Dear International Friend,
Please note these three scams…so you can easily avoid them! Rip off #1: Stock brokers are trying to sucker you in now, even after paying hundreds of millions of dollars of fines! The attached international portfolio ideas presented by Swiss eclub advisor Andy Kaegi outline the extreme caution we must exercise in equity markets at this time. One of the biggest cons played repeats itself again and again.
There is extensive research showing we are in a 15 year downward market cycle (you can see this in the link below). Every large brokerage firm and newspaper is aware of this. There is little hope of a sustained market recovery and all the brokers and media know this. Yet each time the market has a slight rally, even for a few days, the newspapers (and brokers) start screaming, “Has a new bull market begun?”. Don't get sucked in. Realize there good equity investments out there, but the market's mood is down and can remain so for years to come.
Rip off #2: The Nigerian scam has taken a new tact and you are likely to receive an email message like the one linked below: Avoid this scam like the plague!
Rip off #3: The FDIC changed its rules on how your deposits are insured. This is the worst scam of all because you, and maybe even your banker does not understand. See how they have changed at the link below.
Until next message have great global investing!
- See Swiss advisor Andy Kaegi's global portfolio recommendations at https://garyascott.com/data/investupdates020522.pdf and refer to the first link below
- Here's a sample of the latest Nigerian scam.
- This link to FDIC information shows the worst rip off of all.
From: Andreas Kägi
May, 22 2002
We still keep our portfolios underweighted in equities and our enclosed list mainly highlights our core-holdings that are marked “retain”. Even with these holdings it is possible to trade: retain one half for medium term and use one half to trade (sell and repurchase lower taking advantage of the still wide price swings). Even with a moderate recovery of US and European economies in the second half of this year we still consider many stocks to be expensive and we regard the upward potential of most stockmarkets to be limited. The risk/reward ratio of equity investments is still not very favourable for the investor. We continue to avoid banking stocks and are very patient with moving stocks from our watch list to our buy list. I also enclose a summary of our last suggestions that hit the price limits – you will see that we mostly did not yet take any action on the buying side. “
"ATTN : THE PRESIDENT/CEO Dear Sir, With due respect, I have decided to contact you in this peculiar matter believing that you will not let down the trust and confidence that I and my colleagues are about to repose in you. For a brief introduction, I am MR AHMED COULIBALY the Deputy Accountant of the Côte D'Ivoire Société Ivoirienne de Raffinage (S.I.R) here in Abidjan and also a member of the contract awarding committee for the rehabilitation and reconstruction of the country's refinery that had a fire disaster last year October. I was mandated by my colleagues to look for a reliable and trustworthily foreigner who's account will be use to transfer some huge sum of money, a total sum of US$22,500,000,00 (twenty two million five hundred thousand united sates dollars) only, out of the country for our personally use. This money was realised from over inflated contracts which the contract awarding committee awarded to some foreign contractors for the rehabilitation and reconstruction of the refinery and the network pipeline. The contracts was awarded to the contractors to the tune of US$42,Million, but we used our positions and over invoiced the amount to the tune of US$62.5 Million. Now that the project has been concluded and contractors are now coming for their payments, we now required a reliable and trustworthily person, whom will be use as a sub-contractor and claim the over invoiced amount of US$22.5 Million, which has also been approved for payment and use his foreign account transfer this fund from the paying bank here in Abidjan, this necessitated my contacting you. Be informed that my colleagues and I have mapped out all the necessary modalities towards the claim of this fund, but due to our position we do not want to be noticed. A service of an attorney will be use to secure the registration certificate as your sister's company here in Abidjan, to it back dated enable us reflect your name as one of the contractors, for board to raise a payment draft covering the fund in your favour. The contact of the attorney will be forwarded to you immediately you notify your interest in this proposal, by sending the name and address of your company and your bank particulars. Be informed also that your presence will be needed here in Abidjan to enable us have a meeting with you, to know you very well, discuss and agreed on some vital joint venture investments which you are to manage for us, since we are still in service . We agreed that 10% of the total fund will be given to you to cover your travelling cost, accommodation and some other expenses you might incure, 40% will be used to go into joint venture investment with you, which will be supervised by your person, of which the yearly profit will be shared equally by all parties involved, while the remaining 50% of the total fund will be for me and three of my colleagues. Be rest assured of this transaction and keep it confidential, because of our positions in Government and also our committee is fully in charge of all contracts verifications, allocation and approval. Call me immediately you receive this message on above stated Tél / fax numbers. Expecting your immediate response. Best Regards. MR AHMED COULIBALY"
Beware, Beware, Beware. Do not under any circumstances go to Africa to meet these people. You could be at extreme risk.
Dear Friend, an informed reader of my latest World Report (available to eClub members) recently wrote.
“Gary, I just received your World Reports Catalogue 2002 Crossroads Bring Wealth….And More! Thank you very much!
Just a quick question. I know you're busy. On the first page, there is the statement “Banking debts have grown so large the FDIC quietly reduced deposit insurance in 1999.”. I had not been aware of this, so I researched the FDIC web-site, and according to the FDIC, “The level of coverage has been changed by Congress six times since the inception of the system in 1934 and, generally, those increases have kept pace with or exceeded inflation.”. The web site also provides a chart showing each of the six changes in insurance coverage. The last change in coverage was in 1980; it was an increase from $40,000 per account to $100,000 per account; and the level of coverage still remains at $100,000 today. So, I do not understand where there has been a reduction in insurance coverage. The FDIC web site acknowledges that the $100,000 coverage in 2000 is worth only $43,728 in terms of constant 1980 dollars, but that is a completely different issue (inflation, not reduction in coverage). ”
I explained to this reader that the change is in the way the FDIC covers the $100,000. In short, if you have multiple accounts, you could end up with less coverage before. Please see full link below. His further research brought this reply.
“Thanks for the quick reply. Very interesting, what they have done. Here are a couple of URL's that go into more detail on this subject – at least the official version, from the government.” http://www.fdic.gov/deposit/deposits/insured/index.html and http://www.fdic.gov/deposit/insurance/reform/direcommendations.html
The simple fact is your FDIC coverage has been reduced and most people do not even know!