Con trick? FT reports hedge fund manager’s approval for Corbyn’s People’s QE
Paul Marshall, ‘from the senior ranks of Britain’s hedge fund industry’, co-founder of one of Europe’s largest hedge funds, Marshall Wace, is reported to have applauded Mr Corbyn’s idea of “people’s quantitative easing” to fund infrastructure projects.
In an opinion piece written for the Financial Times, he correctly said that hedge fund managers like himself, as well as property owners and bankers, “owe a debt” to the quantitative easing, or QE, that has caused asset prices to surge in value since the financial crisis.
“Quantitative easing , as this policy is known, has bailed out bonus-happy banks and made the rich richer . . . It is no surprise that the Left are angry about this, and no surprise that they are reaching out for other versions of QE which do not so directly benefit bankers and the rich”.
Mr Marshall argued that people’s QE — advocated by Mr Corbyn and his shadow chancellor John McDonnell — could be a better alternative if used correctly.
A ploy – a delaying tactic? ‘Damning with faint praise’?
But“The timing is flawed”. He reserves his approval for a ‘pared back’ version – something they would seek to implement next time the country was in financial crisis.
As a City AM opinion piece -‘How Jeremy Corbyn’s People’s QE could win Labour the next general election – says: “In Corbyn’s world, a National Investment Bank would finance transport, energy and broadband infrastructure and issue bonds to finance the projects, which the Bank of England would be instructed to buy”.
The point of People’s QE is to stimulate the whole economy – not just the financial sector – providing better public services for millions – and avoiding financial crises.
Posted on September 22, 2015, in Corporate political nexus, Finance, Government, Vested interests and tagged Hedge fund, Jeremy Corbyn, National Investment Bank, People's QE. Bookmark the permalink. Leave a comment.