If you learn that your broker mishandled your investment, you probably not only feel outraged at the broker's actions, but you may wonder why the firm the broker works for did not supervise the broker's activities. It is natural to think that brokerage firms have a...
Common types of securities disputes
Disputes are common in the securities industry. Unresolved disputes can lead to costly litigation and other issues that compromise the reputation, credibility and success of the brokers or securities agencies. Though you cannot predict when disputes may occur, it is...
What is insider trading and why is it illegal?
Florida law treats securities fraud in a serious way. If you are facing such charges, your entire life could change. You can expect to deal with a minimum of a fine and prison sentence if convicted. One common example of a securities fraud is insider trading. But what...
Where do fraudsters target investors online?
As an investor, you probably use the internet as a tool. While you may make some worthwhile connections, you also need to keep in mind that there are fraudsters who also utilize the internet. According to the U.S. Securities and Exchange Commission, there are several...
How do I report an issue to the FINRA?
The FINRA is an organization that assists with ensuring fairness in the investment industry. It is not government-associated, but it does help to uphold the law and has regulatory authority granted to it by the government. According to the FINRA, you should always...
Diamond investment scam Ponzi scheme duped hundreds
Millions of people in Florida and throughout the United States invest their money in stocks, mutual funds, investment bonds and physical commodities in hopes of growing their nest egg. As an investor, people also place their trust and assets in the hands of stock...
What is an advance fee scheme?
Many investors know the crushing reality of investing money into something with hope and optimism only to find out that the investment was a mistake. In some cases, it may be your own mistake. You may not have analyzed the situation properly. In other cases, however,...
Key differences between a Ponzi scheme and a pyramid scheme
Ponzi schemes and pyramid schemes are very similar. But there are at least three key differences. Knowing how these schemes work may help investors readily identify these ploys early on. Ponzi schemes and Bernie Madoff Named after the now--notorious 1920s new England...
