By: Jack WaymirecloseAuthor: Jack Waymire Name: Jack Waymire
Email: jack@paladinregistry.com
Site: http://paladinregistry.com
About: Jack writes for the InvestorWatchdog website and Worth magazine. He worked in the financial services industry from 1976 to 2004. For twenty of those years he was the president of a Registered Investment Advisory firm and a Broker/Dealer. Jack is the author of Who's Watching Your Money? The 17 Paladin Principles for Selecting a Financial Advisor and is a co-founder of PaladinRegistry.com.See Authors Posts (87) | January 27, 2010 | Investor Information, The Politicians, Wall Street Ethics

There are aristocrats in the U.S., but membership in this exclusive club is not based on bloodlines, it is based on money and political power. The new aristocrats are key executives of major companies who control the money and Washington politicians who control the power. Politicians need money to gain and retain power. Executives need favorable regulations to maximize profits and bonuses. They work together. Their intermediaries are called lobbyists.

The executives’ companies are organized into “special interest groups” so they have even more power. They pool their resources because they have the same needs and interests. For example, they want weak regulations with numerous loopholes that allow companies to maximize profitability, not to mention the executives’ seven, eight, and nine figure incomes. This could not happen without the collaboration of the politicians. They sell votes on critical legislation for money. They get away with it year after year because they are powerful aristocrats. Unfortunately, voters and consumers are disorganized and weak.

You have seen the devastating impact of the aristocracy. Twice in the past decade (2000-2002, 2007-2008) Americans lost trillions while Wall Street made billions. These devastating events were engineered by Wall Street executives and their political allies. But, nobody goes to jail if you have enough money and the right connections.

There is a good chance you feel powerless to do anything about the new aristocracy. It has huge amounts of money and power. In addition, you have your own interests to protect. This creates the vacuum that is occupied by the new aristocrats.