Pension funds lose value

The value of pension funds is bleeding away in the UK and across America protesters decry Wall Street’s corrupt practices and greed. We were told (by politicians, most likely) that freedom in the markets would free things up and maybe it did. What we were not told and did not realise until it was far too late, is that continued freedom for the market to create new instruments that multiply values without any effect on the other side of the ledger, well that is not the creation of growth. It is mediation by greed. It is irresponsible government and it is pointless.

The world system is a board where each member represents badly controlled feudal entities, each of which is an experiment. Some return value funds can be directed there, others do not get a look in. For years the bleeding empires and the super consumer states appeared to be the best bets, followed by those who had a point to prove or to recover from. We have a system of systems, each of which potentially returns differential values to investors.

It works when the members have control of their entities – for stability and continuity it is reasonable that more strict regulations should apply to state controlled enterprise. When you put the power generation into the hands of a private monopoly there is nothing to stop societal extortion. By inventing methods to fit more water into the same pool, the investment banking sector has very slowly and carefully increased the money supply. The effect is to create mathematical fountains which they in turn invested in new pools, ad infinitum. It is great to create these self perpetuating multipliers of wealth but there comes a point, if the water evaporates before it hits the ground that the whole system becomes a liability, deflated by the absence of pressure and unable to restart the infernal machine as it requires more dynamics exist to feed into its frenzy.

So the pool masters, realising the one way nature of this effect dipped their cup into and extracted what they needed as they then fell from the self induced elevation of their wealth and into, hopefully, obscurity in a country mansion.

And the executive board that runs the world hope for excessive rain to refill those myriad of pools. At first they pump all the water from the foundation pools into the top pools hoping to restart the fountains. Out come more cups draining the network before any can trickle down. And the new pools are starting to rust.

It is inevitable as Governments wind down their public sector and invest heavily in rescuing “capital” from itself, that pensions are going to universally drop. The solution is to demolish the structures that feed on tax payers to rescue pensions. The other solution is to nationalise core banks and protect national sovereignty.

The theory is that the Bilderberg Group of the hyper wealthy that seem to sit above democracy want to eradicate governments at a national level, and replace it with their own, the guiding hand of the benevolent dictatorship, the grandest lords of them all. The ones that own everything.

In 2001, Denis Healey, a Bilderberg group founder and, for 30 years, a steering committee member, said: “To say we were striving for a one-world government is exaggerated, but not wholly unfair. Those of us in Bilderberg felt we couldn’t go on forever fighting one another for nothing and killing people and rendering millions homeless. So we felt that a single community throughout the world would be a good thing.”

– http://en.wikipedia.org/wiki/Bilderberg_Group

See also Telegraph article on decline of pension funds.

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