24 May 2019 FT — Articles to Read

24 May 2019


Question: What fact, recently published by MSN: Money regarding American Wealth literally have me say, “Wow”, in my head in utter amazement?


Black US students struggle most to pay off college loans – Pg. 3

–          …student loan difficulties were more acute among those who attended for-profit institutions rather than public and non-profit colleges.  First-generation students were twice as likely to struggle with payments as those who had a parent who went to university

–          The US’s $1.5tn student debt mountain is rapidly rising up the political agenda…

–          …borrowings are impairing individual’s ability to buy homes and start businesses, and are disproportionately affecting poorer and minority students

–          (Prof Note: I truly believe the large student debt is a result of individuals not understanding the consequences of debt and the corresponding payback.  Also, what do all these administrators actually do?!  Why is the cost so high?!)


Banker charged over loans to Manafort – Pg. 4

–          The banker “abused the power entrusted to him as the top official of a federally insured bank by approving millions of dollars in high-risk loans in an effort to secure a personal benefit”…

–          …charged with one count of financial institution bribery

–          …later falsely told the Office of the Comptroller of the Currency, a banking regulator, that he had never wanted a job in the Trump administration, according to the indictment (Prof Note: What is/are wrong with all these people lying?!)


US regulation – Pg. 9

–          The US has a long history of environmental lawsuits.  A key part of the enforcement mechanism built into laws, such as the Clean Air Act, is the right of citizens to sue the government if it is not following the law.

–          Although completed in 2015, the Clean Power Plan was never implemented because of legal challenges…its replacement, the Affordable Clean Energy rule, would boost investment in the technologies needed to make coal-fired power plants run with lower emissions

–          The other crucial legal battle will be over vehicle emissions, which will shape the US car industry for years to come.  The most recent draft of the new rule shows it would weaken fuel economy requirements and CO2 standards for cars built between 2021 and 2026, allowing more polluting vehicles to be sold than under existing regulations


Google buys NY building for 100 times 1996 price – Pg. 14

–          (Prof Note: Great article on successful brokerage!)


Pimco joins bargain-hunters circling UK’s troubled real estate sector – Pg. 21

–          …values have begun falling steeply in recent months, attracting the interest of private equity investors, several of them looking at assets with high yields or redevelopment potential,…

–          Retail property values are declining….worst falls are concentrated in smaller venues…


Answer: “The bottom half of Americans combined have a negative net worth.” (Prof Note: Logically this is not a surprise.  I understand there was a huge income/asset disparity.  However, seeing this written is a shocking reality!)