Skip to main content

Mitt Romney has had it up to here with people second-guessing his foreign investments! (Scott Audette/Reuters)
 
No, that's not a trick question. Yes, the answer is that easy. Of course, it's Mitt Romney.

According to the manager of his trust, Mitt Romney's Swiss bank account wasn't an exercise in tax avoidance—rather, it was a hedge against a decline in the dollar. I'm not qualified to say whether or not his explanation is the full truth, but it certainly doesn't provide evidence that Mitt Romney hates America. Obviously, an investment that bets on the decline of the dollar might not sound good, but when you have as much money as he does, you're going to end up placing bets that might not be great soundbites for a campaign. In substantive terms, Romney is going to have a much bigger problem explaining why Bain profited from destroying companies than he will have explaining this.

But while the mere existence of the Swiss bank account doesn't by itself raise questions about Mitt Romney's loyalty to America, it provides one hell of a way to respond to Romney when he engages his his now-familiar attacks on President Obama's loyalty. Despite all the attention paid to Newt Gingrich's "food-stamp" line, Mitt Romney himself is no stranger to the hate card. His preferred formulation: that President Obama doesn't believe in American exceptionalism, that he seeks to "poison the American spirit", and that he wants to turn America into Europe and "keep us from being one nation under God."

Of course, Mitt Romney is nothing like that at all. He's just the kind of guy who bets on America's decline to protect his own ass.

EMAIL TO A FRIEND X
Your Email has been sent.
You must add at least one tag to this diary before publishing it.

Add keywords that describe this diary. Separate multiple keywords with commas.
Tagging tips - Search For Tags - Browse For Tags

?

More Tagging tips:

A tag is a way to search for this diary. If someone is searching for "Barack Obama," is this a diary they'd be trying to find?

Use a person's full name, without any title. Senator Obama may become President Obama, and Michelle Obama might run for office.

If your diary covers an election or elected official, use election tags, which are generally the state abbreviation followed by the office. CA-01 is the first district House seat. CA-Sen covers both senate races. NY-GOV covers the New York governor's race.

Tags do not compound: that is, "education reform" is a completely different tag from "education". A tag like "reform" alone is probably not meaningful.

Consider if one or more of these tags fits your diary: Civil Rights, Community, Congress, Culture, Economy, Education, Elections, Energy, Environment, Health Care, International, Labor, Law, Media, Meta, National Security, Science, Transportation, or White House. If your diary is specific to a state, consider adding the state (California, Texas, etc). Keep in mind, though, that there are many wonderful and important diaries that don't fit in any of these tags. Don't worry if yours doesn't.

You can add a private note to this diary when hotlisting it:
Are you sure you want to remove this diary from your hotlist?
Are you sure you want to remove your recommendation? You can only recommend a diary once, so you will not be able to re-recommend it afterwards.
Rescue this diary, and add a note:
Are you sure you want to remove this diary from Rescue?
Choose where to republish this diary. The diary will be added to the queue for that group. Publish it from the queue to make it appear.

You must be a member of a group to use this feature.

Add a quick update to your diary without changing the diary itself:
Are you sure you want to remove this diary?
(The diary will be removed from the site and returned to your drafts for further editing.)
(The diary will be removed.)
Are you sure you want to save these changes to the published diary?

Comment Preferences

  •  Something to investigate (20+ / 0-)

    Was Romney hedging against Massachusetts companies when he was Governor?

    The thing about quotes on the internet is you cannot confirm their validity. ~Abraham Lincoln

    by raboof on Tue Jan 31, 2012 at 11:32:46 AM PST

    •  Investigate this after the elections (2+ / 0-)
      Recommended by:
      shoeless, Matt Z

      if its a criminal matter.

      TeaParty = KKK + better coaching

      by Explorer8939 on Tue Jan 31, 2012 at 11:43:31 AM PST

      [ Parent ]

      •  they run to ensure that they're exempt ... (0+ / 0-)

        Now that the Obama Justice Department has established a precedent allowing (even self-admitted) criminals to escape without investigation or incarceration, you can expect that every Republican with criminal tendencies will be running for the White House or Congress.  

        Both Mr. Bush and Mr. Cheney bragged about their waterboarding, illegal wire taps, etc. -- and the public knows each was guilty of much more -- yet they have been allowed to roam free, unimpeded by the strictures of law.  

        And you can count on the fingers and toes of an amputee the number of Republicans in Congress, governorships or pursuit of the White House who are not crooks.  

        They're all running for some kind of office now, to ensure that they're exempt from the long arm of the law.  

    •  I don't (3+ / 0-)
      Recommended by:
      nextstep, Terminus, Matt Z

      Think mitt was so much betting on America's decline as he was observing it.

    •  no different than what Ron Paul does (1+ / 0-)
      Recommended by:
      DQKennard

      To be fair... every portfolio worth more than $100k should have something invested in foreign companies or currencies. Most money managers recommend putting 10% of assets in "emerging markets," and anywhere from 5%-10% in cold, hard cash.

      Now... the dollar "fell" a bit in the past 10 years relative to the Swiss Franc. So a savvy investor would put some of his cash in Swiss Francs. Then, when Wall Street has a down day, convert Francs to Dollars, and buy American stock. If the dollar rises against the Franc, then the money is pretty much "dead" inside that vault until the dollar falls again. Same holds for Euros and Yen.

      But, if it makes you feel any better, lately the Swiss Franc has taken a dive... Thherefore, Romney's "$3 million bet against America" didn't pay off:

      http://www.zerohedge.com/...

      And if you think Romney is bad, just check out Ron Paul:

      http://blogs.wsj.com/...

      ...about 21% of Rep. Paul’s holdings are in real estate and roughly 14% in cash. But he owns no bonds or bond funds and has only 0.1% in stock funds. Furthermore, the stock funds that Rep. Paul does own are all “short,” or make bets against, U.S. stocks. One is a “double inverse” fund that, on a daily basis, goes up twice as much as its stock benchmark goes down. The remainder of Rep. Paul’s portfolio – fully 64% of his assets – is entirely in gold and silver...

      William Bernstein, an investment manager at Efficient Portfolio Advisors in Eastford, Conn... says he has never seen such an extreme bet on economic catastrophe. ”This portfolio is a half-step away from a cellar-full of canned goods and nine-millimeter rounds,” he says.

      dang...

    •  Perhaps that's an explanation for his unusual (1+ / 0-)
      Recommended by:
      raboof

      level of secrecy regarding communications in his administration and the lengths to which he went to hide them after he left office.

  •  The same guy who is a Bishop? (3+ / 0-)
    Recommended by:
    Aunt Pat, Kinak, shoeless

    A Bishop in the Mormon Church.

    •  More importantly, was he attending Catholic Church (5+ / 0-)

      on the side at the time, just -- you know -- to hedge his bets?

      I'm not opposed to someone with assets diversifying his financial portfolio to spread risk. It's smart and frankly, I'd think that person was an absolute fool if he didn't. It's just, as Jed points out, that Romney plays the hate card every chance he gets. So he gets zero benefit of the doubt.

      As ye sow, so shall ye reap.

      © grover


      So if you get hit by a bus tonight, would you be satisfied with how you spent today, your last day on earth? Live like tomorrow is never guaranteed, because it's not.

      by grover on Tue Jan 31, 2012 at 11:42:07 AM PST

      [ Parent ]

  •  Swiss Miss (9+ / 0-)

    When Romney has his rallies this fall we just need to bring two items:

    1) Flip flops (The repugs did this to Kerry in 2004)
    2) Swiss Miss Hot Cocoa

    This guy is not the guy people will want to have a beer or hot cocoa with.

    Go Obama!!  Just saw He raised 68 million last quarter.

    •  what was the swiss miss thing? (0+ / 0-)

      obama cakewalk, 2012.

      'We apologise for any inconvenience during essential global improvement works' - sign on the front steps of St. Paul's, OccupyLondon.

      by doesnotworkorplaywellwithothers on Tue Jan 31, 2012 at 12:02:58 PM PST

      [ Parent ]

      •  Swiss (1+ / 0-)

        I wanted to bring us something that had "swiss" in it.  What else is Switzerland famous for?  Bring a nice Swiss watch too?

        •  NYD how about swiss cheeeeeese :) /nt (0+ / 0-)

          "Orwell was an optimist"

          by KnotIookin on Tue Jan 31, 2012 at 12:12:32 PM PST

          [ Parent ]

          •  Good one (1+ / 0-)
            Recommended by:
            Wee Mama

            Oh thats a good one.  I'm telling you the Swiss & Cayman Island accounts will be the gift that keeps on giving-  Karl Rove said this about Kerry saying "I voted for it before I voted against it".

            Romney's taxes will hurt him big time & just by looking at his year 2010 return we can tell his 2009 tax liability was much lower because he paid most of his tax with an extension (paid in April 2011)-  No underpayment penalties were calculated on the 2010 return.  I want to see his 2009 return.

            •  Romney's returns (0+ / 0-)

              I'd like to see the last couple of years he actually worked at Bain, and the next couple of years after that, so we can more closely tie his income to whatever specific companies Bain was dismantling at the time. If he's making 10-20 million in residual income years after leaving, how much did he make when he was the active head and principal of the firm?

              It would be tactically good if we can point and say these companies, employing xx people, no longer exist, because they were vulnerable to takeover by Romney and Bain. He made xx million dollars for his part in Bain's dismantling of the companies.

        •  what else? cuckoo clocks! (0+ / 0-)

          okay, i get it... i thought i had missed some news item or something - i'm a little dense today.

          switzerland is really famous though for appearing neutral during WWII and yet profitting from and aiding and abetting nazis when it suited them.

          'We apologise for any inconvenience during essential global improvement works' - sign on the front steps of St. Paul's, OccupyLondon.

          by doesnotworkorplaywellwithothers on Tue Jan 31, 2012 at 01:12:03 PM PST

          [ Parent ]

          •  Swiss (0+ / 0-)

            That's right didn't some nazi's hide money in swiss bank accounts?  I remember reading stuff like that years ago.  The Swiss bank account had a stigma of hiding assets & this will haunt Romney.

            •  there's more to that story ... (0+ / 0-)

              something to the effect that those assets, turned into gold bullion, were actually expropriated from jewish families deported to the camps. the gold was in nazis' names and the banks made interest off of all the money - hardly a neutral policy.

              the families ofd those lost  tried for years to get the monies returned to them, even as swiss air offered small little squares of gold wrapped chocolate to its passengers - something that was noted as both bitterly ironic and a deep outrage, in the papers.  

              the vatican was involved somehow too.  i think this articvle tells the whole story:

              http://en.wikipedia.org/...

              'We apologise for any inconvenience during essential global improvement works' - sign on the front steps of St. Paul's, OccupyLondon.

              by doesnotworkorplaywellwithothers on Tue Jan 31, 2012 at 03:41:42 PM PST

              [ Parent ]

            •  Hiding (0+ / 0-)

              Even more of that money in Switzerland was then sent to the USA and South America, using the Swiss  banks as convenient passthroughs.

              There are even letters from that era, sent by the Secretary of State and the Treasury, asking the Swiss banks to stop sending so much money, as it was upsetting the balance of trade in America.

              FOSI: Full Of Shit Information - Both my sister and I are trivia freaks...

              by Spoc42 on Tue Jan 31, 2012 at 04:01:55 PM PST

              [ Parent ]

          •  NOT cuckoo clocks (0+ / 0-)

            Cuckoo clocks are made in the Black Forest, which is part of southern Germany.

            Just thought you ought to know.

            FOSI: Full Of Shit Information - Both my sister and I are trivia freaks...

            by Spoc42 on Tue Jan 31, 2012 at 03:57:53 PM PST

            [ Parent ]

          •  Just like America (0+ / 0-)

            A lot of Americans were involved with the Nazis as well, certainly before America went to war with them.

            Pot meet kettle . . .

            FOSI: Full Of Shit Information - Both my sister and I are trivia freaks...

            by Spoc42 on Tue Jan 31, 2012 at 03:59:25 PM PST

            [ Parent ]

  •  Dual financial loyalty... An assets-firster... (3+ / 0-)
    Recommended by:
    Mayfly, Puddytat, Wee Mama

    it fitfully blows, half conceals, half discloses

    by Addison on Tue Jan 31, 2012 at 11:35:17 AM PST

  •  I don't see the issue (2+ / 0-)
    Recommended by:
    guardianrider, Satya1

    The fed seems committed to printing money, and the wise bet would be the dollar losing value (as easily seen when comparing it to things like gold or oil).

    I certainly wouldn't die on the sword of American currency.

    •  One reason Newt buys the bling? nt (1+ / 0-)
      Recommended by:
      Ajipon

      Empathy is going to change the world.

      by Mayfly on Tue Jan 31, 2012 at 11:40:04 AM PST

      [ Parent ]

    •  If anything hedging against the dollar (6+ / 0-)

      shows he is economically sophisticated - a positive attribute.

      The most important way to protect the environment is not to have more than one child.

      by nextstep on Tue Jan 31, 2012 at 11:52:38 AM PST

      [ Parent ]

      •  Agree. This accusation shows ignorance. (4+ / 0-)
        Recommended by:
        nextstep, Satya1, VClib, nvalvo

        The Tea Party has a monopoly on ignorance, let's not try to compete.

        The dude abides, now get off my lawn.

        by Boris49 on Tue Jan 31, 2012 at 11:55:18 AM PST

        [ Parent ]

        •  I can't speak for Jed but my take (6+ / 0-)

          on this story is how bad the Republicans would try to make it look if President Obama were to disclose financial documents showing that he was stashing a fortune away in offshore accounts to either avoid paying taxes or to hedge against the US dollar. They would be screaming "UN-AMERICAN" en masse! Every Republican, pundit, radio talking head and the sheeple that adore them would be questioning his motives and demanding answers. If you're rich, white and Republican though, you can even forget to claim assets from a multi- million dollar Swiss account (minor error apparently)...shit, if Obama did THAT they'd be screeching for his anti-American, tax dodging hide.

          •  offshore money of Democrats (1+ / 0-)
            Recommended by:
            Spoc42

            People have indeed attacked the Clintons because of offshore accounts, even though the bulk of it likely represented international speaking fees that hadn't yet been repatriated.

          •  I think it would be different. (0+ / 0-)

            Obama hedging his personal wealth against the policies of his own administration vs. Mitt hedging against Obama.

            Basically, if I was Mitt Romney, I'd say this: I hedge against the US dollar because I believe that Obama is taking actions that will lead to its decline.

            If I was Obama, I'd have a tough time pitching: I am hedging against the US dollar because I believe it will decline. My treasury secretary and fed chairman have my full support though, and I think they are doing a good job. I just want to hedge against the effects of their currency policies.

          •  Mitt isn't POTUS or hold any elected office (0+ / 0-)

            His hedging is just smart portfolio strategy.

            "let's talk about that"

            by VClib on Tue Jan 31, 2012 at 08:34:36 PM PST

            [ Parent ]

      •  Yeah, a positive attribute (6+ / 0-)

        for a vulture capitalist. Just like dubya was the first MBA  president.  We, the 99%, reaped the value of his expertise and his Supreme Court nominations,

        How can an android sing patriotic songs on the campaign trail, while betting against America?

        •  Why would knowledge of real world economics (2+ / 0-)
          Recommended by:
          VClib, nvalvo

          not be a positive attribute in a President, especially when the economy is in trouble?

          If Pres. Obama campaigns against Romney in the general election, do you think Obama is going to position himself as knowledgeable on real world economics or as a novice?

          BTW, Pres John F. Kennedy, was in the MBA program at Stanford, but did not graduate.

          The most important way to protect the environment is not to have more than one child.

          by nextstep on Tue Jan 31, 2012 at 12:21:56 PM PST

          [ Parent ]

          •  He doesn't really HAVE knowledge of real world (1+ / 0-)
            Recommended by:
            Spoc42

            economics. The guy has never wanted for anything his entire life. His family had influence and power while he was growing up and he was put in a position to succeed from the day he was born. It's completely risible that he worked hard for his money. A chimpanzee with similar family connections and resources would similarly get rich. In fact, one did and was the US president before Obama took office.

      •  Agreed - no problem with diversifying assets (4+ / 0-)
        Recommended by:
        sfcouple, opinionated, Wee Mama, Spoc42

        However, all Mittens would need to do to hedge against a falling $$ is buy an unhedged foreign bond fund, like I did. When the dollar goes down, the fund goes up. Pretty simple. You don't need a Swiss bank account to do that. That's my objection to this latest tidbit of information. Why do you need to hide what you're doing in a Swiss Bank account?

        America is a COUNTRY, not a CORPORATION. She doesn't need a CEO. Vote Obama.

        by manneckdesign on Tue Jan 31, 2012 at 12:05:54 PM PST

        [ Parent ]

      •  try "conflict of interest" (4+ / 0-)
        Recommended by:
        opinionated, Wee Mama, Boodaddy, Matt Z

        for a president.  Yeah.  It looks real good, doesn't it?

        He's not running for CEO of America.

        "One for himself, and all for me!" -Mitt "Offshore" Romney

      •  It might be a postive attribute (1+ / 0-)
        Recommended by:
        bobinson

        is some circles, but I'm betting the average working American won't see it that way.  

        "It took us a couple of days because I like to know what I'm talking about before I speak." President Barack Obama 3/24/09

        by sfcouple on Tue Jan 31, 2012 at 12:12:31 PM PST

        [ Parent ]

      •  Hedging for a private citizen...ok but (2+ / 0-)
        Recommended by:
        opinionated, DQKennard

        it really looks bad to have a presidential candidate who bets against America in order to maintain his own personal wealth...

        this is a heads mitt wins, tails MITT Wins financial situation and whether it is economically sophisticated or not... it makes for BAD PRESS in a presidential election year and bad press for Romney is never bad for us  :)

        "Orwell was an optimist"

        by KnotIookin on Tue Jan 31, 2012 at 12:17:00 PM PST

        [ Parent ]

    •  Um no. (2+ / 0-)
      Recommended by:
      Wee Mama, bobinson

      The Fed does not print money (the Treasury does). This is a commonly made mistake (one all too often made by teabaggers  I'm afraid.)

    •  There are many ways to make money. If someone (0+ / 0-)

      does something more complicated than an index fund, by choosing where to invest they are choosing what to support.

      Is it true? Is it kind? Is it necessary? . . . and respect the dignity of every human being.

      by Wee Mama on Tue Jan 31, 2012 at 12:58:46 PM PST

      [ Parent ]

  •  Betting against something he should be "for" (13+ / 0-)

    sounds a lot like what his Wall Street pals did with all those bundled crap mortgages they were selling to their clients (while betting against them themselves).  

    Typical Republican who promotes patriotism for popularity while acting like a traitor when he thinks no one will find out.

    I wonder how many other of our "leaders" are shitting on our economy to prevent growth (to defeat Obama, they say) while betting against it at the same time.  

    There already is class warfare in America. Unfortunately, the rich are winning.

    by Puddytat on Tue Jan 31, 2012 at 11:36:01 AM PST

    •  And this is why the diarist makes this point. (9+ / 0-)

      Too many republicans playing economic games for thier personal gain while claiming to be for the voters they are screwing.

      Fear is the Mind Killer

      by boophus on Tue Jan 31, 2012 at 11:41:24 AM PST

      [ Parent ]

      •  This has been going on for decades (1+ / 0-)
        Recommended by:
        sfcouple

        They scare people with strawmen and boogymen so nobody notices the hands that are in our wallets.  It's on steroids now.

        There already is class warfare in America. Unfortunately, the rich are winning.

        by Puddytat on Tue Jan 31, 2012 at 11:47:35 AM PST

        [ Parent ]

    •  He will (2+ / 0-)
      Recommended by:
      Puddytat, ColoTim

      be for it when he is elected president.

    •  Didn't Eric Cantor have something similar? (4+ / 0-)
      Recommended by:
      Puddytat, Wee Mama, joe wobblie, Spoc42

      IIRC he had some stock in a fund that specialized in shorting US real estate or something similar.  He made money when housing tanked.

      •  Correct (2+ / 0-)
        Recommended by:
        Wee Mama, ColoTim

        The 1% are shielding themselves from the consequences of all their own actions.  Only the little people will feel the consequences.

        There already is class warfare in America. Unfortunately, the rich are winning.

        by Puddytat on Tue Jan 31, 2012 at 12:11:15 PM PST

        [ Parent ]

      •  ColoTim - your recollection is not correct (0+ / 0-)

        Cantor has one investment that would increase if interest rates rise. However, his entire portfolio would be impacted negatively if interest rates rise. He was hedging a portion of his portfolio, a smart portfolio strategy, but beyond the capacity of some people to comprehend.

        "let's talk about that"

        by VClib on Tue Jan 31, 2012 at 08:32:52 PM PST

        [ Parent ]

    •  Whenever people call for lower interest rates (1+ / 0-)
      Recommended by:
      VClib

      they are also calling for a cheaper dollar compared to other counties.  

      So is calling for low interest rates unpatriotic?

      I can't recall the last time Democrats called for higher interest rates?

      The most important way to protect the environment is not to have more than one child.

      by nextstep on Tue Jan 31, 2012 at 11:55:04 AM PST

      [ Parent ]

    •  He is betting "for" something he should be "for" (0+ / 0-)

      He should be for the dollar correcting downward.  That makes US exports more competitive and making off-shoring less competitive.  That creates jobs in the US.  Although it would be more interesting if he was hedging US-China rather than US-Euro.

      •  Not really (0+ / 0-)

        The dollar being "corrected" downward affects the 99% who have already experienced flat paychecks and rising prices for 30 years.

        There already is class warfare in America. Unfortunately, the rich are winning.

        by Puddytat on Tue Jan 31, 2012 at 12:13:05 PM PST

        [ Parent ]

        •  Depends on how fast... (1+ / 0-)
          Recommended by:
          Ajipon

          Positive effects:
          1) More domestic jobs.
          2) Wage increases due to lower unemployment and greater labor demand. (requires some avoidance of the current screwing of labor).
          3) Domestic dollar denominated production replaces imports.
          4) Increased tourism from foreign countries.

          Negative effects:
          1) Higher priced imports
          2) Higher prices on globally priced commodities.
          3) More expensive tourism to foreign countries.

          I think the problem is the negative effects happen much faster than the positive effects.  So, any decline needs to be gradual in order to allow the positive effects to balance out the negative effects.

    •  Mitt = Pete Rose (1+ / 0-)
      Recommended by:
      Puddytat

      Pete Rose bet against baseball.  Mitt bets against his country.

      This is a touchy issue.  I grew up knowing Pete Rose as Charlie Hustle, the guy who ran on and off the field, played hard, diving slides.  The betting is disappointing.  

      I expect more from a presidential candidate than a baseball player.

    •  NOOOOOO. (0+ / 0-)

      We want a cheaper dollar! We're the Left! Wake up!

  •  It must be Obama (3+ / 0-)
    Recommended by:
    Egalitare, Wee Mama, Matt Z

    He's the one who hates America and loves Europe right?

  •  I'm gonna go ahead and guess... (9+ / 0-)

    Photobucket

    amirite?

  •  Mitt (5+ / 0-)

    Hates us for our freedoms...

    "I, Barack Hussein Obama, do solemely swear.."

    by cgvjelly on Tue Jan 31, 2012 at 11:38:46 AM PST

  •  When he questions President Obama's loyalty, (15+ / 0-)

    all Obama needs to say is, I'm not the one with the Swiss Bank Accounts.  Every American will understand perfecly what he means.

    I predict Swiss Bank Account will be referred to a lot.

  •  He's dim, for Pete's sake, Jed! (4+ / 0-)
    Recommended by:
    Mayfly, JML9999, Wee Mama, Matt Z

    Float like a manhole cover, sting like a sash weight! Clean Coal Is A Clinker!

    by JeffW on Tue Jan 31, 2012 at 11:39:10 AM PST

  •  I totally disagree about... (11+ / 0-)
    Romney is going to have a much bigger problem explaining why Bain profited from destroying companies than he will have explaining this.

    He "bet against America" is a lot easier to understand than what Bain Capital did. Especially when you're talking about Republican voters.

    I'm no philosopher, I am no poet, I'm just trying to help you out - Gomez (from the song Hamoa Beach)

    by jhecht on Tue Jan 31, 2012 at 11:39:21 AM PST

    •  But it's all a game . . . (1+ / 0-)
      Recommended by:
      Wee Mama

      currency manipulation, hedging, commodity speculation, stock market "investing", tax sheltering, government  financing, making money by gaming money . . . that's what "financial capitalixm" is all about.  And every Republican, rich or poor (and many Democrats too, for that matter), agrees that gaming the system, especially to avoid taxes, is not just OK, it's almost a moral obligation (as long as you do it "legally").  They will see his currency hedging as not "betting against the Dollar" (and even if it was they wouldn't mind), but as "betting against the market", which is of course an OK thing to do . . .

      Bain is seen more as burning down the building to collect the insurance (and not caring who gets hurt in the process).  Americans don't like to see a going business trashed and destroyed . . .

      Fake Left, Drive Right . . . not my idea of a Democrat . . .

      by Deward Hastings on Tue Jan 31, 2012 at 11:52:01 AM PST

      [ Parent ]

  •  Someone needs to LOL caption that photo (7+ / 0-)

    in the article "My stack of money is THIS high!" or "My bullshit is piled up to here!"

    "What profit a man, if he gain the world, but has to pay taxes on it?" Paul 8:36

    From the Gospel of St. Ron Paul in the Teachings and Misunderstandings of the Words of Adam Smith

    by ontheleftcoast on Tue Jan 31, 2012 at 11:39:30 AM PST

  •  If you've got $250 million in the bank (2+ / 0-)
    Recommended by:
    ColoTim, Wee Mama

    does it really matter if the value of the dollar falls a bit? I mean, it's still $250 freakin' MILLION.

  •  It's a hedge, you don't understand what it means (7+ / 0-)

    That's like attacking someone for having a small investment in bonds or precious metals or something in case the market does badly.

    I'm guessing he's not 100% hedged against the dollar. It's some smaller percentage which increases in value if the dollar decreases. If the dollar increases in value, his other investments are worth more and this investment is worth less.

    Also, hedging against the dollar / "betting against America." People always complain that China is artificially holding the value of their currency lower. What happens if China allows their currency to strengthen? THE DOLLAR WEAKENS.

    I can't stand Romney, but I could care less about his dollar hedging.

    I'd rather attack him for his tax avoidance, Swiss bank accounts in general, and his flip-flopping back and forth from extreme radical right positions.

    When we stop putting leaders from the past up on pedestals and ignoring their flaws, we can start seeing our present leaders for what they really are.

    by PhillyJeff on Tue Jan 31, 2012 at 11:41:37 AM PST

    •  I agree with you, Jeff. (3+ / 0-)
      Recommended by:
      ColoTim, Boris49, grover

      Hedging some assets against a falling dollar just isn't that big a deal for me. Mitt is certainly a target rich candidate, but this one doesn't have any traction that I can see.

      Getting filthy rich conducting vulture capitalism against American workers, now that's a theme I think that should be run into the ground.

  •  Weaker dollar and weaker America are not the same (5+ / 0-)

    thing.

    If the dollar drops in value relative to other currencies, that helps the U.S. to export more goods, because those goods are then cheaper in those other countries.

    PS: I'm not defending Romney!  His class started the class war.  We should finish it.

    •  thank you (0+ / 0-)

      glad to see that Romeny gets in as much trouble for his overseas investments as possible. but a weaker dollar is not a bad thing strictly speaking. whether it is or not is a function of the economic details not of some tone deaf stiff's Swiss Bank account.

  •  Is that Blind Trust or Blind Truss (2+ / 0-)
    Recommended by:
    JeffW, shoeless

    Maybe Mitt got a hernia once trying to lift all his money.....

    Response: If you "got it" you wouldn't be a republican

    by JML9999 on Tue Jan 31, 2012 at 11:42:07 AM PST

  •  Mitt Romney says Obama doesn't believe in America (6+ / 0-)

    Mitt Romney says he believes in America, its just that he believes that secret bank accounts in Europe are pretty good, too.

    TeaParty = KKK + better coaching

    by Explorer8939 on Tue Jan 31, 2012 at 11:44:12 AM PST

  •  A hedge is basically insurance (5+ / 0-)

    It's a way to decrease risk rather than embrace it.

    If I had a ton of investments and Republicans were in charge of government, I would certainly be hedging to protect against the destruction of the economy.

  •  He is unpatriotic. He is not a patriot. Period. (0+ / 0-)
  •  Newt has probably done the same thing (0+ / 0-)

    Not that it matters. This information will tuned out as lies anyway.

    Totally Random-I listened to this author today on NPR describing North Korea and it really reminded me of the Republican party and our media. I have seen our future!

    Its not pretty. The media has to be restored.  

  •  OUCH (2+ / 0-)
    Recommended by:
    shoeless, Little Lulu

    So he benefits if the dollar gets weaker.
    =
    He bet his money that America would be weak so he could profit.

    The ad writes itself.

    The object of persecution is persecution. The object of torture is torture. The object of power is power. --George Orwell

    by jgkojak on Tue Jan 31, 2012 at 11:47:41 AM PST

  •  I think (1+ / 0-)
    Recommended by:
    shoeless

    this may actually be worse for his image than Bain....wow.

    http://www.thehamandlegsshow.com

    by jham710 on Tue Jan 31, 2012 at 11:47:50 AM PST

  •  So much like "Believe in America" (2+ / 0-)
    Recommended by:
    shoeless, polecat

    "Rick Perry talks a lot and he's not very bright. And that's a combination I like in Republicans." --- James Carville

    by LaurenMonica on Tue Jan 31, 2012 at 11:48:03 AM PST

  •  Whoa! BS ALERT!!!!! (4+ / 0-)
    Recommended by:
    polecat, Wee Mama, Matt Z, nvalvo

    To hedge against the American Dollar, you could very easily have a Euro bank account domiciled in the US. No need for a Swiss account AT ALL.

    This is utter BS, and someone in power has to call him out on this utter lie.

    •  He could buy stock in a Swiss company. ADR (0+ / 0-)

      stocks are easy and traded on US Exchanges.

      No, he was betting against the US Economy.

      Bet he made money during the '08 crash.

      Happy little moron, Lucky little man.
      I wish I was a moron, MY GOD, Perhaps I am!
      —Spike Milligan

      by polecat on Tue Jan 31, 2012 at 11:58:46 AM PST

      [ Parent ]

  •  I call BS (5+ / 0-)

    you can long Swissie, short the dollar through a lot of instruments and a brokerage account onshore, such as the ETF FXC or through options.  

    There are usually two reasons to have a Swiss bank account (as an American):
    1) to avoid (or evade) taxes; and
    2) to avoid scrutiny (i.e. transfers are much harder to trace)

    Since the advisor is saying that this was not tax related, it must be the latter.

    Also, the timing of the closing of the account is suspicious.  It is not when Mitt was running for President, since he also ran 4 years ago, but is exactly when UBS and other banks were pressured to hand over their client lists.

  •  Wow. GOPers will be voting for a man who (2+ / 0-)
    Recommended by:
    sfcouple, Matt Z

    BET AGAINST THE AMERICAN DOLLAR FOR PRESIDENT.  O.M.G.  It was bad enough he strapped his dog to the roof of his car.  It was bad enough he said, "Corporations are people, my friend."  It was bad enough that he pays less in taxes and collects more money than 99.9% of the American populace.  It was bad enough that his corporation put thousands of Americans out of work so he could take home more money for himself.  But now we find out he BET AGAINST THE AMERICAN DOLLAR IN A SWISS BANK ACCOUNT?

    How in hell is this man presidential material?  He's a poster boy for exactly what got our country in this mess.

    Best. President. Ever.

    by Little Lulu on Tue Jan 31, 2012 at 11:51:37 AM PST

  •  I don't (3+ / 0-)
    Recommended by:
    Great Lakes Liberal, Wee Mama, nvalvo

    have a problem with hedging against possible dollar decline. One of the rules -- possibly the major one -- of having a lot of money is that you have to manage the stuff. You can't just let it sit around under the mattress, because in an inflationary world it loses value. [short version]

    Romney doesn't manage his own money; he employs minions to do that -- portfolio managers, tax lawyers, accountants, and what-not.

    What I do have a problem with is the sheer stupidity of not looking a few months or years down the road to see how this would play in public perception, which does not speak well for Mittens' long-term strategic planning or ability to see farther than the end of his own thumb.

    Listen, are you breathing just a little and calling it a life? -- Mary Oliver

    by Mnemosyne on Tue Jan 31, 2012 at 11:52:28 AM PST

  •  Betting against the US Economy. Unamerican. (0+ / 0-)

    That's what a foreign currency play is all about.

    Happy little moron, Lucky little man.
    I wish I was a moron, MY GOD, Perhaps I am!
    —Spike Milligan

    by polecat on Tue Jan 31, 2012 at 11:57:42 AM PST

    •  No it's not. (1+ / 0-)
      Recommended by:
      nvalvo

      Weaker currency does not equal weaker economy.

      I hedge against a declining dollar and encourage my clients to do the same.

      That said, you can hedge against a declining dollar by buying gold and silver bullion (CEF, GLD, SLV), international bonds (and there are some international bond funds that are dollar-hedged if you don't want to just sink your money into an individual Aussie, New Zealand, Norway, Canada, etc...), etc. You don't have to open an account outside the US to do that.

      Because this community is worth staying and fighting for.

      by Great Lakes Liberal on Tue Jan 31, 2012 at 12:04:00 PM PST

      [ Parent ]

  •  You can hedge without opening a European account (5+ / 0-)

    As I wrote the other day, there are two possible reasons to open a European account:  a tax avoidance strategy (not necessarily illegal) or a lack of faith in American banking institutions (not unreasonable given recent experience).  But you don't open a European bank account to 'hedge' against the dollar.  You buy shares in a one or more of several currency 'futures' markets; you can buy them in one direction or both (given the inherent uncertainty of currency markets).  But you wouldn't simply open a European account (either in the local currency, let's say the Swiss franc or the British pound, or in the Euro) to 'hedge' because then -- if that currency fell -- you'd be screwed in that direction.  The 'hedge' explanation doesn't make sense.  

  •  Hedging against currency risk is standard (1+ / 0-)
    Recommended by:
    nvalvo

    business practice.  It's as normal as a farmer holding futures on his crops.

    The influence of the [executive] has increased, is increasing, and ought to be diminished.

    by lysias on Tue Jan 31, 2012 at 12:02:44 PM PST

  •  Romney 2012: Believe in Switzerland. (n/t) (1+ / 0-)
    Recommended by:
    Wee Mama

    Shorter Randroids: libthinkers unbellyfeel randspeak. a.s. film doubleplusgood.

    by Surreal American on Tue Jan 31, 2012 at 12:05:17 PM PST

  •  Uhh... we want a cheaper dollar, guys. (0+ / 0-)

    We're the left. A cheaper dollar helps domestic manufacturing,  and thus the trade balance, at the expense of Americans' buying power in foreign goods, and it helps debtors at the expense of creditors.

    Obama denies pursuing policies aimed at a weak dollar, but I think most observers believe that this is, in fact, a deliberate aim — one I consider both attractive and legitimate.

    I also have no problem with Romney hedging that currency risk (I have big problems with tax dodges, obviously). He likely hedged because he understood that weak dollar policy would be attractive to Obama, considering Obama's stated goals on manufacturing, trade balance, and de-leveraging. I don't see why we should care what he currency he denominates his savings in; at least it's not gold, like some Republican candidates I could name.

  •  Maybe this is one reason (0+ / 0-)

    that Republicans in Congress have been trying to weaken the economy. I wonder how many of them have placed hedge bets against our economy.

    "The test of our progress is not whether we add more to the abundance of those who have too much; it is whether we provide enough for those who have too little… I see one-third of a nation ill-housed, ill-clothed, ill-nourished." -Franklin Roosevelt

    by shoeless on Tue Jan 31, 2012 at 12:07:54 PM PST

  •  Can you just imagine if President (2+ / 0-)
    Recommended by:
    Seeds, Matt Z

    Obama had a Swiss bank account?  The rethugs/wingnuts would have had an apoplectic meltdown of an epic magnitude.

    "It took us a couple of days because I like to know what I'm talking about before I speak." President Barack Obama 3/24/09

    by sfcouple on Tue Jan 31, 2012 at 12:09:44 PM PST

  •  Boy, for someone who hates Europe so much... (0+ / 0-)

    Money doesn't talk it swears.

    by Coss on Tue Jan 31, 2012 at 12:12:43 PM PST

  •  Romney bet against America... can liberals leave (0+ / 0-)

    it at that and NOT get all nuancey about this?

    Doesnt matter if we want a weaker dollar or if its economically saavy to hedge....  all that matters is that the meme ROMNEY BET AGAINST AMERICA becomes viral....   seriously

    we know the specifics, we know the nuanced explanations, we know all of the facts, figures and reasons BUT all we need to do is put out the meme that ROMNEY BET AGAINST AMERICA and let Romney get all explainey about it... his based isnt going to understand any of that explainin but they are going to remember that Romney bet Against America and isnt that really all we want them to remember?

    "Orwell was an optimist"

    by KnotIookin on Tue Jan 31, 2012 at 12:29:01 PM PST

  •  Hedging Bets is good business. (0+ / 0-)

    It makes sense, if you are not investing in currency exchange, to spread the fallow wealth around to mitigate risk associate to market fluctuations.

    If he was heavily investing in a foreign currency on the hopes of profiting on the decline of the dollar that would be of interest. But risk mitigation of money that is not specifically an investment sounds like good business.

  •  Why not use gold, instead, as a hedge (0+ / 0-)

    That's what most of us real Murkins use when hedging the US dollar.  I guess using Swiss francs to hedge is cooler, or something.

  •  Mitt bet against America (0+ / 0-)

    while Barack bet on America (the auto industry).  I wonder if his team had thought of how to characterize Romney's swiss bank account and hedging activity when they thought of that line for the state of the union.

    Alternative rock with something to say: http://www.myspace.com/globalshakedown

    by khyber900 on Tue Jan 31, 2012 at 01:12:34 PM PST

  •  Grist for a parlor game for (0+ / 0-)

    watching the GOP "debates"--- checking Mitt Romney's hair line for where the" gray hairs" begin. It seems that with various pictures, the hair coloring hits a different part of the cranium-- sort of a low tide, high tide effect. For South Caroline, it looked like there was more gray hair, for Florida, less.  Not exactly beer pong, but it gives you something to watch other than the verbal hipocrasy.

  •  Mitt should have bought American gold from America (0+ / 0-)

    Either that or Treasury bills.

    Socks and sandals. Yeah, I wear 'em. They are comfortable and convenient. So, get off my case.

    by bobinson on Tue Jan 31, 2012 at 03:08:38 PM PST

    •  T-Bills wouldn't be an effective hedge, (0+ / 0-)

      because they're denominated in dollars. If the dollar declines, so does the value of debt denominated in dollars.

      Gold is useless as a store of value. The price of gold is really high right now, but adjusted for inflation, it is the same as it was in the 1980s. You'd do better with a savings account.

  •  I'll bet you 10,000 francs the dollar will tank! (0+ / 0-)

    I'm running for President for Pete's sake!

    We're through being cool. Eliminate the ninnies and the twits. -- Devo

    by Woodrow Stool on Thu Feb 02, 2012 at 07:43:18 PM PST

Subscribe or Donate to support Daily Kos.

Click here for the mobile view of the site