Quote:
Originally Posted by J746NEW
For the average American, there is always risk when loaning out money, or investing in the markets
Risk is to be expected.
What I am saying is that Goldman Sachs rigged the deal where they won if Greece paid the money back or not.
There was no risk to them at all.
Perhaps we should make it so ALL AMERICANS have no risk either then when investing in the stock market and we can purchase some politicians like Goldman did to make it happen
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We would need to get far more specific as to the particulars of what Goldman Sachs and Greece did to conclude on the deal they did, and why, because although your basic comments about the average American and risk are true enough, there is just far too much difference between what you are commenting about as compared to the GS/Greece scenario.
There are a great many different types of risk and reasons for taking risk that make some investments very different from others, far too many to conclude as generally speaking as you do.
Start with any basic financial planning, and one is immediately called upon to establish what level of risk one wants to take on. Then too there is the level of risk one needs to take on in order to achieve the targeted ROI.
To use a simple example, if you are in dire financial straights, desperately needing money, a lender is in a far better position to lend you money either with less risk and/or higher expected return. Turn to the likes of a country like Greece rather than the "average American," and we are in an entirely different realm of lending, risk, investment and a host of other significant financial considerations, ultimately that you might expect Goldman Sachs and Greece to know a bit better than us "average Americans." Right?
Average Americans can't do what governments or financial institutions can do when it comes to these sorts of financial/economic circumstances, nor have they the need. Average Americans don't need to worry about setting currency rates, addressing inflation issues, military spending, tourism, keeping bread and milk on store shelves...
"A different ballgame altogether."