Friday, September 19, 2008

Help for those in need

This is an interesting form of philanthropy:
NBA star Doug Christie and his wife, Jackie, announce that they will purchase 3,000 shares of corporate stock to help with the AIG financial crisis. The Christies, who are no strangers to helping people in need, have graciously used their star appeal to bring awareness to the issue...

"We encourage all our fellow men and woman to buy at least two stocks to help with the global economic crisis," said Jackie Christie. "We want everyone to step up and help in any way that they can. This is a huge crisis we face, but together we can make a difference. Do not just sit by and watch."
Save America's suffering investment bankers! Hat tip to BOTWT.

2 comments:

gary said...

AIG closed at 3.85 today, so we're talking about $10,000 here, not a huge sum (for an NBA star, anyway).

Also, how exactly does buying their stock help AIG? Its doubtful that AIG would be issuing new shares in its current situation, buying may help other shareholders, but not AIG itself.

Wouldn't it be much more helpful to buy AIG debt? You would drive the rate lower (although again, with only $10,000 dollars, not by any noticable amount), and you would take the debt off the hands of someone else, who may be a financial institution, thereby preventing the spread of the financial catastrophe.

Gandhi said...

Guess what - it sounds like all of us will be paying for companies like AIG, whether we like it or not, in the form of taxes if Congress approves the $700 billion that the federal government is requesting.

If you want to help people, here is what I would suggest instead: since the government is going to take your money anyway, pile on the short-selling market sometime between the date of October 2 and November 1 when the ban ends, and making a killing off inflated stock prices due to government regulations. Then use your winnings to help people in need.