19th June 2011
On the Huffington Post Barry Silbert begins the start of what promises to be a brilliant series about the Great American Disconnect. He argues that the US must move to being a growth economy and that much of the problem lies with the failure to back small listed businesses with capital.
One of his big concerns surrounds the death of America's small share brokerages which would promote the shares of smaller companies. He says these companies lost one means of financing themselves – because share prices were quoted in fractions of a quarter and a half, and brokers could make a turn on any difference. They can't obviously do this with decimalisation. But small local brokerages also lost out to online brokerages which now concentrate on the big stocks. In the next in the series he promises to suggest some answers.