Скачать или смотреть Financial Exploitation of The Elderly Information

The financial exploitation of the elderly is a major, significant problem that is grossly underreported and is getting worse every year. With baby boomers this problem will expand dramatically in the next ten years as 10,000 baby boomers turn 65 every day for the next 19 years. Unehtical financial advisors are salivating at the chance to get their hands on their portfolios. Seniors hold about $18 trillion according to U.S date (about one third of the nation’s wealth). Willie Sutton once stated he robbed banks because that’s where the money is at. The same concept applies for unethical stockbrokers. Unscrupulous financial advisors are drawn to seniors like a moth to a flame.

Unfortunately, mental and physical faculties have been found to deteriorate dramatically among seniors, particularly after age 70, according to a 2007 study by two finance professors at the University of Miami. The temptation to financially exploit them becomes too great for many investment professionals to resist. Sometimes the financial exploitation is blatant and highly egregious like the theft or conversion of client funds. Other times it is more nuanced like recommending an investment that pays the advisor greater sums than a more conservative investment. But in each case, the impact is typically devastating. Of the thousand financial fraud cases I’ve filed in the last 12 years, about half involve investors over the age of 65.

FINRA is the group who runs the arbitration system for clients who have been defrauded by financial advisors at a brokerage firm. If a client losses money at a full service brokerage firm like William Blair, Merrill Lynch, Smith Barney, they have no choice but to adjudicate their claims through FINRA. FINRA issued a nice Investor Release in 07 that provides some excellent background information. The

Release can be found at http://www.finra.org/web/groups/indus... (any problems opening it just Google “FINRA Notice to Members 07-43).