Wisc. Eyes Hedge Fund Scams

Aug 26 2011 | 9:38am ET

Wisconsin is warning its residents to beware of hedge fund and private equity frauds.

The state's Department of Financial Institutions said it has received a number of complaints about potential scams this year.

"Whether described as a hedge fund, trading program, high-yield investment fund or private equity fund, we are seeing a lot of people taking chances in alternative investments," Leslie Van Buskirk, chief enforcement officer of the state's Division of Securities, said. "They are being promised a very large return on investment in a relatively short time frame and told that it is a safe or guaranteed investment." Many may be Ponzi schemes, she added.

The list of possible scams include distressed real estate, energy, gold and precious metals and securitized life settlement contracts, according to the list put together by the North American Securities Administrators Association.


In Depth

Electronifie: Better Bond Trading

May 11 2016 | 3:03pm ET

Technology has revolutionized countless aspects of investing and trading, but the...

Lifestyle

From Modern Trader: Stephen Curry is a Black Swan

May 18 2016 | 7:43pm ET

What do the rise of the Internet, the sinking of the Titanic, 9/11, and Stephen...

Guest Contributor

LendingClub and the Question of Internal Hedge Funds

May 19 2016 | 8:42pm ET

Peer-to-peer lending platform LendingClub Corp. has been in the news since the firm...