Is this a news story or an opinion piece? Where are the quotes from the anti Hedge Clipper side? This is balanced reporting?
4
$40mm over the last 15 years, $2.66mm per year, does not sound like all that much in the context of New York State political contributions. Perhaps the author could have given us overall contribution numbers to give us more context. The NYC United Federation of Teachers alone gave $4.7mm to political contributions last year alone. Is that ok, but others donation are not ok? Let's try to keep balanced and not let our biases blind us . The facts are friendly.
3
Actually, if one does one's homework, the United Federation of Teachers has spent far more than the totals cited in the article spent by hedge funds on NY political contributions.
3
I'm not opposed to charter schools (there's a wide variety, some good, some dreadful. In addition the UFT's political activity is exclusively self-serving, and it (the UFT) totally shafts substitute teachers. Therefore, I am in favor of separating UFT issues from this country's robbing-the-middle-class-to-give-to-the-rich tax policies.
2
212Realnewyork and NC in NYC are perfect examples of 2 people just "coincidentally" posting exactly the same misleading facts that the very well-funded charter folks PR staff use in press releases ad nauseam. Hmmmm...
Apparently, there is no need for any charter school regulation or oversight and anything unethical practices they use may not be mentioned because there is a bad union teacher out there somewhere. Of course, those same people would never complain that one criminal hedge funder means we have to get rid of all hedge funds but honesty has never been part of their modus operandi. Who else would support a charter school that keeps claiming their students are just like the ones in the failing schools when every sentient person knows they are not? No wonder they are terrified of any occasion when the NY Times bothers to report on their inconsistencies and hypocrisy.
Apparently, there is no need for any charter school regulation or oversight and anything unethical practices they use may not be mentioned because there is a bad union teacher out there somewhere. Of course, those same people would never complain that one criminal hedge funder means we have to get rid of all hedge funds but honesty has never been part of their modus operandi. Who else would support a charter school that keeps claiming their students are just like the ones in the failing schools when every sentient person knows they are not? No wonder they are terrified of any occasion when the NY Times bothers to report on their inconsistencies and hypocrisy.
13
Wait a minute.....Does Big City and everyone see what this is.
These guys are being attacked by the UFTA for backing Charter Schools and spending their money on them. IF they just hoarded their money , there would be no protest. But they are spending money on schools that actually work and teach children, unlike so many UFTA controlled public schools.
Does the Union have any shame? Every day I believe more and more that they do not care about teaching kids, just their own jobs and benefits. How else can you explain it. Clearly the Charters are doing something right (if not, they are closed or the teachers let go). Why not take what they are doing and expand on it and bring it all the city kids who desperately need an education to make it in this society ? The UFTA will never get any sympathy from me while they continue to put thier own selfish interests ahead of children. Why is it so impossible to fire a teacher in a union nyc school? clearly some of them are not good and should something else instead of collecting a paycheck to sit in a rubber room for decades.
Why does this NYT column continue to weekly show only one extreme side to every story?
just sad and disturbing.
These guys are being attacked by the UFTA for backing Charter Schools and spending their money on them. IF they just hoarded their money , there would be no protest. But they are spending money on schools that actually work and teach children, unlike so many UFTA controlled public schools.
Does the Union have any shame? Every day I believe more and more that they do not care about teaching kids, just their own jobs and benefits. How else can you explain it. Clearly the Charters are doing something right (if not, they are closed or the teachers let go). Why not take what they are doing and expand on it and bring it all the city kids who desperately need an education to make it in this society ? The UFTA will never get any sympathy from me while they continue to put thier own selfish interests ahead of children. Why is it so impossible to fire a teacher in a union nyc school? clearly some of them are not good and should something else instead of collecting a paycheck to sit in a rubber room for decades.
Why does this NYT column continue to weekly show only one extreme side to every story?
just sad and disturbing.
5
I've read and re-read this article a few times and just can't stop shaking my head. So let me get this straight, some billionaires want to donate money to set up charter schools to help inner-city children get a fighting chance to do better with their lives? The "Hedge Clippers" are backed by the Teachers Union which promotes seniority, tenure, mediocrity and failure of its students. It's shocking to read these stories in the paper about a teacher committing some act which in the real world, excuse me, the private sector, would have them fired but because the union drags it out, they are sent off to some room where they show up every day with a paycheck and retire with a generous pension and benefits. What's missing here is a focus on the children and the great progress charter schools in general are making in this country. Not every charter school is top-notch but this is the only hope that children in some of these lower socioeconomic areas have of getting out and going to college, or even making sure they get a high school diploma and can read and write. Lastly, I think most people would agree in this country that the gap between the rich and poor has widened significantly, but let's not forget, NYC is toast without the financial industry and at some point if the taxes are too onerous, you move your firm to Florida or Texas or some other low or no tax locale. What is our hopefully one-term mayor's plan then? Hopefully he won't hit the snooze button.
9
You need to learn more about the topic. The hedge funds aren't doing this out of the goodness of their hearts. They have a huge profit motive and no actual care of learning. You think they give a fig about your kids? REally?
23
What is missing is that those billionaires who are donating money to set up charter schools are ALSO lobbying to keep their taxes outrageously low because they claim public schools don't need more money!
Charter schools aren't making "great progress". And the one chain that the 1% is supporting the most has dropped lottery priority for low-income students zoned for failing public schools in favor of lottery priority for students who live in the district. I am sure it is only a coincidence that most of their new schools happen to be located in districts with the smallest number of low income students. If you are going to insist that district students get priority for your school, why wouldn't you open all your new schools in districts where there is the most need? Is it too expensive to educate those kids? Is it a desire to undermine the public schools that are working by recruiting the parents with means and college educations by dangling all the bells and whistles those hedge funders' millions can provide? Anyone who doesn't understand what is wrong with this doesn't really care about educating the most at-risk students - they care about undermining public schools, period. If that was not their agenda, they would be criticizing any charter school that refused to give priority to the students who need them the most, instead of rewarding that charter school with millions in donations!
Charter schools aren't making "great progress". And the one chain that the 1% is supporting the most has dropped lottery priority for low-income students zoned for failing public schools in favor of lottery priority for students who live in the district. I am sure it is only a coincidence that most of their new schools happen to be located in districts with the smallest number of low income students. If you are going to insist that district students get priority for your school, why wouldn't you open all your new schools in districts where there is the most need? Is it too expensive to educate those kids? Is it a desire to undermine the public schools that are working by recruiting the parents with means and college educations by dangling all the bells and whistles those hedge funders' millions can provide? Anyone who doesn't understand what is wrong with this doesn't really care about educating the most at-risk students - they care about undermining public schools, period. If that was not their agenda, they would be criticizing any charter school that refused to give priority to the students who need them the most, instead of rewarding that charter school with millions in donations!
17
BNYgal, how many hedge fund managers do you personally know, and how many of them have expressed that they do not care about your kids? Donating to schools is bad? Profits, where are the profits you refer to in schools? Explain.
1
Hedge Funds as well as Private Equity are one of the major causes for our stagnant economy where permanent unemployment reigns and those who have jobs have no security or benefits. Why?
The low, low interest rates that should be fueling capital investment and improvements in infrastructure are instead fueling the hedge fund industry which borrows money from the banks to buy up securities for short term trades. The result is inflated and volatile prices where profits are made not in years of investment but in minutes if not seconds.
The biggest fortunes in NY and Conn. have been made by hedge fund managers and these fortunes have all been made on borrowed money. None of this builds an economy for the future.
The hubris of hedge fund "gurus" is astounding. From demonizing unions to degrading the whole teaching profession, these traders with billions in their pockets have now become the new aristocracy who want to rule the peasants. They are not interested in educating the masses, they are interested in low wages, no challenge to management, and enjoy their low, low taxes.
The low, low interest rates that should be fueling capital investment and improvements in infrastructure are instead fueling the hedge fund industry which borrows money from the banks to buy up securities for short term trades. The result is inflated and volatile prices where profits are made not in years of investment but in minutes if not seconds.
The biggest fortunes in NY and Conn. have been made by hedge fund managers and these fortunes have all been made on borrowed money. None of this builds an economy for the future.
The hubris of hedge fund "gurus" is astounding. From demonizing unions to degrading the whole teaching profession, these traders with billions in their pockets have now become the new aristocracy who want to rule the peasants. They are not interested in educating the masses, they are interested in low wages, no challenge to management, and enjoy their low, low taxes.
21
Don't hedge funds typically receive specific tax credits for supporting charter schools? They do, through the Community Renewal Tax Relief Act of 2000, renewed several times since. Hedge funds are hardly uninterested do-gooders when it comes to education, as they like to portray themselves.
14
Actually the Community Renewal Tax Relief is only for businesses hiring in that community. Unless the hedge funds you refer to own the whole schools, a charitable donation does not trigger Community Renewal Tax Relief credits, rhubarb.
If you have a conference titled: "Bonds & Blackboards: Investing in Charter Schools,” then you know it is not about education but about investments. And what is the goal of any investment--profit! So we have the profit motive, the power and control motive in educational affairs. Nothing to do with improving public education. And, as two readers complained, it is just jealousy between money and union--or the amount of money spent on education divided by the number of students enrolled, then you both have missed the point. Education begins when baby is born--that's where poverty and/or low family wages influence the outcome. But the charter schools and the hedge funds see it as another investment stream and legislative influence. Why shouldn't the union fight them--who else will?
18
Yes carried interest should be taxed as ordinary income. But no group has bled New York more than the self interest of the teacher's union. Tenure, Lack of accountability, scores of teachers being paid for not teaching are the mantra of the union. They decry the political influence of hedge funds but they control Albany and the Democratic Assembly. Charter schools provide competition which is an anathema to the union. It is time for a level playing field and unions are losing because they defy meaningful reform. Stop marching and heal yourselves.
8
Many posters here are pointing fingers only at the GOP.
And yet during Obama's first run, the Wall St. sector was tops on his donor list. Then he proceeded to tell us that Wall St. broke no laws. Sen. Durbin correctly pointed out that 'they own the place.' Sen. Warren rails endlessly about their excesses, but supports 'the War on Terror (c)' and every Wall St. minion that Obama puts in his cabinet.
The point is neither party is our friend. They both dance to the tune of their corporate masters, and expect us to be content with the few crumbs they throw our way. And the sad part is, we are.
Funny to think that anyone today who advocates a tax policy that essentially mimics that of the Eisenhower administration, when we were the strongest nation in the world and had free highways, public schools and a sane health care system, is automatically labeled with the pejorative 'Socialist.'
Well if that's what it takes to right this ship, then I for one am all in.
And yet during Obama's first run, the Wall St. sector was tops on his donor list. Then he proceeded to tell us that Wall St. broke no laws. Sen. Durbin correctly pointed out that 'they own the place.' Sen. Warren rails endlessly about their excesses, but supports 'the War on Terror (c)' and every Wall St. minion that Obama puts in his cabinet.
The point is neither party is our friend. They both dance to the tune of their corporate masters, and expect us to be content with the few crumbs they throw our way. And the sad part is, we are.
Funny to think that anyone today who advocates a tax policy that essentially mimics that of the Eisenhower administration, when we were the strongest nation in the world and had free highways, public schools and a sane health care system, is automatically labeled with the pejorative 'Socialist.'
Well if that's what it takes to right this ship, then I for one am all in.
10
Interesting. The truckng company FreshDirect was founded by a bunch of hedge founders, led by billionaire Peter Ackerman, close friend of Bloomberg. Why deblasio hasn't killed the proposed $200million or whatever it is in tax money and land giveaways I do not nderstand. He promised.
5
HedgeClippers may be funded by union dollars, but frankly an expose on the hedge fund community is very much needed. Most of these funds have investment time frames of under 18 months; they simply are not long term investors. Too often Boards are more concerned about their protecting their own jobs and cave to the demands of these "renters" of common stock. I am an investment manager, and find these funds and activities appalling, and I applaud the union's support of HedgeClippers. Dont turn off the bright lights please!
15
The final irony is that the hedge fund industry does not out perform index finds like Vanguard. They appear to actually be a form of social bonding by the Power Elite.
11
Thank you, Ginia Bellafonte, for a very eye-opening article!
11
"... why our new Gilded Age has failed to produce anything close to the rioting and activism of the previous one?"
99% has not yet been sufficiently raped and plundered to grab pitchforks.
99% has not yet been sufficiently raped and plundered to grab pitchforks.
7
Three critical omissions: New York's schools have the highest per-pupil spending in the nation; the "Hedge Clippers" are entirely funded by unions; and New York has the highest tax burden of any state, with lousy services and a crumbling infrastructure to show for it. Something tells me neither the hedge funders nor the Hedge Clippers are really all that concerned about the rest of us.
19
The New York City schools have probably the greatest number of "in need" students. The schools won a lawsuit that ordered increased state funding that was abruptly canceled at the start of the fiscal crisis. Tax abatements were not!
I am a retired union member. I don't want my pension funds handled by people who then politically work against the needs of the public schools. They are creating a privatized system that engages in a perverse socio-economic-cultural discrimination.
I don't complain about my taxes. Services cost money. If you have it, pay it, pay it gratefully! As for crumbling infrastructure, ride the subways! The poor do and the state and the MTA have deliberately let the subways crumble while tax abatements go on!
Go to Alabama if you are so unhappy in New York!
I am a retired union member. I don't want my pension funds handled by people who then politically work against the needs of the public schools. They are creating a privatized system that engages in a perverse socio-economic-cultural discrimination.
I don't complain about my taxes. Services cost money. If you have it, pay it, pay it gratefully! As for crumbling infrastructure, ride the subways! The poor do and the state and the MTA have deliberately let the subways crumble while tax abatements go on!
Go to Alabama if you are so unhappy in New York!
17
One has to ask for documentation of the "facts" that M. Empty Wallet?? of New York has come up with. Hedge Clippers are entirely funded by unions _ really?- I 'd like to see some actual proof of this as I don't believe it at all. High tax burden in New York - hey, go live in another state then, try Mississippi. New York is the heart of our country with most tourists and young people coming here because - hey, if you can make it here, you can make it anywhere!! And you are right, M. Empty Wallet, we are not concerned about those Hedge Funds = they do just fine on their own as they try to destroy public education here in New York. He who knows nothing speaks the loudest. Confucius said it. Well, actually I said it.
8
Empty Wallet. Who are the unions? Are they not working people?
8
To paraphrase the NT biblical instruction, I would suggest that Zephyr Teachout remove the AFT splinter in her own eye, before trying to dislodge the one in Paul Tudor Jones' or Dan Loeb's. Jealousy is a cardinal sin, perhaps not in the syllabus at Fordham law any more.
8
So is pride, Jack.
16
I can't see how your comment makes sense. Multi-millionaires are making money off the backs of teachers and children, and Zephyr Teachout is "jealous."
7
BRAVO to Ginia Bellafante and the NYT for publishing this truth-to-money&power article. We need more articles like this that inform the public about the self-serving agenda and hypocrisy of the billionaire boys such as PT Jones II. I am going to join the Hedge Clippers!
53
The American people just don't seem to realize what the GOP and their corporate minions are doing. Their gutting the middle class by destroying both public and private unions. They're stripping all support from the working poor, they're funneling the money to the 1% and they're being abetted by a handpicked supreme court that is reversing decades of progress. We better wake up before it's too late.
46
Stop it. As long as this is viewed as just a REPUBLICAN problem the problem it will never be solved. The Rich DEMOCRATIC Party elite are just as much in involved with with hedge fund abuse. Do you know who is most responsible for an preventing elimination of the carry interest income tax ripoff no one other than Democratic Senator Charles Schumer the next Democratic Party Leader of the U.S. Senate. And that the Bill & Hillary Clinton Foundation is a major beneficiary of hedge find largesse.
And how about this right from this article ..."This week they released a paper detailing the flow of money from hedge fund managers and high-frequency traders into Rahm Emanuel’s coffers; in Chicago, Mr. Emanuel’s mayoral tenure has been challenged by a bid from the left."
And how about this right from this article ..."This week they released a paper detailing the flow of money from hedge fund managers and high-frequency traders into Rahm Emanuel’s coffers; in Chicago, Mr. Emanuel’s mayoral tenure has been challenged by a bid from the left."
7
Ignorant partisanship or informed partisanship is responsible for much of what is dysfunctional for the 90%.
This post is a case in point. Democrats and republicans are equally at the root of the financial woes of the middle classes. The Unions are every bit as much at fault for raising the prices of that which we buy or the services that we use, particklerly those of government whose unionized workers aren't worth half of what they get in pay and benefits.
ANY entity that seeks to take more for the few----and uinonized workers are in the minority by a long shot---are a burden on those that must pay them.
Management to is equally if not more so at fault for giving in to the unions in the past and causing companies to eliminate tens of millions of jobs.
I don't know who is financing the Hedge Clippers, and on the surface I agree with much of the anger in their protest and their activism.
But whenever the unions' ugly head surfaces as being behind any movement I see them too as being for a tiny minority at the expense of the rest of us, resulting in, say, a pickup truck costing 35,000 stripped and 60,000 loaded when it is worth half that. Or a government worker who cannot be fired for the most egregious acts of malfeasance, dereliction and just plain incompetence, rudeness, and uncaring service.
This post is a case in point. Democrats and republicans are equally at the root of the financial woes of the middle classes. The Unions are every bit as much at fault for raising the prices of that which we buy or the services that we use, particklerly those of government whose unionized workers aren't worth half of what they get in pay and benefits.
ANY entity that seeks to take more for the few----and uinonized workers are in the minority by a long shot---are a burden on those that must pay them.
Management to is equally if not more so at fault for giving in to the unions in the past and causing companies to eliminate tens of millions of jobs.
I don't know who is financing the Hedge Clippers, and on the surface I agree with much of the anger in their protest and their activism.
But whenever the unions' ugly head surfaces as being behind any movement I see them too as being for a tiny minority at the expense of the rest of us, resulting in, say, a pickup truck costing 35,000 stripped and 60,000 loaded when it is worth half that. Or a government worker who cannot be fired for the most egregious acts of malfeasance, dereliction and just plain incompetence, rudeness, and uncaring service.
1
No, you stop it. Of course there are Democrats who are influenced by money. But it is not Democratic governors that are working to destroy unions that helped create the middle class in this country. It is republican governors.
2
Outrageous, but no longer surprising!
7
Good. Keep shining a light on this. We need to have reforms enacted for this new Gilded Age, just as the previous one led to changes. The financial industry and big-money corporations will fight it to the last nickel, but this battle cannot be abandoned, nor can it be lost. We, the vast majority of citizens, cannot afford to lose it.
53