A letter to the editor in today’s Warrensburg Daily Star-Journal:
Wall St. should be occupied
I’ve been hearing a lot about the “Occupy Wall Street” movement that’s going on across the country. As someone who runs stock and bond portfolios, I have my own stories to tell.
One is about IDT, the long distance phone card company which has two classes of shares, one the founders hold that gets one vote on company matters and one the public holds that gets 1/10th of a vote.
Then there is Health Management Associates which offered a $10 special dividend and loaded up the company with debt, all so the top five in management could retain their jobs by making the stock unattractive to potential acquiring companies.
And one of my favorites, 4Kids Entertainment, which instituted a “poison pill” which would add additional shares to thwart the shareholders from outing the CEO for his horrible performance.
Yes, I can assure you that there are problems on Wall Street. The top five people in management will do anything to retain their power, all to the detriment of stock shareholders, mutual fund share holders, college endowments, pensions, and rank and file employees.
Holmes Osborne, CFA,
Osborne Global Investors Inc., Odessa
Holmes Osborne (D) is an announced candidate for the Missouri House. He ran against Mike McGhee (r) in the 122nd Legislative District in 2010.
“…all to the detriment of stock shareholders, mutual fund share holders, college endowments, pensions, and rank and file employees…” And even an investment professional tells us that the Occupy Wall Street folks have it right.