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A major story that made the rounds in the financial media last month was Jim Cramers (of the Street.com) statement that some hedge fund managers spread false rumors about a business to large trading desks and the media to drive a stock price lower. He said this practice is illegal, but simple to do 'since the SEC [Securities Exchange Commission, the U.S. regulatory body] does not understand it.' More over, because the truth is so against your view, the exceptionally wealthy former hedge fund manager featured, Whats important when you are in hedge fund mode, says Cramer, will be to not do any such thing remotely sincere. For all those of you that remain skeptical concerning the fraudulent practices of investment professionals and companies, perhaps an associates admission will finally tell you. Is beyond me why these reports even make big statements. As Ive been saying for decades that the investment industry is filled with investment experts, everyone else from economic consultants to private wealth managers to professional money managers, hard at work weaving the emperors new clothes, a former industry core myself. However, only when a huge mouth like Cramer speaks of the dishonesty that netted him great wealth does it attract attention. For those of you unfamiliar with the fable The Emperors New Clothes let me review it for you. Way back when in a fabled kingdom, there lived an emperor whose vanity was famous. Two swindlers, Guido and Luigi Farabutto, knew they could capitalize on this emperors character defect to create a large pro-fit. They acknowledged the emperor and told him that they'd sew him the best suits of a very costly special material that would be invisible to everyone that was stupid or of low character. The emperor, fearing he wouldn't be able to see the clothes, sent two of his men to go see the suits. The men came back, and afraid to inform the emperor they couldn't start to see the clothes, told the emperor the suits were the most beautiful suits they had ever seen. Link Emperor Review contains supplementary info concerning the meaning behind this enterprise. He did not wish to acknowledge that he could not see the clothes for fear of being considered stupid and of low character, once the emperor went along to see the Farabuttos, understanding that his servants had been able to see the clothes. Therefore he proceeded to allow himself to be dressed in non-existent clothes for a parade through town and proceeded to go through town in his underwear. When he discovered a young child that said and pointed at him, But he's no clothes, only then did the emperor realized that he'd been conned. It's wonderful if you ask me that many investors, even those with millions at investment firms, actually think that their counselor or their firm has their best interests at heart. In-fact, within my listing of 101 Reasons Why Managing Your Own Money is the Only Method to Build Wealth at http://www.smartknowledgeu.com, Ive given 101 reasons to visitors why this is very, very rarely the case. Obviously, everybody else thinks that their advisor or financial consultant could be the one guy or girl at their organization that really cares about their financial security. If only they can spend only one-day in the trenches using their expert, they'd 999 times out of 1,000, watch an entirely different story. Sick exchange still another method I found out about a top economic consultant at a top Wall Street firm that will get your attention. That top economic guide managed several million dollar accounts. The way in which he would get wealthy people to trust him was to demonstrate to them his ability to pick stocks that performed phenomenally well. To accomplish this, he'd locate a very thinly traded stock that traditionally had been very risky. He'd pay-for a list of high-net worth customers, call twenty people on that list and let them know he was a premier financial consultant at his firm. Needless to say, this would not get the attention of these wealthy people simply because they didn't know him from Adam. Knowing they would be reluctant to begin a relationship with him and hand their money to him, he would acknowledge their concerns. He would then proceed to keep these things write the name of this unstable share that he'd researched on a piece of paper. He'd then tell these 10 people that his stock choosing methodology was so good that he was 100 sure that if they committed to this stock, they would make a healthier profit in a short span of time. Then he'd simply take the following 10 people on the number, repeat this fraud, but instead, inform these 10 people that he was 100 certain that they would make lots of money from this stock if they bought put options on this stock. Until the stock moved 2500-10 or so he then would wait many weeks. If the stock acquired, he would call the 10 people who he told he was 100 certain they'd make a lot of money from purchasing the stock. He would just forget about the 10 wealthy people he stated would make plenty of cash by purchasing this stock and call the 10 people he told to short the stock, if the stock lost 25 roughly. When he called these people they were surprised that he was right regarding an investment that they had never heard about, and many decided to provide plenty of cash to him. I tell you this story because plans like this, designed to make it seem as though these investment professionals, and I use this term really carefully, really know what they are doing, when in fact, they are attempting to sell simply emperors clothes to you. My pastor discovered linkemperor by searching newspapers. The truth is if you have been reading my blogs for a while now, you understand that the methods of diversification, asset allocation, and low volatility are typical just emperors clothes as well. Although they might sound good to-you, thats precisely what the top of revenue methods achieve. They are designed so well that they allow you to feel comfortable and in control. The top emperors clothes offer customers without the customers even recognizing they had been highly selected objectives. Going To link emperor possibly provides cautions you can use with your uncle. Just search our Educational resources and Down the Rabbit Hole articles at http://www.theundergroundinvestor.com to find why all the best known investment strategies today are simply emperors clothes. My estimate of the percent of professionals that place emperor clothes every day to hand to buyers is 99. So that upon presentation to you, they seem like the finest economic strategies designed specifically for you, their finest customers they place schemes, marketing strategies, and income strategies in complex ways. Only in the long run, these methods keep you financially bare, so much so, that even kiddies with no financial level of complexity, would comment upon seeing these people that so willingly let themselves be studied for a drive, But he's no success. In-fact, only last week, I read this report with statements from the CEO of a company that manages the records of several of the people in The Us about what it takes to genuinely create wealth. Lots of his statements, however emperors clothes arguments that most people accept as truth, were so foolish that I laughed aloud, knowing that he had been able to weave emperors clothes for your top-tier of wealthiest customers in The Usa. This engaging link emperor results site has oodles of offensive suggestions for the inner workings of it. Don't get me wrong, it is not that in my opinion that everybody in the commercial is out to con you out of your wages. There are several really good, honest people in the commercial. But, as a result of how companies compensate their economic experts, this much is expected. There will come a time, and most likely repeatedly, when a consultant will have-to make a decision between you and himself/herself. This means that the consultant will have to choose between doing the absolute most useful thing for you and doing some thing not as good for you but better for his or her salary. And having experienced the company, I know lots of instructors that chose the latter often and rarely any at all that chose the latter sometimes. Remember Jim Cramer, some one that developed approximately fortune of 100 million by influencing wealthy customers, stated, Whats essential when you're in hedge fund style, is to not do any such thing remotely honest, since the truth is really against your view. And once you read Cramers record again, know that this attitude predominates among virtually all investment industry experts, not only Jim Cramer..