The Vigilant Investor
IN THIS SUMMARY
According to the FBI, Americans lose $40 billion annually to investment fraud, roughly a Madoff-sized scam each year. Not only has the pool of targeted victims surged as baby boomers move into retirement, but technology has allowed scam artists to more easily defraud people across national borders. Most importantly, however, current investors mistakenly think that the epidemic is a result of lack of regulation and investor gullibility. While regulatory agencies work tirelessly to stop and prevent scams, they have limited resources and authority to fully deter fraudsters and the securities industry has a lobbying power that will ensure that regulators’ is kept to a minimum. In The Vigilant Investor, Pat Huddleston asserts that the real solution to shrinking investment fraud lies with investors themselves. By understanding that people are not susceptible to fraud because of lack of knowledge, and fortifying their mind with case studies of financial fraud, the vigilant investor can better protect their nest egg and those of many others.