This week's Web Winners: Investment help

Jan 13, 2009 By Reid Kanaley

Sophisticated investors were among victims of Bernard L. Madoff's alleged $50 billion Ponzi scheme. Avoiding financial scams must be even trickier than we thought. These sites might make it easier.

___

PONZIS AND PYRAMIDS

Maybe the Securities and Exchange Commission - which is taking heat over its failure for years to take complaints about Madoff more seriously - should have been reading its own definitions. Here are the SEC pages that describe Ponzi and pyramid schemes that masquerade as legitimate investment plans.

Ponzi:

investor.gov/answers/ponzi.htm

Pyramid:

investor.gov/answers/pyramid.htm

___

SCHEME AVOIDANCE

Read here on the Money Under Thirty site how to spot and avoid Ponzi, pyramid and other financial scams. Check out an adviser's credentials; don't let your manager serve also as your broker; don't invest in anything you don't understand; and diversify. Sounds simple enough, but who's listening?

go.philly.com/under30

___

SAVE EGGS

This site, Save Your Nest Egg, asserts that, with few exceptions, the financial-advice industry, if not a scam, is expensive, and it suggests do-it-yourself investing. It provides a variety of resources and tools for getting started. There are links to Vanguard Inc. and MSN Money pages where questionnaires help you figure out your tolerance for financial risk.

www.saveyournestegg.com/

Here are the Vanguard and MSN Money quiz pages:

go.philly.com/vanguard

go.philly.com/msn

___

PERSUASIVE CRIMES

Crimes of Persuasion is a compendium of "schemes, scams and frauds" - credit scams, talent-scout scams, missing-person hoaxes, work-at-home scams, and others - so many, in fact, that it could make you afraid to answer the phone.

www.crimes-of-persuasion.com/

___

ANNIEBIRD'S ADVICE

The blogger "Anniebird" says the fine print of some financial advisers' paperwork may disclose their potential conflicts of interest. But a lot of people don't bother to do the reading - and their investments may suffer as a result.

nobrokers.savingadvice.com/

___

Reid Kanaley: rkanaley at phillynews.com

___

© 2009, The Philadelphia Inquirer.
Visit Philadelphia Online, the Inquirer's World Wide Web site, at www.philly.com/
Distributed by McClatchy-Tribune Information Services.

Explore further: Ebola.com domain sold for big payout

add to favorites email to friend print save as pdf

Related Stories

Surge in mobile network infections in 2013, says report

Jan 29, 2014

Alcatel-Lucent today released new data showing that security threats to mobile devices continues its rapid rise, infecting at any time more than 11.6 million devices and putting their owners at increased risk for stolen personal ...

Recommended for you

Ebola.com domain sold for big payout

16 hours ago

The owners of the website Ebola.com have scored a big payday with the outbreak of the epidemic, selling the domain for more than $200,000 in cash and stock.

Facebook goes retro with 'Rooms' chat app

Oct 23, 2014

Facebook on Thursday released an application that lets people create virtual "rooms" to chat about whatever they wish using any name they would like.

User comments : 0