Skip to main content

View Diary: CalSTRS Hits Gun Manufacturers where it hurts: The Pocket Book (59 comments)

Comment Preferences

  •  From the standpoint of princples... (0+ / 0-) may feel good.

    However, from an investment standpoint (i.e. your money), it's probably a poor investment decision.

    This will likely have little effect on Freedom Group's ability to operate and prosper as they will simply be sold to someone else. It's true that it may lower their market value very slightly (due to a small set of investors who refuse to invest in them reducing demand), but that would have little impact on the company. That minimal loss would be taken by Cerberus (and, hence CalSTRS - and your retirement security) and Freedom Group would have a new owner who would accept lower profits (i.e., perhaps Freedom Group could sell guns cheaper or develop new designs) since they could now achieve (for their new owners who got them at some discount) the same ROI with less profit.

    Also, be aware that some people whose money is in CalSTRS would not agree that this, politically motivated rather than investment motivated, move is appropriate. What next, some group of devout Catholic CalSTRS members insisting that CalSTRS divest themselves of stock in all companies that offer contraceptives?

    Personally, I don't care -- I don't have any money in CalSTRS. But if I did, I'd be quite alarmed at the notion that the security of my retirement, outside of my direct control, was being invested for political rather than economic reasons.

    Really folks, there's no "club" being used here whatsoever. Freedom Group probably benefits at the expense of CalSTRS.

Subscribe or Donate to support Daily Kos.

  • Recommended (169)
  • Community (68)
  • Civil Rights (44)
  • Baltimore (42)
  • Elections (35)
  • Culture (35)
  • Bernie Sanders (34)
  • Economy (31)
  • Texas (29)
  • Law (27)
  • Environment (26)
  • Labor (25)
  • 2016 (24)
  • Hillary Clinton (21)
  • Education (21)
  • Rescued (21)
  • Freddie Gray (20)
  • Health Care (20)
  • Barack Obama (19)
  • Racism (19)
  • Click here for the mobile view of the site