Author Archives: FLSecurities
The Big Short: What is Short Selling Anyway?
The recent release of the movie-version of the best-selling book, The Big Short, reminds us of the risky bets that some investors take when they anticipate the stock market, a particular industry, or a certain stock will decline in value. In addition to the movie being wildly entertaining, it does an excellent of job… Read More »
Top Priorities for Securities Regulators in 2016
The Financial Industry Regulatory Authority (FINRA) recently released its annual list of regulation and examination priorities for 2016. As usual, there are many recurring themes from previous years’ lists, with a few new items thrown in for good measure. Here are some of the things FINRA will be focusing on this year when it… Read More »
Exchange-Traded Notes: Know Before You Invest
An exchange-traded note, frequently referred to as an ETN, is an unsecured debt obligation of an issuer, typically a financial institution. Unlike a traditional corporate bond that pays a stated rate of interest, the return on an ETN is based upon the performance of a specified index or benchmark such as a broad-based securities… Read More »
Bitcoin: What is it, and why should you care?
Bitcoin is a digital, electronic currency invented in 2008 by someone using the alias Satoshi Nakamoto. The true identity of the inventor remains a mystery today. Unlike other world currencies, bitcoins are not issued by central banks or governments; instead, they are “mined” by users. Mining involves solving puzzles to add transactions to the… Read More »
SEC Approves Rule Requiring Brokerage Firms to Link to BrokerCheck
The Financial Industry Regulatory Authority, also known as “FINRA,” provides a public database that investors can use to research their brokers’ professional background and disciplinary history. Investors can learn important information such as: Whether the broker has been sued by other investors; If so, how much the broker paid to settle those suits; Whether… Read More »
Variable Annuities – Insurance Products or Investments?
Actually, they’re both. Variable annuities are long-term investment products with insurance features. Variable annuities differ from traditional insurance products in important ways. First and foremost, variable annuities are securities registered with the Securities and Exchange Commission and the sale of variable annuities is regulated by the Financial Industry Regulatory Authority (FINRA). An annuity is… Read More »
Real Advisor or Robo-Advisor?
In our technologically driven society, there is less and less that can’t be done through a mobile application or website. Society is becoming accustomed to instant 24/7 access to everything from streaming movies to shopping to playing games to banking and everything in between. So the rising popularity of automated investment tools like online… Read More »
If the IRS Calls, It May Be OK to Hang Up!!
FINRA recently released an Investor Alert, entitled Tools of the Fraud Trade: Phones and Emotions, warning seniors and other investors about a new IRS impersonation scam. The basic scam involves a very aggressive and authoritative caller who tells the victim that he or she owes back taxes and proceeds to demand immediate payment of… Read More »
Arbitration Stinks for Consumers – NY Times Agrees!!
If you have a brokerage account with a major brokerage firm in the United States today, you have almost certainly agreed to resolve any dispute through mandatory arbitration. This means you cannot take your case to a courthouse to be heard by a jury. Instead, you must take your case to arbitration before the… Read More »
How Liquid are Your Bonds?
Recent turmoil in the financial markets may have you considering whether to sell or ride things out. If your portfolio contains individual bonds, you should factor in the liquidity of the bonds you hold when making that decision. Liquidity describes the ease with which a security or other asset can be bought or sold… Read More »