Archive for September 2019

Digital Assets Broker Dealer

By Brokerdealer.org | September 14, 2019

A word cloud of words related to blockchain and cryptocurrency.

For ease of this article Iâ€™ll simply refer to the group as â€œTokensâ€. The number one call that I get is from companies that want to sell their Tokens in the U.S markets. They want to buy a broker dealer along with an Alternative Trading System (ATS) and start immediately selling tens of millions of…

How to Attract Top Producers to your Firm

By Brokerdealer.org | September 14, 2019

A magnifying glass over the word job in front of it.

Every Broker Dealer that I speak with has a very similar game plan: Step one: Establish a Broker Dealer. Step two: Hire top producers that have a quality client base. Step three: Buy a big house and a boat. Great plan! The only problem is how to get top producers to come to your firm.Broker…

Money Laundering Red Flags

By Brokerdealer.org | September 14, 2019

A cartoon of two people in front of washing machines.

A common misconception is â€œhow is a client laundering money by risking it in the stock marketâ€ or â€œwe got all of the paperwork so it must be good.â€ This attitude leads to an environment where supervisors are not even paying attention to simple patterns that would indicate a potential violation. As always, I’m happy…

Following the Crowd: Investing and Social Media
No matter where you get your trading insights, and whether you are following a recommendation to buy stocks, bonds, options or something else, know this: where there is opportunity, there is also risk. Here are 10 tips.
Stock Up on Information Before Buying Stock
If you view market volatility as an opportunity to purchase more stock at a favorable price, make sure you look beyond the ticker symbol to confirm you are buying the right company. Many companies have similar names.
It Pays to Pay Attention to Your Brokerage Account Statements
One of the best ways you can protect your investment portfolio is to monitor your holdings and activity. You should make it a habit to review online or paper account statements and trade confirmations on a regular basis. You should review your statement as soon as you receive it to confirm it correctly reflects your […]
Social Sentiment Investing Tools—Think Twice Before Trading Based on Social Media
FINRA and the SEC’s Office of Investor Education and Advocacy are issuing this Investor Alert to inform investors about social sentiment investing tools and highlight their risks. This Alert provides tips to consider before using tools that analyze or aggregate information from social media sources to make investment decisions or attempt to predict changes in […]
Initial Coin Offerings (ICOs)—What to Know Now and Time-Tested Tips for Investors
FINRA is issuing this alert to inform investors that investments in digital assets, such as ICO tokens and cryptocurrencies, can involve significant uncertainty, as well as risks that are different from more conventional assets like stocks or bonds.
Advance-Fee Frauds Keep Dropping the FINRA Name—Don’t Fall for “Regulator” Imposter Ploys
Fraudsters continue to impersonate FINRA executives, offering bogus investment "guarantees" to investors as part of an advance-fee scam. Read more about the lengths these fraudsters go to in creating a false sense of security.
It Pays to Understand Your Brokerage Account Statements and Trade Confirmations
FINRA is re-issuing this alert to remind investors about the key elements of their brokerage account statements and trade confirmations and to provide tips that can help avoid problems.
Know Before You Share: Be Mindful of Data Aggregation Risks
If putting all your financial information online and in one place sounds like a good idea, there are many companies—often called data aggregators—ready to help you organize your financial life. However, before you share your account information and other sensitive financial details with data aggregators, it pays to know how these services operate, and how […]
Job Dislocation—Managing the Financial Impact of Unexpected Job Loss
You may not be able to control if or when your company closes a plant or lays off workers—but you can take steps to manage the financial impact of those events. We have updated this Alert with the latest annual IRS contribution limits for retirement plans.
Imposter Scams: Don’t Be Fooled By “Guarantees” or Money-Making Pitches from “Regulators”
FINRA is issuing this Alert to warn investors that scammers are posing as regulators to separate you from your money. We want you to know that neither FINRA, nor any of its executives, will ever provide a "guarantee" on an investment or offer to facilitate your participation in any sort of money-making scheme.