Friday, December 5, 2014

Money Sex at its Finest - Exchange Traded Funds may generate tax-free revenue



So, I had YouTube running in the background, one of those mashups of songs from Within Temptation and whomever else the mashup maker thought fit (I was pleased to find Amaranthe in the mix, so I'm not the only one that mashes those bands together).

Anyway, this guy from Wisdom Tree comes on and starts talking about Exchange-Traded Funds and makes the comment "they can take very efficient use of tax structures, and may often generate returns with no tax impact at all, which, of course, has a huge benefit on growth over time."

Well, no shit. It also means the rich trust-fund kids have found a way to totally dodge having to pay taxes.

Okay, maybe that's not quite true, but even so, the capital gains tax caps out at 15%, which is great for the uber-rich who have all that money in the market doing the money sex thing (i.e. "making" money by rubbing money together, without actually doing anything dirty like make roads or cars, or anything in any way useful). And there is constantly legislation being pushed by the lapdogs of the greedElitists to entirely wipe out taxes on capital gains under the tired old "tinkle-down" economic premise that giving money to the rich has any impact whatsoever on making the rest of the world a shinier place (pro-tip: it has far less impact on economic growth than taxing the shit out of the rich and spending the money on things like roads, or cars, or anything useful).