Think YOU Can’t Be Scammed
By: Tim Butt
Let me be perfectly blunt about this issue: If you think you and your investments CAN’T be scammed due to your due diligence, you’re being extremely naïve and foolish and you’re gambling with your life’s savings. There is not a day that goes by without investors being scammed by so-called financial professionals, the financial services industry, and Wall Street. Here are two examples that came across my desk today:
- Investors say funds just ponzi scheme – This hit home as it occurred where I live, Columbus Ohio. The investors, who were mostly Gen-X age investors, lost over $600,000 in funds providing a guaranteed annual return (that should have raised an immediate ‘red flag’ to stop and run the other direction). What was most troubling was this financial advisor “targeted leaders and members of church and religious organizations” to gain their trust.
- Citigroup to pay $285 Million to settle SEC charges – This settlement was for misleading investors and they really must have misled investors for that fine. Citigroup admitted NO guilt by agreeing to pay this settlement. This is a classic example of ‘their game’. While investors were losing hundreds of millions of dollars in net worth due to being misled by Citigroup advisors, Citigroup was making money betting against the very investment products being sold to their investors.
I’m not surprised in the least by these stories or by the ‘Occupy Wall Street’ protests for that matter. What I am surprised about is the demographics of those protesting. When I first heard about this movement, I thought it would have been represented by investors that:
- Been scammed personally
- Known someone who was scammed
- Knowledge of the self-serving nature of this greedy industry
That would have touched millions of investors and could have created a ‘mass exodus’ from Wall Street and the financial service industries.
So, here’s what’s making Tim Mad-as-Hell this week – The increased and continual pace of investment scams, misleading of investors, conflicts of interest, greed, fraud, etc. that has permeated this industry and its almost complete lack of moral consciousness.
Here’s today’s take away: The possibility of being scammed can be completely eliminated, if investors so choose.
Here’s tomorrow’s guarantee: We’ll plant ‘seeds of change’ that will teach you four simple investment principles. If followed, any/all investors can implement these on their own and begin the process of building wealth for themselves…rather than the shysters of Wall Street.