Articles Posted in General Investment News

Preliminary Prospectus, Preliminary Offering Document, Preliminary Official Statement – South Florida Fraud, Misrepresentation and Omission FINRA Arbitration and Litigation Attorney: A preliminary prospectus also known as a “red herring” is the first document released by an underwriter of a new issue to prospective investors. The document offers financial details and other information about the issue…

Put and Call Option Premium Income – South Florida Option Abuse, Excessive Activity, Breach of Fiduciary Duty, Negligent Supervision FINRA Arbitration and Litigation Attorney: Option premium income is income received by an investor who sells a put option or call option. An investor collects premium income by writing a covered option, if the investor owns…

Adoption of Final Rule for Broker-Dealers Engaging in a Retail Forex Business The Securities and Exchange Commission (Commission) recently announced the adoption of a final rule (Rule 15b12-1) to permit a registered broker-dealer to engage in a retail forex business, provided that the broker-dealer complies with the Securities Exchange Act of 1934, the rules and…

Yield to Maturity (YTM) – South Florida Breach of Fiduciary Duty, Negligent Supervision and Breach of Contract Litigation and FINRA Arbitration Attorney, Russell L. Forkey, Esq. “Yield to Maturity” is a concept used to determine the rate of return an investor will receive if a long-term, interest-bearing investment, such as a bond is held to…

The Securities and Exchange Commission Obtains Final Judgments against Martin C. Hartmann III and Laura Ann Tordy The Securities and Exchange Commission recently announced that on July 9, 2013, the Honorable Denis R. Hurley of the United States District Court for the Eastern District of New York entered final judgments against defendants Martin C. Hartmann…

Risks Associated With High-Yield Corporate Bonds. Florida High Yield Corporate Bond Fraud, Misrepresentation and Breach of Fiduciary Duty FINRA Arbitration and Litigation Attorney. Some investors with a greater risk tolerance may find high-yield corporate bonds attractive, particularly in low interest rate environments. If you are considering buying a high-yield bond, it is important that you…

High Yield Corporate Bonds – Florida High Yield Corporate Bond and Fixed Income Breach of Fiduciary Duty, Negligent Supervision and Breach of Contract FINRA Arbitration and Litigation Attorney: A high-yield corporate bond is a type of corporate bond that offers a higher rate of interest because of its higher risk of default. When companies with…

South Florida Corporate and Municipal Bond FINRA Arbitration and Litigation Attorney. Various Risks Associated With Corporate Bond: There are a number of risks associated with corporate bonds. The following list is not designed to be complete. However, this post does describe many of the more well known. Please keep in mind that this post is…

The Relationship Between Corporate and Municipal Bond Prices, Interest Rates and Yield. South Florida FINRA Arbitration and Litigation Attorney. The price of a bond moves in the opposite direction than market interest rates. When interest rates go up, the price of the bond goes down. When interest rates go down, the bond’s price goes up.…

Naked Option – Florida Breach of Fiduciary Duty, Negligent Supervision and Mismanagement FINRA Arbitration and Litigation Attorney: A Naked Option is an option for which the buyer or seller has no underlying security position. A writer of a naked Call Option, therefore does not own a Long Position in the stock on which the call…