Monday, May 23, 2011

After Defending "Le Perv" Ben Stein Tries His Hand at Penny Stock Promotion

I loathe Ben Stein but, if it's possible, Felix Salmon cares even less for him.
From Reuters:

In 2004, Ben Stein wrote a thin book called How to Ruin Your Financial Life, a collection of short sarcastic chapters giving extremely bad advice. Chapter 32 is entitled “Invest in Penny Stocks”, and it aims directly at the purveyors of “advice” about the same:
If you buy GE at $25 and it goes down by $.50, you’ve lost 2 percent, but if you buy XYZ at $.50 and it goes down by $.50, you’ve lost 100 percent.
This will never happen to you, though, because you’re only buying really top-quality penny stocks, the GEs and GMs of the penny stocks — only they haven’t been discovered yet.
Plus, you’re only buying after you’ve gotten really hot tips, and when you know for sure that you’re going to watch that stock zoom into the stratosphere.
Let’s put aside for the time being Stein’s decision to cite GM as being the kind of wonderful stock which goes up and up in value, because now Stein has endorsed Accredited Members Inc., “a leading publisher of micro cap investment research”:
Stein firmly believes micro caps have a place in every investor’s portfolio and that the kind of in-depth research AMI brings to its readers can mean the difference between success and failure in investing in the micro cap space....MORE
Here are a couple of the points Stein raises in defense of Dominique Strauss-Kahn.
Zola's J'accuse it ain't.
6.) People accuse other people of crimes all of the time. What do we know about the complainant besides that she is a hotel maid? I love and admire hotel maids. They have incredibly hard jobs and they do them uncomplainingly. I am sure she is a fine woman. On the other hand, I have had hotel maids that were complete lunatics, stealing airline tickets from me, stealing money from me, throwing away important papers, stealing medications from me. How do we know that this woman's word was good enough to put Mr. Strauss-Kahn straight into a horrific jail? Putting a man in Riker's is serious business. Maybe more than a few minutes of investigation is merited before it's done.

8.) In what possible way is the price of the hotel room relevant except in every way: this is a case about the hatred of the have-nots for the haves, and that's what it's all about. A man pays $3,000 a night for a hotel room? He's got to be guilty of something. Bring out the guillotine.
The guy's a pig. Or to quote a November 2007 post:
Ben Stein, My Trading Floor Be-atch