How to invest in the coming Clinton Regime.

Like it or not unless there is some serious political changes Hillary Clinton is your President for the next eight years.  Of course there are those of us who frankly see some value in her assuming that position.  Voting for Hillary Clinton is in effect making those of us in the moneyed and elite classes in the United States richer.  Thank you very much.  So what is one to do to keep the cash coming, the assets growing, and living the good life, while others try to reach into the privileged classes and most just accept their place on the government plantation? 

We likely will sound like a broken record here, but keeping up with the Clintons so to speak is nothing more than doing what we have been doing all along to keep up with the Obamas.   The political class run the political economy of government largess to mega sized corporations who pay, legally donate, money to the elite class to keep small business and competitors off their profit gravy train.  This pay for play also works on the regulation side as big corporations get a say in which regulations get done and which ones do not.  Some regulations are good for big companies that can absorb the cost and pass on to consumers, while the same regulations can kill small business.  Such companies as Apple, GE, Microsoft, Google, Facebook, Amazon, and the list goes on use crony capitalism to keep profits high with little or no market growth.  Not having to compete with small business nipping at your ankles means you can keep on raising dividends, doing stock buy backs, and keeping the people who have assets in these companies happy and down at the beach. 

The Federal Reserve run by Ms. Yellen keeps interest rates low which means those same companies noted above can do stock buy backs by using record low interest rates to issue debt to do the buy backs.  Note that debt interest is tax deductible too.  If one wonders why the Clintons are doing so well remember that all those billions going into their so called foundation are tax deductible, which means about 50% of the cost of those donations is paid by you the taxpayer.  What a sweet arrangement if you are in the inside looking out.  Low interest rates also means those in the moneyed class and elites can buy homes at the beach, nice cars, and all sorts of lovely luxury items on the cheap with borrowed tax deductible interest, which means again you the taxpayer are paying half the interest cost there too.  It's like having already lower than low interest rates subsidized by another 50% by lower income people. 

So yeah if you are in the elite class you want the Hillary to follow Obama and keep on keeping on with the same policies.  Now if you in the other side of this equation taking government subsistence payments, read welfare, unemployment, food stamps, or just in a dead end job,  you might not like the moneyed and elite's getting the good life and you not having it.  However most just sit back and take the crumbs left over, accept their status, and keep on watching the Khardashians and Hollywood stars dine high and jet off to world vacations.  Some fight and struggle to pay the endless bills and hope for something to happen like winning the lottery.  Either way you are screwed and you are to blame since you allowed the moneyed and elite class to tell you some bathroom occupy bill or some social issue was the cause of all your problems. Frankly the political class laughs at you since you buy into the foolishness and that keeps you from being concerned about your financial situation.   Liberty and free markets be damned if you are told somebody might be kept from screwing some snake if that is their desire. 

Anyway how does one take advantage of the new normal of Clinton/Obama forever?  Most importantly keep your assets in mega or large capitalization stocks like the ones we noted above.  We like the Vanguard 500 fund, cheaply run and keeps your assets growing and of course the moneyed and elites are there too protecting you all the way.  For income we like closed end mutual funds, there are a number of good national municipal bonds funds out there but be careful since many have run up in value due to the demand.  PCI is a good closed end non muni fund paying over 10% right now and is of good value.  PCI invests in mortgage related bonds and other corporate issues and leverages their assets, which means they borrow higher interest bonds and pay much lower borrowing costs.  The key here is the fact Clinton will continue the high regulation and high tax policies that keep free markets from growing and producing jobs and that keeps interest rates continuing for another 8 years at rock bottom.  It also holds down wages since few new jobs means lots of compeition for those available.  So investing in higher interest bonds is relatively safe since the threat of higher interest rates from a no-growth administration keeps the economy near death growth wise.  

If you are not in the moneyed or elite class we suggest you get a skill in a higher demand and higher wage industry and save your money like hell in the Vanguard 500 fund we suggested earlier.  It is possible at some point in your life you will have enough to live the quality life and pass it on to your children. 

So here we sit four months out from a election and enough voters seem to once again be ignorant enough to be kept back on the government plantation or low end jobs by another no growth political administration.  Those of us who prosper either way, no growth or pro-growth, are doing just fine.  Frankly the moneyed class and elites find it much easier to keep the voters at bay with silly concerns about gay marriage and "love wins" postings and just collect the dividends and assets gains than fool with real competition that comes in a pro growth economy. So enjoy your election as we sit on the beach and dine in nice seafood restaurants with our friends.   Anyone know where the Mercedes keys are?