Comments on: Bad investment of the day, life-insurance edition http://blogs.reuters.com/felix-salmon/2010/12/21/bad-investment-of-the-day-life-insurance-edition/ A slice of lime in the soda Mon, 20 May 2013 12:23:09 +0000 hourly 1 http://wordpress.org/?v=3.4.2 By: 2010observer http://blogs.reuters.com/felix-salmon/2010/12/21/bad-investment-of-the-day-life-insurance-edition/comment-page-1/#comment-22182 2010observer Wed, 22 Dec 2010 18:14:12 +0000 http://blogs.reuters.com/felix-salmon/?p=6665#comment-22182 Don't forget that every one of us taxpayers now is invested in this junk. AIG used $8 million+ of life settlements to repay part of its loan from the US Treasury. Our pal, Geithner, seems to have no inkling of the huge risk or the many faces of fraud involved--including at AIG. So now we taxpayers are invested in the deaths of our fellow citizens. Don’t forget that every one of us taxpayers now is invested in this junk. AIG used $8 million+ of life settlements to repay part of its loan from the US Treasury. Our pal, Geithner, seems to have no inkling of the huge risk or the many faces of fraud involved–including at AIG.

So now we taxpayers are invested in the deaths of our fellow citizens.

]]> By: y2kurtus http://blogs.reuters.com/felix-salmon/2010/12/21/bad-investment-of-the-day-life-insurance-edition/comment-page-1/#comment-22125 y2kurtus Tue, 21 Dec 2010 16:34:46 +0000 http://blogs.reuters.com/felix-salmon/?p=6665#comment-22125 I think this kind of post is exceptionally helpful to people. I'd love to see you do some work on a new trend I'm seeing "illiquid investments" for the masses. Somehow 2-bit brokerage firms seem to have gotten around the laws that use to bar them from selling non-listed REIT's, leasing companies, oil & gas interests... all to non-accredited investors. It's a great rackett for the broker... the comissions can exceed 10%, the market value dosen't go down if the market drops because the things are only valued once or twice a year, and they are guarenteed another comission if the customer sells because most real brokerage firms won't take them in as assets. It's amazing after 2 brutal market corrections and an almost infinate number of scandals in the last 10 years that investors still live in a buyer beware world! Best hopes for digital tools to tar and feather the bad apples. I think this kind of post is exceptionally helpful to people.

I’d love to see you do some work on a new trend I’m seeing “illiquid investments” for the masses. Somehow 2-bit brokerage firms seem to have gotten around the laws that use to bar them from selling non-listed REIT’s, leasing companies, oil & gas interests… all to non-accredited investors.

It’s a great rackett for the broker… the comissions can exceed 10%, the market value dosen’t go down if the market drops because the things are only valued once or twice a year, and they are guarenteed another comission if the customer sells because most real brokerage firms won’t take them in as assets.

It’s amazing after 2 brutal market corrections and an almost infinate number of scandals in the last 10 years that investors still live in a buyer beware world!

Best hopes for digital tools to tar and feather the bad apples.

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