Thursday, April 19, 2012

Stay Away From Exotic Investments

Exotic investments are created primarily by Wall Street inside players to produce business for themselves, not make up an ideal investment for customers.

One example is a re-furbished fad of the past, selling packages made up of small-loans that borrowers find it hard to get from conventional sources. Investors go for this merely to gain a couple or more percentage points of earnings.

This appeals to unsophisticated investors who take on risk they should never have. (See the Earl J Weinreb NewsHole® comments.)



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