Replies to post #91975 on Tornado Alley (PROG)

[wbmw]

I do fear that the Obama administration would love to publicize the defined contribution system (IRA's, 403b's, 401k's). He's already rattling the saber and probably can't wait to gain access to the nearly $7 trillion dollars held.

Why do you fear this?

Obama has never said that he would want to propose this, and it doesn't make sense that he would.

You may be confusing the idea of getting existing government regulation - via the SEC - to enforce appropriate risk ratings on derivatives investments, which they really botched in the last cycle. This caused many of those real estate insurance investments to get AAA ratings in spite of high levels of intrinsic risk. The SEC should have been responsible for enforcing the private industry to label these investments correctly.

But that's just a matter of enforcing regulation that already exists. So I have to ask again why you would profess a very serious fear of the government socializing a very unnecessary piece of our economy that the private industry is already doing a good job of serving on their own?