Subject:
common stock legend Common Stock Legend is a term used in Capital Flow Analysis to refer to the common belief that a diversified portfolio of common stocks, held for the long run, is a safe investment for ordinary investors. The term is believed to have been coined by John Oswin Schroy of the Center for Capital Flow Analysis. Jeremy Siegel, a principal advocate of the Common Stock Legend and Professor of Finance at Wharton, popularized the concept with the book, “Stocks for the Long Run”.
Retirement plans
By John Schroy, on February 23rd, 2006 |

Between 1999 and 2002, US private pension funds lost US$ 1.2 trillion in value. It would almost seem that pension fund managers had been speculating with retirement money, attempting to beat each others’ short-term performance statistics, with little interest in safeguarding the assets of plan beneficiaries.
Political intrusion and trade unionism have debilitated the pension fund industry over many generations. The end of the pension industry may now be in sight.
Baby Boomer generation
By John Schroy, on January 5th, 2005 |

Proposed measures for reforming the American social security system call for allowing workers to invest a portion of their payroll FICA contributions in individually owned and directed personal retirement accounts.
This would amount to the partial securitization of social security taxes and could channel a significant volume of new funds into the U.S. securities markets.
Watching the unfolding of the details on securitization of social security should be a priority for capital flow analysts during the second Bush term.
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