John Coates: Most Americans aren’t aware of how concentrated the financial sector has gotten

[@garretttedeman]

These are exactly the points that I've been most concerned about (especially in first 6-8-10 min. of discussion), and have tried to explain to people over the past few years. ...The trendlines are pretty staggering for concentration and effects. But, here presented the best and most articulately. Very well-done. We really need this kind of content. The more effectively we can open-up these topics for more thoughtful discourse, the better we'll be able to arrive at guidance, regulation, or policy objectives -- both for the financial industry and society as a whole.

[@dflask44]

“…They’ll get it. They’ll get it all from you, sooner or later, 'cause they own this f***ing place. It's a big club, and you ain’t in it. You and I are not in the big club…” -George Carlin

[@icewa-fg]

Time is the most critical factor in investment growth. The longer you wait, the significantly less you’ll have down the road. If you're aiming to retire by 60, it's not financially ideal to prioritize paying off your mortgage early before the age of 45.

[@MiddleclassAmerican-7220]

Hi, I have a 3% mortgage interest rate and suddenly became liquid from the sale of a business and i am confused if i should pay off my mortgage or invest in the stock market.

[@NotyourBusiness-urto6]

Keeping a 3% mortgage and investing cash in the market, growing at 10-20%, is basic math. Look up dividend aristocrats, companies with a 25+ year dividend track record. Also, its advisable you work with a financial advisor for a well-structured portfolio.

[@freedomisEexpensive-08]

Agreed. Through working with a financial advisor, I've grown a well-diversified portfolio to $2 million, experiencing exponential growth since I began. Success in stocks requires not just money but also knowledge, persistence, and resilience.

[@GREGG-43]

This sound interesting. I’m not really one to use pro analysts, but I guess it would not hurt to try one. My portfolio is in the red waters right now

[@freedomisEexpensive-08]

There are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’Melissa Elise Robinson for about five years now, and her performance has been consistently impressive. She’s quite known in her field, look-her up.

[@null4624]

The Professor practically summarizes the book New Tycoons.

[@sonyjoseph5426]

That's all you got out of this program , you must have been the kid who looked at window in grade school watching squirrels

[@null4624]

@@sonyjoseph5426 Not sure why you need to empower any of your words by such. Please enlighten me, what is so new about private equity in this talk besides the nearly centralized distribution of even fewer key players since writing of NT ?

[@kingthame]

Can we talk about Harvard's endowment fund, that's larger than the GDP of most countries, fueling Private Equity.

[@45414]

1:10 actual start

[@joshuabrown903]

This is incredibly important information, it relates to 20% of the economy, if not more, including pension funds of public servants. The lack of transparency of a private entity funded by the public is inherently problematic.

[@RyanDMarrs]

About as concerning as the federal government making up 22+% of GDP!

[@statebased]

Terrible music, interesting content.

[@TheGreekGodOfWallStreet]

Good music

[@Ferdinand208]

Yep, the music means: you don't have to listen yet because this is the intro. So, hopefully, nothing in that intro was important.

[@Brucesmith-eq4hw]

What do you mean by terrible music?The content can be heard and there's no noise.

[@statebased]

It is subjective, but half way through the video, the same repetitive "empty of culture" music came back, and I thought, I can decide to quit because of this, and I did.

[@cwpv2477]

makes it a bit creepy lol

[@Jalyemengesha]

It has always been concentrated!!!!

[@theonlycaulfield]

There has never before been as much of a concentration in index funds as there is now, which is what much of the video is about.

[@I_am_ka]

​@@theonlycaulfieldIncumbents want thst by design = ALL of Trad-Fi wrapped into ETF's. While DeFi & DLT will be the new rails/silo everything will flow threw for much faster returns

[@Ferdinand208]

​@@theonlycaulfieldThere is so much concentration in these indexes with thousands of companies! They used to be much more diverse in a few hundred companies.😂

[@theonlycaulfield]

@@Ferdinand208 Nope, you've misinterpreted the video and my comment. It is not that index funds are concentrated in a select few stocks, but that the ownership of the stock market is concentrated in the index funds, to an extent upwards to 30% of the entire market. The index fund concentration is great enough that it has changed the way the market moves. I now realize the parent comment also misinterpreted the video given your comment.

[@theonlycaulfield]

@@Jalyemengesha Also, to add to my other comments, and to respond to "it has always been concentrated", the market concentration in the top 10 stocks is in the 98th percentile of the historical concentration, so no, the market has not historically been as concentrated in a select few stocks as it is now.

[@suesandlin-plaehn3565]

Excellent content

[@clamato54]

Why is there a double standard in legal obligations for transparency? SEC rules might be overburdening but why do they even exist at all if private equity just gets a waiver? All I can say is the companies with something to hide are not on my investment radar anyway.

[@rosaoddin4338]

Which are the four firms that own 30% of the listed companies on the stock exchange? I would appreciate if he would identify those names. They will dictate political moves. etc.

[@barrywilliams5140]

Vanguard, Blackrock, and State Street

[@Aviverma1]

Very insightful

[@Lex_Lugar]

Harvard using the word "gotten" in a title is hilarious

[@I_am_ka]

Got & gotten are exclusively "british" idioms

[@newchallengers9420]

Y'all ain't reelaize how dem fainancez been had dun gotten schtupid konsentr8d - Harvard Dept of Macroeconomics '24

[@darylallen2485]

If you didn't have the attention span of a goldfish and watched until 2:55 you'd see its a direct quote from the speaker.

[@Tarteh]

@@I_am_ka No it's the other way around.

[@I_am_ka]

@@Tarteh Long before America had its Constitution, England was using "Got" and "Gotten"

[@DylanSmith-vj7qo]

learning a lot from this guy. i never thought of the bottom line (employment %) vs how internally capitalism works (some other metrics)

[@45414]

Interesting video. Agree with a lot of the material. However, government regulations always increase costs and reduce shareholder returns. This may be an acceptable trade off, but you should disclose it any conversation about increasing corporate compliance with government regulations.

[@catherineesavas8466]

Outstanding!

[@sonyjoseph5426]

Good lesson ..

[@Rickdcpr]

great video

[@nikoschazapis2379]

Great!

[@ScroogeofEdinburgh]

Amazing Sir!

[@vivekpraseed918]

Won't index funds face dilution eventually? I think a very rich individual who buys up say 10% of outstanding shares of a company will have to contend with dilution

[@jayski9410]

The "dark nature" of private equity feels a lot like the credit default swaps of our last financial disaster. We have so much information about every market and commodity on a minute by minute basis, the financial world feels transparent. But there are still pockets of invisibility and private equity is one of those. They've become another derivative. And that's fine as long as everything is humming along normally. But if we hit another bump in the road like 2008, it will be Lehman Brothers and Bear Stearns all over again. Only this time, they'll take pension funds down with them.

[@JarheadMcLovin]

Seems that the voting rights index funds control should be passed down to the owners of shares of those index funds like SPY, QQQ or DIA etc.

[@Bulldozz1-1]

Also PE don’t have mark to market requirements

[@Notrocketscience101]

The music is very distracting. I don't need a break to tell me to anticipate another answsr.

[@ShawnWagner-sh8fi]

I have no idea where the stock market is going at the moment. My portfolio, which is around 85k, is not growing by more than 5%, and there are predictions of a crash by some people.

[@ViolaLuis]

i'd advise you redistribute assets in your portfolio with the help of a pro so you don't get burnt in the market

[@LUISCONSTRUCTIONs]

A lot of folks downplay the role of advisors until being burnt by their own emotions. I remember couple summers back, after my lengthy divorce, I needed a good boost to help my business stay afloat, hence I researched for licensed advisors and came across someone of utmost qualifications. She's helped grow my reserve notwithstanding inflation, from $200k to $850k.

[@AlvaroJimenez-wc4ny]

How can I reach this advisers of yours? because I'm seeking for a more effective investment approach on my savings?

[@LUISCONSTRUCTIONs]

My CFA is Karen Marie Gendron, a renowned figure in her line of work. I recommend researching her credentials further... She has many years of experience and is a valuable resource for anyone looking to navigate the financial market..

[@nicojaar]

Just ran an online search on her name and came across her website, pretty well educated. thank you for sharing.

[@NO-TIME170]

Despite the fear mongering, The stock market is on fire! My portfolio is up 48% since the start of the year. Who else is crushing it?

[@PauleAraiza]

I wish I could say the same. I've been trying to make successful stock picks all year, but I'm still in the red.

[@carolynrose1816]

I’m up 24% with only 40% in equities and I am ok with that.

[@AddilynTuffin]

58% year to date. I’m currently working towards FIRE with a focus on dividends & growth investing. Since 2014, I’ve built a portfolio made up of 30% NVDA, 25% SCHD, 15% VOO and over 30% in digital assets, thanks to my CFA. This strategy has helped me earn $49,000 a year in dividends. Back in 2014, I only earned $21 in dividends.

[@AGNESCHANG-u9h]

@@AddilynTuffin Your advisor must be really good. How I can get in touch? My portfolio's decline is a concern, and I could use some guidance.

[@AddilynTuffin]

Jennifer Leigh Hickman is the advisor I use and i'm just putting this out here because you asked. You can Just search the name. You’d find necessary details to work with to set up an appointment.

[@manuvns]

I am diversifying into china equity, junk bonds and long term treasury!

[@GuitarSorcery]

Now that passive investment has overtaken active, the pace of this concentration will quicken. Also, there will likely be fewer recessions and much larger gains in equities than we’ve come to expect from etfs.

[@unktheunk1428]

whats the logic behind concentration and more "passive" investment causing fewer recessions?

[@matthewwilliams2223]

@@unktheunk1428when passive investing was not so prevalent, active managers would mostly all collectively “sell off” during a recession, or at least during a market downturn. with this amount of passive investing, even during those times when the market would normally go down, passive funds will still buy in. since they are such a large percentage of stock traded and owned, there are not market downturns like there used to be because there is always some upward pressure on price from constant buying.

[@matthewwilliams2223]

so maybe there would not be less recessions for the economy because unemployment can still go up, but instead less market downturns for the stock market

[@Questioneverything2050]

Why is he saying this now?

[@2000mrman]

It makes it more inefficient. No problem

[@johngalt3940]

The point of index funds is to not manage the companies they own,

[@ahusseincpa]

🤫 Sounds like there is approximately 30% of the economy controlled one way or another by the top 1% who operate in total silence due to concentration of ownership 📝

[@mcastaneda]

Moral of the story: we need accountability in finance, private or otherwise. Also sucks that if any of the fat cats blow it, tax payers gotta foot the bill

[@joelbosun2423]

Zero chance they show their hand

[@Christopherautum]

I feel one Of the greatest challenges that we first timers face in the ma rket is that we end up losing all we have, we find it difficult to find ourselves back to our feet. My biggest advice is to always seek the services of a professional just like I did when I ventured into it for the first time. Big thanks to Jasmine Querida. I now make huge profits by weekly through his services while still learning to stand on my own

[@JustinMulenga-r2l]

I agree that there are strategies that could be put in place for solid gains regardless of economy or market condition, but such executions are usually carried out by investment experts or advisors with

[@annddyyy-6920]

Queridafx analyses go beyond surface-level trends. She delves into technical, fundamental, and sentiment analysis, providing a holistic view of the market..

[@annddyyy-6920]

Her strategy has normalized winning trades for me and it's a huge milestone for me looking back to how it all started.

[@dmlexpress9600]

I’m new at this, how can I reach her?

[@HilderAtkinson]

Her training program has been insightful, and I must say , l'm most honoured to have been part and a full-time beneficiary of her trade signals.

[@xbgj3003]

You know Harvard... A lot more Americans would probably be aware of these issues if you didn't privatize good education to such an extreme😂😂😂

[@bogdancomsa1436]

Very nice ! You speak about a new form of oligopolies ! They have 30 or 40 percent but dictate politics in most big firms in an economic branch. Nice, solufion is transparence, not dissolution of oligopolies. Good riddance Harvard and your econ analysis!

[@astrogumbo]

LOOKA DEES KUCKS NOW HAHAHAHAHAHA

[@budstep7361]

This guy said some very disturbing facts without a hang up 😂 the next taxpayer bailout is gonna be REALLY FUN

[@Mrdean0001Dean]

Share owners of the index fund vote the proxy rights of the firms the fund owns.

[@donaldharlan3981]

Definitely no

[@lutaayam]

This is why we need crypto to decentralize things

[@ChefBuck]

Put the fries in the bag bro

[@dastaan.]

Not only Americans other people are alao

[@lexlaw0191]

Sir, I want to take admission but I don't know how to get it. If I get admission in MBA, I will thank you from my heart 🙏♥️

[@sydneywood4398]

Go to the school website. You have to apply to the admissions office. They will request all the necessary documents that you will need to be accepted. The president doesn't have anything to do with admissions, generally.

[@marvinbrando722]

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