The Numbers Don't Lie; See If You Can Add This Up?
More about France next week but some compelling stories are developing about ballot issues in Ohio that also speak to why it is important for investors to be serious about their holdings. The annual gathering of the American Roundtable highlighted many issues that reverberate with people who believe the Constitution still has a place in our decision making. A case in point is the battle over Issue # 3 in Ohio about casino gambling.
The people trying to defy 4 previous Ohio ballot issues denouncing casino gambling have indicated that there will be considerable revenue for Ohio since they believe there will be $700,000,000 in profits. What they do NOT include in that number is the amount of losses that their clients will sustain so that they can achieve that goal. Would you believe $2,100,000,000? Thatís 2.1 billion that will not be spent for food, clothing, or other goods or services. What a deal! If you donít mind losing a couple of billion, we can make 700 million in profits and look at the tax revenue!
Does your mutual fund or money manager have investments for you in the gaming industry? If you like this equation, trusting that it is smart business to invest in a business that counts on people losing three times as much as you will make in profits, then you may have checked your conscience at the door of the investment manager. I would guess you have also not considered the Biblical overtones of this relationship. As for me and my house, we will not be a partner with the gambling and gaming industry! Responsible investor would do well to check into their mutual fund and portfolio managers to see if they own companies that are counter to their faith.
Luke 6:43 (NIV) ďFor no good tree bears bad fruit, nor again does a bad tree bear good fruit; for each tree is known by its own fruit.Ē
Monday Morning Message Sent 9/28/09
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