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Category Archives: Malfeasance And Fraud


Congressional Insider Trading and American Hypocrisy

Have American politics finally become as debauched as the late Roman Empire? A recent exposé by 60 Minutes on Nancy Pelosi’s insider trading activity and the resulting media storm have left much of America agape. Can it really be that the same congressional leaders that have established laws to firmly punish insider traders such as [...]

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MF Global’s PIIGS Problem

For some investors this Halloween, a trick instead of a treat was found in their proverbial retirement portfolio bag. Why? Because of the spooky gift supplied to clients via MF Global’s announcement of bankruptcy, the eighth largest in U.S. history. Any while many investors had previously never heard of MF Global, the firm’s failure led [...]

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Three Investment Lesson from the Fall of the Insider King

Raj Rajaratnam, founder of the Galleon Group Hedge Fund, was found guilty this past Wednesday in what has become the new high-water mark for insider trading convictions. Lining his own pockets with over $63.8 million in illegal windfall from his insider scam, this once humble Sri Lankan son of a sewing machine company manager grew [...]

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The Calculus of Trust

The bestselling book “Freakonomics” chronicles the search for the hidden incentives behind all sorts of behavior.  It characterizes the field of economics as the study of incentives – how people get what they want, or need, especially when other people want or need the same thing.  “Freakonomics” gives entertaining examples of how odd results can [...]

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Is Obama's New "Big Brother" Big Enough? — Protecting Your Retirement Dollars

Whether a reference to George Orwell’s authoritarian character from Nineteen Eighty-Four, or a more affectionate reference to an older, more experienced sibling who is looking out for your interests, some form of the Big Brother spirit is at work in the current financial reform laws. In a passionate attempt to protect the individual investor from [...]

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Does the Candyman Have You Hooked? — Consider Discharging Your Investment Adviser

For some, The Candy Man is a fun ditty from the 1971 movie “Willie Wonka and The Chocolate Factory.” The phrase, however, has its origins in a much more sinister past. As stated in the May 1976 article of the Oxford Journal, the etymological origins of the term “candyman” are rooted in a historic coalminers’ [...]

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Get Wall Street Out of Your Pocketbook by Removing the Intermediaries

Just when we thought we were through hearing about the Wall Street hooligans and their criminal vices our “untouchable” friends at Goldman Sachs made the news twice. The Wall Street Journal revealed that the SEC has found criminal doings at Goldman. With one hand secretly cramming worthless mortgaged backed securities into their valued clients accounts, the [...]

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Behind Closed Doors – The Untold Story About Diversification

Have you ever been a part of one of those trusted conversations where you become privy to information that is so powerful it would disrupt the status quo? Think of the conversations that occur behind closed doors at the White House, corporate boardrooms or U.S. Central Command. We all understand that there are elements of [...]

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'24' Star Kiefer Sutherland Blows Up His Retirement Portfolio

The news about retirement portfolio investing this week has been a little light, so we start with the lighter side.  Kiefer Sutherland’s misfortune is not funny, but we’ve watched our hero in “24″ defy the odds of multiple life and death situations.  So it’s ironic that in real life, he too fell victim to an [...]

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Investing for Beginners: Avoid the Tempting Scams

Investing for beginners, as well as those more financially savvy, can oftentimes be a daunting task as there are many investment choices and unfortunately many schemes making promises that can’t be kept. As recently exposed in an article in InvestorsInsight.com ‘Record Year For Ponzi Schemes’ investors are oftentimes lured in by investment schemes that are just ‘too good to be true’. “It’s [...]

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