Bonus Bananas Apr 8, 2011

1. Fed's Low Interest Rates Crack Retirees' Nest Eggs (Wall Street Journal) - Millions of retirees are locked in a death race with their retirement savings thanks to the Fed's zero-interest policies. 91-year old WWII vet Forrest Yeager believes he can only stretch his remaining $45,000 another six years. The nightmare of outliving your money is quickly becoming a reality for millions of Americans now too old to go back to work.

2. The Bank Run We Knew So Little About (NY Times) - The court ordered disclosure of Fed discount window loans has revealed a massive run on the banks in late 2007 that we otherwise would have never known about. Despite Paulson's and Geithner's reassurances that all was well, foreign banks accessed the Fed cash with gusto. At the height of the crisis in 2008, foreign banks extracted $133 billion in one day on November 4. Scary stuff.

3. Where is 'Sign Board Guy' now? (CNN Money) - Ever wonder what happened to Joshua Persky, the investment banker who strapped on a sandwich board looking for work after being laid off from Houlihan Lokey in 2008? Well, he's still looking.

4. Going Out On Top (AVC) - A great piece from Fred Wilson about knowing when to say when. Don't be the last one out turning out the lights. There's nothing more pathetic than a Streeter whose best years are behind him and he refuses to walk away. Go out on top and save enough money to die someplace warm.

5. Men: Why Frugal Is Sexy (WiseBread) - Consider this one a shout out to IlliniProgrammer. Turns out cheap is the new hawt. All joking aside, the article brings up some strong points about what sets the frugal apart, not the least of which is the freedom that a debt-free lifestyle affords.

6. 10 Reasons You Need to Quit Your Job (Altucher Confidential) - I swear I sometimes think Altucher and I were separated at birth. He's walked away from some pretty baller gigs, and he not only explains why, he let's you know why you should consider doing the same. Great piece.

7. The Cloud Gets Creepy (The Reformed Broker) - This is for all the quants in the crowd. Tired of freezing up around hot women? Never been sure enough of yourself to actually talk to a real girl? Well it's time to whip on a little Weird Science and create your dream girlfriend, Poindexter.

8. F-Bombs and 'Jorts': 9 Craziest College Rejection Reasons (The Daily Beast) - College admissions? Yeah, you're doing it wrong.

9. Bailouts: The Investment Banker Employment Act of 2008 (American Public Radio) - Okay, so it's a lefty mouthpiece. Heidi Moore is a savvy financial journalist and she's got a point here. The numbers tell a story of the incestuous relationship between the firms that were bailed out and Wall Street fees. Too bad these big money circle jerks don't work for anyone other than bankers.

10. Man Arrested For Collecting Cans To Start A Hedge Fund (FIN Alternatives) - I guess if you live in Connecticut and don't run a hedge fund you're a nobody. At least that's what Brent Goggins must have been thinking when he went door-to-door collecting cans to start a hedge fund. Not only did he get arrested, he got his girlfriend's car impounded. It's hard out there for a pimp.

Our video this week goes out to ANT, Happy, and the rest of the WSO Philly crew. Hat tip to Josh Brown for digging up this gem.

Have a great weekend, guys!

 
Edmundo Braverman:
sofib09:
For #3, it says he collects unemployment and does consulting.

Does NYC really let you do freelance and collect unemployment benefits at the same time?

How would they know, really?

You've got a point., and I'd say it could work for most people...but now it's in a CNN article, lol...might be kind of hard to take that back.

 

Haha. Thanks for the shout-out Eddie. Agree with you that #3 is probably the key perk to being frugal:

3. You are free Toys are great, but freedom’s better. Living well with less, paying cash, enjoying life unencumbered by present debt and relatively immune to future temptation — these are foundations of freedom. What man doesn’t want to be free? What man would willingly trade freedom for a lifetime of avoidable debt-servitude?
 
Best Response
IlliniProgrammer:
Haha. Thanks for the shout-out Eddie. Agree with you that #3 is probably the key perk to being frugal:
3. You are free Toys are great, but freedom’s better. Living well with less, paying cash, enjoying life unencumbered by present debt and relatively immune to future temptation — these are foundations of freedom. What man doesn’t want to be free? What man would willingly trade freedom for a lifetime of avoidable debt-servitude?

I don't think many people know what it really means to be free and hence chase something that is perceived as the ultimate level of comfort and piece of mind, which is understandable on a larger scale since that's the "norm", more so in US, Canada, Western Europe then in Latin America, Africa, East Europe, etc.

You and I have actually a lot in common with regards to frugality IP. I can't say I share the same passion, or fixation on parasailing (only because I haven't tried it) but isn't it ironic how it's that particular hobby/sport you are drawn to? How often in literature do you come across the eternal comparisons between freedom and aviatic species and their carelessness and ability to go absolutely anywhere in the world without constraints? Would love to paraglide off of the Grand Canyon one day, just to see what it feels like to be in that position.

Either way, A LOT of shit going on this week and as I'm watching Boehner giving a live update on the budget discussion, I can't help to think how big of a hole, with regards to everything from health care, education, food shortages to military conflicts and uprisings, will my generation and the next one find itself in. It's all good though according to Zimbabwe Ben, except that weekly earnings are 10% less than they were in 1961 and 44 million or so Americans are using food stamps..

1) This reminds me of something my father told me once: "If you know how to count, only count on yourself" At the same time, why would you invest in something that lags behind inflation? Am I missing something?

8) Who in their right mind would repeatedly drop the F-bomb in their college applications? Some of those are pretty funny though.

" A recession is when other people lose their job, a depression is when you lose your job. "
 

From that video:

Marco fact: Created an Iphone app in 2010 to help avoid black neighbourhoods called: Getouttaderre.

Pat Macalla: He smelled like Drakkar Noir since he was a newborn.

Marco: I've got the best landscapers on the mainline, Guatemalans - that's a type of Mexican that can do algebra.

Hilarious.

 

5: I once talked with someone from JP who is German and works in the UK, and he was absolutely amazed by the willingness of the brits of living on their credit cards. Here in Germany most of things you buy you use debit, one shouldnt buy more than one owns except in very specific circumstances were one is to be rewarded for that, at least thats my view.

Valor is of no service, chance rules all, and the bravest often fall by the hands of cowards. - Tacitus Dr. Nick Riviera: Hey, don't worry. You don't have to make up stories here. Save that for court!
 

Suscipit illum eius sit et itaque. Omnis vel ex atque maiores temporibus magnam. Beatae ut harum sit corrupti nulla tenetur. Quidem possimus perferendis asperiores minus pariatur qui nihil.

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