MoreWhat Matters: Money and Investing
Money & Investing: Wall Street “Trust Me” Victims Win, Plus How Not to be Burned By Your Broker
Los Angeles, CA June 6 2007
In turbulent times like these, knowing where your retirement money, the money for your children’s education, for emergencies, for general savings and investing is more important than ever. “Many burned investors (aka victims), —defined as those abused by Wall Streeters, money managers, investment advisors—, rely on the ‘trust me’ principle of investing,” says Securities Arbitration’s Paul Young, a 19 year advocate and veteran investment fraud fighter for Main Streeters who has recovered millions from Wall Street for burned investors nationwide.
“And so they do. They trust and rely on the financial person and simply float along in a false sense of security. This is the real world.
When investments tank and life savings are lost due to greed, high risk, commission grabs, negligence, and other abuses, invariably and inevitably the Main Street victim finds out and then waits. And waits. And does so because he or she is embarrassed, angry, frustrated,” continues Young. “I have had many clients who finally garnered the strength to get help but never told their family. They avoided telling their spouse and family because through securities arbitration they recovered some, most, all or more than all of their money lost due to Wall Street misconduct, thus the family never needed to learn of the victimization.”
“In addition to fighting Wall Street for Main Streeters victimized by investment pros and firms utilizing the excellent cost effective and time efficient system of securities arbitration and mediation, investor education is part of our mission,” reports Securities Arbitration’s Young. “And while one new securities arbitration case is filed on average every two hours of every day, we suspect, based on experience, that for every case filed against Wall Street, another ten are not due to the twin demons of embarrassment and anger, either one or both tend to create inertia,” laments Young.
Don’t Be A VICTIM: To help people avoid being burned by brokers, once again here is our exclusive and simple guide for air and publication that we distribute annually and urge wide media exposure:
How to Choose a Good Stockbroker – At a Glance
1. Ask your friends and business associates for the names of stockbrokers, financial planners, registered investment advisers that they successfully use.
2. Interview prospective brokers and firms. Do not be tempted to go with the first broker you interview. Remember, the broker will be working for you and you will be paying the broker for services.
3. Check out the broker and the firm. How long has the firm been in business? What is the background of the broker? How about complaints against the firm and broker? Ask these questions and also get the official report on the broker and the firm at www.nasd.com - for free, or from your state securities office.
4. Interview the broker’s branch manager or supervisor. Ask him or her the same questions you’ve asked the broker. If the manager is “too busy” to speak with you, go someplace else. If the manager is “too busy” now, what would happen if you have a complaint later?
5. References are important. Ask the broker for the names of 10 current clients. Call them all. Ask a lot of questions. Good brokers will provide references on your promise not to ask references the particulars of their own finances.
6. Broker product knowledge is critical. Does the broker want to sell you one certain type of product or will the broker propose, in writing, a comprehensive strategy tailored to your specific needs, now and in the future? How about a 3, 5, 10 year written PLAN OF ACTION? Ask for it and get it.
7. Commissions and fees count. You are entitled to know, before you invest in anything, the total fees and commissions you will be paying. Don’t be embarrassed. Ask!
8. Contact your broker regularly. At least once every two weeks by phone, in-person once a month, if possible. Do a “status” check on your account often, particularly when a major change in your life circumstances takes place. Don’t delay in informing the broker of a job loss, a family illness, or other significant change in your situation. Life is not static; change is the only constant.
9. Statements can be difficult to read. Go over your statement each month. If you do not understand it, call the broker. If you still don’t understand it or you see something that appears out of line, call the branch manager.
10. Take responsibility for your money. Be involved in all phases of your investments. Keep informed. Trust the pros but verified trust is best. Make investment changes as the changing world and your life circumstances warrant.
© 1990, 2005, 2007 by Paul N. Young. Securities Arbitration Hotline (1-800-222-4724).
Publishing notes: Any print, web, broadcast outlet may reproduce the 10 Point Program without obtaining prior consent of Paul Young if, and only if, full attribution accompanies including the source name: Securities Arbitration Hotline and the number: 1-800-222-4724.
Who we are: Paul Young (”Mr. Securities Arbitration”), an experienced advocate for burned investors nationwide, is the founder of Securities Arbitration Group and the Securities Arbitration Hotline @ 1-800-222-4724. Our national team’s job is to get money back for burned MainStreeters case by case by case. Young is fully media experienced, print and air. He is available for interviews, guest appearances and news spots 24/7.
Journalists: Call Caren at the number above.
Burned Investors: Securities Arbitration Hotline @ 1-800-222-4724 is free and available nationwide.
Now, more than ever, real life and real world realities must be exposed and solutions offered. This money matters topic can play a role in helping people make these turbulent times less so.
Caren Gellman (FraudFight@aol.com)
Media Relations
Securities Arbitration Group
11950 San Vicente Bl.
Los Angeles, CA 90049
Phone : 310-826-0278