Due to complete lack of quality control, Ameriprise (actually its subsidiary broker-dealer, Securities America) was sued by investors when a couple of large Ponzi schemes were told to them by Securities America representatives. Initially attempting to settle for five cents on the dollar, it appears the ante has been bumped up to about nineteen cents by all parties involved. Investors will have to approve the settlement, however.
Let me ask you this, though. Should the representatives who sold this junk have to return their commissions? Because they won’t have to, under this settlement. I think they should. That would add another $20-30 mil. to the settlement, by the way. From what swamp did this gaseous ethic arise, that it’s OK to screw people and then reward one’sself for it? Why is it still going on???
Well, because Congress let the Banksters & Wallstreet exempt themselves from a fiduciary standard of care with the public. I have ranted at length about this word, “fiduciary”, and will continue to do so until at least both the people who read my blog get it. Look it up. It is a good word. Anyone who gives financial advice or sells financial products should have to meet this standard, which exceeds even the Golden Rule.