Originally Posted by Dutchrudder
So how exactly is VY supposed to know that his agent and financial adviser were going to be thieves? I don't see how you could not feel sorry for him if he was genuinely a victim of these guys. There are millions of people out there who have been effected by guys like Madoff, Stanford, etc, and it's not the customer's fault.
You take even bigger risk when you go with small fry advisors. If you work with a financial advisor at a big broker and they steal from you the firm pays you back. If your advisor owns his company, steals all your money and spends it then there isnt anything to get back. The same thing goes for CPAs and so on.
Both investors of Madoff and Stanford fall under the same opinion that I have of Young's situation ignorant, greedy or both. I dont feel sorry for the Stanford investors whom were putting money into CDs at 6-10% interest when the rest of the market couldnt pay 1-2% And with Madoff he had only 2 down months of investing out of 100+ month with the largest down month being 0.5% which is an impossible trading record but his investors didnt care, they just wanted the fake returns.