Regulators Warn Investors about the Dangers of Crowd Funding Investments
The North American Securities Administrators Association (NASAA), an organization comprised of the 50 state securities regulators, believes that the crowd funding provisions of the so-called JOBS Act...
View ArticleGreater Volatility Equals Lower Returns
A recent study has concluded that investments that have higher volatility generate lower returns for investors. For many years, it has been a basic precept of modern portfolio theory that the price of...
View ArticleFacebook Underwriters Make Millions – Investors Lose Their Shirts
In addition to substantial IPO fees, the Facebook underwriters headed by Morgan Stanley made “a profit of about $100 million” through an options bet which benefits the banks when the IPO price is too...
View ArticleThe Facebook Fiasco Confirms that Wall Street Views Smaller Investors as...
Facebook made national headlines last Friday when the social networking giant sold shares to the general public in its IPO. The company is now making even more headlines as investors have filed...
View ArticleWas Facebook’s Disastrous IPO Rigged by Wall Street?
The house always wins. That saying was originally meant to warn people away from the Vegas Strip on Las Vegas Boulevard. But sometimes it applies even more strongly to Wall Street. Recently, investors...
View ArticleInsider Trading Problems at JP Morgan
More bad news for J.P. Morgan Chase ? regulators in Japan have found that a Japanese employee of JP Morgan was involved in insider trading in connection with a share offering by Nippon Sheet Glass Co....
View ArticleMany ‘Safe’ Investments Aren’t So Safe
Wall Street is adept at adjusting its marketing to the times and is never at a loss to pitch products, including those designed to play on investor fears. After all, that is what securities salespeople...
View ArticleSEC Suspends Trading in 16 Stocks
The SEC has halted trading in the shares of a number of companies for various violations, including “lack of current and accurate information,” according to the Wall Street Journal (“SEC Suspends...
View ArticleInvestors Should Be Wary of Variable Prepaid Forward Transactions
Variable prepaid forward transactions result in a huge judgment against JPMorgan. An Oklahoma state court judge recently found that JPMorgan Chase breached its fiduciary duty as a co-trustee of a trust...
View ArticleBubbles are Plentiful in the Investment Markets
Experts are seeing signs of bubbles in stocks, bonds and farmland. This froth is basically the result of the Federal Reserve’s policy of credit easing – implemented primarily by its purchase of...
View Article