It is time for 21st century investing, with the necessary legal protections for America’s IRA’s. Ban mandatory arbitration, and give IRA’s a private right of action. The photo is from the SEC’s historical files on self-regulation in the securities industry. Not much has changed since this photo was taken as a recent report reveals.
Retirement investors must pay attention to this recent study: Industry-run FINRA Arbritrator Pool Panels Lack Diversity and Fails to Detect and Communicate Biases.
This study underscores how disastrous the situation is for every IRA investor. There are over $6 trillion dollars in America’s IRA accounts. Securities laws are breached day in and day out costing retirement investors cumulatively billions through poor performance and high, excessive fees from conflicted intermediaries–investment product salesmen, calling themselves “advisors”, to distribute their investment products.
You can read more at our retirement investor advocate Blog, Blog.thederivativeproject.com.
An IRA, opened up in a brokerage account, has absolutely no legal recourse. “You have no right of private action” in your IRA and you are also subject to mandatory arbitration Both these two legal issues must change and adapt to the reality of today–Americans’ retirement savings are all they have– they deserve 21st century legal protection to go with their life savings.
Almost every IRA is in a brokerage account and is subject to mandatory arbitration before FINRA, which is Wall Street. They hear your claim and you can bet the arbitrators will not rule in your favor.
University of Minnesota’s Carlson School of Management Professor Akshay Rao stated in this report: “It is my opinion the process is illusory and especially harms claimant investors.”
Do not hold your breath for Congress to do anything with Minnesota Congressman Keith Ellison (D-MN) sponsored bill the “Investor Choice Act of 2013″.
What Should a Retirement Investor Do for Protection Against this Unfair Legal System?
You have but one choice if you want the best returns at the lowest cost. Use Not On My Nickel’s benchmarking platform and new cloud-based interactive tools to go directly to the best performing and least expensive SEC money managers. You eliminate the salesmen and the brokerage account, the only safe option for your retirement assets in this dangerous retirement investing marketplace.
You will save yourself a minimum of $155,000, according to this study and have piece of mind, through less risk. (See Part II of this Blog Post.)
Learn How to Go Direct and Eliminate A Brokerage Account, FINRA, for Your IRA
You do not have to open up an IRA with a brokerage firm. You do not have to go through FINRA’s kangaroo court and conflicted intermediaries.
We show you how to protect your life savings from the flawed brokerage account system and their self-regulator, FINRA. You do have an alternative and we will show you how to do it.
Join our 21st century way of investing. We do not rely on costly, archaic distribution systems that the retirement industry is determined to push, to support their bottom line, which just reduces your nest egg.
We use technology to enable your retirement assets–to go direct to the best, at the least cost. You need to decide for yourself with our transparency, tools and platform —on active or passive. Not On My Nickel does not sell any investment product or give investment advice. We are 100% independent.
With our tools and benchmarking platform, the Consumer Reports of America’s top money managers (passive or active), you are in charge and empowered to make an informed decision, for the very first time.
Take a look at our seven criteria, to the right, for a money manager to make it to the Not On My Nickel benchmarking platform. Every Not On My Nickel manager is required to file holdings and performance to the Securities and Exchange Commission, on a regular basis. We urge you to only access money managers that do so. Your financial advisor does not file their performance with the SEC, on what investments they select for you and neither do new “robo advisors”. That is too great a risk to take with your life savings to not be able to look at an audited history of a minimum of five year performance, after all fees.
Your nest egg will no longer be in one of the 8000 poorly performing mutual funds. Low cost does not mean better. Get all the facts before you invest. Poorly performing new robo advisor passive strategies carry great risks, interest rate, currency and political risks —and these firms may be trading your retirement assets in dark pools, that reduces your returns, but gives them trading income on your nickel.
Email us to get on the list to access our platform and cloud based interactive tools first! firstname.lastname@example.org
You may also want to ask your employer to give you access to our interactive tools and benchmarking educational platform for your 401k.