California Bonds being advertised IN TEXAS!?!?! (Bowie, Charlotte: sales, real estate, mortgage)

[momof2dfw]

Why is the State Treasurer of California spending money to advertise these California Bonds IN TEXAS?!?!?! Who else has heard the radio commercials? I've heard them non-stop now for about a week. At first I thought it was a comedy skit on the morning radio program. IT WASN'T! They are seriously advertising for US TEXANS to INVEST IN CALIFORNIA by buying these bonds to help improve their schools and such.

I've posed this same question over in the California boards and I'm sure I will get FLAMED BIG TIME for it and told how uneducated we are, how ugly the State of Texas is, blah blah blah and all of the normal put downs. BUT WHY are they advertising HERE!?!? And NO! I am NOT going to buy them. I'm busy supporting MY community and MY schools.

Buy California Bonds
http://www.city-data.com/forum/calif...l#post10850486

[doctorjef]

Such bond issues are marketed as an investment, pure and simple. A suitable or unsuitable investment, you may decide for yourself.

[momof2dfw]

Originally Posted by doctorjef

Such bond issues are marketed as an investment, pure and simple. A suitable or unsuitable investment, you may decide for yourself.

Yes, I know that they are an "investment". My point is with the terrible financial shape that the State of California is in why they would be trying to peddle them in Texas and other states that are still doing well right now. How many millions of dollars are they spending on advertising in other states with these radio spots? Do they really think with the way the financial affairs of that state are being handled that someone will really think it is a wise investment? When they could help out their own community much closer to home and help keep it stable. We have cities here that are having to cut back because of loss of revenue. I'd much rather spend my money at HOME and keep my community going than send it across the country and watch it go down the drain even more.

[Bowie]

Originally Posted by momof2dfw

Yes, I know that they are an "investment". My point is with the terrible financial shape that the State of California is in why they would be trying to peddle them in Texas and other states that are still doing well right now.

Because Texas is where they think the buyers are. Be glad you live in a state where there are lots of buyers. It's a good thing.

[momof2dfw]

Originally Posted by Bowie

Because Texas is where they think the buyers are. Be glad you live in a state where there are lots of buyers. It's a good thing.

Yes, I know. I know that is what they are thinking and why they are advertising here and possibly in other states that are still doing well. I'm VERY thankful I live in a state and in a city that has been blessed to still be in pretty good shape all things considered.

[Maabus1999]

They have been advertising in NYC and Charlotte also. Most likely they are targeting financial cities which makes sense.

Cali has the best return currently on Munibonds due to their credit rating (A I believe), so it isn't a bad thing to invest in combined with the tax advantages.

[blueskies49]

I'm with momof2. I'm not going to send my money to a fiscally irresponsible state when my own state, region and hometown can benefit from its own citizens money. CA needs to get rid of alot of their extreme liberal programs that suck funds down a bottomless pit.

[bluescreen73]

And I'm with Maabus1999. Muni bonds are great low-risk, tax-exempt investment and should be considered for any blended investment portfolio.

FWIW, California's debt problems aren't solely due to social spending. They were one of the states that took the hardest hit from the mortgage collapse. Some areas of Cali may not see home values rebound to their pre-collapse prices for another 15-30 YEARS. Add in a precipitous decline in both state income tax and sales tax receipts and voila, a recipe for disaster.

If 25-30% of Texas property tax income just vanished in an 18-24 month period, along with a 20% or higher decline in consumer spending and a 12%+ unemployment rate, the same crap storm would happen here. Guaranteed.

[brattpowered]

It's a free country and whoever wants to advertise, can. You can change the channel or choose not to buy the bonds. Maybe take up a hobby or something....

[AlfredB1979]

Originally Posted by bluescreen73

And I'm with Maabus1999. Muni bonds are great low-risk, tax-exempt investment and should be considered for any blended investment portfolio.

FWIW, California's debt problems aren't solely due to social spending. They were one of the states that took the hardest hit from the mortgage collapse. Some areas of Cali may not see home values rebound to their pre-collapse prices for another 15-30 YEARS. Add in a precipitous decline in both state income tax and sales tax receipts and voila, a recipe for disaster.

If 25-30% of Texas property tax income just vanished in an 18-24 month period, along with a 20% or higher decline in consumer spending and a 12%+ unemployment rate, the same crap storm would happen here. Guaranteed.

Is it our problem that Cali's economy is basically little more than peddling homes and land back and forth?

Is THAT was a "green" economy is all about?

I can see why they'd peddle their bonds over here...aren't masses of Calis flocking here as it is?

You are right, though, the fit would hit the shan if our state economy was lacking in any depth at all. We learned that lesson from the oil bust. How about them? Dot-con bubble. Real estate bubble. And?