Posts belonging to Category Preferred Stocks

Preferred Stocks Are Not Low Risk Havens For Investors


Many risk-averse, income-oriented investors in this low interest rate environment have put their hope in preferred stock dividends. But are preferred stocks with an average yield of nearly 7% a safe oasis in the “howling wilderness” of fixed income investments, asks Jason Zweig in his Wall Street Journal column, “Preferred Stock: Are Those Juicy Yields […]

Wall Street’s Dump of Freddie Mac and Fannie Mae Preferred Stocks Cost Investors Billions


The sale of billion of dollars of Fannie Mae and Freddie Mac preferred stock in 2007 and 2008 was accomplished by fraud on unsuspecting public investors and the complicity of mortgage originators that bought the shares knowing they were poison, according to attorney and professor Seth E. Lipner in his July 7th Forbes article entitled […]

Have College Endowment Funds Been Victimized by Unscrupulous Brokers?


Recently released figures show that colleges across the nation suffered a 19 percent decline in their endowments in 2009. Some school endowments have reported even steeper declines, including Georgia Tech (26%), the University of Georgia Foundation (23%), and Emory University (21%). While the financial markets as a whole experienced a significant downturn in 2008, the […]

The Reason Real Change is Needed – Wall Street Maintains a Business as Usual Stance as Public Hearing Begin on the Financial Crisis


The first public hearings by the Financial Crisis Inquiry Commission were notable for what did not happen. The well-prepared Wall Street bankers faced the cameras with apparent humility, parried Commission clunkers with their own platitudes, and left pretty much unperturbed. Those who expected the reprise of the 1930s Pecora hearings must have been disappointed. “Pecora’s […]

FINRA Arbitration Panel Metes Out Harsh Punishment for Elder Fraud


In an encouraging sign to those who despair about investors receiving full justice in a compulsory arbitration process financed by the brokerage industry, a California FINRA panel last month (December 2009) awarded compensatory damages of $319,798 to a 96-year old investor as well as treble damages of $959,394 under the California Elder Abuse Act.