02/19/21

U.S. Investment Funds Fuel China’s Economy to Our Peril

By: Denise Simon | Founders Code

In part from the WSJ:

Shock waves rippled through the investment world when China halted the initial public offering of Ant, which would have been the world’s biggest. The decision was signed off by President Xi Jinping after controlling shareholder Jack Ma infuriated government leaders by criticizing government financial regulation in an October speech, The Wall Street Journal reported.

For the past several years, the retirement savings of America’s police, firefighters and teachers have increasingly found their way to private companies in China such as Ant. Anxious to meet ambitious return targets in a low-yield world, large North American pension funds have committed growing sums to both global private-equity managers active in China and managers local to China, according to pension officials and their advisers and investment reports.

This has contributed to a larger boom in Chinese deal making for U.S. institutional investors. Private-equity-backed deals of $300 million or more in China involving exclusively U.S.-based investment managers totaled nearly $13 billion between 2010 and 2019, according to Preqin data. Deal activity peaked in 2018 at $3.78 billion. For investors and investment managers world-wide in 2020, private-equity investment in internet and technology in China was $52 billion, according to consulting firm Bain & Co.

Outlook 2021: How to invest in China's equity market ...

To put a finer point on the matter:

China overtook the U.S. as the world’s top destination for new foreign direct investment last year, as the Covid-19 pandemic amplifies an eastward shift in the center of gravity of the global economy.

New investments by overseas businesses into the U.S., which for decades held the No. 1 spot, fell 49% in 2020, according to U.N. figures released Sunday, as the country struggled to curb the spread of the new coronavirus and economic output slumped.

China, long ranked No. 2, saw direct investments by foreign companies climb 4%, the United Nations Conference on Trade and Development said. Beijing used strict lockdowns to largely contain Covid-19 after the disease first emerged in a central Chinese city, and China’s gross domestic product grew even as most other major economies contracted last year.

The 2020 investment numbers underline China’s move toward the center of a global economy long dominated by the U.S.—a shift accelerated during the pandemic as China has cemented its position as the world’s factory floor and expanded its share of global trade.

While China attracted more new inflows last year, the total stock of foreign investment in the U.S. remains much larger, reflecting the decades it has spent as the most attractive location for foreign businesses looking to expand outside their home markets.

Foreign investment in the U.S. peaked in 2016 at $472 billion, when foreign investment in China was $134 billion. Since then, investment in China has continued to rise, while in the U.S. it has fallen each year since 2017.

The Trump administration encouraged American companies to leave China and re-establish operations in the U.S. It also put Chinese investors on notice that acquisitions in the U.S. would face new scrutiny on national security grounds—cooling Chinese interest in American deal making.

In 2020, the Washington Post reported:

The federal retirement fund is about to invest in China. Some former U.S. military leaders object.

National security adviser Gen. James Jones watches as President Barack Obama and South Korean President Lee Myung-Bak hold a joint press availability in the Rose Garden at the White House in 2009.

National security adviser Gen. James Jones watches as President Barack Obama and South Korean President Lee Myung-Bak hold a joint press availability in the Rose Garden at the White House in 2009. (Win McNamee/Getty Images)

By Eric Yoder

The retirement savings program for federal and military personnel is preparing to more than double the number of countries represented in its investment fund that tracks international stock markets.

One of the countries to be added is China — and that’s a problem for some people.

Eight former senior military leaders have issued an open letter seeking to prevent the change, which is set to take effect in the second half of this year. The letter has rekindled a controversy that has flared several times since the Thrift Savings Plan first committed to broadening its international stock fund, called the I Fund.

The result, the letter said, will be that a portion of money in the fund will be invested in Chinese companies including “weapons manufacturers, U.S.-sanctioned entities and other malevolent enterprises of the Chinese Communist Party.”

“It is especially intolerable to those of us who have proudly served the Nation in uniform that our retirement investments will help its enemies threaten our comrades-in-arms and the country we love,” said the letter, whose signers include two former White House national security advisers, retired Commandant of the Marine Corps Gen. James L. Jones and retired Navy Vice Adm. John M. Poindexter.

The letter was released in coordination with the Committee on the Present Danger: China, which defines its mission as “to educate and inform American citizens and policymakers about the existential threats presented from the Peoples Republic of China under the misrule of the Chinese Communist Party.” The group, a successor to similarly named Cold War-era organizations, was reconstituted last year by Stephen K. Bannon, former chief strategist to President Trump, and others who hold hawkish views on China.

The letter was meant to draw the attention of current military leaders, Trump, Congress and TSP investors, said Frank Gaffney Jr., vice chairman of the group, in a phone interview.

02/19/21

Biden Ends ‘Remain in Mexico’, 25,000 Migrants Coming to U.S.

By: Denise Simon | Founders Code

The plan offers one of the fastest pathways to citizenship of any proposed measure in recent years, it does so without offering any enhanced border security, which past immigration negotiations have used as a way to win Republican votes. Without enhanced security, it faces tough odds in a closely divided Congress.

The migrants are first in line to receive the COVID vaccine and the Biden immigration plan has no real chance to pass except in a comprehensive form. The president’s Executive Orders on immigration are forcing other measures. ICE is not prepared and neither is the Border Patrol. Further, schools, the medical systems, housing, transportation, and general employment are not prepared either. So, big taxpayer money will go to refugee resettlement along with free legal assistance to the migrant population. The plan includes $4 billion spread over four years to try to boost economic development and tackle corruption in Latin American countries.

Joe Biden's immigration reform plans must address enforcement

While the number of 11 million illegals has been broadcasted for years, that is hardly the real number. No one really knows how many are here, but various estimates from studies and agency reviews report the real number is closer to 20 million and could be as high as 30 million.

Meanwhile, there are no foreign policy discussions or plans to solve the issues in the failing countries such as Honduras, El Salvador, Mexico, or Guatemala to list a few. We are just throwing money at those countries.

Biden's work cut out for him in plan to undo Trump ...

The first real mission is to challenge the exact number of how many illegals are in the United States and what the cost will be to taxpayers before any immigration legislation can move through Congress.

Biden’s plan includes the following:

  • An 8-year pathway to citizenship.
  • Immediate green cards for agriculture workers.
  • Green cards for Deferred Action for Childhood Arrivals (DACA).
  • No additional money for Border Patrol.
  • $4 billion over 4 years to confront corruption and foster prosperity (whatever that is).
  • Three years to apply for citizenship.
  • Re-unify children separated from parents (about 400 and most entered with mules and not parents as proven by DNA).
  • Reduce the time for citizenship from 13 years to 8 years.
  • Domestic arrests of illegals for criminal activity will require a phone call to Washington to get approval before the arrest.
  • Green cards for family members, how far within the family unit is unclear.
  • Changing word use including no more applying ‘alien’.
  • No consideration for visa over-stays or for E-Verify.
  • Increase diversity visas.

The Biden White House has posted an Immigration Bill Fact sheet.

In part it includes:

  • Promote immigrant and refugee integration and citizenship. The bill provides new funding to state and local governments, private organizations, educational institutions, community-based organizations, and not-for-profit organizations to expand programs to promote integration and inclusion, increase English-language instruction, and provide assistance to individuals seeking to become citizens.
  • Grow our economy. This bill clears employment-based visa backlogs, recaptures unused visas, reduces lengthy wait times, and eliminates per-country visa caps. The bill makes it easier for graduates of U.S. universities with advanced STEM degrees to stay in the United States; improves access to green cards for workers in lower-wage sectors; and eliminates other unnecessary hurdles for employment-based green cards. The bill provides dependents of H-1B visa holders work authorization, and children are prevented from “aging out” of the system. The bill also creates a pilot program to stimulate regional economic development, gives DHS the authority to adjust green cards based on macroeconomic conditions, and incentivizes higher wages for non-immigrant, high-skilled visas to prevent unfair competition with American workers.

Grow the economy? Overload schools where many of them are not open?

  • Manage the border and protect border communities.  The bill provides funding for training and continuing education to promote agent and officer safety and professionalism. It also creates a Border Community Stakeholder Advisory Committee, provides more special agents at the DHS Office of Professional Responsibility to investigate criminal and administrative misconduct, and requires the issuance of department-wide policies governing the use of force. The bill directs the Government Accountability Office (GAO) to study the impact of DHS’s authority to waive environmental and state and federal laws to expedite the construction of barriers and roads near U.S. borders and provides for additional rescue beacons to prevent needless deaths along the border. The bill authorizes and provides funding for DHS, in coordination with the Department of Health and Human Services (HHS) and nongovernmental experts, to develop guidelines and protocols for standards of care for individuals, families, and children in CBP custody.

Manage Border Patrol? The real brain trust is already in the Border Patrol. Has President Joe even visited the border?

02/19/21

Trump and Limbaugh Fortunes Can Rebuild Conservatism

By: Cliff Kincaid

It doesn’t look good for conservatives.

Donald J. Trump was evicted from the presidency by the Deep State, cancer has taken Rush Limbaugh, and now the Republicans running Texas have so mismanaged the power grid that they are asking for investigations that will inevitably lead to their ouster and a Democratic Party takeover of the state.

Blaming the Green New Deal, which hasn’t passed Congress, may go over with some of those in Sean Hannity’s Fox audience, but those who are freezing in Texas won’t believe it.

That flip, plus Georgia becoming a blue state, suggests that the Grand Old Party is finished as a national force. If that is not already the case, Republican Senate leader Mitch McConnell is determined to dig Donald J. Trump’s grave.

Meanwhile, as the Democrats consolidate their power, their puppet-masters are declaring that our future lies in the hands of major corporations, operating as instruments of the state. Hence, Bill Gates predicts we will be eating synthetic meat.

This may sound macabre, but it reminds me of the old Charlton Heston movie where he cries “Soylent green is people,” discovering the harvesting of the dead to meet the food supply.

Who knows where the “synthetic” will be coming from? Probably something concocted in a lab behind our backs. Like the China virus.

Unborn babies are already being harvested for China virus vaccines, and the Vatican has no problem with it. Most people don’t even know because Big Tech censors the truth.

In the cases of Trump and Limbaugh, we see how people who were once never associated with conservatives came over to the conservative cause. That’s a good thing. Now, their fortunes should be put at the disposal of the conservative movement.

Trump was for most of his career associated with the Democratic Party and gave gobs of money to them. When he changed ideologies, he started giving to the American Conservative Union, a group run by a lobbyist. Limbaugh never voted for Ronald Reagan for president but became a staunch Reaganite. He reached millions and he made millions.

Trump and Limbaugh, each in their own way, understood the value of conservatism. Today, it is a movement in need of resources and understanding.

Allan Ryskind, my former editor at Human Events, once Reagan’s favorite newspaper, is a true conservative on economic, social, and foreign policy. He has written a perceptive Washington Times column about how he came to embrace Trump and became an “Ever Trumper,” wedded to his very conservative policies. They must be defended as Republicans like Mitch McConnell and Karl Rove keep up their attacks on Trump.

Ryskind wrote, “Offhand, I can’t think of a policy Mr. Trump proposed and implemented that I didn’t favor. I was gung-ho for his spectacular tax and deregulation policies, which brought us a dazzling economy, booming 401Ks, and the lowest unemployment rate for blacks and Hispanics in modern history. By unleashing the oil and natural gas industry, the president not only created more of those good-paying American jobs but made us energy independent, meaning we would no longer have to rely on an unstable Middle East for these critical fuels in time of war.”

In foreign policy, he cited the Trump record: “Getting tough with China, isolating Iran, keeping North Korea in check and defeating ISIS militarily are hardly inconsequential achievements. His audacious Middle East policy not only increased Israel’s security but inspired at least five Arab states to normalize relations with the Jewish state.”

On immigration, he wrote, “President Trump pulled every trick in the book to end it, including building that wall (some 500 miles of it), virtually ending our disastrous ‘catch and release’ program (with Mexico’s help) and his substantial enhancement of the border patrol.”

Yet various Republicans, from Mitch McConnell to Nikki Haley, have disavowed him. They do this because they hope to curry favor with the Big Media and Big Tech. McConnell apparently wants to divert attention away from his alleged ties to China through his wife’s family shipping company, the Foremost Group.

Meanwhile, we have the spectacle of millions of people freezing in Red State Texas.

The prospect of Texas Republicans blaming frozen windmills for power blackouts is an excuse to mask managerial incompetence. Weren’t the Texas politicians supposed to be the models of Republican managerial excellence?

Our “conservative” media are also in a free fall. With Limbaugh out of the way, Fox News is under more pressure than ever before to water down its conservative content. They continue to employ Never-Trumper Karl Rove as a commentator. His latest column for the “conservative” Wall Street Journal defends Mitch McConnell against Trump’s “smears.”

With his wildly inaccurate programs on the “New Red Scare” and “McCarthyism,” Glenn Beck can’t be seen as someone who can fill Limbaugh’s void. Author J.C. Hawkins joined me on America’s Survival TV to discuss how the foolish use of the leftist term “McCarthyism” by conservatives like Glenn Beck and Republican politicians works against the conservative cause.

For my part, I will continue my group America’s Survival TV and support conservative pro-life businessman Mike Lindell. I bought one of his dog beds for my dog. She loves it. I also bought one of his famous pillows.

We deserve a good night’s sleep. Then we have to wake up.

Lindell is a man with tremendous courage. He does what many big-money conservatives never do. He put his money where his mouth is.

He financed the election fraud film “Absolute Proof.” Plus, he underwrote the movie, “Unplanned,” exposing the abortion industry. In addition to that, his book on overcoming addiction is something that ought to be in the hands of druggies and drunks around the world.

A college drop-out who made it big, by presenting conservatism in an entertaining manner, Rush Limbaugh died a very rich man, with a fortune in the neighborhood of $400 – $600 million and a $50 million Florida mansion. All of that has apparently been left to his fourth wife.

Former President Donald J. Trump is still said to be worth billions.

All of this seems like a good financial base, in addition to Mike Lindell’s valiant efforts, to rebuild the conservative movement.

Together, they can’t compete with the combined forces of Soros, Gates, and Zuckerberg. But it’s a start.

*Cliff Kincaid is president of America’s Survival, Inc. www.usasurvival.org