V for Vendetta, with slight modification, captures the essence of how Google fits into the evil matrix we inhabit today.  

Because while the truncheon may be used in lieu of conversation, words will always retain their power. Words offer the means to meaning and for those who will listen, the enunciation of truth. And the truth is, there is something terribly wrong with this country, isn’t there?

Cruelty and injustice…intolerance and oppression. And where once you had the freedom to object, to think and speak as you saw fit, you now have censors and systems of surveillance, coercing your conformity and soliciting your submission. How did this happen? Who’s to blame? Well certainly there are those who are more responsible than others, and they will be held accountable. But again, truth be told…if you’re looking for the guilty, you need only look into a mirror.

I know why you did it. I know you were afraid. Who wouldn’t be? War. Terror. Disease. There were a myriad of problems which conspired to corrupt your reason and rob you of your common sense. Fear got the best of you and in your panic you turned to the government and their banking/corporate patrons. They promised you order. They promised you peace. And all they demanded in return was your silent, obedient consent.

I choose not to silently and obediently consent to the will of the Deep State. Google will not silence me. We are in the midst of a Fourth Turning and I will try to do my small part in sweeping away the existing social order and trying to replace it with a system that honors and follows the U.S. Constitution. In Part 2 of this expose of evil, I’ll provide further proof of Google’s hypocrisy, censorship, and willing participation in spying on the American people. I’m beginning to understand the major conflict which will drive this Fourth Turning – The People vs The Corporate Fascist State.

WARNING: The National Security Agency is recording and storing this communication as part of its unlawful spying program on all Americans … and people worldwide. The people who created the NSA spying program say this communication – and any responses – can and will be used against the American people at any time in the future should unelected bureaucrats within the government decide to persecute us for political reasons. Private information in digital communications is being shared between Google, Facebook, Verizon and the government. It will be used against you when it suits their purposes.


    



via Zero Hedge http://ift.tt/1euMU1B Tyler Durden

Here Is The FT’s Gold Price Manipulation Article That Was Removed

Two days ago the FT released a clear, informative and fact-based article, titled simply enough “Gold price rigging fears put investors on alert” in which author Madison Marriage, citing a report by the Fideres consultancy, revealed that global gold prices may have been manipulated on 50 per cent of occasions between January 2010 and December 2013.

To those who hve been following the price action of gold in the past four years, gold manipulation is not only not surprising, but accepted and widely appreciated (because like the Chinese those who buy gold would rather do so at artificially low rather than artificially high fiat prices) and at this point, after every other product has been exposed to be blatantly and maliciously manipulated by the banking estate, it is taken for granted that the central banks’ primary fiat alternative, and biggest threat to the monetary status quo, has not avoided a comparable fate.

What is surprising is that where the FT article once was, readers can now find only this:

 

 

And since we can only assume the article has been lost to FT readers due to some server glitch, and not due to post-editorial consorship or certainly an angry phone call from the Bank of England or some comparable institution, we are happy to recreate it in its entirety. Just in case someone is curious why gold price rigging fears should put investors on alert.

Gold price rigging fears put investors on alert

By Madison Marriage

Global gold prices may have been manipulated on 50 per cent of occasions between January 2010 and December 2013, according to analysis by Fideres, a consultancy.

The findings come amid a probe by German and UK regulators into alleged manipulation of the gold price, which is set twice a day by Deutsche Bank, HSBC, Barclays, Bank of Nova Scotia and Société Générale in a process known as the “London gold fixing”.

Fideres’ research found the gold price frequently climbs (or falls) once a twice-daily conference call between the five banks begins, peaks (or troughs) almost exactly as the call ends and then experiences a sharp reversal, a pattern it alleged may be evidence of “collusive behaviour”.

“[This] is indicative of panel banks pushing the gold price upwards on the basis of a strategy that was likely predetermined before the start of the call in order to benefit their existing positions or pending orders,” Fideres concluded.

“The behaviour of the gold price is very suspicious in 50 per cent of cases. This is not something you would expect to see if you take into account normal market factors,“ said Alberto Thomas, a partner at Fideres.

Alasdair Macleod, head of research at GoldMoney, a dealer in physical gold, added: “When the banks fix the price, the advantage they have is that they know what orders they have in the pocket. There is a possibility that they are gaming the system.”

Pension funds, hedge funds, commodity trading advisers and futures traders are most likely to have suffered losses as a result, according to Mr Thomas, who said that many of these groups were “definitely ready” to file lawsuits.

Daniel Brockett, a partner at law firm Quinn Emanuel, also said he had spoken to several investors concerned about potential losses.

“It is fair to say that economic work suggests there are certain days when [the five banks] are not only tipping their clients off, but also colluding with one another,” he said.

Matt Johnson, head of distribution at ETF Securities, one of the largest providers of exchange traded products, said that if gold price collusion is proven, “investors in products with an expiry price based around the fixing could have been badly impacted”.

Gregory Asciolla, a partner at Labaton Sucharow, a US law firm, added: “There are certainly good reasons for investors to be concerned. They are paying close attention to this and if the investigations go somewhere, it would not surprise me if there were lawsuits filed around the world.”

All five banks declined to comment on the findings, which come amid growing regulatory scrutiny of gold and precious metal benchmarks.

BaFin, the German regulator, has launched an investigation into gold-price manipulation and demanded documents from Deutsche Bank. The bank last month decided to end its role in gold and silver pricing. The UK’s Financial Conduct Authority is also examining how the price of gold and other precious metals is set as part of a wider probe into benchmark manipulation following findings of wrongdoing with respect to Libor and similar allegations with respect to the foreign exchange market.

The US Commodity Futures Trading Commission has reportedly held private meetings to discuss gold manipulation, but declined to confirm or deny that an investigation was ongoing.

h/t Noel


    



via Zero Hedge http://ift.tt/N0Ky4A Tyler Durden

10 Things That Worry Quants

Fundamentally oriented investors tend to think that quants, like blondes, have all the fun. As ConvergEx's Nick Colas notes – it all looks like easy money – scalping trades with lightning fast computers, front running news with preferential access to press releases, or managing leveraged portfolios with thousands of small but profitable positions – but quants face their own significant challenges. Finding common rule sets that work in a wide array of stocks is not easy, and markets adapt quickly to close opportunities that seem historically profitable – the number of potential signals is seemingly endless; and regulators are now aware of quantitative investing and, in some cases, don't like what they see. Here are 10 reasons why why "it's not easy being a quant."

In summary, Colas points out, the fundamental/quant investor divide is a case of “The grass is always greener on the other side of the fence.”

Via ConvergEx's Nick Colas,

Have you ever had one of those dreams where you are out in public and suddenly realize you’ve forgotten to put on your pants?  Everyone is staring at you, and for a while you just wonder why.  Do you look especially attractive today?  No, that can’t be it; some people are laughing at you.  Then you realize: no pants!  General embarrassment ensues.  And then, hopefully, you wake up.

I had an analog experience today while presenting at a conference entitled “Quantitative Investing with News & Sentiment Analysis” hosted by Deltix and RavenPack, two preeminent vendors in the front-page world of quant investing.  The organizers asked me to give the lead-off talk to the room of about 100 number-crunchers, the topic of which was basically “What does the rest of the investment world think about quants?”   My message was as follows:

Capital markets connect investors, managements, employees, retirees and other savers – basically everyone in society – together into one economic ecosystem.  As such, markets are hugely important and their credibility is a lynchpin social issue.

 

Fundamental investors – I used famed Fidelity Magellan Fund manager Peter Lynch as one example – are useful spokespeople for capital markets.  They connect what goes on in asset prices, especially equities, to economic outcomes in a way people can understand.  And, if they do as well as Peter Lynch did for his investors, these “Heroes” of capital markets can act to give the broad population some confidence that market-based capitalism really is a sensible way to organize the allocation of scarce resources.

 

The issue quant investors face is that their newer approach to capital allocation, based on technology and math and speed, hasn’t yet developed the utility of their narrative back to society as whole.  Indeed, its opaque and fragmented nature can engender suspicion from existing capital markets participants and regulators.

The whole “Hero” narrative, I thought, was a neat way to explain both why fundamentally minded investors have trouble with quant investors and to recommend some solutions to bring this Hatfield – McCoy style divide a bit closer together.  Perhaps it was the fact that I was the first speaker, or perhaps the coffee didn’t kick in, but at the close of my brief chat it took a little while to get some questions from the audience.  Always an embarrassing moment, that part where you say ‘Any questions?’ in a chirpy voice but only hear crickets in return.  I checked to see if the whole pants thing was the problem, but no…  They even matched the jacket.

Later, as I listened to several presentations by other speakers and the very lively discussions about their back tests, mathematical equations and statistical regressions, it struck me just how truly different the quantitative approach to investing is from the fundamental school.  As a long time adherent of the latter, I have always been a bit jealous of the former.  As it turns out, the grass isn’t necessarily greener on the quant side of the fence.  Come to think of it, It might not even be grass over there…

Later in the day, I jotted a quick Top 10 list of ‘Why it is actually tough to be a quant after all”:

1. They are just as lost as any fundamental investor.  As I listened to the morning’s presentations, I expected to hear about wildly successful algorithms and quantitative processes that had excellent back tested results and were delivering outsized returns with minimal risk.  The gating element I expected to hear about was computing power, or execution speed, or access to large and complex datasets.

 

The reality is that quant investing is still in a relative infancy, with debates like “How much does news really move a stock?”  Fundamental investors simply try to forecast specific events like better than expected earnings or revenue shortfalls.  Quants need to know that, plus how much, on average, will such news change the stock price?  Not easy stuff, and the targets change frequently.

 

2. Developing common rule sets for different stocks in various sectors/markets is difficult.  Imagine coming up with a common set of trading guidelines that could apply to all the stocks you know well.  Some are easy – a big earnings beat, or a surprise dividend boost.  But how about news in the supply chain?  Or the customer base?  The former, as it turns out, has less impact than the latter.  But figuring that out takes time.  A lot of time.

 

3. The relationships between stocks, fundamentals, and news changes constantly.  Remember the move off the 2009 lows for U.S. stocks, as low-quality companies had much larger returns than their high-quality peers?    Makes all the sense in the world to a fundamental investors, since the highly leveraged third-tier player in a tough industry with a $3 stock will bounce to $10 long before the #1 company in a great industry will even double.  To a quant that killed it from 2006-2009, however, that’s nightmare material.  Worse than the pants dream.  Their model was likely tuned to own quality companies and short the bad ones.  How do know when to flip the whole process on its head?  And would your investors forgive you if you got it wrong?

 

4. Math both helps and gets in the way.  Make no mistake – quants know numbers.  And models.  And they have access to a myriad of financial information.  But they also only have 24 hours in a day – the same as the rest of us.   They can be caught in analysis paralysis the same as a fundamental investor can feel the need to visit every single operation of a complex company before they make a recommendation.

 

5. The good stuff is very difficult to use.  Twitter is a big topic in quant land at the moment.  Everyone in the room seemed excited by the prospect of this fire hose of information.  At the same time, there was general agreement that social media generally is very heavy lifting indeed if you want to include it in an investment process.  How do you know a tweet is positive, or sarcastic?  Sure, a 12 year old knows.  But a computerized algo reading it?  As if…

 

6. It doesn’t work all the time.  Good investors of any stripe – fundamental or quantitative – know they are playing a numbers game.  If you can win 66% of the time, you are doing a great job.  However, unlike their fundy-counterparts, quants rarely hold a stock long enough to make a huge return.  So they must rely on their process to grind out steady returns with generally short-ish holding periods, without the benefit of a +100% return on the sheet from a long term anchor investment.

 

7. Everything starts with a back test.  Most things, anyway.  Back tests, where you show that your idea for an investment process or data set worked in the past, is a big part of the quant world.  But every quant is keenly aware that past is not always prologue.

 

8. Signals are everywhere… And nowhere.  In the modern information age, data is everywhere.  Want an hour-by-hour weather report for every Wal-mart story location?  No problem.  Daily pings to Google Trends to see what the world is searching for?  No problem.  Data on search term traffic for popular momentum stocks?  No problem.  But knowing where to prioritize your time and efforts?  Not so easy.

 

9. Quant investing is now in the regulators’ crosshairs.  While it didn’t come up in the sessions I listened to, conference attendees must have been aware of the recent decision by Warren Buffett’s Business Wire to cease selling high-speed access to their news flow.  Now, not all quants are high frequency traders, so perhaps it didn’t matter all that much to them.  Still, one of the original advantages to quantitative investing was the inherently compliance-friendly nature of the process.  Take publicly available information, crunch the numbers better than the next computerized trader, and make money with little risk of stepping across any regulatory lines.  Now, how quickly quants get information is clearly a front-and-center issue for regulators.  What might be next for their focus?  Hard to say.

 

10. More and more competition.  Attendance at the Deltix/RavenPack conference was excellent.  Standing room only in a large venue.  No mid-morning fade, and no post-lunch dropoff in headcount.  Quant-oriented investing is still clearly popular, and therein lays a challenge for everyone in the room.  Just as when hedge funds started to run rings around the long-only community in the 1990s, only to see returns fade in the 2000s, managing money with computerized algorithms and ever more complex datasets is getting very competitive.

In summary, my short time living in the quant world gave me a renewed appreciation for just how difficult investing in highly competitive markets has become, regardless of your discipline.  Their super-fast computers and programmers and Russian accents and high math does, at first blush, seem like something akin to magic.  But the quant world, to borrow from an old saying, has to put its pants on one leg at a time, just like the rest of us. 


    



via Zero Hedge http://ift.tt/1dwPyUT Tyler Durden

The Economic Roadmap Ahead: “It Isn’t That Complicated”

Submitted by Gordon T. Long of GordonTLong.com,

Global Economics is not as complicated as the Ivy-league-trained Keynesian economists would have you believe.

As Goldman Sachs gleefully illustrates, the world is presently divided into two financially warring camps.

  1. The Emerging Markets (EM) who have Inflation problems and
  2. The Developed Markets (DM) that have a Disinflation to Deflation problem.

DON'T BE CONFUSED BY THE MIS-DIRECTING LABELS

It actually is not an "Emerging Markets" problem but rather a "Peripheral Nations" problem.

The Peripheral nations are those nations who are not yet fully "Industrial" nations but rather still "Resource" nations. Industrial nations consume Resources and hence "Resource" nations are very dependent on the economies of the "Industrial" economies and are desperately trying to get there because it historically offered higher levels of employment (a big political problem in Resource nations), higher value add product pricing and economic stability (versus the roller coaster commodity cycles).

THE EMERGING MARKETS HAVE BECOME THE ECONOMY

But something has quietly happened over the last decade other than continuous financial turmoil and "bubble" economics.

The willingness of the Emerging Markets (Peripheral Nations) to accept the currency that is being endlessly printed to finance economies, that consume more than they produce, has allowed an over expansion and over-reach by these EM's trying to become Industrial nations.

EXCESS CAPACITY & INSUFFICIENT AGGREGRATE DEMAND

As a consequence today we are left with Output Gaps in the DM's and Current Account payment deficits in the Peripheral nations.

A PATHWAY TO A GLOBALIZATION TRAP

All of this has placed the world on a destructive path towards what can best be termed a "Globalization Trap" and eventually a global fiat currency crisis. The roadmap is easy to discern and quite evident if you actually study the sign posts without wearing Keynesian filtering glasses and a dose of common sense

Click to Expand

PROFOUND IMPLICATIONS TO GLOBAL FINANCIAL MARKETS

The roadmap has profound implications for the financial markets as ecomomies of both the Developed and Emerging Economies move through an almost preordained cycle shown and labeled in the chart below.

Click to Expand

 

For more detail signup for your FREE copy of the GordonTLong 2014 THESIS PAPER


    



via Zero Hedge http://ift.tt/1euBDhy Tyler Durden

Pope Opens Vatican Bank Kimono

In a desperate attempt to distance itself from the widening corruption scandal linking the Vatican’s bank accounts to fund (and allegedly bribe) a 2007 acquisition by Monte dei Paschi of Antonventa, the Pope has taken an unprecedented step in open the Vatican’s finances to public view.

As Reuters reports, Pope Francis on Monday revolutionized the Vatican’s scandal-plagued finances by appointing an auditor-general stating that the Church must see its possessions and financial assets in the “light of its mission to evangelize, with particular concern for the most needy.

The auditor-general will have wide oversight powers “to conduct audits of any agency of the Holy See and Vatican City State at any time,” a statement said. Francis decreed that the changes have “immediate, full and stable effect,” abrogating any existing rules not compatible with them.

 

Via Reuters,

Pope Francis on Monday revolutionised the Vatican’s scandal-plagued finances, inviting outside experts into a world often seen as murky and secretive and saying the church must use its wealth to help the poor.

 

 

The auditor-general will have wide oversight powers “to conduct audits of any agency of the Holy See and Vatican City State at any time,” a statement said.

 

 

A Vatican statement said the changes “will enable more formal involvement of senior and experienced experts in financial administration, planning and reporting and will ensure better use of resources, improving the support available for various programmes, particularly our works with the poor and marginalised”.

 

 

Francis decreed that the changes have “immediate, full and stable effect,” abrogating any existing rules not compatible with them.

 

 

The role and structure of the separate Vatican bank, formally known as the Institute for Works of Religion (IOR), will not change for the time being, a spokesman said.

 

There was no mention of the IOR in Monday’s statements. Francis has not ruled out closing the bank, which primarily handles funds for religious orders and Vatican employees.

 

Both the IOR and APSA have been at the centre of scandals. Italian magistrates are investigating the IOR on allegations of money laundering. The Vatican dismisses the charges.


    



via Zero Hedge http://ift.tt/1hQzLYH Tyler Durden

Reddit Censors Big Story About Government Manipulation and Disruption of the Internet

The moderators at the giant r/news reddit (with over 2 million readers) repeatedly killed the Greenwald/Snowden story on government manipulation and disruption of the Internet … widely acknowledged to be one of the most important stories ever leaked by Snowden.

Similarly, the moderators at the even bigger r/worldnews reddit (over 5 million readers) repeatedly deleted the story, so that each new post had to start over at zero.

For example, here are a number of posts deleted from r/news (click any image for much larger/clearer version):

Related posts from other sites – like 21stCenturyWire – were deleted as well:

And here are a number of the posts deleted by the moderators of r/worldnews:

Write-ups of the same story from other sites – like Zero Hedge – were also deleted:

Two Redditors provide further information on the censorship of this story:

This isn’t the first time Reddit moderators have been caught censoring:

Source links: Here, here, here, here, here and here.


    



via Zero Hedge http://ift.tt/1hQzNzJ George Washington

How To Identify Economic Zombies

Via Monty Pelerin’s World,

Economics is not a difficult subject, unless you try to learn it from an economist. As described by John Kenneth Galbraith, who posed as an economist but was far better as a critic:

Economics is a subject profoundly conducive to cliche, resonant with boredom. On few topics is an American audience so practiced in turning off its ears and minds. And none can say that the response is ill advised.

Common sense is all that is required to be a good economist. Unfortunately, in order to get your union card, you must pretend to have none. Belief in fairy tales like more spending and “free lunches” is also necessary.

But that is of little import in regard to the title – How to identify economic zombies.
 
What Is A Zombie?

Webster defines zombie as

…a will-less and speechless human in the West Indies capable only of automatic movement who is held to have died and been supernaturally reanimated

An economic zombie can speak and is not dead in any physical sense. His defining feature is a focus almost solely on the present. He assumes tomorrow will be just like today. If his current behavior has not created trouble or hardship thus far, then it won’t tomorrow or on into the future. Linearity describes his thinking and world. The future will be just like today.

A Simple Test For Economic Zombie Determination

The test to determine whether you or your friends are zombies is simple. Answer the following question: How would you live if debt/credit were outlawed? The economic zombie has difficulty comprehending the question, no less answering it. If you or your friends do, then you are well on your way toward full zombie-hood, if in fact you are not already there.

The question is relevant because it identifies those too ignorant to comprehend the fact that you cannot consume more than your income will support, at least not forever.

Income for a period determines the amount you can spend that period, or it would in the absence of debt or savings. Borrowing this period enables spending to exceed income this period. But borrowing is nothing but advancing consumption that otherwise would occur in a later period. Whatever is borrowed raises consumption this period but reduces it next period when some of the income earned then cannot be spent because it must be used to service the prior debt. Total consumption for both periods is lower than it would have been without the borrowing. That is due to the paying the carrying cost of debt, interest.

If you cannot understand this concept or you believe that you can nullify it by borrowing again next period, you qualify as an economic zombie. If you answered that you could not live if debt/credit were outlawed, you are an economic zombie, and perhaps also an economic idiot. Osavi Osar-Emokpae colorfully described debt:

And don’t tell me debt is not a big deal. Debt will cut off your legs and laugh at you as you grovel in the dirt begging for mercy. If you don’t need it, don’t get it. If you can’t afford it, don’t get it. If you’re already in debt, get out quickly. If you think you’ll never get out, you’re right, you won’t.

If you are using your credit cards as loans (i.e., you are not paying in full the balance each month) then you are zombie-qualified.

Economic zombies are not born. They are made. They choose their lifestyle. Behind every economic zombie is someone who believes he should live better than his abilities allow. That may work for a time. Then the Osar-Emokpae quote takes over.

The reality is that negative borrowing, saving, should be occurring every year. Man has a finite lifespan and a finite earning career. The latter is shorter than the former. Part of life is to be responsible enough to prepare for the future when income stops. Borrowing is a sign of immaturity and ignorance. Occasionally borrowing is necessary to meet an unforeseen emergency. If it is routine, then you are an economic zombie!


    



via Zero Hedge http://ift.tt/1kcxbt2 Tyler Durden

How Credit Suisse Helped Thousands Of Americans Avoid Paying Taxes

Just when the latest wave of litigation against banks seemed to be calming down with one after another fraudclosure-related settlement (which have cost JPM alone some $30 billion in the past four years), here comes the Senate Permanent Subcommittee chaired by Carl “Shitty Deal” Levin, and blows up the peace of Zurich’s nighttime air with a bombshell of a 175-page report which put Switzerland’s second largest bank, Credit Suisse, front and center in a brand news tax evasion scandal… not that there is anything inherently wrong with that: the last thing the US government needs is to be enabled to be even bigger, plus any money the Treasury needs, the Fed will simply print on its behalf. However, it is considered illegal, at least in polite company. And so among the accusations listed in the report, seen by FT, is that “Credit Suisse made false claims in US visa applications, conducted business with clients in secret elevators and shredded documents to help more than 22,000 American customers avoid US taxes, according to a scathing report by a US congressional committee.

It continues: “Credit Suisse handed account statements to one client tucked inside a Sports Illustrated magazine as part of their “cloak and dagger tactics”, according to Senator Carl Levin, chairman of the US Senate Permanent Subcommittee on Investigations which drafted the report. The bank also helped clients create offshore shell entities to avoid taxes and aided them in structuring transactions so they fell below the $10,000 amount that would alert the government, according to the report, released on Tuesday.” In other words all in a day’s business for any self-respecting tax avoider. Which according to the report would be some 22,000 self-respecting tax avoiders.

Credit Suisse created an office at Zurich airport where more than 10,000 US accounts were held, known by the code name SIO85. Bankers made 150 trips to the US from 2002 to 2008 to aid in the tax evasion efforts. At its peak, the assets of the more than 22,000 customers totaled as much as $12bn.

That tax avoidance was (note: past tense – the days of Swiss bank secrecy are now long gone) one of the Swiss banking industry’s largest sources of incomes and jobs is not a surprise, however the magnitude of just the Credit Suisse involvement is quite stuning: In total, about 1,800 bankers were involved in helping clients avoid taxes, leading Senator John McCain, the top Republican on the subcommittee, to call the practices “systematic.” And since John McCain can’t really be bothered with much more than playing online poker these days, one wonders: just who stands to benefit from the complete unraveling of the Swiss banking sector, which without its secrecy shroud provides absolutely nothing of attraction: certainly 0% deposit rates can be found everywhere these days.

Amusingly, one entity that has fallen under the magnifying glass is the US department of justice, best known in recent years of having replaced its name to department of injustice, for arming Mexican drug gangs, for aiding and abetting the IRS with hunt of conservative groups, and for not prosecuting those it deems Too Big To Prosecute.

Mr McCain also criticised the US justice department for not holding high-level individuals accountable, adding that this seemed to be the common practice of the agency.

 

Mr Levin, a Democrat, accused the justice department of failing to “pierce the cocoon of bank secrecy” and not using all available legal tools to aggressively pursue the case. He said the DoJ obtained the names of only 238 clients out of more than 22,000.

 

“The battle against tax havens using secrecy laws to facilitate US tax evasion has bogged down, causing a huge loss to our Treasury,” Mr Levin said. “The Credit Suisse case study shows how a Swiss bank aided and abetted US tax evasion, not only from behind a veil of secrecy in Switzerland, but also on US soil by sending Swiss bankers here to open hidden accounts.”

So just how big will the next latest and greatest wristslap be? And just how intense will the tongue lashing be of Credit Suisse’s current batch of executives? Find out tomorrow at 9:30 am when the Senate Subcommittee on Investigations holds a hearing title “Offshore Tax Evasion: The Effort to Collect Unpaid Taxes on Billions in Hidden Offshore Accounts” and where everyone who is anyone at Credit Suisse will be present:

    BRADY W. DOUGAN
    Chief Executive Officer
    Credit Suisse Group AG, Credit Suisse AG
    New York, NY

    ROMEO CERUTTI
    General Counsel
    Credit Suisse Group AG, Credit Suisse AG
    Zürich, Switzerland

    HANS-ULRICH MEISTER
    Co Head, Private Banking and Wealth Management, Chief Executive Officer – Region Switzerland
    Credit Suisse Group AG, Credit Suisse AG
    Zürich, Switzerland

    ROBERT S. SHAFIR
    Co Head, Private Banking and Wealth Management, Chief Executive Officer – Region Americas
    Credit Suisse Group AG, Credit Suisse AG
    New York, NY

Of course, as everyone in finance has long since known, the real center of offshore bank account money laundering moved away from the Alpine nation some 5 years ago and is now located in Singapore. One can’t wait to see just how eager the US will be to pick on someone more its own size – say China – when it is done with this latest particular witch hunt, which incidentally global regulations helped enable and which tax authorities closed their eyes on for decades, or at least until the music was playing. It would appear the time to pay the piper has finally come.


    



via Zero Hedge http://ift.tt/1kcoOO8 Tyler Durden

Will We Never Learn? 1840’s Gold Rush Edition

1840’s Gold Rush or 2014 Dot-Com 2.0?

Despite the amazingly high cost of living and the extraordinary opportunities for frittering away money, everyone in early San Francisco was supremely confident that he would soon be able to return home with an incalculable amount of [wealth].

 

Everything was conceived on a vast scale, and there was always plenty of cash available for any scheme that might be proposed, no matter how impossible or bizarre it seemed. No one hesitated to borrow money…

 

-The Barbary Coast (describing the gold rush)

 

 

Source: @signejb

 


    



via Zero Hedge http://ift.tt/1cl1qJq Tyler Durden

Howard Davies On The Banks That Ate The Economy

Authored by Howard Davies, originally posted at Project Syndicate,

Bank of England Governor Mark Carney surprised his audience at a conference late last year by speculating that banking assets in London could grow to more than nine times Britain’s GDP by 2050. His forecast represented a simple extrapolation of two trends: continued financial deepening worldwide (that is, faster growth of financial assets than of the real economy), and London’s maintenance of its share of the global financial business.

These may be reasonable assumptions, but the estimate was deeply unsettling to many. Hosting a huge financial center, with outsize domestic banks, can be costly to taxpayers. In Iceland and Ireland, banks outgrew their governments’ ability to support them when needed. The result was disastrous.

Quite apart from the potential bailout costs, some argue that financial hypertrophy harms the real economy by syphoning off talent and resources that could better be deployed elsewhere. But Carney argues that, on the contrary, the rest of the British economy benefits from having a global financial center in its midst. “Being at the heart of the global financial system,” he said, “broadens the investment opportunities for the institutions that look after British savings, and reinforces the ability of UK manufacturing and creative industries to compete globally.”

That is certainly the assumption on which the London market has been built and the line that successive governments have peddled. But it is coming under fire.

Andy Haldane, one of the lieutenants Carney inherited at the BoE, has questioned the financial sector’s economic contribution, pointing to “its ability to both invigorate and incapacitate large parts of the non-financial economy.” He argues (in a speech revealingly entitled “The Contribution of the Financial Sector: Miracle or Mirage?”) that the financial sector’s reported contribution to GDP has been significantly overrated.

Two recent papers raise further doubts. In “The Growth of Modern Finance,” Robin Greenwood and David Scharfstein of Harvard Business School show that the share of finance in US GDP almost doubled between 1980 and 2006, just before the onset of the financial crisis, from 4.9% to 8.3%. The two main factors driving that increase were the expansion of credit and the rapid rise in resources devoted to asset management (associated, not coincidentally, with the exponential growth in financial-sector incomes).

Greenwood and Scharfstein argue that increased financialization was a mixed blessing. There may have been more savings opportunities for households and more diverse funding sources for firms, but the added value of asset-management activity was illusory. Much of it involved costly churning of portfolios, while increased leverage implied fragility for the financial system as a whole and imposed severe social costs as over-exposed households subsequently went bankrupt.

Stephen G. Cecchetti and Enisse Kharroubi of the Bank for International Settlements – the central banks’ central bank – go further. They argue that rapid financial-sector growth reduces productivity growth in other sectors. Using a sample of 20 developed countries, they find a negative correlation between the financial sector’s share of GDP and the health of the real economy.

The reasons for this relationship are not easy to establish definitively, and the authors’ conclusions are controversial. But it is clear that financial firms compete with others for resources, and especially for skilled labor. Physicists or engineers with doctorates can choose to develop complex mathematical models of market movements for investment banks or hedge funds, where they are known colloquially as “rocket scientists.” Or they could use their talents to design, say, real rockets.

Cecchetti and Kharroubi find evidence that it is indeed research-intensive firms that suffer most when finance is booming. These companies find it harder to recruit skilled graduates when financial firms can pay higher salaries. And we are not just talking about the so-called “quants.” In the years before the 2008 financial crisis, more than a third of Harvard MBAs, and a similar proportion of graduates of the London School of Economics, went to work for financial firms. (Some might cynically say that keeping MBAs and economists out of real businesses is a blessing, but I doubt that that is really true.)

The authors find another intriguing effect, too. Periods of rapid growth in lending are often associated with construction booms, partly because real-estate assets are relatively easy to post as collateral for loans. But the rate of productivity growth in construction is low, and the value of many credit-fueled projects subsequently turns out to be low or negative.

So, should Britons look forward with enthusiasm to the future sketched by Carney? Aspiring derivatives traders certainly will be more confident of their career prospects. And other parts of the economy that provide services to the financial sector – Porsche dealers and strip clubs, for example – will be similarly encouraged.

But if finance continues to take a disproportionate number of the best and the brightest, there could be little British manufacturing left by 2050, and even fewer hi-tech firms than today. Anyone concerned about economic imbalances, and about excessive reliance on a volatile financial sector, will certainly hope that this aspect of the BoE’s “forward guidance” proves as unreliable as its forecasts of unemployment have been.


    



via Zero Hedge http://ift.tt/1fouXlf Tyler Durden