As Mania Mounts, Investors Bet The Farm On Bitcoin

Reminiscent of the dot-com boom and bust of 20 years ago, investors are piling into Bitcoin. Bitcoin, the cryptocurrency, has soared in value, starting this year at $1,000 and will likely hit $20,000 in the very near future. In fact, Bitcoin is now in the “mania” phase, with some people even borrowing money to get in on the action, securities regulator …

Sexual Harassment Fallout For Investors

Recent news headlines have revealed that leading politicians, entertainers and prominent business people allegedly have engaged in sexual harassment and assault. The Weinstein Company, a prominent film production company, is in financial dire straits after multiple harassment allegations have surfaced against one of its founders, Harvey Weinstein. These cases are career enders for the named …

Are Retail Investors Heading For The Exit?

Retail investors who have recovered most of their losses from the 2008 financial crisis seem to be getting skittish about the market. According to The Wall Street Journal, investors pulled money out of junk-bond funds at a near record pace over the past week. Net flows from high-yield bond funds jumped to $6.7 billion in …

Post Hurricane Maria, Puerto Rico Bonds Sink Into The Abyss

Hurricane Maria has inflicted tremendous suffering on the Island of Puerto Rico and its 3.5 million inhabitants. Conditions are still perilous almost two months after the storm. Puerto Rico’s people face a lack of potable water, no electricity for 70% of the island and meager amounts of food and medical supplies.  While FEMA and first responders …

Dallas Cowboys RB Suing Ameriprise Investment Broker for $15 Million

While many victims of investment fraud are ordinary “mom and pop” investors, anyone who invests through a brokerage firm or advisor faces the risk of suffering fraudulent losses. This is true not only for those who invest with small firms operated by scam artists, but for those who invest with major financial institutions as well. …

New Survey Warns that Senior Investment Fraud is on the Rise

While senior investment fraud has long been a major concern, a recent study suggests that senior investors now have even more reason to do their due diligence and carefully monitor their investment portfolios. According to the North American Securities Administrators Association’s (NASAA) Seniors & Financial Exploitation survey published August 2017, while more seniors are aware …

Is History Repeating Itself As The Market Grows For Dangerous CDOs?

Regular readers of this blog know that on Wall Street, greed is considered good. Big banks keep on repeating the mistakes of yesterday. Never mind the often, disastrous consequences that follow. In fact, one of the biggest mistakes, high-risk collateralized debt obligations, CDOs, is once again on the rise after years of decline following the …

SEC, FINRA Warn of Investment Scams Related to Hurricanes Harvey and Irma

“It may not be possible to predict when the next natural disaster will take place. What you can count on is that when it happens, scammers will try to take advantage of the situation.” These words from the Financial Industry Regulatory Authority (FINRA) underscore one of the hidden risks associated with the recent hurricanes that …

Recent Forbes Article Highlights Fraud Risks Facing Individual Investors

A recent article on Forbes.com highlights many of the types of investment scams that target individual investors. While many of these scams target inexperienced investors and individuals who may not have previously been considering investing at all, several recent high-profile cases have shown that even savvy investors who understand the markets and who know how …

HSBC Latest Among Big Brokerage Firms to Pay for Securities Fraud

A recent article from Investment News exposes the sad case of an elderly blind man who lost approximately $200,000 when he mistakenly placed his trust in a seemingly-friendly broker employed by HSBC Securities. Over a several-year period, the broker purchased two New York apartments for himself using the elderly man’s funds, while reportedly misrepresenting that …