Foreword about Goldman Sachs – By Jiun Ting Yong
Do you know what is Goldman Sachs? A very well – known investment bank in Manhattan, Wall Street in New York, the USA. An investment bank that was well – known for their job in analysing economics and financial markets for investors and potential investors to invest their money in the stock markets, bonds and emerging markets. They are so good with their jobs in underwriting bonds for potential investors to buy their clients’ bonds and some even involved government backed bond funds. Goldman Sachs started back in the 19th century by Marcus Goldman where he was joined by his son – in – law Marcus Sachs that became today well – known name.
As a typical investment bank normally they underwrite bonds and writing financial reports for investors who are looking at doubling their assets; mostly would read their report to make themselves rich. However, some of their trade can be very controversial. Remember the 2008 Global Recession which was the cause of excessive spending through mortgages where the middle class signed mortgage deals with low – level interest rates? Be careful — it isn’t that a huge sums — but if you were unable to serve the interest, then you needed to pay for ‘additional interest’ known as the penalty. That’s the root of all problems when you are unable to serve your loan, the investment bank and commercial bank would just forfeit your home by repossessing it, except for the Obama piece of legislation that managed to fight against these huge sums of forfeiture where people lost their home.
Yikes! So now you guys got the rundown of what Goldman Sachs is about, unfortunately. I saw it recently in a movie where an ego-maniacal character played a banker from Goldman, rudely telling commuters to get away from him and demeaning the lower-middle class individuals on this train.
I then did some research and it says that Goldman is the main reason to why the financial crisis happened to begin with.
So, when I started reading about all this, I got even more scared about investing because that particular individual worked for Goldman, who’s a banker/investor, who handles our money and looks to make themselves rich by hitting us with massive penalties.
“I often ask people “What are you investing for?” I get a variety of answers: from “high returns,” to “financial security,” to “retirement,” to “a beach house in Hawaii.” But before long, nearly everyone’s answers begin to rhyme. What most people really want, regardless of how much money they have today, is freedom. Freedom to do more of what they want, whenever they want, with whomever they want. It’s a beautiful dream, and an achievable one. But how can you sail off into the sunset if your boat has a hole in it? What if it’s slowly but surely taking on so much water that it’ll sink long before it reaches its destination?”
“I hate to tell you this, but most people are in exactly this position. They don’t realize that they’re doomed to disappointment because of the gradual—but ultimately devastating—impact of excessive fees on their financial well-being. What kills me is that they have no idea this is even happening to them. They have no idea that they are victims of a financial industry that is surreptitiously but systematically overcharging them.
Don’t just take my word for it. The nonprofit organization AARP published a report in which it found that 71% of Americans believe that they pay no fees at all to have a 401(k) plan. That’s right: 7 out of 10 people are entirely unaware that they’re even being charged a fee! This is the equivalent of believing that fast food contains no calories. Meanwhile, 92% admit that they have no idea how much they’re actually paying. In other words, they’re blindly trusting the financial industry to look out for their best interests! Yup, that’s the very same industry that brought about the global financial crisis! You might as well just hand over your wallet and the password to your debit card.”
Excerpt From: Tony Robbins. “Unshakeable.” iBooks. https://itunes.apple.com/us/book/unshakeable/id1146849403?mt=11
Since this is going to be a hell of a long story, I do suggest that all of you tune into the podcast down below.