RSS Feed
Twitter
Facebook
Email
HomeS&P Ratings: ‘You Didn’t Believe Us, Did You?’
Posted by Larry Doyle on April 23rd, 2013 7:37 AM |
What are the most important issues you face?
I imagine most would think that physical, mental, and emotional well being would rank highest on your list.
Imagine, then, the individuals to whom you went for independent and objective advice on these very personal issues were to inform you that their insights were, in fact, highly conflicted and that their proclamations and prescriptions were actually little more than “puff.” You would probably be more than a little pissed off.
What about your financial well being? (more…)
The Fed Leak: Who is Brian J. Gross?
Posted by Larry Doyle on April 11th, 2013 8:16 AM |
If so, I might caution you from opening e-mail solicitations you receive from individuals in Nigeria informing you that you are the beneficiary of millions of dollars from recently deposed warlords in that nation or other sub-Saharan locales.
I mean, come on. Major financial institutions including Goldman Sachs, JP Morgan Chase, Wells Fargo, The Carlyle Group and more are informed a full day in advance of what the Fed governors are thinking, and the American public is supposed to buy that as an accident? (more…)
Stock Act: Penalty Does NOT Fit the Crime
Posted by Larry Doyle on April 5th, 2012 7:53 AM |
America only had to wait for a 60 Minutes expose and more than half a decade to witness our elected representatives pass a meaningful piece of legislation addressing insider trading on Capitol Hill. If those two basic facts do not speak volumes as to the quality of character of those governing our nation, then let’s navigate further.
President Obama’s signing of the STOCK Act outlawing insider trading in Washington is heralded as a major achievement. If that is the case, then we are holding the bar exceptionally low.
I will grant that our nation is better off having the STOCK Act than not, but let’s hold the applause. As a further reminder that there are two sets of standards in our nation, let’s review how ‘justice’ is defined within the realm of insider trading. (more…)
Will Whistleblower Protections Suffer at Hands of Rep. Michael Grimm “Reaper” (R-NY)?
Posted by Larry Doyle on February 7th, 2012 11:14 AM |
Representative Michael Grimm (R-NY) was ceremoniously inducted into the Sense on Cents Hall of Shame in May 2011. Not that I ever believed there was reason to doubt his induction, but recently I witnessed further reason to cement his status in the elevated ranks of shame.
As regular readers are fully aware, I write passionately about pursuing the truth while promoting investor education and investor protection. The history of the last few years has shown that the financial services industry has not exactly shared our passion.
Who has shared the passion and took very real professional risk in the process? Numerous and sundry whistleblowers. (more…)
Can Whistleblowers ‘Cross-Examine’ the SEC? Part II
Posted by Larry Doyle on January 10th, 2012 6:37 PM |
My commentary the other day entitled Can Whistleblowers ‘Cross-Examine’ the SEC? received a fair bit of attention and some rather interesting comments. In light of the very fluid developments within the realm of financial regulation, I strongly recommend that post.
The primary concern I raised within that commentary – and hence the title – was that a key panel at the upcoming 39th Annual Securities Regulation Institute consists solely of industry insiders. Why might that be such a concern?
Well, one of the main critiques of our financial regulatory system made by many, including Harry Markopolos, has been the revolving door between our regulators and the industry.
Why is a revolving door such a concern? Stick with me here. (more…)
Is Jon Corzine “Too Big to Be Indicted”? Part III
Posted by Larry Doyle on November 22nd, 2011 4:29 PM |
This commentary runs a little long, but I exhort you to read it in its entirety as it captures the sentiments of readers who are extremely close to or actually “in the MF arena.” Their messages are filled with real pain and anguish which is not found in the media. This is reality. I hope you will want to share this post with your friends. LD
As if $600 million in missing customer funds were not enough, recent news emanating from the debacle that defines the bankruptcy of MF Global puts the estimated misappropriation of customer funds at a cool $1.2 billion. Yes, billion with a B!
Those involved in the markets would easily ascertain that those manning the MF Global ship redirected these customer funds in an attempt to save the ship as it was going down. The customers themselves remain in a state of shock and bewilderment as to how this reality might ever have come to pass.
Meanwhile, the outrage in America burns while the lack of trust and confidence in the markets, the market makers, and those charged with protecting investors grows stronger by the day.
You don’t believe me? Read on and chew on these messages I recently received from people “in the arena”: (more…)
UPDATE: Did Wall Street Violate the Racketeering Act?
Posted by Larry Doyle on May 4th, 2011 11:50 AM |
A month ago I questioned whether there was sufficient evidence of abusive and fraudulent practices in the mortgage business on Wall Street (underwriting, servicing, securitizations, etc) to make a case that the industry as a whole violated the Racketeering Act? I would not expect that our ‘leaders’ in Washington would ever think about making that case; that said, I think there is plenty of reason to believe that a very real case could be made.
What will we likely see? Perhaps a number of individual cases. We witness just such a situation today with news that the Department of Justice yesterday filed a lawsuit against Deutsche Bank for lying about the quality of loans made by a mortgage subsidiary of the German bank. (more…)
Will There Be a QE3?
Posted by Larry Doyle on March 28th, 2011 7:56 AM |
Is there really any doubt that virtually all our markets, especially commodities and with the exception of real estate, have been propped higher as a direct or indirect result of the Federal Reserve’s policy of quantitative easing? I have no doubt.
The question remains outstanding just how far the Fed, in concert with its banking friends on Wall Street, has gone and will go to further manipulate our markets. That question may never be fully answered. What a shame! For those who believe a preponderance of truth, transparency, and integrity are the cornerstones for long term fiscal health and financial well being our markets remain a decidedly challenging arena.
In light of this reality and with the end of QE2 on the horizon this June, where do we go from here? A reader posed that very question the other day. (more…)
If It Sounds Too Good To Be True…
Posted by Larry Doyle on January 18th, 2011 9:04 PM |
The market feels firm. Your broker calls with an opportunity that sounds very appealing. You are sitting on cash and feel you may have missed the run in the market. Your cash is generating little to no return. You are contemplating taking a flyer on this “deal.”
Your broker is really pushing you and indicating a lot of people are getting involved in these deals. The highlighted returns look too good to be true. But wait, haven’t you seen this movie before? Remember, ‘if it sounds too good to be true…’ it typically is.
Another play on this same theme was highlighted at Bloomberg a few weeks back. This story deserves serious attention. Pay particular attention to the commissions and fees earned by Wall Street and the risks absorbed by you, the investor. (more…)
Gaining the Edge
Posted by Larry Doyle on December 17th, 2010 7:20 AM |
What competitive individual worth his salt does not want to ‘gain the edge’? Have you ever come across successful individuals–success being a very relative term–who did not want to ‘gain an edge’ and then widen the gap with the competition? I haven’t.
I had fully intended on writing this morning about the ongoing developments in the insider trading scandal sweeping across Wall Street. ‘Gaining the edge’ is very much the common thread that runs through this story. The lengths to which selected individuals would go to ‘gain that edge’ make for interesting reading. The wearing of wiretaps by informants adds to the intrigue. Where will the story lead? Which hedge funds may be implicated? What ‘masters of the universe’ may fall while pursuing their untold riches and accompanying success?
Then I thought, why would I want to take readers into this seamy world and give attention to those who may break the rules to ‘gain that edge.’ I don’t. At least not today. (more…)
