Investing in the US economy, a MUST

The proposal will call for a three-year freeze on corporate executives selling their shares after a buyback. To support this move, the administration is likely to cite academic research that found company executives tend to sell far more stock in days following a buyback announcement than at any other time. Other research shows that buybacks have accounted for an increasingly large share of corporate profits (often more than 50 percent of net income) over the years. Apple has spent more than $420 billion buying back its shares over the past decade. ~ NYT Deal Book snippet

We need investments in the US. This excludes investments in an already massively overpaid C suit. Yes that is just my opinion of their greed. It seems to me their jobs were done 60 and 50 years ago just as well for less than a twentieth of the cost. There also possibly far more integrity back then as well. At least I can imagine their lobbying efforts were not as fully formed.

If a stock buyback is a good idea it will happen.

Better for all of us, if it is a bad idea the equity price wont be artificially higher before we buy in. And better investments will get higher premiums in the secondary market for better operating results. The competition will diminish as so so investments stop juicing their C suit.

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The competition will diminish as so so investments stop juicing their C suit.

With increasing interest rates, the return on “so so” investments will be less than the cost of borrowing money, so those investments will “naturally” disappear.

Rising interest rates may even cause some zombie companies into bankruptcy. And good riddance.