Created on January 8, 2017, nearly 8 years after the massive assault on the American people by the Federal Reserve, whereby only a few percent got the benefit from the egregious monetary policies, and most others got hit modestly yet some got hit particularly hard.
The fact is the wealth divide has been greatly widened since the destructive monetary policies of the Federal reserve has been forced on us with NO REPRESENTATION except a passive allowance by our government in not wanting to control their destructive actions and in otherwise not caring enough for this country with their high salaries and assumed responsibility to abolish the Federal Reserve System.
It is now public knowledge that the extremely wealthy got the big benefit of the Federal Reserve's lame policies. Some in the middle class have been brainwashed into thinking they also got a benefit but assuredly the ones whom the Federal Reserve aimed at coddling were the wealthy. Some may think that getting their overpriced home refinanced is a good thing. It is not. Better would be for the middle class to huddle up in more persons per home such as going back to live with their parents and allow the millions of would be vacant homes to drop in price. Note that property taxes are based on the sales price, not on the monthly mortgage. It should be obvious to all that in all the refinancing sham, it was done to protect those holding the mortgages, which of course is made up of predominantly the wealthiest people. Had there been massive defaults, the wealthy would have lost out and the Federal Reserve didn't want that to happen.
Additionally, many in the middle class erroneously believe that the upwardly and unlawfully manipulated up stock market is also to their benefit. Most assuredly not. When the wealthiest own a bulk of the financial assets, if there is asset appreciation, the cost of living goes up, the wealth distribution widens, and the cost of living becomes GREATER for the overwhelming majority of individuals. The point at which there is an inflection is at the upper middle class and thus at this level there would be a minimal gain from the egregious policies and at higher than this level, the gains become even more stark. A large number in the middle class are not in the stock market, and many have in the order of under $10K in it, with a bulk in managed mutual funds which again is to the benefit of the wealthy, directly, and indirectly. A doubling of $10K will not dramatically improve the standard of living for most people considering how health care costs keep going up, utility prices keeps going up, food prices keep going up, housing prices keep going up, etc. And thus, a nominal gain could actually not even counter the increased cost of living UNLESS such a gain was massive as if a person had $500K in the stock market which way under a percent of the people have and they are the ones who definitely get the benefit.
One must consider that not everyone goes long the stock market as it's a gamble to begin with and additionally, per historical measures, stock valuations are not only stretched, but are at the time of this writing, on the order of 3 to 4 times overpriced. This is outrageous. There are tens of millions of people who had their bank interest taken away by the Federal Reserve. It has cost this nation well over $4 trillion as the money withheld means less could be made available to help continue economic activity. When those who get fleeced by the Federal Reserve has less to spend, it causes an increased emphasis to save and furthermore hurts economic activity. I suppose the economic geniuses at the Federal Reserve failed to take this into account. Now, when trying to obtain an income that has been relied upon in the past and taken away, one may consider moving the money elsewhere to obtain a fair return. Based on historical stock valuations in late 2009, stocks were extremely overpriced, by around 50%, though not to the outlandish degree they are today. Historically, 50% overpriced would still compel a DILIGENT investor to short the pig market as it would make far more financial sense to do this rather than to overpay and then be faced with a huge loss upon reversion back to the mean of stock valuation. The Federal Reserve began their massive assault on the American people in March 2009 with their POMO activities which comprised of buying bonds, good or bad, and thereby protecting the wealthy holders and at the same time, along with unfair activities of the plunge protection team (it's not fair when there's protection in only one way, and until which time there is a bubble protection team, the system will remain corrupt) the stock market began to soar. By the end of 2009, the stock market jumped up 35% on NO FIX TO THE ECONOMY. At this time, bank interest was at essentially zero, dwindled down from the extraordinarily low 2% just a year earlier. THE FINANCIALLY DILIGENT WHO BEGAN SHORT SELLING THE STOCK MARKET AT THIS TIME WERE UNJUSTLY FORCED TO LOSE. Every step along the way since 2009, the market became more and more overpriced and this would, or rather, SHOULD work to the benefit of those far on the correct side of fair value for this masked depression but something pernicious happened: the POMO activities of the Federal Reserve was suppose to have ended in 2010 yet it did not. The value investors shorting the market who chose to be financially responsible and knew to get in on the correct side of fair value in anticipation that valuations would revert back to a reasonable level ALONG WITH relief of the outright unlawful upward manipulation of the stock market got hurt immensely. Being the risk continued getting greater on the downside, it kept value investors in the market and kept adding to their positions. Sadly, the manipulation continued on for years and years and no government agency, not the Department of Justice, not the attorney General in New York, not the SEC, not the office of the presidency, no one, not even a private attorney would dare face against the Federal Reserve to seek justice. And so just when value investors thought they’d be getting a long-awaited relief in the unjust losses of their assets, the Federal Reserve increased their assault by continuing in their POMO activities into 2011, then into 2012, then into 2013, and finally into 2014. The Federal Reserve all along the way said there would be numerous interest rate hikes in short order following the anti-stimulus activities and that turned out to be a lie as well. Since 2014 there have been just two piddly interest rate hikes, one in December 2015, and one in December 2016, each of a mere 0.25%. It’s amazing that the one-sided Federal Reserve can instantly drop interest rates but when increasing, they feel they have to give a warning a year in advance. This is no way to adequately manage the economy. The stock market began to fall nicely in the direction of fair value in the beginning of 2016 but something dramatic occurred on February 11, 2016, as the market was plunging deeply one day, there was a sudden and vicious reversal which took value investors by surprise. Not expecting the manipulation to keep going for months, keep adding in far on the correct side of fair value for this masked depression causes losses to escalate. Note corporate profits were already 20% lower than in 2014 and yet the market began making new record highs almost daily by mid-year. Any well-thinking individual would see the imbalance to make it even more compelling to short the overpriced market. What ended up happening is the market got manipulated up high and higher. The Brexit vote caused the market to drop but that was so short-lived as the Federal Reserve stepped in once again to manipulate it up. Of course they have their team which gets free media access to push out their propaganda financial news stories to cover up for the manipulation in making excuses for the sudden buying activity. Even upon realization that Donald Trump was going to be elected, stock futures were instantly down more than 4%. It was going to provide some relief to value investors but yet again, the rug got pulled out from under their feet! It was as if Donald Trump made a deal with the devil in calling Janet Yellen of the Federal Reserve to make a deal to have them manipulate up the stock market for him in return he’d go easy on them. What ensued from the election night until the pre-market hours where the common investors could trade, the market got terrifically manipulated up so that value investors couldn’t make a worthwhile trade to help their accounts. I watched the futures market intently and saw that the small caps were down an additional percent more than the DOW futures and yet by the beginning of the pre-market hours, there was a reversal with small caps a percent higher than the DOW. There just was no basis for this except the Federal Reserve, in wildly going crazy to manipulate the market, happened to have manipulated up the small caps disproportionately. The ensuing weeks later, the market jumped 10% higher and after the market was already several times overpriced. The manipulation is killing this country with the increased wealth divide, particularly those whom are getting slaughtered by the manipulation.
Those whom are diligent and were compelled to short the massively overpriced stock market got mowed over unjustly by the egregious upward stock market manipulation of the Federal Reserve. I provide evidence of the overpriced status. In 2012 I wrote the articles, “This 2X Overpriced Stock Market”, and “Negative 10% Real GDP Growth Unmasked”. Analyzing historical data of the stock market per the state of the economy, PE ratios are low in bad times and high in good times. Since 2008 until 2017, no one can honestly say the economy is good. You may see from my analysis that the real GDP growth upon proper accounting taking into account the actual rate of inflation and percentage of the GDP due to deficit spending has been deeply negative for 8 years running. You may view my most recent treatise on the topic at: http://realGDPgrowth2016Q3.blogspot.com/ where I show in the most recent quarter the real GDP growth was NEGATIVE 5%, not +2.9% as our lying government claims. You may look over the historical PE values for the stock market, not in any average year like the propagandists try to push on the populace, but in times that most closely resemble the present and then you can attribute a fair PE ratio per the state of the economy. Not even in the lesser depression of the 1930’s was the real GDP so deeply negative and for so long as this current masked economic depression. All the lies by government, the Federal Reserve, and the complicit media cannot miraculously make the economy better but they assuredly embarked in the most massive upward stock market manipulation in the history of this nation. Noting PE ratios go to around 6 in bad times and according to non-propagandized analysis of the true state of the economy, we should be seeing record low PE ratios. What we have instead are PE ratios on the order of 3 to 4 times too high, with small caps the most overpriced which directs diligent investors to short small caps more than the rest of the market. Having endured so much upward manipulation of small caps in the last several years and particularly soon after Donald Trump got elected as president with the insane disproportionate manipulation, some value investors got whittled down to practically nothing. While the Federal Reserve cost the majority of the people a loss of 20-40% of their wealth from hijacked bank interest and inflation, some others got hit with losses exceeding 80%.
And thus I, Thomas Blankenhorn, hereby on January 8, 2017 am starting a foundation to provide some relief to those who were maliciously and mercilessly forced to lose due to egregious Federal reserve policies. The first $100 I will spend as the necessary expenses in paying for publication and registering the non-profit business. I will run the business at no salary excepting $50 per claimant in assessing their documentation and making checks on the information.
Here is whom I will make effort to with little subjectivity as far as who I feel is deserving of compensation due to the monumental assault on Americans:
Those whom short sold the stock market from July 1, 2009 until January 1, 2017.
Higher priority goes to those who:
1) have little to no income
2) do not own a home
3) have under $50K total net worth
Although bank interest was taken away by the Federal Reserve and cost some people much, and I even lost out $25K from this, it’s not the same as having your assets taken away, especially when having to then put the assets to work investing in the most responsible fashion. Going along with the haters of humanity with their stock pumping propaganda, you may think going long the stock market was reasonable with falling corporate profits, continued deeply real negative GDP growth, continued outsourcing, continued irresponsible immigration along with H1-B visa holders allowed to come in and take away jobs from US citizens, continued increases in living expenses including housing, food, vehicles, health, and utilities, but going by an honest assessment of the state of the economy and of stock valuations per the state of the economy, going long made no sense and short selling became one of the most obvious choices to put assets in after bank interest was taken away.
Some have gotten into gold, silver, or other precious metals and experienced manipulation. However, there has not been a one-sided effort to manipulate for years and years in these by the Federal Reserve and moreover, there is not a well established model for valuation of metals as there is for stocks to quantify some sense of fair value. The price of metals, though subject to some supply and demand, can vary widely and can depend much on the state of the economy and the usual market rigging. Accordingly, precious metals is a gamble no matter what side of the trade one is one. There’s just an abstract sense of value that could be attributed. Still, those who may have gone short or long precious metals, there was sufficient volatility throughout the past 7 years to help one trade over and over again to improve one’s account. Short selling of the stock market on solid grounds was met with an incredible one-way manipulation that hampered the ability to make round-trip trades to improve one's financial standing and the time periods were unlike any time in recent history to be able to make such trades while shorting the market: in the past seven years, the time periods to do so may be on the order of minutes, hours, or a week or two at most. The manipulation of the stock market was especially egregious and is thus more reasonable to expect some sense of fairness in light of many decades of data of valuations along with many decades of economic data.
I will make an effort to provide at most $20K per individual who applies and gets accepted for compensation. If, after a year goes by there are still funds available, I will to a reasoned pro-rated assessment, disperse the remaining funds to those whom already got compensated. This is subject of course to being funded to be able to disperse funds.
I welcome the Federal Reserve to help fund this operation. Even those whom work for the Federal Reserve and created the boondoggle monetary policies of hurting society with the wider wealth divide and manipulating financial markets to benefit a few and harm others, I’d appreciate if they could send some of their personal money they earned in destroying this country. Any others who got the big undeserved gains at zero risk by going long the stock market, I welcome their support as well. I am not going to run this like a fraudulent foundation stealing funds. I want to make this a limited operation and perform in the most expeditious manner possible.
I plan to cease operations by February 1, 2018 to accomplish this highly needed service to the public. I understand over a hundred million people were unduly affected by the Federal Reserve in terms of hijacked bank interest and inflation, but those who used their minds and put their money in the stock market that made most sense and ended up with the Federal Reserve actively engaging in hurting diligent investors were by far the most affected. PRESENTLY THERE IS NO ORGANIZATION DOING THIS. I asked time and time again for the Federal Reserve to set up a fund to compensate short sellers for their outright unlawful stock market manipulation but they failed to do so. The SEC, United States Justice Department are doing NOTHING to help those who were maliciously financially assaulted by the Federal Reserve.
To apply, you will have to share with me much personal information to make certain there is no abuse.
What I will require is:
1) Name and mailing address of residence.
2) Status of property owner or not along with present market value of all properties, if applicable. If total present value exceeds $100K, you may simply attest to this quantity.
3) County record of address of residence showing the name of the owner.
4) Hard copies of brokerage firm statements showing the losses of short selling while enduring the upward manipulation due to the Federal Reserve and per the time frame stated above. Additionally, you will have to contact your brokerage firm and inform them that I will call them to affirm the information provided to me.
5) A summary of your intentions of short selling the stock market and any additional information regarding your life in how it got affected by the Federal Reserve which may include health issues such as depression.
The first step would be to email me at reasonchurch@yahoo.com. I would then get back to you and inform you of where to send the required documentation.
