I know this sounds strange but stick with me. I want everyone reading this to invest in California. Dive in the deep end. I mean giving the Golden State every penny you can find in the seat cushions. All in, double down, pedal to the metal Casey Serin type reckless abandon. Here's the deal via the LATimes:
California sets short-term debt sale for Sept. 21-23 September 1, 2009 | 2:24 pm
California’s planned sale of up to $10.5 billion in short-term notes is scheduled for the week of Sept. 21, Treasurer Bill Lockyer’s office said today.
The debt, known as revenue anticipation notes, or RANs, will bridge the gap between near-term state spending and tax revenue expected later in the fiscal year.
The money raised also will repay a $1.5-billion loan that JPMorgan Chase & Co. made to the state last week.
Why do I want to help California? Easy. There's an out. Here it is:
If individual investors don’t like the final yield, they can rescind their orders.
You’ll have to have a brokerage account to buy the notes. The investment banks handling the sale will be led by JPMorgan, Citigroup Global Markets and De La Rosa & Co.
So there's the plan. We sandbag the b@st@rds. They are predicting 1-3% rates? Complete bullshit. Similar recent offerings are commanding 5% easy. But that doesn't matter because we are all going to reject the loan via the terms outlined above. We leave them with a very public vote of no confidence.