I really enjoy your posts, shoot. I hope you aren't an investigator for the SEC, because I have some mean things to say about them, and I'd hate to insult you in the process.
When you get screwed by your broker, you have two choices; spit off a cliff, or take legal action. Both will have similar results, but spitting off a cliff might help a cactus grow and will be a lot cheaper.
Go ahead and complain to your broker. He might do something out of the goodness of his cold black heart to try to mollify you, but if he doesn't, you might as well kiss you money goodbye, and be grateful you didn't get cheated out of more.
The SEC could care less about the average small investor. Like most government enforcement agencies, they only care about the big cases, and ordinary citizens are just nuisances to be gotten rid of as quickly as possible. But, if you watch what they do, you will see that they are in bed with the big brokers, and when they act, it is to prevent harm to the big firms. Even when they act against a big firm, it is because of the harm being done to other big guys. Then, in a Clinton-esque ("for the children...") press release, they'll make a point of the huge number of small investors they helped. Bullsh*t. If you follow the money, you'll find that it isn't the little guys that are being helped, it is big money that gets helped.
So, my friends, go ahead and fuss to the SEC. If they will actually take action and help you recoup your losses, or even take a solid action against your broker (beyond sending them a form letter which will be ignored on both ends), post back to me and tell me I'm wrong. I'd welcome hearing from some average person who was able to get some help from the SEC. But, I think I'm safe -- there aren't any little folks who have been helped. At least, not people who are not related to an SEC investigator.
The other options, arbitration or the courts, are even less useful. If you have months or years to waste in the proceedings, and are willing to spend many thousands of dollars in a case you are almost certain to lose, go for it my friends.
But, for most of us, we get the justice we can afford, usually limited to venting on a broker rep's 800 line. Add it all up, and decide for yourself if participating in the markets will leave you a net gainer or a net loser. Then choose to play the game or not; just remember you are not on a level playing field, the referees belong to the other side, and they get to make up the rules as the game is played. Play or not, it's up to you; just don't expect to get any help.
If you want "fair," go to 'Vegas.
jim |
