Concerns Rise Regarding Wall Street Banks
Fitch Ratings issued a report on November 16 on the U.S. banking sector saying that “the risks of a negative shock are rising” if the effects of European debt crisis keep spreading. (“Fitch’s Warning...
View ArticleMorgan Stanley Fined for Gouging Investors
The SEC is scrutinizing mutual funds’ fee arrangements, looking for instances of gouging, and finding plenty of them. Morgan Stanley just agreed to pay $3.3 million for its role facilitating over $1.8...
View ArticleAre Wall Street Wirehouses ‘Killing the Goose that Laid the Golden Egg?’
The big four Wall Street wirehouses have lost market share since the financial crisis in part because of their role in the crisis and “customer distrust,” according to Bing Waldert, a director of...
View ArticleIs the SEC Too Soft on Major Wall Street Firms?
Questions continue to arise regarding the too-cozy relationship between the SEC and Wall Street. Recent reports claim that the SEC, when settling with big Wall Street firms, has a practice of granting...
View ArticleWall Street Firms Continue to Cover Up for Each Other
Morgan Stanley’s CEO James Gorman warned Morgan Stanley employees not to circulate a New York Times op-ed piece by former Goldman employee Greg Smith that blasted Goldman’s culture as “morally...
View ArticleRegulators Sanction Major Wall Street Firms for Improper Sales of High-Risk ETFs
The Financial Industry Regulatory Authority (FINRA) announced that it ordered Citigroup Global Markets, Morgan Stanley, UBS Financial Services, and Wells Fargo Advisors to pay more than $9.1 million...
View ArticleFacebook Underwriters Make Millions – Investors Lose Their Shirts
In addition to substantial IPO fees, the Facebook underwriters headed by Morgan Stanley made “a profit of about $100 million” through an options bet which benefits the banks when the IPO price is too...
View ArticleThe Facebook Fiasco Confirms that Wall Street Views Smaller Investors as...
Facebook made national headlines last Friday when the social networking giant sold shares to the general public in its IPO. The company is now making even more headlines as investors have filed...
View ArticleWas Facebook’s Disastrous IPO Rigged by Wall Street?
The house always wins. That saying was originally meant to warn people away from the Vegas Strip on Las Vegas Boulevard. But sometimes it applies even more strongly to Wall Street. Recently, investors...
View ArticleMorgan Stanley Advises Investors to Sell Junk Bonds
Record low yields on junk bonds have led Morgan Stanley to downgrade them and advise investors to reduce their holdings. Even in good economic times, junk bond are riskier than investment grade bonds...
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