Every investor is looking for an edge. Usually, the edge they seek is legitimate. Investors are allowed to research companies using publicly available information such as annual reports, assessments by experts and other relevant information in order to develop an...
Great periods of economic instability often lead to increased fraud. We saw this after the stock market collapse of 2008, and we saw it again as the pandemic shook up markets across the world. We even noted this fact last year when the Securities and Exchange...
The Securities and Exchange Commission has uncovered a massive pyramid scheme involving several fraudulent entities. The alleged scheme involved offering e-coin “mining packages” that promised to pay daily returns of 1% for up to a year. As you might expect, they...
A publicly traded asset manager, Medley Management, and its two co-CEOs are facing charges of misleading clients and investors. The company and its leaders are accused of making misrepresentations “that created the illusion of Medley’s likely future growth.” In fact,...
Investment advisors and brokers who invest on others’ behalf are required to have a reasonable basis to believe that the investments they choose are suitable for the customer’s investment profile. They must be acting on information obtained through reasonable...
If you believe that a broker or brokerage firm has treated you unfairly, you may have a claim for money damages. Depending on your exact situation, you may wish to seek damages in arbitration through the Financial Industry Regulatory Authority (FINRA). FINRA is a...
The SEC recently charged the founder and chief investment officer at Infinity Q Capital Management with a massive over-valuation scam. The man allegedly pocketed millions in fees by overvaluing its private fund and mutual fund and masking their real performance. The...
A New York robo-adviser that claimed to offer investments that complied with Shari-ah (Islamic) law ran afoul of securities law recently. The SEC charged the company, Wahed Invest, LLC, with breach of fiduciary duty, misleading investors and compliance failures. Wahed...
We would all like to get in on the ground floor with a promising stock, but that’s easier said than done. How do you know what’s likely to take off in value? What makes a stock promising? Perhaps the first thing you should check is whether you’re actually getting...
In part 1 of this post, we described self-directed individual retirement accounts (SDIRAs) and how they differ from traditional individual retirement accounts (IRAs), including ROTH IRAs. Broadly, traditional IRAs invest in conventional products like stocks, mutual...
