"Pump and Dump" is a type of stock fraud involving the use of false or misleading statements to increase stock prices and then sell the inflated stocks to the public. Stocks of microcap companies, which have low capitalizations and limited...
securities law
(Wex page)
Financial advisors may be designated “senior specialists” in order to imply a certain level of training and expertise regarding issues of importance to senior citizens. The Consumer Financial Protection Bureau (CFPB) reports that there are...
(Wex page)
Named after Charles Ponzi, who infamously bilked investors out of millions of dollars in the 1920s, a Ponzi scheme is an investment scam that involves the payment of abnormally high "returns" to investors that are actually paid from money...
(Wex page)
Prime bank fraud is a type of investment scheme that promises extremely high yields over a short period of time. Individuals claim that they have access to secret financial products which they can buy at a discount and sell at a premium. In...
(Wex page)
A pyramid scheme is an unsustainable, illegal business model where investment returns are typically from the principal of investments or membership fees instead of from the underlying investment gains. It is often marketed as a foolproof way...
(Wex page)
Systematic Investment Plans (SIP) are regulated as Periodic Investment Plans under the federal securities laws. The primary objective of a SIP is to enable investors to clearly define an investment goal and then to help them reach it. While...
(Wex page)
A viatical settlement (also known as a life settlement) is a sale of a life insurance policy of an insured person with an abbreviated life expectancy. Sellers are typically terminally ill patients who want to cash out of their life insurance...
(LIIBULLETIN preview (pre-2014))
Facts
Petitioners Jonathan M. Zang and Jackie Hosang Lawson worked for private companies that provide advising or management services to the Fidelity family of mutual funds (“Fidelity funds”). See Lawson v. FMR LLC, 670 F.3d 61, 63 (1st Cir. 2012). Zang...
(LIIBULLETIN preview)
In 2009, Francis Lorenzo (“Lorenzo”) was appointed director of investment banking for Charles Vista, LLC (“Charles Vista”), a brokerage firm in New York City. Lorenzo v. Securities and Exchange Commission at 3. Lorenzo oversaw the account of Charles...
(Wex page)
The Securities Act was Congress's opening shot in the war on securities fraud. Congress primarily targeted the issuers of securities. Companies which issue securities (called issuers) seek to raise money to fund new projects or investments or to expand...