How Investment Dealers Fool All Of The People. All Of The Time
Author's Video Note:
The legal report referenced in this article is just so well done. I must applaud everything about it. It also demonstrates how EASY IT IS to FOOL ALL OF THE PEOPLE, ALL OF THE TIME.
Here is the conclusion of the 70-something page report:
As has been noted above, the liability exposure for financial advisors is very fact- specific. Courts are guided by a variety of sources to determine not only the existence of a duty, but the nature and scope of that duty which a financial advisor owes to a client.
Report is found here http://www.dolden.com/wp-content/uploads/2016/06/154-Legal-Liability-for...
What it HELPS to point out is how clear and fact-specific are rules and laws surrounding the Who, What, Where, When and Why of professional advisers. It leaves very little to debate.
What it fails to point out is that in order to fool all of the people, all of the time...all one has to do is to lie. That's it. That's all.
Easy-Peasy, since no one is left to question the lie, when almost every regulator is hand picked or hand paid by the financial industry. Lie and several hundred thousand people who benefit from the lie, will back up the lies...and help cheat the nation out of billions of dollars each and every year.
To be clear, all the financial sales industry needed to do was to "re-label" (illegally or otherwise) all of their "brokers", "salespersons", "insurance", and "mutual fund" agents, as something that makes people think they are dealing with legally registered fiduciary "advisers", as described on page 20 of the legal report enclosed.
By failing to let the public know of the truthful registration category of each firm's sales agents, by hiding it and using a clever "vowel movement", no investor is even given a fair or honest chance to know whether they are dealing with a registered professional, or what constitutes a registered professional. It is like a game of three card monty. ***At this time I should point out the ONLY questionable item of credibiity in this legal report. I noticed that the report "fell for" the "vowel movement" of the words "adviser" (which has lawful meaning in any Securities Act) and "advisor" (which usually does not). It speaks further of the ease of fooling investors, since it is easy to fool even reputable securities lawyers. (by "fell for", I mean that they appeared to not understand or identify the dramatic difference in legal meaning between those two words, and THAT is precisely how most people dupe themselves...by mistakenly assuming that those two words mean the same thing in the securities game. They do not.
Simply disguise hundreds of thousands of sales agents so that the public (and the experts) are perfectly deceived and duped.
Once the public is properly (and illegally) deceived, financial firms can then sell them lesser quality, or more expensive investments, which unjustly enrich the firm at the expense of the investors. This is something the true fiduciary professional cannot do. But the falsified financial "advisor" by lying, ensures that the public never gets a chance to know the truth.
Investors then buy "investment-like" products from people who are falsified "advisor-like" agents. Undisclosed dual agents in truth. Agents who are able to legally act as counterparties against client's financial interests, while illegally concealing their true professional qualifications and duties. Imagine entering into a financial relationship, for your family's life savings, and never having the right to know whether you are in an "antagonisitc" "winner takes all" relationship, or a truly licenced and registered fiduciary "adviser". All while you are led by advertisments and business correspondence to believe that you are in a different relationship entirely. The definition of fraud comes to mind.
I ask readers a second time to share this information with those you love, and to please contact the author of this article if you find anything herein that needs to be corrected. I am here to be correct in what I write, or to stand corrected. I promise that I will accept any and all suggested changes that stand up to well-researched, and well-documented proof of fact.
Thank you so much.
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