Don’t Fall For Obama’s Latest Con, A Colossal Ponzi Scheme

Obama Ladders Trap SC

With much fanfare, Barack Obama recently announced his plan to solve the retirement crisis: a new savings vehicle called the MyRA.

But one look under the hood shows that MyRA is about as likely to solve the retirement crisis as Obamacare was to solve the healthcare crisis.

You see, MyRA is actually another fraudulent scheme to transfer wealth from the young to the government. These long-suffering youths already pay hefty payroll taxes to fund social security as well as oversized health insurance premiums to subsidize middle-aged buyers.

On top of that, many young people are burdened with student loans, which mostly fund the extravagant lifestyles of older professors – many of whom teach less than three hours a week. In fact, between state, local, and national taxes, young people pay some of the highest taxes in the world – and politicians in D.C. wonder why these youths still live with their parents!

The younger generation is slipping into poverty, and the reason is simple: They’ve been fleeced by politicians, stripped of nearly every last cent and left with no money to save.

Young Americans Left for Dead

So now, the exalted leader of the United States, his highness Barack Obama, has a grand plan to fix the problem (which was caused by his socialist U.S. government in the first place).

Young people aren’t saving, Obama says, so let’s create a scheme that puts their money into U.S. government bonds! And in his infinite benevolence, Obama will insure the whole scheme so that nobody loses a dime.

This sounds good to the average saver because he or she has probably been abused by Wall Street. In fact, many people are still looking at IRA and brokerage balances destroyed by the financial crisis.

And the MyRA couldn’t be simpler, as it boasts just one investment choice: a Treasury bond fund stuffed with U.S. Treasury bonds. While account holders allegedly can’t lose money on this investment, I’d argue that they’re likely losing every month as the value of their currency is inflated away. Just look at 2012, when the fund returned a miserly 1.47% (and inflation more than doubled that at 3%.)

Anyone who invests in Treasury bonds will tell you that they absolutely can lose money. When interest rates go up, the value of an outstanding bond with a lower coupon goes down in value. When interest rates go down, the value of outstanding bonds with a higher coupon go up in value. The only way that you don’t lose is to hold the bond to maturity; and by then, you’ve likely lost to inflation.

Therefore, even when you get paid a return on these bonds, the currency you get back in retirement will be worth substantially less than the currency that you put into the account. This is no way to save for retirement, unless you plan to live on food stamps in a government housing project.

The Government’s Last-Ditch Effort

So why would Obama tout his new savings plan as a grand solution to the retirement crisis?

Here’s a little secret: The Federal Reserve is insolvent. The U.S. government is insolvent. Truth be told, the whole MyRA scheme is about getting unsuspecting people to invest in something that they don’t understand.

And the government is desperate to find new investors. You see, our politicians are currently spending like a drunken sailor on shore leave in Hong Kong. The budget hasn’t been balanced in years; and instead, the government has issued debt to cover the unpaid balance.

Obama and the politicians always want more money, and the only place left to turn is your wallet. The MyRA is one scheme that they can use to covertly fleece the unsuspecting masses. Buy in at your own risk.


This commentary originally appeared at and is reprinted here with permission. 

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  1. dONALD hOLLOWAY says:


  2. Edwardkoziol says:

    When it comes to Ponzi schemes Obutthole makes Bernie Maddow look like a piker.

  3. MuslimLuvChrist says:

    king dong has an IOU in this government lock box for everyone’s social security, now trust me to put another $15K IOU in it for you and call it MYRA (My money now You Right wing Aholes).

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