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Well these Social Security program was created 77 years ago two day and it is in dire straits while the fund currently has over two and a half trillion dollars in assets.
It is set to exhaust them at 2035.
And run out of money after that.
Newly -- Republican vice presidential candidate Paul Ryan cosponsored a plan to privatize parts of Social Security but.
It would no where in 2005 and he is no longer talking about it joining me now -- -- murder managing principal of the -- -- been entitled why is.
Not pushing more a plan because it of the markets would love to see the program privatized what wasn't talking about do you think.
That's right Cheryl looked at this obviously will be great for the stock market but I think equities -- -- he would alienate some indeed for current out beneficiaries of Social Security.
I think once you give that feeling that yes you are gonna through that personal responsibility won the Bennett on the beneficiaries of Social Security right now.
There's a scare tactic coming -- stock market clearly -- -- volatility.
-- -- some of the there at the rod and apples that we have in the industry right now.
It as we we don't have actually have the perception of gravitas right now for a recipient actually -- can only take my money through this money into the stock -- him.
Sure it's been talking talk about -- scare tactics have been others as figures -- for the research over the next 75 years Social Security.
Will spend scheduled to pay out a 134.
Trillion dollars more in benefits than -- will collect.
Are Americans ready to even discuss this this and I got to tell you something we need to.
310 million Americans.
50% or invest in the stock market this sexy would create more of a savings environment.
You want people to understand that they've had their Social Security balances that they put him in the markets.
You want them -- Bob do you want them actually feeling they have skin in the game right now right now people are vulnerable get them into the stock market create a sense of saving environment.
We constant talk about debt in this country and in Europe and around the globe why -- -- -- -- start saving some of their money that steepen the money -- It even Paul Ryan is is willing to back off and -- well his talk about a stricter budget get the fiscal cliff.
That is coming kind adult with a mean maybe they will -- will not talk about that but investors are incredibly frightened right now.
But what is coming at the end of the year and is do you think it's a Smart political move from an investment perspective to say.
Haven't Agilysys I'm not coming to their plan is as much better than the president's.
Well I have to agree with that but -- -- 84 days until Election Day right now guys look these are -- -- entered very intelligent.
Kitchen table topics and I think most Americans right now need instant gratification.
The -- United States is great at delivering instant gratification to voters when you're talking about debt.
Time and a generational items these years down the road right now and I'm not sure Americans actually can understand what goes -- When you're talking about balanced budgets and debt and obviously baseline budgeting and he -- very very high level topic so we know.
Meanwhile the the president have a beer with a we don't want him lecturing at at us like a policy want damage could be Ryan's problem.
But you think Obama wins the election hands down in November.
Will there be a massive market sell off absolutely shouldn't put our -- security money into stocks right now well like -- was talking about the fiscal cliff.
Me now they're on summer recess for five weeks what a great vacation are gonna come back they work for a couple weeks and -- an election mode.
Then there's a -- duck session do you think we are pretty win over the fiscal cliff as far as I'm concerned because nothing is getting done.
Even -- Chris -- -- and at a Maryland said the same thing at a conference in DC three months ago and nothing is done before the summer recess we -- over the fiscal Clinton.
What I have to deal as an investor now Todd and I'm proud that's our viewers problems as you've got changes.
In the capital gains taxes you have huge changes for dividend payers which you and many other analysts come on this network and say buy -- -- overall I'm not gonna wanna buy dividend paying -- -- Clearly agree with you because it dividend tax rate is gonna hit the roof are starting January 1 and nothing is done with resolution of the fiscal -- more importantly if you are looking at some of these stocks -- now you have to admit there's a bubble being created -- -- dividend paying companies right now.
If -- -- if your company with access cast.
Why would you increasing dividend right now you said putting the money back into the company that you're gonna make yourself that much more vulnerable that much more vulnerable as a shareholder pressure reducing -- your hide your value your weight collapse the election Obama when stocks often -- -- stock back when Steve it's right that I'm telling you guys it's gonna get really ugly if he -- this time.
So -- gonna say yeah like why is Jeff thank you.