Comments on: The Problem with the Stock Market

By: Amin K

Amin K — Tue, 12 May 2009 12:21:09 +0000

This will create all sorts of distortions in the market as investors time their stock sale at the 5 year mark.

It’d just be another tax regulation to plan around, adding to the web of regulations that add complexity/cost to economic decisions..

If investors want to avoid the risk introduced by ‘financial engineers’, aka speculators, they can create their own stock exchange that only permits companies whose stock-sale policies meet stringent requirements to prevent ownership by speculators.

A good place to start if you want to reform the system is to advocating getting rid of the defunked SEC.

By: Chris

Chris — Tue, 12 May 2009 01:11:09 +0000

Mark…Great post. Builders and investors should be rewarded. So many of these financial engineers/traders provide no value add. I have shaken my head for years at the reward structure on Wall Street. Maybe that is the one good thing about this mess….people are starting to realize that very little value was being created by these structures. The fraud has been uncovered, now it is time to move forward.

By: Dave

Dave — Tue, 12 May 2009 00:15:47 +0000

mark, before we listen to your financial advice it would help to understand your personal financial performance. Seems there are a lot of frauds out there that think having money means they know how to make it or keep it.

BTW…How is the insider trading lawsuit coming along?

By: MM

MM — Mon, 11 May 2009 21:18:47 +0000

The Markets are a Con game. Its worst than a casino. You can’t beat it. Put your a$$ets in Gold or a worthwhile commodity like oil. I rather bury gold in my backyard than buy stocks.
Capache.

Magic Man

By: natebiehl

natebiehl — Mon, 11 May 2009 17:14:36 +0000

“The ONLY WAY WE ARE GOING TO END THIS BOOM AND BUST CYCLE IS IF WE DIFFERENTIATE BETWEEN INVESTORS AND EVERYONE ELSE.”

BS. The only way we are going to end this boom and bust cycle is if we differentiate between CONSUMERS and everyone else.

You can stimulate big ideas till the end of time, but if the majority of your market can’t afford to buy the actual products without going further and further into debt, the boom and bust will continue.

The demand for a robust economy is exactly the same right now as it was at its peak (if not higher.) The only thing that’s changed is that consumers have run out of credit to subsidize their piss-poor wages.

There’s only one stable way to grow the economy in the long term. Increase real wages for the consumer. Pay EVERYONE who works for you enough so they can meet their needs and have something left over to actually spend.

Most Americans would trample each other this instant to invest that extra money in big ideas in the most important way possible- BUYING THEM.

By: Scott Martinelli

Scott Martinelli — Mon, 11 May 2009 15:20:49 +0000

Mr. Mark Cuban,
What about this dam market. It’s become my worst nightmare. As a father of three daughters, 19, 17, and 14, this is a dads biggest challenge. I’ve never been one to whine or quit, but this whole thing has me at witts end. I broke my ass cleaning carpets for over 20 years, and thought investing for my girls future was doing the right thing. Now I try to not show my girls just how bad things really are. My oldest just finished her first year at UNH, and unfortunately can’t send her back next year. I am not looking for charity, just for some advise from someone who has a very different and amazing outlook on being so sucessful. If you have the time, please give me some suggestions. I watched your 60 Minutes interview, and said to myself …. there has to be a light at the end of the tunnel. Is there? Please, if you have any advise, I am counting on it. Thank you.

PS. That was absolutely ‘bush’ what happened in Saturdays game … I know the pain ( I think ).

Scotty M. – Boston, Ma.

By: MC

MC — Mon, 11 May 2009 15:09:41 +0000

Here’s some great insight about SEC and FINRA…

http://www.facebook.com/home.php?#/video/video.php?v=1099928032676&oid=66515019921

By: Arthur Hutchinson

Arthur Hutchinson — Mon, 11 May 2009 13:38:37 +0000

I was embarassed by your reaction after game 3. Money can’t buy class apparently. Why don’t you sit in the owners booth going forward? I know your fans would appreciate it.

By: JB

JB — Mon, 11 May 2009 13:27:04 +0000

As long as we continue to privatize wall street gains and socialize the losses, I don’t see the behavior changing.

By: The Trader

The Trader — Mon, 11 May 2009 07:14:20 +0000

I have to disagree. Certain people know what is going to happen to the markets. The people in power they dictate the markets so of course they know. EI. The Government(senate).I also do not believe the average investor will take greater risks after they lost the majority of their portfolio in the last yr. Your totally correct the market did go up 36% but I believe a lot of the public through in the towel before this bear rally. Especially if they listened to cramer. Booyah Skii Daddyyy, What happened to wall street week? Geez I liked roukeyser. The average investors who lost all this money would not have the money to put in the market or the guts. Borrowing in this economy to put in stocks, well the banks won’t do that I think there in enough trouble with defaults. Hmm regulatory changes well maybe not keeping the market artificially up which looks like what the government is doing right now. Also the uptick rule.
I believe everything has changed in the last couple years the market collapsed more than I have ever seen in this short of period of time. Banks and AIG, GM, And ford almost went bankrupt. These were the darlings of the Dow for decades and they almost went completely belly up and would of without the help of the government. Hopefully the market will go back up but as Mr.Cuban stated this could still be a bear rally. We will have to see.

I also enjoy watching basketball and to see Wright foul Melo twice and not get the call is ridiculous. What does he have to do punch him in the face to make sure the foul is called.

Go Mavs