Who Really Benefits When the Market Rises? (IMO)
Here’s a hard truth: the stock market isn’t just a financial system—it’s a political one. Across the board, from left to right, those in power are personally and professionally invested in its success. Elected officials, corporate leaders, lobbyists, and insiders all have skin in the game. Their portfolios grow when the market goes up. Their partners profit. Their donors smile.
So what happens when decisions are made—laws passed, bailouts approved, interest rates adjusted? The market responds. And those with influence often benefit first and most.
But what about the rest of us?
If you’re not invested, you’re not invited. Working-class folks, retirees without market exposure, anyone without the means or access—they’re left watching from the sidelines. They labor, they pay taxes, they follow the rules. But they don’t see the gains.
The system is built to protect itself. The market can’t fail—because too many powerful people depend on it not failing. That’s the real bipartisan agreement.
If you want to understand why certain policies pass, why crises get managed the way they do, or why some voices get heard louder than others… follow the money. Follow the market.
And ask: who’s really winning?
I use a Vanguard managed account with a fixed rate of $3,500 per year—versus a managed account with someone like LPL, who charges 1% of my net worth annually. The fine print in the LPL contract reads “not to exceed 2.97%,” and when questioned, they can’t clearly explain what constitutes that percentage or how it differs from the 1% net worth fee year after year.
I’m a simpleton, and my strategy is open to critique—just like my ideas about the market.
PaulR