Using Veritas to Construct the "Per…

29-04-2017 Hits:87116 BoomBustBlog Reggie Middleton

Using Veritas to Construct the "Perfect" Digital Investment Portfolio" & How to Value "Hard to Value" tokens, Pt 1

The golden grail of investing is to find that investable asset that provides the greatest reward with the least risk. Alas, despite how commonsensical that precept seems to be, many...

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The Veritas 2017 Token Offering Summary …

15-04-2017 Hits:81055 BoomBustBlog Reggie Middleton

The Veritas 2017 Token Offering Summary Available For Download and Sharing

The Veritas Offering Summary is now available for download, which packs all the information about Veritas in a single page. A step by step guide to purchasing Veritas can be downloaded here.

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What Happens When the Fund Fee Fight Hit…

10-04-2017 Hits:80891 BoomBustBlog Reggie Middleton

What Happens When the Fund Fee Fight Hits the Blockchain

A hedge fund recently made news by securitizing its LP units as Ethereum-based tokens and selling them as tradeable (thereby liquid) assets. This brings technology to the VC industry that...

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Veritaseum: The ICO That's Ushering in t…

07-04-2017 Hits:85365 BoomBustBlog Reggie Middleton

Veritaseum: The ICO That's Ushering in the Era of P2P Capital Markets

Veritaseum is in the process of building peer-to-peer capital markets that enable financial and value market participants to deal directly with each other on a counterparty risk-free basis in lieu...

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This Is Ground Zero for the 2017 Veritas…

03-04-2017 Hits:81871 BoomBustBlog Reggie Middleton

This Is Ground Zero for the 2017 Veritas Offering. Are You Ready to Get Your Key to the P2P Capital Markets?

This is the link to the Veritas Crowdsale landing page. Here is where you will be able to buy the Veritas ICO when it is launched in mid-April. Below, please...

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What is the Value Proposition For Verita…

01-04-2017 Hits:84056 BoomBustBlog Reggie Middleton

What is the Value Proposition For Veritas, Veritaseum's Software Token?

 A YouTube commenter asked a very good question that we will like to take some time to answer. The question was, verbatim: I've watched your video and gone through the slides. The exchange...

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This Real Estate Bubble, Like Some Relat…

28-03-2017 Hits:55106 BoomBustBlog Reggie Middleton

This Real Estate Bubble, Like Some Relationships, Is Complicated...

CNBC reports US home prices rise 5.9 percent to 31-month high in January according to S&P CoreLogic Case-Shiller. This puts the 20 city index close to an all time high, including...

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Bloomberg Chimes In With My Warnings As …

28-03-2017 Hits:83302 BoomBustBlog Reggie Middleton

Bloomberg Chimes In With My Warnings As Landlords Offer First Time Ever Concessions to Retail Renters

Over the last quarter I've been warning about the significant weakness in retailers and the retail real estate that most occupy (links supplied below). Now, Bloomberg reports: Manhattan Landlords Are Offering...

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Our Apple Analysis This Week - This Comp…

27-03-2017 Hits:83048 BoomBustBlog Reggie Middleton

Our Apple Analysis This Week - This Company Is Not What Most Think It IS

We will releasing our Apple forensic analysis and valuation this week for subscribers (click here to subscribe - lowest tier is the same as a Netflix subscription). As can be...

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The Country's First Newly Elected Lame D…

27-03-2017 Hits:82943 BoomBustBlog Reggie Middleton

The Country's First Newly Elected Lame Duck President Will Cause Massive Reversal Of Speculative Gains

Note: Subscribers should reference  the paywall material here for stocks that should give a good risk/reward scenario for bearish trades. The Trump administration's legislative outlook is effectively a political desert, with...

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Sears Finally Throws In The Towel Exactl…

22-03-2017 Hits:89183 BoomBustBlog Reggie Middleton

Sears Finally Throws In The Towel Exactly When I Predicted "has ‘substantial doubt’ about its future"

My prediction of Sears collapsing once interest rates started ticking upwards was absolutely on point.

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The Transformation of Television in Amer…

21-03-2017 Hits:86917 BoomBustBlog Reggie Middleton

The Transformation of Television in America and Worldwide

TV has changed more in the past 10 years than it has since it's inception nearly 100 years ago This change is profound, and the primary benefactors look and act...

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Yep, I said it. The government bailout. The builders are now looking to get into the tax refund business in lieu of the house selling business. This actually exacerbates their problem in the medium term to gain a short term advantage. They need capital, so they are taking a big negative mark to market to do so. This accelerates the devaluation of home prices which accelerates the problems associated with it, devaluation of mortgages, foreclosures, etc. This does quicken the arrival of affordable homes (the lack of which is one of the key drivers to the diminished demand), but it also hastens the demise of the companies that just can't hang in there by making supply even more abundant at even lower prices: be it builders or financial concerns such as banks.

The interesting thing is that the federal government is subsidizing this directly through tax refunds. If you add it up, a couple of dollars from your stimulus package refund check went directly to the builder tax refund/bailout (that is assuming all of the builders wish to take advantage of this financial engineering, and I believe all of the big ones are aggressively looking into it as I type this post) - and the bailout may not even work for some builders. Lennar raised over a billion dollars in cash between tax refunds and asset sales, and they are still squarely in bankruptcy territory according to their z score.

Due to the abrupt nature of the home building lobby's cutting off of campaign financing, I assume the 5 yr tax loss extension may not be going as well as anticipated.

"The association's president, Brian Catalde, said in a statement that the group's political action committee, BUILD-PAC, had halted all disbursements to federal congressional candidates "until further notice." The statement added, "More needs to be done to jump-start housing and ensure the economy does not fall into a recession.""

"experts said the lobby's move illustrated how closely interest groups tie their donations to the decisions they hope lawmakers will take on their behalf -- a connection that usually goes unspoken.

"This demonstrates in a starker fashion than we're used to seeing how groups use political contributions to promote their positions in Congress," said Kenneth A. Gross, a campaign finance lawyer at Skadden, Arps, Slate, Meagher & Flom."

Hey builders, we are all going though hard times, Federal Government included. Remember, there is the recession, bear market, a stimulus package to pay for, large budget deficit, and Mr. Bush needs to pay for that highly unnecessary war bill sooner or later...

""Lobbies like to pretend that congressional action and their donations aren't tied, " said Melanie Sloan of Citizens for Responsibility and Ethics in Washington. "But the home builders just confirmed that they are."

Ethics lawyers routinely warn interest groups to avoid saying or implying that the money they provide to candidates compensates them for taking a position on a particular piece of legislation. Such quid pro quos could be considered illegal gratuities or bribes."

Hmmm... 

"The home builders' announcement also explodes the oft-repeated assertion by politicians that lobbyists deal with them only at arm's length. "How many members of Congress have you heard say, 'People donate to me, but it has no effect at all'?" Sloan said. "What the home builders have done is expose the underbelly of the connection between money and politics."

  The drama continues...

The association's decision was the subject of ridicule among some veteran lobbyists and trade-group executives yesterday. One long-time association head said via e-mail that the home builders' statement showed the "political instincts of spoiled children." The e-mail continued: "One would think that a savvy staff would have kept them from something that will make them the laughing stock of Washington."

 Others cheered the association's choice. "This is what more industries should do," said Cleta Mitchell, an ethics lawyer at Foley & Lardner. "Stop supporting officeholders who don't support their views."

 BUILD-PAC is the nation's 17th-largest political action committee as well as the seventh-largest corporate PAC, according to the nonpartisan Center for Responsive Politics. In the current election cycle, BUILD-PAC has collected more than $2 million and dispensed $1.5 million to candidates, 55 percent to Republicans and 45 percent to Democrats. It still has $826,669 available to spend.

And you really wonder why Obama's message of change has reverbrated through the annals of the Beltway and Main Street like the deep harmomious vibrations of a church organ???!!!

 

 

I know I may be rufflling a few feathers getting into politics, but just wait until I do the Obama/McCain/Clinton financial analysis... Ooooh, what fun!