Tuesday, August 31, 2010

Druckenmiller, Social Financial Genius

In order to generate a profitable return on an investment, there must be speculation in its market.  

Here, the investment is human capital and the market is society.
Schooling, a computer training course, expenditures on medical care, and lectures on the virtues of punctuality and honesty are also capital. That is because they raise earnings, improve health, or add to a person’s good habits over much of his lifetime. Therefore, economists regard expenditures on education, training, medical care, and so on as investments in human capital. They are called human capital because people cannot be separated from their knowledge, skills, health, or values in the way they can be separated from their financial and physical assets.
For about the last 30 years, there has been a significant departure in the investment in human capitol.  This is obviously notable in the U.S. High School dropout rates and the medical industry. 

When I speak of the medical industry, I speak upon the research sectors of policy, information technology, performance standards, costs and benefits.  The United States has remained stagnant in the medical research sectors, relying upon its traditional structures of producing low growth and low yields in human capital.  Universities have been found to publish biased and false research, neglecting to speculate the improvements to human capital. 

To a hedge fund, this is prime opportunity for investment in the shares, debt and commodities of the emerging market of human capital of children.  In order to produce a tax-paying citizen, the strategy must begin by setting the best interest rates of children.

Stanley Druckenmiller, Social Financial Genius
Stanley Druckenmiller (left) is not a Robin Hood, he, and his counterparts, are social financial geniuses.  

Hedge fund investments in human capital will produce consumers who will perform to revitalize the financial markets.  What better way for a corporation to continue to be profitable and establish a legacy than to groom and grow its own future customers with the marketing tool of philanthropy.

It looks like the child abuse propaganda industry is, for the first time in history, coming face-to-face with principles of free market.  Meet the competition:

Druckenmiller Sends Millions to Children, Robin Hood

Last year, billionaire fund manager Stanley F. Druckenmiller shifted $700 million of his own money to his family foundation. Before the transfer, the foundation had assets of about $6.5 million.

Transferring a quarter of his reported net worth to the nonprofit earned Druckenmiller the Chronicle of Philanthropy’s No. 1 ranking of largest individual charitable contributions in 2009. That year, he and his wife, Fiona, gave $100 million to New York University’s Langone Medical Center to create a neuroscience institute.

“The foundation gives you a billboard that says, ‘These are the causes I support,’” Stacy Palmer, the Chronicle’s editor, said in a phone interview. “It certainly lets nonprofits know what’s available.”

Druckenmiller, 57, said on Aug. 18 that he plans to shut down his hedge fund, Duquesne Capital Management LLC, which oversees $12 billion, and spend more time on philanthropy. Topping his list is serving as chairman of the board of Harlem Children’s Zone, a nonprofit that assist at-risk children and adults.

 

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