Fed Head Leading by Example: Just Say No to Bonds

Americans got an unprecedented peek at the wealth of the Federal Reserve’s top ranks this week, when the central bank released nearly 600 pages of financial disclosure documents from its current regional presidents.

If the dollar is stable and the Federal Reserve is creating positive economic changes, why does Richard Fisher, the president of the Dallas Fed, own 7,000 acres of farmland and a million dollars worth of gold? If the heads of the Federal Reserve banks believed that our financial system is the best thing since sliced bread, then why would they not buy government bonds instead?


Because the dollar is constantly reducing in value (although it is fiat and has no intrinsic value) through the actions of the Fed. The dollar has not risen in value in our lifetime. The only way the banking cartel can continue to monetize debt (fractional reserve banking) is to devalue the currency already in circulation (which in essence steals from those holding dollars in savings). At least Bernanke invested in the system to some extent to foster confidence, though that public confidence is in constant retreat.

The following table shows the minimum and maximum value of the assets reported by each Fed president. (Chart courtesy of economix)

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Maybe this is why even Fisher believes that buying bonds is risky, and he has put so much of his wealth into tangible assets like precious metals and the technology industry. Sounds like he is recommending that others reduce or limit bond investments. While I support the right for investors to get rich in  private markets, it speaks volumes when they do so while recommending not to invest in public investments like treasury bonds. Might this be foreshadowing or a sign of things to come? I only wish those running the banking cartel that controls the Fed and the treasury would also recognize reality.
Why buy a treasury bond that returns 3.5% when that barely matches the  inflation of the dollar by the Fed? Maybe that's why the Fed is  increasing the frequency and volume of bond purchases to make up for  reduced demand by private buyers...