November 29, 2025 • 39 mins
Chris Markowski discusses the complexities and challenges of the financial world, particularly focusing on Wall Street, corporations, and the role of private equity. He emphasizes the importance of understanding the motivations behind financial entities and the inherent conflicts of interest that arise when profit motives overshadow fiduciary duties. McFadden critiques the regulatory environment and the evolution of corporate accountability, warning against the dangers posed by modern financial practices and the need for personal responsibility among consumers.
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Episode Transcript
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Speaker 1 (00:06):
Well, no one altered investment banking, consumer advocate, analyst trader
Chris Markowski is the watchdog.
Speaker 2 (00:14):
On the wall street.
Speaker 3 (00:16):
Do you want to answer exposing the lies and myths
that the big brokerage firms, the mainstream press, and the
government are pushing to keep Americans away from financial freedom.
Speaker 2 (00:27):
You can't handle the true.
Speaker 1 (00:29):
Proof bringing America the truth about what really happens in
the financial world.
Speaker 3 (00:34):
Ladies and gentlemen.
Speaker 4 (00:35):
We're not here to indulge in fantasy, but in political
and economic reality.
Speaker 1 (00:39):
This is the watchdog on wall streets.
Speaker 2 (00:44):
I'm trying to remember off the top. I had to
hear that one I don't.
Speaker 4 (00:47):
Know, ninety three ninety something like that, confrontation with Chaffan
again and telling us that we were never going to
make it. The firm we were working at was one
of the top ranked banks inc Magazine's fastest growing investment
banks in the country, best investment banking, all all of.
Speaker 2 (01:07):
This stuff, all the alcolades, and how great this firm was.
I learned. I learned that they weren't.
Speaker 4 (01:16):
I learned that the people working there, that they weren't
good people.
Speaker 2 (01:22):
And the fact that you know, Jeff said that we
weren't going to make it.
Speaker 4 (01:28):
We're more than ten times their size at this point
in time, and they are no longer.
Speaker 2 (01:34):
They are no longer.
Speaker 4 (01:37):
It's important people to understand the motivation of who you're
doing business with. Publicly publicly traded companies are wonderful inventions
of capitalism. They create work and wealth for our country
and the entire world. But again, you gotta also understand.
(02:02):
You got to understand the nature of certain businesses, certain companies, corporations.
Speaker 2 (02:08):
When I think I'm like something in corporates like sharks.
You know, shark.
Speaker 4 (02:11):
Spends its entire life eating and reproducing. That's what a
shark does. Corporations job to make money. Both the shark
and the corporation are necessary and important entities. Corporations provide
for greater efficiency, ingenuity, jobs, economic growth. Sharks keep the
season balance being top of the food chain. Most Wall
(02:36):
Street investment firms are publicly traded entities.
Speaker 2 (02:43):
They have various different businesses from.
Speaker 4 (02:46):
Bloody oil trading, currency trading, managing your four to one
k and all in an effort to increase their bottom
line for years and years and years. We're going to
talk about this or today on the program. I said,
this is my belief. This is my belief, and I
(03:07):
am sticking to it. This business, when you are managing
people's assets, you're managing people's money. It's a profession and
quite frankly, professions professions do not belong being public and
publicly traded. What do I mean by that? The CEO
(03:34):
of XYZ Company, the CEO of Merrilans, the CEO of Morganson,
the CEO's job is the fact they have a fiduciary
duty to the shareholders, the shareholders of the company, increasing
the bottom line. Like I just said, I don't have
(03:55):
any shareholders.
Speaker 2 (03:57):
I don't good do. I have a lot of workers
and offices and staff. There are three.
Speaker 4 (04:04):
Shareholders in Markowski Investments, my brother Matthew, my brother Michael,
and myself And and right now in today's climate, what's
going on today, and there's going to be a reckoning
And maybe we'll get into this a little bit later on.
Speaker 2 (04:20):
In the program.
Speaker 4 (04:21):
For a lot of the private equity nonsense that's going on,
and the money is floating around, they're throwing cash at everything.
They're throwing cash at everything. The multiples that we are
being offered at Markowski Investments to sell out generational wealth
(04:43):
type numbers numbers that quite frankly, my brothers and I
say that makes no sense. What you're willing to pay
me is insane for this, And there's just no way
that this would you know, will.
Speaker 2 (04:56):
We ever do it?
Speaker 4 (04:57):
Because I know it would have to happen for them
in or in a order for them to make the
purchase of what they're willing to pay us profitable.
Speaker 2 (05:04):
They would have to churn and burn our clients.
Speaker 4 (05:09):
Or do something else offloaded at a much much higher price,
which we call demonic musical chairs here looking for a
greater fool. I've said this, I've said this since they
repealed Glass Deegle. Wall Street needs to divest from managing
(05:30):
individuals money. There is an inherent conflict of interest between
what a corporation's modus operandi is and the fiduciary duty
of a true professional.
Speaker 2 (05:49):
They don't mix its oil and water. In fact, this
cocktail is damn dangerous.
Speaker 4 (05:58):
There was a book again, I said emis that I'm
a big fan of rights for the Wall Street Journal
names Andy Kessler.
Speaker 2 (06:05):
He put a book out. I had to be like
two thousand two to two thousand and three.
Speaker 4 (06:09):
How we got here a slightly irreverent history of technology
and markets. He said, why did Morgan Stanley Again, I've
talked about this form. Why did Morgan Stanley bother merging
with Dean Witter in nineteen ninety seven when electronic and
web trading were already everywhere. I mean, think about that
(06:29):
point in time again, older people. Remember that's when you
had Stewart from a meritrade E trade was coming out
DLJ Direct, all of these firms. Why in the world
would Morgan Stanley want to buy Dean Winner.
Speaker 2 (06:44):
They had offices inside.
Speaker 4 (06:46):
A Sears for crying out loud because it needed to
compete for deals against Merrill Lynch. So why not the
thinking went had a retail channel that it could dump
its crappy.
Speaker 2 (07:02):
Deals on and dump they did.
Speaker 4 (07:08):
Remember drugstores, dot Com, Riba, Avenex Home store.
Speaker 2 (07:16):
Yeah, yeah, yeah that brokers.
Speaker 4 (07:18):
At that point in time were turning into asset managers. Okay,
kind of like personal shoppers at Nordstrom moving high price merchandise.
And I've said this, okay when it comes to personal
services and listen, it's happening now everywhere. It's happening now. Okay,
(07:41):
I've I've got wonderful clients of mine that own physical
therapy chains are not chain like six or seven here
and there, veterinarians, clinics. They're getting approached by everyone. They
don't want to sell, he said, you'd understand the numbers
that they're offering us, but when it comes to the
type of business that we're doing, personal services, medical, legal,
(08:03):
financial advisory, accounting, it's not It's not just about making profits.
Speaker 2 (08:10):
Making money is.
Speaker 4 (08:11):
Great, it's fantastic, but it's different. Would you take again
look at this way. Would you take your child to
a pediatrician that had to answer to a sales manager
or shareholder.
Speaker 2 (08:28):
That's happening now and what we're.
Speaker 4 (08:32):
Starting to deal with this is like the after effects
of Obamacare.
Speaker 2 (08:35):
We're starting to deal with that now.
Speaker 4 (08:38):
Is that what you want to you wanta you want
to take your child to a pediatrician that has to
answer to a sales manager that has to answer to shareholders.
Would you go to a cardiologist who had a hustle
to beat analysts quarterly estimates?
Speaker 2 (08:54):
And wrong?
Speaker 4 (08:55):
Everybody seen one of these professionals. They all deserve to
make honey, ourselves included. But it's it's our belief system
that it's in the best interest of everyone.
Speaker 2 (09:11):
That professions like ours.
Speaker 4 (09:15):
Need not take on that quality of a shark or
a corporation. This is just again, it's simple things, and
it again, this is you know, talk about you know
that it was a bon Jovie song.
Speaker 2 (09:28):
You know, we give love a bad name there, shout
through the heart.
Speaker 4 (09:30):
Yeah, yeah, we give capitalism a bad name because that's
not capitalism. Okay, it's morphing into something else. It's morphing
into something else. And we're seeing it right now. We're
seeing it right now in so many not just again,
not just in the advisory business, but it's happening there too.
(09:55):
It's happening there too, you know, because one of the
things that we do at Marque Ski Investments is we
help great advisors retire on their own terms. We help
them retire on their own terms. They come to Markowski
Investments because they know their clients are going to be
taken care of.
Speaker 2 (10:17):
And they're saying the same thing.
Speaker 4 (10:18):
They're like, you have no idea the offers that we're
getting from these various different private equity outfits and other
firms that are out there. But these guys, these guys know,
they know what's going to happen to their clients. They
know that they're going to get churned and burned again.
There's people out there that they get tempted.
Speaker 2 (10:36):
They can't walk away.
Speaker 4 (10:38):
That little ethical bypass at birth that I talk about
again and again and again. It is important people that
you understand who you're doing business with, what their plans
are for the future.
Speaker 2 (10:53):
They sell their firm, Okay, you're a going.
Speaker 4 (10:56):
An advisor, and he said, oh, you know, I'm thinking
about and I got to come up to say I'm
thinking about getting bought by this out and they're gonna
tell you how great this big private equity, this big
firm is, and they're gonna take over and make it easier.
Speaker 2 (11:08):
Run, don't walk. Run, you're gonna pay. You're gonna pay
down the road. They don't care. They don't care their job.
Speaker 4 (11:23):
Again, I'll maybe it might be a good time that
I get into that. I've going and been going after
private equity for a very long period of time.
Speaker 2 (11:32):
The services that you're getting, the prices are gonna go up. Everything.
They have no choice.
Speaker 4 (11:39):
They bought up one veterinary clinic after another, venetoric in
here and everybody's saying, I can't believe it. I used
to go to the vet and it would be great.
And now they don't even care about my dog. They
don't even pet my dog. They don't even do the
stuff they're charging me. All of this extra things that's
gonna happen to you, that's gonna.
Speaker 2 (11:54):
Happen to you.
Speaker 4 (11:55):
That's the only way that they can make the numbers work.
Speaker 5 (12:01):
All of these McKenzie types, Harvard, NBA, all these people
out there, bunch of bloody financial engineers, they are here
to stick.
Speaker 2 (12:11):
It to you. You don't have to. You don't have to.
Speaker 4 (12:18):
From my mouth to God's ears, We'll never sell, will
never sell to those jerks, period the end. Watchdog on
Wallstreet dot com. Watchdog on wallstreet dot com. Here we
go go, Mary, don't go anywhere.
Speaker 2 (12:38):
If you do, what do you do? We gotta get
to our website. Watchdog on wallstreets dot com.
Speaker 4 (12:42):
Centup, our personal CFO program, our podcast, our newsletter, all
sorts of great stuff.
Speaker 2 (12:48):
Watchdog on Wall street dot com, or give us a call.
Speaker 6 (12:50):
Eight hundred four seven one fifty eighth.
Speaker 1 (13:11):
The only man who is taking on the Wall Street establishment.
You're listening to the watch Dog and Wall Street with
Chris Markowski.
Speaker 3 (13:25):
Quarter.
Speaker 4 (13:29):
You know, like I said, I'm a libertarian guy at heart, Constitution,
the returning. You know, I believe in consumer has to
make wise choices. We have to be smart. You have
to be smart. And again, we live in a day
and age, quite frankly, where we walk around walk around
with these pocket computers, which for all intents and purposes,
(13:54):
make us almost like gods, if you will, the ability
I said, I I'm not a big I'm not a
social media guy.
Speaker 2 (14:02):
I'm not on my phone.
Speaker 4 (14:03):
I don't I'm not a selfie, none of that nonsense.
But when I'm taking a walk and I'm you know,
walking through uh, you know, some city, wherever it may be,
whether it be Athens, Greece, or Florence, Italy, or Tampa, Florida,
wherever it may be, I don't care. It's just in
Reno for you. And there's something I don't see or
I don't understand, I can look it up, and that
(14:24):
to me is it's just awesome.
Speaker 2 (14:26):
It's awesome.
Speaker 4 (14:29):
The things that I've been talking about here on the program,
many people will say, we.
Speaker 2 (14:33):
Need more regulations, we need more rules, we need.
Speaker 4 (14:37):
More regulations that will solve the problem.
Speaker 2 (14:42):
Hmm.
Speaker 4 (14:44):
Think about all of the regulations that we have written
when it comes to Wall Street financial services. Uh since gee,
I don't know, since the dot Com blow up. Person
foremost they got rid of, in my opinion, a great
piece of.
Speaker 2 (15:04):
Legislation that got rid of Glass Stegel.
Speaker 4 (15:07):
Glass Steagle came out, you know during the Great Depression,
wouldn't didn't allow investment banks and commercial banks to merge.
They got rid of that, and that's where we ended
up with these massive financial supermarkets.
Speaker 2 (15:24):
Look at where we're at today.
Speaker 4 (15:25):
Think about the amount of banks, community banks that we
had in this country, the amount of investment banks that
existed before they repealed Glass Steagle.
Speaker 2 (15:33):
It was vibrant.
Speaker 4 (15:35):
It was a vibrant competition. Now we just have too
big to fail, just have too big to fail. Yeah,
what do we have after you know, after the dot
Com class we had Sarbanes Oxley. Oh yeah, it was
supposed to solve all the problems and all the stuff
(15:55):
that happened during the excesses the dot Com era, thousands
and thousands of pages of regulation signed into law by
w Then what do we have, Oh, find great financial crisis.
They just found another way to rip people off. No,
oh we got got god Frank, thousands and thousands and
thousands of pages of regulations. Anything changed, anything got the
(16:19):
slightest bit better. What you want to write more? Oh yeah,
Consumer Financial Protection Bureau put Elizabeth Warren in charge of that.
Speaker 2 (16:29):
Buyer.
Speaker 4 (16:30):
Beware, at some point in time, at some point in time,
you need to educate.
Speaker 2 (16:38):
Yourself and be personally responsible and trust me. Okay, I
get it. Human beings are not designed. They are not
Human beings are not designed to be good investors. You know,
fight or flight. I've said it again again again.
Speaker 4 (16:56):
The world's second oldest profession is get rich quick connors
the world second oldest profession. We talk about greed and
fear setting the trap. But I've been pointing all of
these things out and listen everything that we warned people about.
Speaker 2 (17:17):
Again, this is twenty years ago. Twenty plus years ago.
Speaker 4 (17:22):
I started seeing what was happening with private equity and
hedge funds and what they were doing, what they were
doing with businesses and going in again, I basically call
them financial parasites. What they do is they go in
and they basically suck companies dry.
Speaker 2 (17:45):
That's what they do.
Speaker 4 (17:48):
Now again, you can remember, we go back to go
back to the nineteen eighties. You early nineteen nineties and Hollywood.
Hollywood taken great liberties with characters about Wall Street. You know,
the Master of the Universe tycoon character, Richard Gere playing
Edward Lewis in the film Pretty Woman. Now think about
(18:10):
that for a second. That's basically what he wanted to
do was a step member. He wanted to buy that
that whole boat thing there they had a shipyard and
he was gonna dismantle it.
Speaker 2 (18:20):
And then he you know, he had the hooker with the.
Speaker 4 (18:22):
Heart, changed his mind, and all of a sudden they
decided they were gonna make ships. And then you had
Bonfire the Vanities with Tom Hanks playing Sherman McCoy. The
bond trader gets himself all sorts of trouble when his
mistress runs down a minority.
Speaker 2 (18:37):
With the Bens and then uh okay, Gordon Geko the.
Speaker 4 (18:41):
Biggest of them all, best picture, right, Oliver Stone, great
film Wall Street. And there's a scene in the movie
Wall Street seeing Louis wall Street where Gordon Gecko is
speaking at the shareholder meeting of tell Dar Paper and he's,
you know, he's he's going off on a rant there, okay,
(19:01):
and he's upset with the company and its executives and
their dismal performance. And he's now in the days of
the free market, when our country was a top industrial power,
there was accountability to the stockholder. The Carnegie, the Melons,
the men that built this great nostrial empire made sure
of it because it was their.
Speaker 2 (19:18):
Money at stake.
Speaker 4 (19:19):
Today management has no stake in the company all together.
These men here sitting up here own less than three percent.
Speaker 2 (19:25):
Of the company.
Speaker 4 (19:25):
And where does mister Cromwell put his million dollar salary?
Not and telled our stock he owns less than one percent.
You own the company, that's right, you the stockholder, and
you are all being royally screwed by these bureaucrats with
their luncheons, their hunting and fishing trips, their corporate jets
and golden parachutes, telled our paper, mister Cromwell, tell their papers.
Thirty three different vice presidents, each earning over two hundred
(19:47):
thousand dollars a year. Again, this was nineteen eighty five.
For the film. Now, I spent the past two months.
Speaker 2 (19:52):
Analyzing what all these guys do, and I still can't
figure it out.
Speaker 4 (19:56):
One thing that I do know is that our paper
company lost one hundred and ten million dollars last year,
and I'll bet that half of that was spent in
all the paperwork going back and forth between these vice presidents.
The new law of evolution in corporate America seems to
be survival of the unfitished Well, in my book, you'll
either do it right or you get eliminated. Now, Gordon Getko,
(20:23):
is he better or is he worse than the private
equity hedge fund crowd? Today? We'll get it too that
before we get back. Watchdog on Wallstreet dot com. Watchdog
on Wall Street dot com again, is our site? Come
a part of the Watchdog on Wall Street Family, take
advantage of everything we have Personal cf all program podcast.
(20:43):
Watchdog on Wall Street dot Com will be back.
Speaker 1 (21:00):
You should believe in math not magic. You're listening to
the Watchdog on Wall Street with Chris Markowski.
Speaker 4 (21:19):
Anyway, Lord Gecko's speech, dor Geto's speech. You know, I
don't finish up this little man.
Speaker 2 (21:24):
Here he goes on.
Speaker 4 (21:26):
He says, in the last seven deals that I've been
involved with, there was two point five million stockles who
made a pre tax profit of twelve billion dollars.
Speaker 2 (21:32):
Thank you.
Speaker 4 (21:33):
I'm not a destroyer of companies. I am a liberator
of them. The point is, ladies and gentlemen, that greed,
for lack of a better word, is good. Greed is right,
Greed works, Greed clarifies, cuts through, and captures the essence
of the evolutionary spirit. Greed and all its forms, greed
for life, for money, for love, for knowledge, has marked
the upward surge of mankind. And greed, you mark my words,
(21:53):
will not only save tell Dar paper, but that other
malfunctioning corporation called the USA, thank you very very much.
Speaker 2 (22:01):
Interesting huh.
Speaker 4 (22:03):
And that word greed, people hear at it kind of
it makes them cringe.
Speaker 2 (22:11):
But get goo did have a bit of a point,
did he not? You see one thing?
Speaker 4 (22:19):
And again, this is talking about understanding who you're doing
business with and their motivations and what they're all about.
And this is something that John Adams talked about when
he talked about the United States of America. And I've
spent a lot of time on this show talking about
how America doesn't work.
Speaker 2 (22:41):
It does not. America cannot work unless you have a
morally grounded people. Doesn't doesn't.
Speaker 4 (22:53):
How can you have freedom. How can you have a
free society. How can you have freedom when people can
do whatever they want.
Speaker 2 (23:06):
They can do whatever they want, and they're gonna make
bad choices because they have no fear of God. Again,
I talk about that ethical bypass at birth.
Speaker 4 (23:16):
And let me tell you something, people, it is ever
present on Wall Street. It is ever, it is, it
is everywhere. It infects everything, and it's it's truly unfortunate.
People have stopped going to church and they worship at
the altar.
Speaker 2 (23:36):
Of stuff, money, getting over on other people.
Speaker 4 (23:42):
I am a capitalist in the truest sense of the
word that I believe that people can do business with
one another both walk away happy. It is not to
get over on someone else. But the disconnect right now.
And it's interesting.
Speaker 2 (24:01):
It's interesting, and you know, people say, oh, yeah, I
have more regulations. It will solve That won't.
Speaker 4 (24:05):
The problem won't be solved unless the American people wisen
up and decide that they're not going to get ripped
off anymore, that they're not going to get taken for
a ride.
Speaker 2 (24:16):
This again, this is the essence.
Speaker 4 (24:18):
This is a simplicity of what I've been trying to
teach here on this program. For twenty five years. Stop
looking for shortcuts. Okay, you come to Markowski investors, let
me tell you something. Okay, I have no bloody magic algorithm.
I'm not going to show you thirty percent a year. Okay,
I've got no magic cards or trick.
Speaker 2 (24:40):
Up my sleeve or crystal ball, whatever you want to
call it.
Speaker 4 (24:43):
Okay, we do things the way that they've been done
for thousands and thousands of years, in a successful manner,
the same thing that Buffett did.
Speaker 2 (24:52):
I mentioned this one a week or two ago in
the program, the book that I just had to come
out work time and effort.
Speaker 4 (24:56):
I did a book prior to that, and I didn't
release it because you know what, why, I'm just regurgitating
knowledge that I.
Speaker 2 (25:07):
Obtained for over the years. It's wisdom. But until human beings,
you know again, decide to get their mind right, well
guess what.
Speaker 4 (25:19):
They're going to continue to get ripped off, and the
folks on.
Speaker 2 (25:24):
Wall Street know that.
Speaker 4 (25:28):
They know that they will go. They know that they
will find a greater fool to buy their junk, to
buy their garbage. Back to Gecko, Gorton, Gecko was cheap.
It was a liar movie used insider information to make
money and he went to jail. But his occupation corporate
(25:53):
raider back in nineteen certain the purpose back then, you know,
Hollywood loved using the cold hearted Wall Street caricature in
their films to depict them as destroyers.
Speaker 2 (26:04):
Of companies responsible for job losses.
Speaker 4 (26:06):
The reality is in the nineteen eighties, those corporate raiders,
they actually had a necessary function.
Speaker 2 (26:13):
They served a purpose.
Speaker 4 (26:15):
They forced companies at the time that had a ton
of bloat, had all sorts of issues to be accountable, efficient, profitable.
Did companies get broken apart sometimes that people sometimes there's
their jobs. Yes, but those those changes were inevitable. The
corporate raiders in that point time, they sped up the process.
(26:38):
They cut out the cancer, and they allowed companies to
grow and higher. Again, the raiders from back in the day,
they created shareholder wealth.
Speaker 2 (26:50):
Today, No, no again.
Speaker 4 (26:56):
I was writing about this in two thousand and six.
Private equity buyout firms, financial engineers, parasites. We're going to
talk a little about parasites when we get back. Got
to take a break. Watchdog on Wallstreet dot com. Watchdog
on Wallstreet dot com is our site again. Take advantage
(27:19):
of all the great stuff that we have our newsletter
for our personal CFO program work with the Markowski family
podcast Watchdog on Wallstreet dot com.
Speaker 2 (27:29):
Or give us a call eight hundred four seven one
fifty nine.
Speaker 1 (27:32):
Eighty Bringing America financial freedom one listener at a time.
(27:54):
You're listening to the Watchdog on Wall Street with Chris Markowski.
Speaker 4 (28:02):
Welcome back, Welcome back to the one Neil you Watchdog
on a Wall Street show again. I want to remind
everybody there I want to work with the Markowski family.
Speaker 2 (28:12):
Get to our website, sign up for our personal.
Speaker 4 (28:15):
CFO programs, sign up for our podcast as well.
Speaker 2 (28:20):
Given away quite a few of my book that came out.
Speaker 4 (28:25):
A little over a month month and a half ago,
work time and effort, So you sign up for that
there we'll get you.
Speaker 2 (28:30):
Out one of those as well.
Speaker 4 (28:32):
Back to parasites, financial parasites, I have to be to
be honest. When I first started covering these financial parasites
is around two thousand and five, two thousand and six,
I didn't I.
Speaker 2 (28:46):
Didn't see what was coming.
Speaker 4 (28:51):
I didn't see where we were gonna end up here today.
Speaker 2 (28:56):
And I wrote this at the time, it said corporate
raiders are back.
Speaker 4 (28:59):
They in the form of new packaging with the moniker
private equity, biout firms or financial engineers.
Speaker 2 (29:06):
I call them parasites.
Speaker 4 (29:08):
The only similarity between the modern day raider and the
nineteen eighties version is their ability to enrich themselves. It
used to take buyout firms and corporate raiders years of
work reorganizing and fixing companies they bought before they would
take them public and get a return on their investment.
Speaker 2 (29:27):
Today, again, this is two thousand and six.
Speaker 4 (29:29):
I wrote this the work the effort goes by the
wayside for a quick profit that leaves the company in
a worse condition, laden with debt. The definition of parasite
is an organism that grows, feeds in a sheltered on
or in a different organism, and contributes.
Speaker 2 (29:48):
Nothing to the host.
Speaker 4 (29:50):
What I believe today is we have a modern day
parasite that is feeding on corporations, layering them with debt,
hurting bondholders, and hurting America with the result that has
yet to be determined, but appears to be bleak at best. Again,
in the column that I wrote at the time, I
(30:10):
talked about various different deals that were done at that
point and what they were, what they were doing, and
what they were doing to these companies. There was just
a ton of them at that time. It was hurts
at that time. There's just a lot of garbage that
was taking place.
Speaker 2 (30:26):
I didn't see. I didn't see what, you know, what
was going to come today.
Speaker 4 (30:32):
And again, what they've managed to do right now is
they're now trying to what they call democratize private equity
and alternative investments.
Speaker 2 (30:42):
What that means is is they're looking for fools.
Speaker 4 (30:46):
All these private equity companies had all of this capital,
got hold of all sorts of money and just started
buying everything sid I know somebody personally that sold his
h VAC company back company for thirty million dollars for
thirty million dollars, and there's no way it's worth anything
(31:10):
like that.
Speaker 2 (31:11):
But to the private.
Speaker 4 (31:12):
Equity company, okay, they're not looking to do anything with
that HVAC company except repackage it and sell it to
somebody else for a higher price and get out playing
the game that we talk about all the time, Demonic
musical chairs. More on this when we get back Watchdog
(31:34):
on Wallstreet dot Com, Watchdog on Wallstreet dot com again
become other part of the Watchdog and Wall Street family
will be that.
Speaker 1 (31:43):
You're listening to the watchdog on Wall Street taking Wall
Streets liars, crooks and cheets out behind the woodshed. You're
(32:07):
listening to the watchdog on Wall Street.
Speaker 2 (32:13):
That's what I said twenty years ago.
Speaker 4 (32:17):
Wall Street has always been successful and convincing the public.
Speaker 2 (32:23):
That gravity doesn't exist. Up is down, down is up.
Speaker 4 (32:30):
Every latest and greatest method of making money, right huh Yeah,
Wall Street's managed to convince people that they have found
a way.
Speaker 2 (32:40):
Oh, we've got this new way. We've got this is
for our latest trick.
Speaker 4 (32:44):
We can define economic physic walls of the universe.
Speaker 2 (32:52):
People, the piper must and will eventually be paid.
Speaker 4 (33:00):
Okay, I've been around long time, whether be dot Com fiasco,
inflated real estate, tulips, corporate debt, whatever it may be,
payday is inevitable. Now, what's interesting is who ends up paying.
Certainly not the Wall Street firms. Even when they screw up,
(33:21):
I mean, think about the financial crisis.
Speaker 5 (33:24):
Even when they get caught on the wrong side.
Speaker 4 (33:29):
Even they get too gluttonous and they can't even unload
all of their dog poop that they put together, they
get bailed out, They're gonna be okay, they we just saw.
It happened two years ago at Silicon Valley Bank. They
get bailed out.
Speaker 2 (33:50):
Again. They're gonna be fine. Who pays you? Do I do? Oh? Sure? Sure?
Speaker 4 (34:01):
Uh you know they'll they'll they'll get a couple people
and they'll have Yes.
Speaker 2 (34:06):
They say, hi, worthy ass, they say, uh, we're coming in.
That's lay put some fines on you. Guys. We're naughty.
We're gonna put you in the naughty chair. We're gonna
we're gonna give you some some.
Speaker 4 (34:19):
Some fines which are basically the equivalent of parking tickets
for these big banks, for these big firms.
Speaker 2 (34:26):
Who ends up putting the bill? We do? But am
I letting we off the hook?
Speaker 3 (34:35):
No?
Speaker 2 (34:37):
I'm not. I'm not letting we off the hook. We
the people, Joe Public, Okay, we deserve someone to blame.
Speaker 4 (34:47):
Okay, Buddy wall.
Speaker 2 (34:50):
Street, you keep going.
Speaker 4 (34:52):
It's a magician that's got one trick. They just run
different variations of the same illusion. Look at me one,
Look at all the money we can make. Oh, no risk,
no consequence. This is different.
Speaker 2 (35:09):
It's a new economy. Earnings don't matter.
Speaker 4 (35:13):
You can never lose money on real estate, festival rate mortgages, annuities. YadA, YadA, YadA,
Joe public buys into this.
Speaker 2 (35:28):
Over and over and over.
Speaker 4 (35:32):
Okay, it's remember back in college, you know, on the
quad they would have you know, they would show pink
Floyd's the wall and all the stoners.
Speaker 2 (35:41):
Would be out there, Oh look at that.
Speaker 4 (35:45):
Oh wow, the genius these financial engineers. Wow, they can
defy economic reality.
Speaker 2 (35:53):
Oh logic reason, throw it out the window.
Speaker 4 (36:01):
Parasites back in two thousand and five to them saying
they were just sucking all the value, all the value
out of those companies, adding no value whatsoever. And again
put all of these companies that they made a fortune.
They did, they did just fine. But again today, what
(36:22):
are they up to? They want main Street? They're going
and listen. You know, guy owns an HVAC business that
he's built up and someone offers him a number which
is just off the charts.
Speaker 2 (36:37):
Okay, I get it. It's it's HVAC. And I talked
to him.
Speaker 4 (36:41):
He says, you know, all my old clients are complaining
they're not getting the same service. It's lousy, and I
feel bad. Well, okay, they're gonna have to find somebody else.
And again, quite frankly that's an opportunity for main street.
That that's an opportunity for mom and pops and people
go out there and start small businesses.
Speaker 2 (36:59):
We are not corporate, We're not owned by private equity.
Speaker 4 (37:03):
That would be my marketing bit kind of like you know,
if you have the old Moniker like made in America.
Speaker 2 (37:07):
We are not owned by private equity.
Speaker 4 (37:11):
We are going to provide for you the service that
you want and need. Great marketing strategy because everyone's getting
ticked off. But again, okay, the music is still playing.
Music is still playing out there in a great movie again,
one of the best financial movies of all time, Margin Call.
Speaker 2 (37:34):
Margin Call, You Got, You Got.
Speaker 4 (37:36):
Jeremy Irin's playing the CEO of that company, and he's
addressing the boardroom and he's telling them, you see, you
know the reason why I make the big bucks. I'm
sitting in this seat. I'm sitting in this seat because
I'm the one that has to decide. I have to
tell you when the music is going to stop. And
he goes out and he looks out the window out
(37:58):
over New York City and he goes, right now, I
don't hear a thing.
Speaker 2 (38:06):
The music is still playing right now. For how long.
I don't know.
Speaker 4 (38:13):
I really don't know. They're trying to keep it going.
Now again, listen, people, Okay, we do business.
Speaker 2 (38:22):
Be honest with you.
Speaker 4 (38:23):
We do business with certain private equity companies. We know
the good ones. You understand the vetting process we put
through the companies that we do business with, the things
that we look into. Again, Old Ronald Reagan trusts, but Verify.
You can take that and you can put that to
(38:44):
the twentieth power. As far as Markowski Investments are concerned,
what I'm telling you, the bulk, the overwhelming bulk of
private equity out there is absolute dog poop, absolute dog poop.
They are playing the game of demonic musical chairs. The
(39:07):
only way to win in demonic musical chairs. You're waiting
for it. You're waiting.
Speaker 2 (39:13):
Don't play. Gotta take a break. Watch Dog on Wall
Street dot com.
Speaker 4 (39:18):
Watchdog on Wall street dot com again.
Speaker 2 (39:20):
Become part of the Markowski Investments family.
Speaker 4 (39:23):
Sign up for our personal CFO program Watchdog on Wallstreet
dot Com.
Speaker 3 (39:27):
Do
Well, no one altered investment banking, consumer advocate, analyst trader
Chris Markowski is the watchdog.
Speaker 2 (00:14):
On the wall street.
Speaker 3 (00:16):
Do you want to answer exposing the lies and myths
that the big brokerage firms, the mainstream press, and the
government are pushing to keep Americans away from financial freedom.
Speaker 2 (00:27):
You can't handle the true.
Speaker 1 (00:29):
Proof bringing America the truth about what really happens in
the financial world.
Speaker 3 (00:34):
Ladies and gentlemen.
Speaker 4 (00:35):
We're not here to indulge in fantasy, but in political
and economic reality.
Speaker 1 (00:39):
This is the watchdog on wall streets.
Speaker 2 (00:44):
I'm trying to remember off the top. I had to
hear that one I don't.
Speaker 4 (00:47):
Know, ninety three ninety something like that, confrontation with Chaffan
again and telling us that we were never going to
make it. The firm we were working at was one
of the top ranked banks inc Magazine's fastest growing investment
banks in the country, best investment banking, all all of.
Speaker 2 (01:07):
This stuff, all the alcolades, and how great this firm was.
I learned. I learned that they weren't.
Speaker 4 (01:16):
I learned that the people working there, that they weren't
good people.
Speaker 2 (01:22):
And the fact that you know, Jeff said that we
weren't going to make it.
Speaker 4 (01:28):
We're more than ten times their size at this point
in time, and they are no longer.
Speaker 2 (01:34):
They are no longer.
Speaker 4 (01:37):
It's important people to understand the motivation of who you're
doing business with. Publicly publicly traded companies are wonderful inventions
of capitalism. They create work and wealth for our country
and the entire world. But again, you gotta also understand.
(02:02):
You got to understand the nature of certain businesses, certain companies, corporations.
Speaker 2 (02:08):
When I think I'm like something in corporates like sharks.
You know, shark.
Speaker 4 (02:11):
Spends its entire life eating and reproducing. That's what a
shark does. Corporations job to make money. Both the shark
and the corporation are necessary and important entities. Corporations provide
for greater efficiency, ingenuity, jobs, economic growth. Sharks keep the
season balance being top of the food chain. Most Wall
(02:36):
Street investment firms are publicly traded entities.
Speaker 2 (02:43):
They have various different businesses from.
Speaker 4 (02:46):
Bloody oil trading, currency trading, managing your four to one
k and all in an effort to increase their bottom
line for years and years and years. We're going to
talk about this or today on the program. I said,
this is my belief. This is my belief, and I
(03:07):
am sticking to it. This business, when you are managing
people's assets, you're managing people's money. It's a profession and
quite frankly, professions professions do not belong being public and
publicly traded. What do I mean by that? The CEO
(03:34):
of XYZ Company, the CEO of Merrilans, the CEO of Morganson,
the CEO's job is the fact they have a fiduciary
duty to the shareholders, the shareholders of the company, increasing
the bottom line. Like I just said, I don't have
(03:55):
any shareholders.
Speaker 2 (03:57):
I don't good do. I have a lot of workers
and offices and staff. There are three.
Speaker 4 (04:04):
Shareholders in Markowski Investments, my brother Matthew, my brother Michael,
and myself And and right now in today's climate, what's
going on today, and there's going to be a reckoning
And maybe we'll get into this a little bit later on.
Speaker 2 (04:20):
In the program.
Speaker 4 (04:21):
For a lot of the private equity nonsense that's going on,
and the money is floating around, they're throwing cash at everything.
They're throwing cash at everything. The multiples that we are
being offered at Markowski Investments to sell out generational wealth
(04:43):
type numbers numbers that quite frankly, my brothers and I
say that makes no sense. What you're willing to pay
me is insane for this, And there's just no way
that this would you know, will.
Speaker 2 (04:56):
We ever do it?
Speaker 4 (04:57):
Because I know it would have to happen for them
in or in a order for them to make the
purchase of what they're willing to pay us profitable.
Speaker 2 (05:04):
They would have to churn and burn our clients.
Speaker 4 (05:09):
Or do something else offloaded at a much much higher price,
which we call demonic musical chairs here looking for a
greater fool. I've said this, I've said this since they
repealed Glass Deegle. Wall Street needs to divest from managing
(05:30):
individuals money. There is an inherent conflict of interest between
what a corporation's modus operandi is and the fiduciary duty
of a true professional.
Speaker 2 (05:49):
They don't mix its oil and water. In fact, this
cocktail is damn dangerous.
Speaker 4 (05:58):
There was a book again, I said emis that I'm
a big fan of rights for the Wall Street Journal
names Andy Kessler.
Speaker 2 (06:05):
He put a book out. I had to be like
two thousand two to two thousand and three.
Speaker 4 (06:09):
How we got here a slightly irreverent history of technology
and markets. He said, why did Morgan Stanley Again, I've
talked about this form. Why did Morgan Stanley bother merging
with Dean Witter in nineteen ninety seven when electronic and
web trading were already everywhere. I mean, think about that
(06:29):
point in time again, older people. Remember that's when you
had Stewart from a meritrade E trade was coming out
DLJ Direct, all of these firms. Why in the world
would Morgan Stanley want to buy Dean Winner.
Speaker 2 (06:44):
They had offices inside.
Speaker 4 (06:46):
A Sears for crying out loud because it needed to
compete for deals against Merrill Lynch. So why not the
thinking went had a retail channel that it could dump
its crappy.
Speaker 2 (07:02):
Deals on and dump they did.
Speaker 4 (07:08):
Remember drugstores, dot Com, Riba, Avenex Home store.
Speaker 2 (07:16):
Yeah, yeah, yeah that brokers.
Speaker 4 (07:18):
At that point in time were turning into asset managers. Okay,
kind of like personal shoppers at Nordstrom moving high price merchandise.
And I've said this, okay when it comes to personal
services and listen, it's happening now everywhere. It's happening now. Okay,
(07:41):
I've I've got wonderful clients of mine that own physical
therapy chains are not chain like six or seven here
and there, veterinarians, clinics. They're getting approached by everyone. They
don't want to sell, he said, you'd understand the numbers
that they're offering us, but when it comes to the
type of business that we're doing, personal services, medical, legal,
(08:03):
financial advisory, accounting, it's not It's not just about making profits.
Speaker 2 (08:10):
Making money is.
Speaker 4 (08:11):
Great, it's fantastic, but it's different. Would you take again
look at this way. Would you take your child to
a pediatrician that had to answer to a sales manager
or shareholder.
Speaker 2 (08:28):
That's happening now and what we're.
Speaker 4 (08:32):
Starting to deal with this is like the after effects
of Obamacare.
Speaker 2 (08:35):
We're starting to deal with that now.
Speaker 4 (08:38):
Is that what you want to you wanta you want
to take your child to a pediatrician that has to
answer to a sales manager that has to answer to shareholders.
Would you go to a cardiologist who had a hustle
to beat analysts quarterly estimates?
Speaker 2 (08:54):
And wrong?
Speaker 4 (08:55):
Everybody seen one of these professionals. They all deserve to
make honey, ourselves included. But it's it's our belief system
that it's in the best interest of everyone.
Speaker 2 (09:11):
That professions like ours.
Speaker 4 (09:15):
Need not take on that quality of a shark or
a corporation. This is just again, it's simple things, and
it again, this is you know, talk about you know
that it was a bon Jovie song.
Speaker 2 (09:28):
You know, we give love a bad name there, shout
through the heart.
Speaker 4 (09:30):
Yeah, yeah, we give capitalism a bad name because that's
not capitalism. Okay, it's morphing into something else. It's morphing
into something else. And we're seeing it right now. We're
seeing it right now in so many not just again,
not just in the advisory business, but it's happening there too.
(09:55):
It's happening there too, you know, because one of the
things that we do at Marque Ski Investments is we
help great advisors retire on their own terms. We help
them retire on their own terms. They come to Markowski
Investments because they know their clients are going to be
taken care of.
Speaker 2 (10:17):
And they're saying the same thing.
Speaker 4 (10:18):
They're like, you have no idea the offers that we're
getting from these various different private equity outfits and other
firms that are out there. But these guys, these guys know,
they know what's going to happen to their clients. They
know that they're going to get churned and burned again.
There's people out there that they get tempted.
Speaker 2 (10:36):
They can't walk away.
Speaker 4 (10:38):
That little ethical bypass at birth that I talk about
again and again and again. It is important people that
you understand who you're doing business with, what their plans
are for the future.
Speaker 2 (10:53):
They sell their firm, Okay, you're a going.
Speaker 4 (10:56):
An advisor, and he said, oh, you know, I'm thinking
about and I got to come up to say I'm
thinking about getting bought by this out and they're gonna
tell you how great this big private equity, this big
firm is, and they're gonna take over and make it easier.
Speaker 2 (11:08):
Run, don't walk. Run, you're gonna pay. You're gonna pay
down the road. They don't care. They don't care their job.
Speaker 4 (11:23):
Again, I'll maybe it might be a good time that
I get into that. I've going and been going after
private equity for a very long period of time.
Speaker 2 (11:32):
The services that you're getting, the prices are gonna go up. Everything.
They have no choice.
Speaker 4 (11:39):
They bought up one veterinary clinic after another, venetoric in
here and everybody's saying, I can't believe it. I used
to go to the vet and it would be great.
And now they don't even care about my dog. They
don't even pet my dog. They don't even do the
stuff they're charging me. All of this extra things that's
gonna happen to you, that's gonna.
Speaker 2 (11:54):
Happen to you.
Speaker 4 (11:55):
That's the only way that they can make the numbers work.
Speaker 5 (12:01):
All of these McKenzie types, Harvard, NBA, all these people
out there, bunch of bloody financial engineers, they are here
to stick.
Speaker 2 (12:11):
It to you. You don't have to. You don't have to.
Speaker 4 (12:18):
From my mouth to God's ears, We'll never sell, will
never sell to those jerks, period the end. Watchdog on
Wallstreet dot com. Watchdog on wallstreet dot com. Here we
go go, Mary, don't go anywhere.
Speaker 2 (12:38):
If you do, what do you do? We gotta get
to our website. Watchdog on wallstreets dot com.
Speaker 4 (12:42):
Centup, our personal CFO program, our podcast, our newsletter, all
sorts of great stuff.
Speaker 2 (12:48):
Watchdog on Wall street dot com, or give us a call.
Speaker 6 (12:50):
Eight hundred four seven one fifty eighth.
Speaker 1 (13:11):
The only man who is taking on the Wall Street establishment.
You're listening to the watch Dog and Wall Street with
Chris Markowski.
Speaker 3 (13:25):
Quarter.
Speaker 4 (13:29):
You know, like I said, I'm a libertarian guy at heart, Constitution,
the returning. You know, I believe in consumer has to
make wise choices. We have to be smart. You have
to be smart. And again, we live in a day
and age, quite frankly, where we walk around walk around
with these pocket computers, which for all intents and purposes,
(13:54):
make us almost like gods, if you will, the ability
I said, I I'm not a big I'm not a
social media guy.
Speaker 2 (14:02):
I'm not on my phone.
Speaker 4 (14:03):
I don't I'm not a selfie, none of that nonsense.
But when I'm taking a walk and I'm you know,
walking through uh, you know, some city, wherever it may be,
whether it be Athens, Greece, or Florence, Italy, or Tampa, Florida,
wherever it may be, I don't care. It's just in
Reno for you. And there's something I don't see or
I don't understand, I can look it up, and that
(14:24):
to me is it's just awesome.
Speaker 2 (14:26):
It's awesome.
Speaker 4 (14:29):
The things that I've been talking about here on the program,
many people will say, we.
Speaker 2 (14:33):
Need more regulations, we need more rules, we need.
Speaker 4 (14:37):
More regulations that will solve the problem.
Speaker 2 (14:42):
Hmm.
Speaker 4 (14:44):
Think about all of the regulations that we have written
when it comes to Wall Street financial services. Uh since gee,
I don't know, since the dot Com blow up. Person
foremost they got rid of, in my opinion, a great
piece of.
Speaker 2 (15:04):
Legislation that got rid of Glass Stegel.
Speaker 4 (15:07):
Glass Steagle came out, you know during the Great Depression,
wouldn't didn't allow investment banks and commercial banks to merge.
They got rid of that, and that's where we ended
up with these massive financial supermarkets.
Speaker 2 (15:24):
Look at where we're at today.
Speaker 4 (15:25):
Think about the amount of banks, community banks that we
had in this country, the amount of investment banks that
existed before they repealed Glass Steagle.
Speaker 2 (15:33):
It was vibrant.
Speaker 4 (15:35):
It was a vibrant competition. Now we just have too
big to fail, just have too big to fail. Yeah,
what do we have after you know, after the dot
Com class we had Sarbanes Oxley. Oh yeah, it was
supposed to solve all the problems and all the stuff
(15:55):
that happened during the excesses the dot Com era, thousands
and thousands of pages of regulation signed into law by
w Then what do we have, Oh, find great financial crisis.
They just found another way to rip people off. No,
oh we got got god Frank, thousands and thousands and
thousands of pages of regulations. Anything changed, anything got the
(16:19):
slightest bit better. What you want to write more? Oh yeah,
Consumer Financial Protection Bureau put Elizabeth Warren in charge of that.
Speaker 2 (16:29):
Buyer.
Speaker 4 (16:30):
Beware, at some point in time, at some point in time,
you need to educate.
Speaker 2 (16:38):
Yourself and be personally responsible and trust me. Okay, I
get it. Human beings are not designed. They are not
Human beings are not designed to be good investors. You know,
fight or flight. I've said it again again again.
Speaker 4 (16:56):
The world's second oldest profession is get rich quick connors
the world second oldest profession. We talk about greed and
fear setting the trap. But I've been pointing all of
these things out and listen everything that we warned people about.
Speaker 2 (17:17):
Again, this is twenty years ago. Twenty plus years ago.
Speaker 4 (17:22):
I started seeing what was happening with private equity and
hedge funds and what they were doing, what they were
doing with businesses and going in again, I basically call
them financial parasites. What they do is they go in
and they basically suck companies dry.
Speaker 2 (17:45):
That's what they do.
Speaker 4 (17:48):
Now again, you can remember, we go back to go
back to the nineteen eighties. You early nineteen nineties and Hollywood.
Hollywood taken great liberties with characters about Wall Street. You know,
the Master of the Universe tycoon character, Richard Gere playing
Edward Lewis in the film Pretty Woman. Now think about
(18:10):
that for a second. That's basically what he wanted to
do was a step member. He wanted to buy that
that whole boat thing there they had a shipyard and
he was gonna dismantle it.
Speaker 2 (18:20):
And then he you know, he had the hooker with the.
Speaker 4 (18:22):
Heart, changed his mind, and all of a sudden they
decided they were gonna make ships. And then you had
Bonfire the Vanities with Tom Hanks playing Sherman McCoy. The
bond trader gets himself all sorts of trouble when his
mistress runs down a minority.
Speaker 2 (18:37):
With the Bens and then uh okay, Gordon Geko the.
Speaker 4 (18:41):
Biggest of them all, best picture, right, Oliver Stone, great
film Wall Street. And there's a scene in the movie
Wall Street seeing Louis wall Street where Gordon Gecko is
speaking at the shareholder meeting of tell Dar Paper and he's,
you know, he's he's going off on a rant there, okay,
(19:01):
and he's upset with the company and its executives and
their dismal performance. And he's now in the days of
the free market, when our country was a top industrial power,
there was accountability to the stockholder. The Carnegie, the Melons,
the men that built this great nostrial empire made sure
of it because it was their.
Speaker 2 (19:18):
Money at stake.
Speaker 4 (19:19):
Today management has no stake in the company all together.
These men here sitting up here own less than three percent.
Speaker 2 (19:25):
Of the company.
Speaker 4 (19:25):
And where does mister Cromwell put his million dollar salary?
Not and telled our stock he owns less than one percent.
You own the company, that's right, you the stockholder, and
you are all being royally screwed by these bureaucrats with
their luncheons, their hunting and fishing trips, their corporate jets
and golden parachutes, telled our paper, mister Cromwell, tell their papers.
Thirty three different vice presidents, each earning over two hundred
(19:47):
thousand dollars a year. Again, this was nineteen eighty five.
For the film. Now, I spent the past two months.
Speaker 2 (19:52):
Analyzing what all these guys do, and I still can't
figure it out.
Speaker 4 (19:56):
One thing that I do know is that our paper
company lost one hundred and ten million dollars last year,
and I'll bet that half of that was spent in
all the paperwork going back and forth between these vice presidents.
The new law of evolution in corporate America seems to
be survival of the unfitished Well, in my book, you'll
either do it right or you get eliminated. Now, Gordon Getko,
(20:23):
is he better or is he worse than the private
equity hedge fund crowd? Today? We'll get it too that
before we get back. Watchdog on Wallstreet dot com. Watchdog
on Wall Street dot com again, is our site? Come
a part of the Watchdog on Wall Street Family, take
advantage of everything we have Personal cf all program podcast.
(20:43):
Watchdog on Wall Street dot Com will be back.
Speaker 1 (21:00):
You should believe in math not magic. You're listening to
the Watchdog on Wall Street with Chris Markowski.
Speaker 4 (21:19):
Anyway, Lord Gecko's speech, dor Geto's speech. You know, I
don't finish up this little man.
Speaker 2 (21:24):
Here he goes on.
Speaker 4 (21:26):
He says, in the last seven deals that I've been
involved with, there was two point five million stockles who
made a pre tax profit of twelve billion dollars.
Speaker 2 (21:32):
Thank you.
Speaker 4 (21:33):
I'm not a destroyer of companies. I am a liberator
of them. The point is, ladies and gentlemen, that greed,
for lack of a better word, is good. Greed is right,
Greed works, Greed clarifies, cuts through, and captures the essence
of the evolutionary spirit. Greed and all its forms, greed
for life, for money, for love, for knowledge, has marked
the upward surge of mankind. And greed, you mark my words,
(21:53):
will not only save tell Dar paper, but that other
malfunctioning corporation called the USA, thank you very very much.
Speaker 2 (22:01):
Interesting huh.
Speaker 4 (22:03):
And that word greed, people hear at it kind of
it makes them cringe.
Speaker 2 (22:11):
But get goo did have a bit of a point,
did he not? You see one thing?
Speaker 4 (22:19):
And again, this is talking about understanding who you're doing
business with and their motivations and what they're all about.
And this is something that John Adams talked about when
he talked about the United States of America. And I've
spent a lot of time on this show talking about
how America doesn't work.
Speaker 2 (22:41):
It does not. America cannot work unless you have a
morally grounded people. Doesn't doesn't.
Speaker 4 (22:53):
How can you have freedom. How can you have a
free society. How can you have freedom when people can
do whatever they want.
Speaker 2 (23:06):
They can do whatever they want, and they're gonna make
bad choices because they have no fear of God. Again,
I talk about that ethical bypass at birth.
Speaker 4 (23:16):
And let me tell you something, people, it is ever
present on Wall Street. It is ever, it is, it
is everywhere. It infects everything, and it's it's truly unfortunate.
People have stopped going to church and they worship at
the altar.
Speaker 2 (23:36):
Of stuff, money, getting over on other people.
Speaker 4 (23:42):
I am a capitalist in the truest sense of the
word that I believe that people can do business with
one another both walk away happy. It is not to
get over on someone else. But the disconnect right now.
And it's interesting.
Speaker 2 (24:01):
It's interesting, and you know, people say, oh, yeah, I
have more regulations. It will solve That won't.
Speaker 4 (24:05):
The problem won't be solved unless the American people wisen
up and decide that they're not going to get ripped
off anymore, that they're not going to get taken for
a ride.
Speaker 2 (24:16):
This again, this is the essence.
Speaker 4 (24:18):
This is a simplicity of what I've been trying to
teach here on this program. For twenty five years. Stop
looking for shortcuts. Okay, you come to Markowski investors, let
me tell you something. Okay, I have no bloody magic algorithm.
I'm not going to show you thirty percent a year. Okay,
I've got no magic cards or trick.
Speaker 2 (24:40):
Up my sleeve or crystal ball, whatever you want to
call it.
Speaker 4 (24:43):
Okay, we do things the way that they've been done
for thousands and thousands of years, in a successful manner,
the same thing that Buffett did.
Speaker 2 (24:52):
I mentioned this one a week or two ago in
the program, the book that I just had to come
out work time and effort.
Speaker 4 (24:56):
I did a book prior to that, and I didn't
release it because you know what, why, I'm just regurgitating
knowledge that I.
Speaker 2 (25:07):
Obtained for over the years. It's wisdom. But until human beings,
you know again, decide to get their mind right, well
guess what.
Speaker 4 (25:19):
They're going to continue to get ripped off, and the
folks on.
Speaker 2 (25:24):
Wall Street know that.
Speaker 4 (25:28):
They know that they will go. They know that they
will find a greater fool to buy their junk, to
buy their garbage. Back to Gecko, Gorton, Gecko was cheap.
It was a liar movie used insider information to make
money and he went to jail. But his occupation corporate
(25:53):
raider back in nineteen certain the purpose back then, you know,
Hollywood loved using the cold hearted Wall Street caricature in
their films to depict them as destroyers.
Speaker 2 (26:04):
Of companies responsible for job losses.
Speaker 4 (26:06):
The reality is in the nineteen eighties, those corporate raiders,
they actually had a necessary function.
Speaker 2 (26:13):
They served a purpose.
Speaker 4 (26:15):
They forced companies at the time that had a ton
of bloat, had all sorts of issues to be accountable, efficient, profitable.
Did companies get broken apart sometimes that people sometimes there's
their jobs. Yes, but those those changes were inevitable. The
corporate raiders in that point time, they sped up the process.
(26:38):
They cut out the cancer, and they allowed companies to
grow and higher. Again, the raiders from back in the day,
they created shareholder wealth.
Speaker 2 (26:50):
Today, No, no again.
Speaker 4 (26:56):
I was writing about this in two thousand and six.
Private equity buyout firms, financial engineers, parasites. We're going to
talk a little about parasites when we get back. Got
to take a break. Watchdog on Wallstreet dot com. Watchdog
on Wallstreet dot com is our site again. Take advantage
(27:19):
of all the great stuff that we have our newsletter
for our personal CFO program work with the Markowski family
podcast Watchdog on Wallstreet dot com.
Speaker 2 (27:29):
Or give us a call eight hundred four seven one
fifty nine.
Speaker 1 (27:32):
Eighty Bringing America financial freedom one listener at a time.
(27:54):
You're listening to the Watchdog on Wall Street with Chris Markowski.
Speaker 4 (28:02):
Welcome back, Welcome back to the one Neil you Watchdog
on a Wall Street show again. I want to remind
everybody there I want to work with the Markowski family.
Speaker 2 (28:12):
Get to our website, sign up for our personal.
Speaker 4 (28:15):
CFO programs, sign up for our podcast as well.
Speaker 2 (28:20):
Given away quite a few of my book that came out.
Speaker 4 (28:25):
A little over a month month and a half ago,
work time and effort, So you sign up for that
there we'll get you.
Speaker 2 (28:30):
Out one of those as well.
Speaker 4 (28:32):
Back to parasites, financial parasites, I have to be to
be honest. When I first started covering these financial parasites
is around two thousand and five, two thousand and six,
I didn't I.
Speaker 2 (28:46):
Didn't see what was coming.
Speaker 4 (28:51):
I didn't see where we were gonna end up here today.
Speaker 2 (28:56):
And I wrote this at the time, it said corporate
raiders are back.
Speaker 4 (28:59):
They in the form of new packaging with the moniker
private equity, biout firms or financial engineers.
Speaker 2 (29:06):
I call them parasites.
Speaker 4 (29:08):
The only similarity between the modern day raider and the
nineteen eighties version is their ability to enrich themselves. It
used to take buyout firms and corporate raiders years of
work reorganizing and fixing companies they bought before they would
take them public and get a return on their investment.
Speaker 2 (29:27):
Today, again, this is two thousand and six.
Speaker 4 (29:29):
I wrote this the work the effort goes by the
wayside for a quick profit that leaves the company in
a worse condition, laden with debt. The definition of parasite
is an organism that grows, feeds in a sheltered on
or in a different organism, and contributes.
Speaker 2 (29:48):
Nothing to the host.
Speaker 4 (29:50):
What I believe today is we have a modern day
parasite that is feeding on corporations, layering them with debt,
hurting bondholders, and hurting America with the result that has
yet to be determined, but appears to be bleak at best. Again,
in the column that I wrote at the time, I
(30:10):
talked about various different deals that were done at that
point and what they were, what they were doing, and
what they were doing to these companies. There was just
a ton of them at that time. It was hurts
at that time. There's just a lot of garbage that
was taking place.
Speaker 2 (30:26):
I didn't see. I didn't see what, you know, what
was going to come today.
Speaker 4 (30:32):
And again, what they've managed to do right now is
they're now trying to what they call democratize private equity
and alternative investments.
Speaker 2 (30:42):
What that means is is they're looking for fools.
Speaker 4 (30:46):
All these private equity companies had all of this capital,
got hold of all sorts of money and just started
buying everything sid I know somebody personally that sold his
h VAC company back company for thirty million dollars for
thirty million dollars, and there's no way it's worth anything
(31:10):
like that.
Speaker 2 (31:11):
But to the private.
Speaker 4 (31:12):
Equity company, okay, they're not looking to do anything with
that HVAC company except repackage it and sell it to
somebody else for a higher price and get out playing
the game that we talk about all the time, Demonic
musical chairs. More on this when we get back Watchdog
(31:34):
on Wallstreet dot Com, Watchdog on Wallstreet dot com again
become other part of the Watchdog and Wall Street family
will be that.
Speaker 1 (31:43):
You're listening to the watchdog on Wall Street taking Wall
Streets liars, crooks and cheets out behind the woodshed. You're
(32:07):
listening to the watchdog on Wall Street.
Speaker 2 (32:13):
That's what I said twenty years ago.
Speaker 4 (32:17):
Wall Street has always been successful and convincing the public.
Speaker 2 (32:23):
That gravity doesn't exist. Up is down, down is up.
Speaker 4 (32:30):
Every latest and greatest method of making money, right huh Yeah,
Wall Street's managed to convince people that they have found
a way.
Speaker 2 (32:40):
Oh, we've got this new way. We've got this is
for our latest trick.
Speaker 4 (32:44):
We can define economic physic walls of the universe.
Speaker 2 (32:52):
People, the piper must and will eventually be paid.
Speaker 4 (33:00):
Okay, I've been around long time, whether be dot Com fiasco,
inflated real estate, tulips, corporate debt, whatever it may be,
payday is inevitable. Now, what's interesting is who ends up paying.
Certainly not the Wall Street firms. Even when they screw up,
(33:21):
I mean, think about the financial crisis.
Speaker 5 (33:24):
Even when they get caught on the wrong side.
Speaker 4 (33:29):
Even they get too gluttonous and they can't even unload
all of their dog poop that they put together, they
get bailed out, They're gonna be okay, they we just saw.
It happened two years ago at Silicon Valley Bank. They
get bailed out.
Speaker 2 (33:50):
Again. They're gonna be fine. Who pays you? Do I do? Oh? Sure? Sure?
Speaker 4 (34:01):
Uh you know they'll they'll they'll get a couple people
and they'll have Yes.
Speaker 2 (34:06):
They say, hi, worthy ass, they say, uh, we're coming in.
That's lay put some fines on you. Guys. We're naughty.
We're gonna put you in the naughty chair. We're gonna
we're gonna give you some some.
Speaker 4 (34:19):
Some fines which are basically the equivalent of parking tickets
for these big banks, for these big firms.
Speaker 2 (34:26):
Who ends up putting the bill? We do? But am
I letting we off the hook?
Speaker 3 (34:35):
No?
Speaker 2 (34:37):
I'm not. I'm not letting we off the hook. We
the people, Joe Public, Okay, we deserve someone to blame.
Speaker 4 (34:47):
Okay, Buddy wall.
Speaker 2 (34:50):
Street, you keep going.
Speaker 4 (34:52):
It's a magician that's got one trick. They just run
different variations of the same illusion. Look at me one,
Look at all the money we can make. Oh, no risk,
no consequence. This is different.
Speaker 2 (35:09):
It's a new economy. Earnings don't matter.
Speaker 4 (35:13):
You can never lose money on real estate, festival rate mortgages, annuities. YadA, YadA, YadA,
Joe public buys into this.
Speaker 2 (35:28):
Over and over and over.
Speaker 4 (35:32):
Okay, it's remember back in college, you know, on the
quad they would have you know, they would show pink
Floyd's the wall and all the stoners.
Speaker 2 (35:41):
Would be out there, Oh look at that.
Speaker 4 (35:45):
Oh wow, the genius these financial engineers. Wow, they can
defy economic reality.
Speaker 2 (35:53):
Oh logic reason, throw it out the window.
Speaker 4 (36:01):
Parasites back in two thousand and five to them saying
they were just sucking all the value, all the value
out of those companies, adding no value whatsoever. And again
put all of these companies that they made a fortune.
They did, they did just fine. But again today, what
(36:22):
are they up to? They want main Street? They're going
and listen. You know, guy owns an HVAC business that
he's built up and someone offers him a number which
is just off the charts.
Speaker 2 (36:37):
Okay, I get it. It's it's HVAC. And I talked
to him.
Speaker 4 (36:41):
He says, you know, all my old clients are complaining
they're not getting the same service. It's lousy, and I
feel bad. Well, okay, they're gonna have to find somebody else.
And again, quite frankly that's an opportunity for main street.
That that's an opportunity for mom and pops and people
go out there and start small businesses.
Speaker 2 (36:59):
We are not corporate, We're not owned by private equity.
Speaker 4 (37:03):
That would be my marketing bit kind of like you know,
if you have the old Moniker like made in America.
Speaker 2 (37:07):
We are not owned by private equity.
Speaker 4 (37:11):
We are going to provide for you the service that
you want and need. Great marketing strategy because everyone's getting
ticked off. But again, okay, the music is still playing.
Music is still playing out there in a great movie again,
one of the best financial movies of all time, Margin Call.
Speaker 2 (37:34):
Margin Call, You Got, You Got.
Speaker 4 (37:36):
Jeremy Irin's playing the CEO of that company, and he's
addressing the boardroom and he's telling them, you see, you
know the reason why I make the big bucks. I'm
sitting in this seat. I'm sitting in this seat because
I'm the one that has to decide. I have to
tell you when the music is going to stop. And
he goes out and he looks out the window out
(37:58):
over New York City and he goes, right now, I
don't hear a thing.
Speaker 2 (38:06):
The music is still playing right now. For how long.
I don't know.
Speaker 4 (38:13):
I really don't know. They're trying to keep it going.
Now again, listen, people, Okay, we do business.
Speaker 2 (38:22):
Be honest with you.
Speaker 4 (38:23):
We do business with certain private equity companies. We know
the good ones. You understand the vetting process we put
through the companies that we do business with, the things
that we look into. Again, Old Ronald Reagan trusts, but Verify.
You can take that and you can put that to
(38:44):
the twentieth power. As far as Markowski Investments are concerned,
what I'm telling you, the bulk, the overwhelming bulk of
private equity out there is absolute dog poop, absolute dog poop.
They are playing the game of demonic musical chairs. The
(39:07):
only way to win in demonic musical chairs. You're waiting
for it. You're waiting.
Speaker 2 (39:13):
Don't play. Gotta take a break. Watch Dog on Wall
Street dot com.
Speaker 4 (39:18):
Watchdog on Wall street dot com again.
Speaker 2 (39:20):
Become part of the Markowski Investments family.
Speaker 4 (39:23):
Sign up for our personal CFO program Watchdog on Wallstreet
dot Com.
Speaker 3 (39:27):
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