News Analysis: Banks are hiring additional Wealth Advisers, beyond the present Thousands, (to increase the Wealth of Bankers). As more of these people are hired, one must ask: What “Real-World” Experience do they have in: Aeronautics, Agriculture, Building Construction, Manufacturing, Mining, Science, Shipping, or Technology? These are Core Industries, in varying degrees, for Countries World-Wide.
All too often, the Public is addled by the Marketing by Financial Institutions (FI’s) into thinking the ‘FI’s’ have all the answers of the Financial Future of Humanity; Hardly!
The end-result desired by the ‘FI’s’ is ‘significant’ Profitability Increases for themselves FIRST. As a follow-on, Client’s Monetary Growth above (however slight) a country’s Consumer Price Index is Acceptable. A Party interested in Wealth Retention will be appeased by such mediocre performance, hopefully.
2013, was a well ‘Manipulated Market’ for Stocks (as one views a Snap-Shot). To those ‘FI’s’ who point to Clients’ Wealth increases in 2013, one can ask: “Please repeat this performance in 2014”. Many experienced International Investors think ‘FI’s’ will be “Rolling Sevens” as in a ‘Crap Game’. To add ‘legitimacy’ to 2013 Stock Market Performance, one can expect that 2014 will also come in ‘Like a Lion’ (but ‘Go Out Like A Lamb’).
The “Legitimacy Factor of 2014” in support of 2013’s “Manipulated Market” should ‘Peter-Out’ in approximately a May-June, 2014, time-frame. By continuing out several months into 2014, the Public may think that all-is-well and invest their funds without discretion. ‘FI’ Wealth Managers will be more than happy to accept the funds. The public will be reassured by the ‘FI’s’ that “2014 will replicate or out-do 2013 AND continue into 2015!” Retail and Investment Bank Managers will be “Shorting their Investments while ‘Going Long’ for their Clients”; this is REAL WORLD History for many Wall Street Bankers in particular. “Fleece the Freiers” is their Mantra.
Wise Investors understand that a “One-Year Performance Snap-Shot” is hardly indicative of a Substantial Enduring-Over-Time Investment Market. It is more suited to ‘Day-Traders’. It is also very indicative of a “Artificially Created Bubble”! Where is the Support for this 2013 Market? There is minimal: Manufacturing of Big-Ticket Consumer Items such as “Business Jets” and Yachts: Large Service Contracts; Large Private Employment of Persons with College Degrees or Advanced Degrees.
It appears that, regarding Employment (at least in America) the Federal Government has had the largest employment increase. The National Security Agency and Transportation Security Administration are both bulging with employees many people think. These employees lessen the Unemployment figures which the ‘White House’ loves to allude.
For 2014, a Wise Investor will have to consider: “Should my Gains remain (by ‘Cashing Out’) or ‘Play and possibly Pay’ on or before a Stock Market Collapse?”
As 2013 ends today, the “Bubble Masters” will be celebrating the New Year with Champagne (as they gleefully anticipate the next Incipient Bubble; of their creation).