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Securities Fraud
Securities fraud, also known as stock fraud and investment fraud, is a deceptive practice in the stock or commodities markets that induces investors to make purchase or sale decisions on the basis of false information, frequently resulting in losses, in violation of securities laws."Securities Fraud Awareness & Prevention Tips faq by FBI, accessed February 11, 2013 Securities fraud can also include outright theft from investors ( embezzlement by ), |
Commodity Market
A commodity market is a market that trades in the primary economic sector rather than manufactured products, such as cocoa, fruit and sugar. Hard commodities are mined, such as gold and oil. Futures contracts are the oldest way of investing in commodities. Commodity markets can include physical trading and derivatives trading using spot prices, forwards, futures, and options on futures. Farmers have used a simple form of derivative trading in the commodity market for centuries for price risk management. A financial derivative is a financial instrument whose value is derived from a commodity termed an underlier. Derivatives are either exchange-traded or over-the-counter (OTC). An increasing number of derivatives are traded via clearing houses some with central counterparty clearing, which provide clearing and settlement services on a futures exchange, as well as off-exchange in the OTC market. Derivatives such as futures contracts, Swaps (1970s-), Exchange-traded C ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Scalping (trading)
Scalping, when used in reference to trading in securities, commodities and foreign exchange, may refer to either # a legitimate method of arbitrage of small price gaps created by the bid–ask spread, or # a fraudulent form of market manipulation. Arbitrage Scalping, in the arbitrage sense, is a type of trading in which traders try to open and close positions in very short periods of time in markets such as foreign exchange and securities with the aim of making a small profit from the trades. How scalping works Scalping is the shortest time frame in trading and it exploits small changes in currency prices. Scalpers attempt to act like traditional market makers or specialists. To ''make the spread'' means to buy at the Bid price and sell at the Ask price, in order to gain the bid/ask difference. This procedure allows for profit even when the bid and ask don't move at all, as long as there are traders who are willing to take market prices. It normally involves establishing and l ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Private Placements
Private placement (or non-public offering) is a funding round of securities which are sold not through a public offering, but rather through a private offering, mostly to a small number of chosen investors. Generally, these investors include friends and family, accredited investors, and institutional investors. PIPE (Private Investment in Public Equity) deals are one type of private placement. SEDA (Standby Equity Distribution Agreement) is also a form of private placement. They are considered to present lower transaction costs for the issuer than public offerings. Since private placements are not offered to the general public, they are prospectus exempt. Instead, they are issued through Offering Memorandum. Private placements come with a great deal of administration and have normally been sold through financial institutions such as investment banks. New FinTech companies now offer an automated, online process making it easier to reach potential investors and reduce the administra ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Microcap
In business and investing, term microcap stock (also micro-cap) refers to the stock of public companies in the United States which have a market capitalization of roughly $50 million to $300 million. The shares of companies with a market capitalization of less than $50 million are typically referred to as nano-cap stocks. Many micro-cap and nano-cap stocks are traded over-the-counter with their prices quoted on the OTCBB, OTC Link LLC, or the Pink Sheets. The larger, more established micro-caps are listed on the NASDAQ Capital Market or American Stock Exchange (AMEX). This is true in the US, but by contrast—in Australia, for example—nano-cap companies are commonly listed on the Australian Securities Exchange (ASX). Microcap stocks are in many ways different from other stocks since they are from companies with a small market capitalization and are usually traded on stock exchanges that do not require minimum standards, such as a minimum amount of net assets or a minimum number ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Twitter
Twitter is an online social media and social networking service owned and operated by American company Twitter, Inc., on which users post and interact with 280-character-long messages known as "tweets". Registered users can post, like, and 'Reblogging, retweet' tweets, while unregistered users only have the ability to read public tweets. Users interact with Twitter through browser or mobile Frontend and backend, frontend software, or programmatically via its APIs. Twitter was created by Jack Dorsey, Noah Glass, Biz Stone, and Evan Williams (Internet entrepreneur), Evan Williams in March 2006 and launched in July of that year. Twitter, Inc. is based in San Francisco, California and has more than 25 offices around the world. , more than 100 million users posted 340 million tweets a day, and the service handled an average of 1.6 billion Web search query, search queries per day. In 2013, it was one of the ten List of most popular websites, most-visited websites and has been de ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
50 Cent
Curtis James Jackson III (born July 6, 1975), known professionally as 50 Cent, is an American rapper, actor, and businessman. Born in the South Jamaica neighborhood of Queens, Jackson began pursuing a musical career in 2000, when he produced ''Power of the Dollar'' for Columbia Records; however, days before the planned release, he was shot, and the album was never released. In 2002, after 50 Cent released the mixtape ''Guess Who's Back?'' he was discovered by Eminem and signed to Shady Records, under the aegis of Dr. Dre's Aftermath Entertainment and Interscope Records. His first major-label album ''Get Rich or Die Tryin''' (2003), was a huge commercial success. The album spawned the ''Billboard'' Hot 100 number one singles "In da Club" and " 21 Questions", and was certified 9× Platinum by the Recording Industry Association of America (RIAA). That same year, he founded G-Unit Records, signing his G-Unit associates Young Buck, Lloyd Banks and Tony Yayo; prior to becoming the ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Microcap Stock Fraud
In business and investing, term microcap stock (also micro-cap) refers to the stock of public companies in the United States which have a market capitalization of roughly $50 million to $300 million. The shares of companies with a market capitalization of less than $50 million are typically referred to as nano-cap stocks. Many micro-cap and nano-cap stocks are traded over-the-counter with their prices quoted on the OTCBB, OTC Link LLC, or the Pink Sheets. The larger, more established micro-caps are listed on the NASDAQ Capital Market or American Stock Exchange (AMEX). This is true in the US, but by contrast—in Australia, for example—nano-cap companies are commonly listed on the Australian Securities Exchange (ASX). Microcap stocks are in many ways different from other stocks since they are from companies with a small market capitalization and are usually traded on stock exchanges that do not require minimum standards, such as a minimum amount of net assets or a minimum number ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Stock Promoter
A stock promoter is a firm or person who promotes a stock, seeking to induce potential investors to buy it as part of an IPO or in the secondary market. Stock promoters may rely on cold calling prospective investors to acquire stock in a company, as well as using the Internet, which provides for a much more efficient method of promoting a stock to a wider audience. In the United States, some stock promoters promote penny stocks because these stocks which are normally listed on the OTC Bulletin Board or Pink Sheets do not require the same reporting and disclosure rules and regulations of companies that trade on exchanges such as the NYSE. Minimal public information combined with thin or volatile trading allow penny stocks to have a greater chance for fraud and manipulation. See also *Financial advisor *Stockbroker *Pump and dump *Stock manipulation In economics and finance, market manipulation is a type of market abuse where there is a deliberate attempt to interfere with the ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Penny Stock
Penny stocks are common shares of small public companies that trade for less than one dollar per share. The U.S. Securities and Exchange Commission (SEC) uses the term "Penny stock" to refer to a security, a financial instrument which represents a given financial value, issued by small public companies that trade at less than $5 per share. Penny stocks are priced over-the-counter, rather than on the trading floor. The term "penny stock" refers to shares that, prior to the SEC's reclassification, traded for "pennies on the dollar". In 1934, when the United States government passed the Securities Exchange Act to regulate any and all transactions of securities between parties which are "not the original issuer", the SEC at the time disclosed that equity securities which trade for less than $5 per share could not be listed on any national stock exchange or index. Trade Over-the-counter exchanges that list penny stocks include the OTC Bulletin Board (which is a facility of FINRA) or OTC ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Boiler Room (business)
In business, the term boiler room refers to an outbound call center selling questionable investments by telephone. It usually refers to a room where salespeople work using unfair, dishonest sales tactics, sometimes selling penny stocks or private placements or committing outright stock fraud. A common boiler room tactic is the use of falsified and bolstered information in combination with verified company-released information. The term is pejorative: it is often used to imply high-pressure sales tactics and, sometimes, poor working conditions. Business structure The classic image of a boiler room is that it has an undisclosed relationship with the companies it promotes, or an undisclosed profit motive for promoting those companies. Once the insider investors are in place, a boiler room promotes (by telephone calls to brokerage clients or spam email) these thinly traded stocks (i.e. stocks that are not purchased or sold very often) where there is no actual market. The broker ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Pump And Dump
Pump and dump (P&D) is a form of securities fraud that involves artificially inflating the price of an owned stock through false and misleading positive statements, in order to sell the cheaply purchased stock at a higher price. Once the operators of the scheme "dump" (sell) their overvalued shares, the price falls and investors lose their money. This is most common with small-cap cryptocurrencies and very small corporations/companies, i.e. " microcaps". While fraudsters in the past relied on cold calls, the Internet now offers a cheaper and easier way of reaching large numbers of potential investors through spam email, investment research websites, social media, and misinformation. Scenarios Pump-and-dump schemes may take place on the Internet using an email spam campaign, through media channels via a fake press release, or through telemarketing from " boiler room" brokerage houses (such as that dramatized in the 2000 film '' Boiler Room''). Often the stock promoter will cla ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Microcap Stock
In business and investing, term microcap stock (also micro-cap) refers to the stock of public companies in the United States which have a market capitalization of roughly $50 million to $300 million. The shares of companies with a market capitalization of less than $50 million are typically referred to as nano-cap stocks. Many micro-cap and nano-cap stocks are traded over-the-counter with their prices quoted on the OTCBB, OTC Link LLC, or the Pink Sheets. The larger, more established micro-caps are listed on the NASDAQ Capital Market or American Stock Exchange (AMEX). This is true in the US, but by contrast—in Australia, for example—nano-cap companies are commonly listed on the Australian Securities Exchange (ASX). Microcap stocks are in many ways different from other stocks since they are from companies with a small market capitalization and are usually traded on stock exchanges that do not require minimum standards, such as a minimum amount of net assets or a minimum number ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
