HOW TO GET RICH LIKE WARREN BUFFETT AND RICHARD BRANSON

Streets of Monaco Yacht.

1. Warren Buffett.

Economist John Kay calculates what would happen if Warren Buffett had a fund manager.

The fund manager would deduct charges from the profits on Buffett's investments. (who's paying for all those yachts?)

How much of Buffett’s $62bn would the fund manager end up with.

The answer is that the manager would get $57bn.

And Buffett would be left with only $5bn.

"This assumes an annual fund management charge of 2 per cent, and a performance fee of 20 per cent of gains – the norm in the hedge fund industry."

On 18 November 2011, The Financial Times asks who's paying for all those yachts?

If you give your savings to an investment manager, there will be hidden charges, fees and other deductions.

Abramovich yacht

The Financial Times reports that the boss of an investment management firm gave a presentation to UK government officials.

This boss provided a real-life example of what happened when a UK private investor put £70,000 into a pension fund, back in 1994.

Over the next 15 years, the stock market rose by 66 per cent.

This should have meant a gain of £46,000, making the pension fund worth £116,000.

But, in 2009, the investor was told his fund was worth just under £70,000.

His £46,000 had been eaten up by charges and fees.

FT Money has revealed that "personal pension funds on sale today can take 39 per cent of a final fund value in charges, over a 25-year period."

David Norman, the founder of TCF Investments, suggests that investing £100,000 in the average UK equity mutual fund over 20 years will generate a sum of £227,695, assuming 7 per cent growth.

But, £159,272 will be deducted in various charges. (who's paying for all those yachts?)



2. RICHARD BRANSON

Northern Rock is a bank that was taken over by the British government at a cost of £ 1.4 billion.

It is now to be sold to Richard Branson.

Branson's Virgin Group will spend only £50 million in cash to get hold of the bank.

(Northern Rock cash used to fund deal)

According to the Financial Times, the government will get £747 million.

But, a third of this will come from Northern Rock itself.

"Virgin Group is injecting only £50m of cash alongside a similar amount from little-known Abu Dhabi fund Stanhope Investments, and close to £260m from US financier Wilbur Ross..."

There is talk of asset stripping by Branson.

Wilbur Ross used to work for the Rothschilds.

(Financier who got Northern Rock rolling - FT.com)

McKINNEY, CHANG and SOROS

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In May 2009, we read an article by Cynthia McKinney, who was the Green Party candidate for president, of the USA.

The Economy, From Soros and Greenspan to Napoleon's Waterloo, And a Tip of the Hat to Haiti, Too

Cynthia McKinney refers to the theory that a group of "Shadow Money-Lenders", including George Soros and Alan Greenspan, is trying to destabilize the world economy and install a "one-world government".

McKinney quotes Matthias Chang author of "The Shadow Money Lenders" :

"A policy of 'controlled chaos' will be implemented and we will witness in major cities of the USA, UK and Europe ... street battles, orchestrated by the Intelligence Services, between the white folks and the immigrant population.

"In the USA it will be against the Latinos and then the blacks . . .

"In the UK and Europe, it will be against mainly immigrants from Turkey, the Northern Mediterranean states and Pakistan and they are essentially Muslims.

"There is therefore, the added fuel of Islamic radicalism, which in the first place, was the creation of the Western intelligence services."

Matthias Chang, author of "The Shadow Money Lenders", is a Malaysian lawyer who was an adviser to former Malaysian Prime Minister Mahathir Mohamad.

Mahathir's made a famous speech in 2003, in which 'he accused the Jews of world domination'.

Chang was behind a visit of a delegation of "9/11 truth" advocates to Malaysia in 2006.

The delegation was led by Michael Collins Piper, who has claimed that Israel was behind the JFK assasination.

Matthias Chang wrote:

"This War on Terror is the greatest military sideshow that distracted the American people from the financial rape and plunder of their economy and the destruction of their Constitution."

The Shadow Money Lenders: The Real Significance of The Fed's Zero.

The USA would be fine if it copied a country like Malta; or Switzerland.

The Maltese and Swiss are generally happy and do not waste money on wars.

The Maltese produce interesting beer and the Swiss make interesting cheese.

But, the USA has allowed itself to be run by people with names like Kissinger and Rockefeller.

What do they make?

Drive out the money lenders.

Matthias Chang, at Global Research, 26 December 2008, wrote: The Shadow Money Lenders: The Real Significance of The Fed’s Zero-Interest-Rate Policy (ZIRP)

Among the points made (and this is a very rough paraphrase):

1. There are people we shall call the shadow money lenders, who make their money from lending money.

Wars, including the 'War on Terror', are launched to preserve the shadow money-lenders' political and military power.

The shadow money lenders are involved in financial manipulation.

They control the political leaders.

2. Central bankers can create money and this gives them power.

When there is large spending on armies and wars, lots of money is involved.

But there is always a danger that the system will collapse if people think that the dollars or pounds they hold have become worthless.

In the 1960s, the Vietnam War led to a fall in the value of the dollar.

3. In the early 1970s, Henry Kissinger got the Saudis and other Arab states to push up the price of oil.

The deal was that the oil had to be bought in dollars and the oil profits invested in the USA.

The dollar was saved for the time being.

4. In the 1980s, it was clear that US manufacturing had been neglected and that the Japanese and the Koreans were often more efficient at making things.

The shadow money lenders decided that industries could move to China and that the profits would be invested in bonds in the USA.

This propped up the dollar.

5. From the 1990s onwards, the shadow money lenders encouraged people to borrow vast sums of money and get deeper and deeper into debt.

Various fancy financial schemes were devised to make things look good.

It was like a giant pyramid scheme or ponzi scheme or 'fraud'.

Some bankers became very, very rich.

A lot of people owed too much money, considering their low incomes.

Imagine a family earning $400 a month and having to pay $500 a month in interest.

6. The bubble has now burst.

7. The interest now paid on US government bonds is almost zero.

So the Chinese, Japanese, Europeans and Arabs who have put vast sums of money into US government bonds are earning virtually no interest and they are seeing the possibility of a big fall in the dollar.

The low interest rate also encourages more borrowing and debt.

8. "The Shadow Money-Lenders and its military partner will impose martial law...

"Soon it will be the nationalization of the big corporations like GE, GM, Ford and Chrysler, all too big to be allowed to fail."

9. Henry Kissinger and others have talked of a New World Order.

10. "The shadow money lenders are in a desperate situation and they will start a world war to avoid the collapse of their system."

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