Tuesday, March 3, 2009

Financial Scams... What we should do to prevent being mislead (and robbed)?

Talking once again about financial scams when for the third time, we've learned now that two Investment Management firms in the US created another massive fraud against investors, we can't believe what's going on in a badly embattled financial industry and obviously, many tough questions arise as to what the financial regulator is doing and how it's doing its job... Why the incompetence to oversee how financial firms and persons are working and managing millions of dollars?

While information continues flowing about the most recent scandal involving Allen Stanford, on the one hand, we learn that he also mislead important people in England in order to gain credibility before British investors but on the other hand, there's another unpleasant fact that must be considered: too much credibility on "financial gurus".

What seems to be a considerable "gap" about Financial Literacy, is realizing that people are still being too much credulous about financial gurus who in the end (as long as investors continue being mislead) carry out huge frauds: Bernie Madoff, Allen Stanford and now, James Nicholson, Paul Greenwood and Stephen Walsh.

How many financial scams we will continue witnessing? Could people ask if their money is reasonably safe? (Some people have been talking about other scams involving mortgages...)

How much is too much? Let's watch this video...

- - - - - - - - - -
Financial Culture / Cultura Financiera
Have a comment? Feel free to post!
2008 ©

No comments: