Tuesday, February 17, 2009

SEC charges Stanford in alleged $8 billion scheme

"The Securities and Exchange Commission said Tuesday it charged billionaire Robert Allen Stanford and three of his companies with defrauding investors in an alleged $8 billion scheme involving certificates of deposit."

People believed the impossible, that you could safely earn twice the normal interest rate of FDIC insured CD's. When something sounds too good to be true, it is - if you live by this rule you will never be swindled out of your money. Note that I didn't say you would never see your holding fluctuate in value.

This guy is a slimeball and why it took the SEC this long to figure out what was going on is beyond me.

Scott Dauenhauer CFP, MSFP, AIF