Owner of company claims to have earned $25,000,000 trading Forex, in under 5 years. Yet can provide absolutely zero proof. Prior to Mentor Tips, owner of company owned a Forex brokerage based out of Cyprus. The company mysteriously shutdown overnight and depositor funds were never returned. Owner of company is now offering to teach his “Forex secrets” and claims that he can turn anyone into a Forex trading millionaire virtually overnight. Owner of company is highly egotistical, a megalomaniac, a narcissist, a serial liar, and is suffering from delusions of grandeur. Probably mentally ill and should seek professional counselling. A certified con artist. Avoid.
User Review( votes)
Thanks for reading today’s review of MentorTips.com
What is MentorTips.com? Mentor Tips is a Forex Trading Academy created by a person named Reza Mokhtarian. Reza claims that since he discovered Forex trading, in less than 5 years he was able to go from living in the back of his car and delivering pizza’s to amassing Forex trading profits of $25,000,000. Yes, you are reading this correctly, he is claiming to have made $25 million dollars in less than 5 years.
Before I talk about MentorTips.com and Reza Mokhtarian, its important that I first talk about Reza’s most recent failed venture, a company named Capital Trust Markets. What is Capital Trust Markets? Up until 2014, Capital Trust Markets was an online Forex Broker based out of Cyprus. The official ownership of the company was registered in New Zealand, as per the following link. Apparently, Reza had purchased a white label Forex trading platform and then began taking customer deposits sometime in 2012.
What exactly is a “white label” Forex Brokerage? It is simply a software program that allows a person to create a Forex exchange, and the data for the exchange is provided by several different data providers. In its most basic form and function, a white label Forex Brokerage is nothing more than an online casino. A person would send their deposit to Reza’s account, and then they would trade Forex. The white label Forex software solution allows the trades to be routed over an actual exchange, or it allows a person to trade directly against The House. In other words, since Reza controlled the trading platform, he was able to decide whom was trading live, and whom was essentially trading on a simulator. The end user had no idea whether the trades were live or simulated.
Since the vast majority of Forex traders are net losers, then most of these white label Forex platforms never actually send the orders to an exchange to be executed. The Forex broker simply hopes that the trader loses the entire account balance by trading on a simulator. It appears that Reza was simply accepting depositor funds, and then just as quickly spending client funds on himself. Reza’s company was recently closed, and he stole the deposits of nearly everyone that gave him money.
In addition to stealing the money of everyone that trusted him, there are also multiple complaints that he committed identity theft by stealing the identities of several of the registered users of his exchange. When customers signed up for these Forex trading accounts, they were forced into giving nearly all of their personal information, copies of government ID’s, etc.
Some of you reading this are probably pretty shocked at the audacity of this person, and whether any of this is actually true. However, a bit of searching reveals hundreds of filed complaints on sites such as Forex Peace Army and Rip Off Report A. (Rip Off Report B) In fact, I was shocked at the sheer volume of people that Reza Mokhtarian has stolen from. The numbers are in the hundreds of victims. Many sad stories of how he stole various amounts, both large and small. In addition to the sheer quantity of online complaints, TradingSchools.Org has also received 36 complaints from people that could not withdraw funds. The majority of the complaints described how individuals would deposit amounts that varied from $500 to $40,000, and then would begin trading. Most of the complaints also described how the individuals had lost varied amounts then simply wanted the remaining balance returned to them, however Reza refused to return the balances. There were also stories of several traders that had actually made significant gains and simply wanted to withdraw the profits, once again Reza simply refused. It appears that Reza treated this company as his own personal piggy bank and simply stole the money as quickly as the money was given to him.
One gentleman in particular was so disgusted that he created a website that describes in horrifying detail of how he was personally scammed out of $30,000.
In addition to the online complaints that Reza has stacked up, apparently a group of people that had trading accounts with Reza at Capital Trust Markets decided to take justice into their own hands. Their money had been stolen from them, and they wanted justice. So what did they do? They snatched him from a local park and proceeded to beat the hell out of him, at gunpoint. As the following images attest, Reza got himself a nice helping of “street justice”…have a look at the images.
It appears that after the complaints began rolling into Canadian authorities, Reza quickly shuttered the Forex Brokerage business and started this new venture named Mentor Tips. The Mentor Tips Forex Academy appears to have come online in late 2015 and I am now once again starting to receive an influx of requests to write about Reza. So what exactly is MentorTips.com? In a nutshell, Reza is promising to teach all of his Forex trading secrets for $97 each month. Of course, Reza is recommending a Forex Broker, which after reading much of this story, you should be laughing at the audacity of this character. I am not going to go into the details of what Reza is supposedly teaching, it should be apparent that this sad and laughable character is just looking for his next batch of victims.
Many readers are probably wondering just how this guy is able to sucker in so many people. Well, you have to understand his marketing and how it appeals to the desperate, the naive, the elderly, and the ignorant. Reza likes to use a marketing tactic that I describe as Wealth Pornography.
Reza hardly ever talks about trading, in fact it is painfully obvious that he is extremely ignorant of economics. His focus is shiny objects and creating a massive illusion that he is wealthy to the extreme. And since he is so wealthy, then this wealth imagery validates what he is supposedly teaching. Of course, everyone knows that I love to write about trading guru’s that use wealth pornography, some of these include Infinite Prosperity, Bulls On Wall Street, and Fous Alerts. All of these scammers share the same traits as MentorTips.com. Lets have a look as some of marketing magic created by Reza.
Ramblings of an idiot
In addition to all of these wonderful images that convey wealth, prosperity, and an extreme sense of self, Reza also loves to create these freelance videos of himself talking about his successes, his wealth, and philosophy . The videos usually begin with Reza driving a Bentley or Lamborghini and then goes into a 15 minute verbal odyssey describing of his wealth and how you can also be wealthy. Of course, all you need to do is purchase his Forex educational package and get that Forex account opened as soon as possible.
If you are up for a good bit of laughter and want to witness the ramblings of an egomaniac, then have a look at the videos that he has created on his Facebook page.
Unbelievably, I actually watched every single one of his videos. By the time I got through the last video, I was in a state of shock and amusement. He is the very definition of a megalomaniac. Actually, I would have to say that this guy is probably suffering from mental illness. His self aggrandizement borders on lunacy. In his videos, he makes some of the following claims:
- Worlds most successful Forex Trader
- Adviser to world governments and world leaders
- Was one of the founders of the Forex market
- Can teach anyone to become a multi millionaire in only a matter of days
- Mentor Tips will be a Fortune 500 company by the end of 2016
- Is the #1 celebrity on Facebook, Snapchat, Instagram, Twitter
- Is more popular than Kim Kardashian
- Is the worlds most cherished entrepreneur
- Is currently the worlds most followed online motivator and business coach
- Is more popular than Presidential candidates, Grammy Award Winners, and professional athletes
- Has over a million loyal followers
- Has more social media followers than Donald Trump, Kevin Hart, Tony Robbins, The Rock, and Oprah Winfrey.
- When The Rock needed workout tips, he called Reza.
I could go on. But you are probably either laughing, or you do not believe me. And so I propose that you do your own research and verify that everything that I am writing is true. The following media page confirms much of what I have written. Pure lunacy folks…Mentor-Tips-Media-Kit
If you took a cursory view of this garbage, then you are probably having a good laugh at the audacity of this ass clown. I certainly was.
Wrapping Things Up
Most of the TradingSchools.Org readers are too intelligent to fall for this sort marketing hype and blatant chicanery. However, there is a seemingly, never ending supply of young people that can easily become enthralled with this sort of “get rich quick” marketing message. These are people with usually only a few thousand dollars to spend, they see these cars and mansions and shiny things, and they think to themselves, “what if its true?”. At the end of the day, they waste their personal savings, and usually end up with credit card debt that needs to be paid off. Not so harmful? I disagree. The real damage is that they lose faith in the system of savings and investment.
The net effect of such pervasive and widespread fraud on the financial system is changing the attitudes of an entire generation of young people. Harvard University recently published a study that the majority of 18-29 year old’s are quickly losing their faith in capitalism and the free market economy. Those of us that have been around for awhile (I am 47 years of age), we understand and remember the economic effects of a communist Europe. We remember what China looked like before they transitioned from state run to a market based economy. We see what is happening in central and south America and how socialist policies are destroying living standards. Young people are simply becoming disillusioned, pessimistic, and too afraid to invest in a system that appears to rob them at every turn.
It seems like never a day slips by me that I receive an email from a young person that has completely lost trust in anyone operating within the investment realm. It’s sad.
Well that’s it for today. Enough blathering and whining. Yet another fraudster gets exposed. Don’t forget to leave your comments below.
For 2 years, I’ve been on a crusade exposing Reza..as of today, Kaizen Global and Mentortips are pretty much done for. Not a peep. None of his students or distributors will back him up anymore. It appears he still runs a small Telegram channel giving away shitty forex signals. I guess it must be a tough life living as a bozo. His jury trial for the felony fraud is scheduled in Nov. 2017..the last I’ve checked with the Ontario Securities Commission who is in charge of the case.
On my Facebook (about 10 months worth) I publicly humiliate Reza and his companies. I’d have to say I was a big part of his downfall although I was never a victim to any of his shenanigans. Just that I know many victims from the CTM scam and private investors who lost everything.
My Facebook: https://www.facebook.com/chakra.capital
Facebook page “one-stop” reference expose page on Reza Mokhtarian: https://www.facebook.com/Reza-Mokhtarian-1858837064380816/
This guy seemed to have borrowed a lot of photos picked for this review.
Dam your a hater bro…
He just got charged for Fraud http://finance.yahoo.com/news/reza-mokhtarian-charged-fraud-over-141600079.html
Now he has renamed it Kaizen, MLM scam. Please update blog to include Kaizen so people don’t fall for his new scam
Here is also some nice proof of him being a scum, http://imgur.com/a/V75Ai
Wow! Clients are stupid and deserve to have their money taken?
hey thanks for the Review this guy has a new program that just launched this past Month it’s Forex Mixed with MLM
fuck i just signed up to his crap and even gave them my tax id. wow I’m happy i didn’t give any debit card details. so where do i get real advice i haven’t lost my faith just need to be shown the proper route and I understand it takes hard work and dedication. and studying philosophy and economics at uni to help my understanding
This reza guy’s office is up the street from me. Cant believe he is doing all this.
If you want to know where to go to learn to trade, go to http://www.futurestrader71.com
It is how i learned. He doesnt want your money either. This is a gift.
I joined your futures trader a month or so back…horrible calls. i lost my money
? He doesnt make calls. He runs a brokerage with a trading room so you can be guided to learn the to trade. Trading is like a sport.. It takes a lot of deliberate practice and modelling of your brain. If you are looking for a trade call service this is not for you. Though i have watched him trade live and it is a thing of beauty.
Can you describe how he assists in modelling your brain and how this applies to your trading?
What if I did sign his NDA (Non-disclosure and Non-compete) but I will not join KaiZen at the end ? Does the NDA still apply to me ?
You are probably bound by the Non-Disclosure Agreement as it pertains to the pre-launch (services, people involved) of his business, but once the launch goes live, then you are not bound by it.
Since you did not finalize any business relationship, the non-compete stipulation does not apply. This is to keep the IBO’s from splintering off and starting their own business.
Fucking with other peoples money can get more than a broken leg. If this clown keeps on fucking with other peoples money one day he will fuck with the wrong person.
Yep. This guy is lucky to be alive.
Truth be told, in my opinion, this Reza character probably has mental problems. And I dont mean that as a joke or a jab. I mean, he probably has multiple personality disorders and needs to be diagnosed and medicated. In fact, I would bet money that his parents have had to deal with his mental illness his entire life. Probably diagnosed at a young age. He displays absolutely no remorse, no guilt, no feelings for anyone but himself. Its like he is devoid of a conscious and has absolutely no feelings about others.
The money that he has stolen gives him a sense of validation and affirmation. “I was able to steal this money, therefor I must be brilliant”. But its all a lie. The sad part is how he is obviously lying to himself. He doesn’t seem to understand that nearly everyone that comes into contact with him is going to see right through the bullshit. I wonder if for a fleeting moment, while he was being beaten by the people that had stolen money from, did he feel regret? Does he feel regret? Was he terrified as they drove him around Toronto and threatened his life? Its truly an interesting story.
lol! I just noticed your subtitle comments under each photo, Emmett. That was funny and reminds me of the “don’t I look smart” front scam page photo of picksthatmakecents/Kavan trades wearing the headset.It’s kind of sad those Infinite Prosperity kids and their friends at the IP ball 2015 video are doing similarly or more of the “wealth pornography”. Most scammy vendors I assume wouldn’t go so low as to outright steal customer accounts in their small forex shop , but at the same time there are also many vendors who don’t honor their money back deals or make up some ridiculous rules about showing proof of losses after 30 days or so in order to qualify for a refund.
He was not beaten up by anyone but himself. This is another characteristic, or co-morbid of an antisocial personality disorder. I remember it very clearly, first he claimed to have injured his foot in some sport accident, then next day when he had all those people and the media for the Reza speech, he was conveniently kidnapped and beaten up just like in Hollywood, and then of course the rapid recovery.
Its unlear if he beat himself up (like Jim Carey in Liar) or if he hired someone to beat him up.
I like your theory. However, they did capture the kidnappers. http://www.torontosun.com/2016/03/23/arrests-in-kidnapping-of-bentley-driving-entrepreneur
I prefer to not call them kidnappers, I prefer Debt Collectors. Lol.
Yea the kidnappers they arrest, while the scum bag con artist walks free as jaybird. My guess this is tied to drug dealing and not his trading scamming.
Why is the review not showing up on the homepage ?
It’s showing up on mine.
But turns out he had called it upon himself for insurance claims ..hired guns
Yo, This guy is starting some new business called “Kaizen” (Source: Reza’s Facebook/Twitter posts) .
Please to update!
Already aware of it. Its multi level marketing.
And back to the discussion about scumbag Reza Mokhtarian and Mentor Tips. I have found the Forex education industry to be almost entirely populated by dubious people. I think it’s the nature of this investment vehicle. Giving people who don’t know what they are doing leverage of 100:1 is a surefire method for taking their cash. When the trade moves against you that amount of leverage destroys your capital even when you employ very good money management. I’m not surprised that this industry attracts people like Reza.
I actually think you may have made one of your most important points yet in this little thread. Feel the Burn. The lose of faith in Capitalism might be the down fall of this country. Capitalism is the only way countries have gone from being dirt poor to rich. Capitalism took us from riding horses to putting men in space.
What the hell did any Socialist country ever invent? Venezuela went to socialism and they went from poor to dirt poor as there are riots for food. Do these people not get it that Capitalism is why you have Air Condition in every home when just 50 years ago it was only the wealthy that could afford it.
Life has been so good here, people have no idea how Socialism countries are. Go look at the cars the Government made. Governments are the worst deliverer of services. Capitalism leads to not only to lower prices but higher quality. Just imagine what Gov. made cell phones would be like.
I am not going to lie. I drive a Prius and have a Bernie magnet on my car. I love Bernie. Last night, when I watched him give his speech, I cried. I find him moving, honest, passionate, caring, and so darn nice that even birds land on him. This is all part of my fantasy of how I wish life could be.
But its a fantasy. And in my heart, I know that more and bigger government is not the answer. I am reminded every time that I have to visit the DMV. A visit to the DMV is the miracle cure for the mind of a wandering liberal. Brings you right back to the hard cold reality that being an idealistic liberal is just a pipe dream.
Sure, I fantasize about starting an organic garden and being the next Hemingway. But lets get real here folks. I am not the next Hemingway. I can barely grow a tomato. If it were not for capitalism, I would not have gas for my car, the ability to purchase organic (and over priced) tomatoes from my BLT, or the ability to jump on a plane and visit anywhere on the planet. Capitalism works. Sure, its not perfect. But its whole lot better than any other alternative.
I lived in Poland for about 2 years in my younger days when Poland was communist/socialist and police walked the streets with machine guns. The people were all very poor; in fact I could live on my US Dollars for about $2 worth of Polish Zlotys which included room, board and vodka. The problem now is we are in a state of “hyper capitalism” (not my term, read an interesting article about this), so that’s what’s created the inequality that Bernie talks about. Example: The founder of Uber is now multi million rich but the drivers? They don’t even get medical or paid days off, they earn less than $10/hour after deductions for use of their car. There’s still a big problem in this country even though it’s still the best country. Hopefully Hillary (with help from the Bernie ideas) will get us back on track.
Seriously I will never understand the thinking of Socialist. Socialism is Govt force. Free Market are choice. There was no Uber before the founder invented it. So now instead of a horrible taxi ride people can get a better product at a better cost and more people are going to use the service because of that who would not have used a taxi. As for the drivers the salaries vary by city, but no one is forced to work for Uber. In fact I saw somewhere the average driver made $90K before expenses. They do it because they choose to do it. It must have been more attractive than the alternative work choice they had. So you want to force them back into the alternative choices they had.
There is no limit to ones potential, that UBER drive can go back to school and get a better job or start his own business. If you have the drive and ambition then there is no limit. I will tell you a true story. My wife ran a franchise shop. Many employees are unemployable. I know that might be hard for people who never ran a business to understand, but they are. Cannot show up to work and so forth. But if you were a good hard working employee there was no limit. One lady moved up to assistant manager to manager to the Franchiser’s field rep to owning her own store. That is the way free markets work.
Nothing has lifted people out of poverty like Capitalism. Hong Kong and Singapore in a matter of 50 years went from poor to rich due to Capitalism. Everywhere socialism comes into effect the opposite effect starts to happen. It is sad Capitalism is now becoming a dirty word.
Rob B, my point about Uber is that it is exactly what Bernie is talking about. Why shouldn’t the owners of Uber treat their employees more fairly, give them benefits and paid time off. But Uber hires high priced lawyers to protect their multimillions by not giving the workers decent benefits. That’s Bernie in a nutshell. Nothing wrong with capitalism but the wealth is in fact concentrated in the small percent of the population while many of the employees have to rely on government help to sustain a living. It’s hard to get ahead or out of poverty at less than $10/hour. Your comment about what an Uber driver can do does not consider what that driver makes to support himself and a family. At those pay rates, he can barely make ends meet, if at all, let alone go back to school or start a business.
Yes in Capitalism there is no doubt some will get rich, in fact filthy rich. But overall all all peoples wealth is lifted.
The problem IMO is not capitalism but first the insane regulations we are doing in this country. Constantly adding regulation on top of regulation and never getting rid of any regulations. I think everyone in this country right now could be arrested for violation of some regulation. That is how bad it is. And sadly the Republicans are just as bad as the Dems.
There are unforeseen consequences to these regulations and that is what we now are getting. Fewer and fewer people can open a business and worst small business can not make it. In fact the people writing the regulations is usually the big boys stopping the smaller competitors.
I could go on for days about this topic alone, but have to go so quickly to next topic.
The second reason is our completely failed public school systems. It is a disgrace when 50% drop out rate and Govt says what a great job they are doing. Govt is incompetent and should not run much of anything IMO. They become a big blob that only cares about getting tenure and pensions and vacations and so forth and so forth and no one cares about the children.
I will have to expand upon this later but here another excellent video.
You are right about regulations but how well does self-regulation work? Hmmm, if only there was an example of a self-regulating industry to look at? The choice doesn’t have to be either capitalism or socialism. It’s pretty clear that the best system in capitalism but it needs some socialistic elements to give in some humanity.
Humans are pretty darn sneaky. And we do terrible things to each other. Tough part is finding balance between maintaining individual liberties without choking away innovation and competition.
In my opinion, the life blood of democracy is the free market capitalist system. The free market system serves as the foundation in which a democracy needs to thrive. When I read about millennials (18-29 year old) losing faith in capitalism, it scares the hell out of me because it threatens the fragile democracy in which we live.
The free market system, in order to work properly, needs the rule of law. Something that is currently lacking. But are governmental agencies and yet more laws piled upon old laws the solution? Nope. No easy answer. At least not from me.
Regulation in the free market is a tricky thing. Too much and you ruin the flavor of capitalism, but without it, it’s capitalism run amok. This website makes my point. Why aren’t all the fraudsters being regulated and tossed into jail. Why does Emmett have to do all the dirty work? New traders as well as some slightly more experienced are losing their capital to criminals. So we need some sort of regulation. Agree with Emmett, there’s no easy solution and it’s clearly not a black or white situation, lot of grey.
I am not against all regulations. First I hate non elected people making regulations with no thought to the effect on jobs. Before any non elected person starts making regulations I want to see open meeting with the business that will be effected by the regulation and if they show it does effect jobs then only Congress can pass the regulations.
Next I want to overall the regulators and now make them focus on getting rid of regulations that do nothing but cost jobs. In fact my rule would be for any new regulation you must get rid of 2 existing regulations.
As you might have figured I am a Libertarian, well what I would call rational Libertarian.
Someone on this thread wanted to see Andy Jordan’s performance trading on The Robot. Unfortunately, I lost the name and email address. If you read this, you know who you are. Send me your email and I will send over the spreadsheet of trades.
Sorry I hijacked this thread with a non relevant topic.
to keep with the hijack. When are you going to have a list of all the people using the robot and an automate update of their performance. Also I think you should have a specific thread for Q&A to Emmett. You can call it Dear Emmett.
LOL I didn’t read all the way through til now.
Emmett, you do sound like my friend Tony, I assure u it’s not a bad thing as he is very intelligent, however, I do agree with Rob’s points.
” Free Market are choice.” up to a point and that point is whether or not you have the personal resources (education, demand for your services, age, ethnicity etc.) that allow you to say “No.” Without those capitalism will bend you over and drop your pants.
“Nothing has lifted people out of poverty like Capitalism. Hong Kong and Singapore in a matter of 50 years went from poor to rich due to Capitalism. Everywhere socialism comes into effect the opposite effect starts to happen. It is sad Capitalism is now becoming a dirty word.” Actually the state that existed in Hong Kong and Singapore prior to them being lifted out of poverty was pure capitalism. In Singapore’s case they took back control of their own country from foreign capitalists and instituted many social reforms (socialist policies) for example clearing the slums and building public housing for the masses. I was in Hong Kong around the time that it was handed back to mainland China. What struck me about that “world class city” was the number of people begging in the streets. A year later they were no longer there. They were placed in public housing and institutions. Pure capitalism is very brutal and it’s best when it is flavored and served with a side dish of socialism.
What a great comment. “Pure capitalism is very brutal and it’s best when it is flavored and served with a side dish of socialism.”
Wish I thought of that first. Hemingway I am not.
Singapore and Hong Kong are rated at the top of the economic freedom ladder. Even Milton Friedman described Singapore as an example of how to do development right. Heck even Jimmy Rogers moved there.
I tell you what Stray Dog, unlike Dem and Republicans I am willing to compromise. US gets rid of all the over burdensome regulations and once again gets ranked at the top of the economic freedom countries and I will go along with a few socialist programs. And I mean when I can go downtown fill out a paper and start a business that day without doing a 2 year study on how it will effect the spotted owl then I am willing to compromise.
Rob B for President.
No sane person would run for president. Anyone loving Socialism, I ask what Socialist country is doing this:
Now that is cool. I can now see the millions of Govt regulators racing to create Moon Mining Regulations.
Some capitalists are verrry Darwinistic. I’m a Lib, I believe in little regulation.
I am the only Capitalism lover left. I have hired people at different income levels and have had people say no at all income levels because their is always a choice. Let me rework in a true free market without burdensome regulations there is a choice. If they do not not like want I am offering even if they have no skills they can start a lawn service. I know a person that did that just going door to door. And there are tons of other business one can start – a cleaning service, a hauling service. I know anther guy who started a moving service with just him and a dolly. Hardest working fellow I ever have known.
But I am also believe in everyone deserves a chance. Not a handout, but a chance. It is a disgrace the education system poor people in this country get and I would massively overhaul it. I would give everyone an opportunity, but if they do not choose to take it then they have a right to be a bum with no handout.
“Without those capitalism will bend you over and drop your pants.” Actually that is what I find with monopolies and crony capitalism and of course Govt which is a monopoly. Not so easy to do in a free market. If you are unhappy you can fire the person or company you hired and go somewhere else or quit your job and go somewhere else. I think people expect too much these days like Govt can guaranty them something. What would these people do back in the day when you went out of the cave and hoped not to be eaten by a dinosaur.
Even though there are people that want you to belive it is so, Govt can not artifically create a standard of living. It they could Mexico could just say you must pay all Mexican workers $50/hour and wam bam Mexicans are rich. Right!! But we know it does not work that way. Everything has consequences. And so far Capitalism, not crony capitalism is the only system I have seen bring billions of people out of poverty.
Gee, am I the last vestige of free markets. Now I know what it means to feel the burn. I need to get my suntan lotion.
just needed to upvote, as everything is true to me/(based on my own research.) btw I know im really late, and my grammar is off, but im drunk and being lazy,.
Kumbaya! It sounds so great, we will all be equal and happy. There are so many failed socialist experiments that it is beyond believe. When the pilgrims first came to America they at first thought Socialism. We all will grow crops on land that belong to all of us and share in the rewards.
It just sounds so good. And what happened they almost starved to death. Because no one wanted to work and expected others would do the work and worst they took the veggies early before someone else did.
What saved them – Capitalism!!!!! The gave individual land rights and each prospered from their own labor. Now there was incentive to work hard and grow the veggies properly. When I hear people say Capitalism is bad because their is profit. I say profit is good as it inspires people to work and create. Now what is bad and happening more and more is Crony Capitalism.
A great show to watch on what I just talked about:
Bro, its because socialism is based on people are pure of heart, and want to benefit society as a whole, as opposed to being selfish. Unfortunately, there are a lot of power hungry, selfish people out there. ie “crony capitalism.”:)
Runaway crony capitalism has been causing the modern economic problems in the western world. This is what happens when oversights , rules and regulations get sidelined and when the government is bought by the banksters the corporatism and paid by the shrinking tax base. Sure, capitalism is far more preferred than socialism and communism, but in the last twenty years with the aid of technology and too much red tape, the wealthy elite have been getting away with financial murder of the global middle class. It doesn’t help that both parties are also bought and paid for by the wealthy special interests, two sides of the same tarnished coin. I would like a farm and self-sufficient plot too as a daydream, but only under a sensible capitalist economy. I understand why many would like Bernie, but until there is a third party or one of the parties completely changes, the collapse will continue.
Gosh, It would be a full time job defending Capitalism these days.
And sadly I have to agree with you in part SAM. We are becoming more about crony Capitalism. And the saddest part is the Republicans are Capitalism in name sake only as they are responsible for just as much Crony Capitalism as the Dems.
Even the regulation are nothing more than crony capitalism as they are written by the big boys to stop smaller players from getting in. Who do you think is writing the bank regulations. I know small bankers who did nothing wrong and being killed by those regulations. They can not afford to hire a team of regulation attorneys like the big banks.
I have to go but could go on for day about this topic. But yes Crony Capitalism is Bad, Bad Bad!!!
I completely agree about banking regulations. Though I agree that banks need regulations, the current laws are too stifling. The smaller banks cannot afford these regulations. Dodd Frank overshot the mark, and in hindsight it was a blunder. Its always those darn “unintended consequences” and the unforeseeable that kill us liberal thinkers.
Look no further than the PDT rule which bars US citizens from day trading stocks with smaller accounts. An idea born from the ashes of the late 1990’s tech crash. Rules created to protect us from ourselves? Stupid. Look at the net effect…many are opening day trading accounts with unscrupulous offshore brokers.
My inner Bernie Sanders flutters about in my heart, dreaming of a wonderful world. But I keep my Ron Paul in my wallet. Darn, I am such a hypocrite.
Hi Rob, (warning: massive post)
I have never commented on another review thread other than my own, but you have my blood pressure at all time highs with deregulation talk.
Look, there is one and only one reason the market melted down, along with the economy, in the Great Recession. (not my term, but the media’s) and that was the repeal of Glass-Steagall Act, or the Banking of 1933, which forbade Investment Banks involvement in mortgages and land speculation. Within 8 years the country was brought to it’s knees with a massive default rate on CMOs and the complete failure of Credit Default Swaps to cover the defaults. As a matter of fact, there was little, if any money backing the credit default swaps. In their drive to increase profits, investment banks intentionally packaged every mortgage available and sold them to the highest bidder, Wall Street did no risk assessment on the mortgages, but simply packaged them in tranches and resold them at a tremendous profit. Their hands were clean of the mess, except the dog that came back and bit them in the ass…credit default swaps. Then the entire bank credit market froze, and even commercial paper became so scarce that the Feds had to intervene and bail out companies with money market funds, which consist primarily of commercial paper. I watched this scenario unfold on my computer and was convinced the whole system was going to implode. And gosh-darn it, the hated Fed saved the day, and then continued to save the day for the next years.
Did I mention that investment banks knew well in advance that 1/3 of the mortgages were fraudulent? The second mortgages, and second second mortgages packaged into lower tranches of the CMO’s had a default rate even higher than 30%. Did I mention that when the CMOs and CDFs were sold most of the investment banks were already short on them. Why? They knew darn well that the failure rate would significantly reduce the asset values underlying the CMO’s and the whole credit default system was a sham. How did they know? They were aware of the fraud being committed by primarily mortgage brokers. It is sort of like selling you a car and scheduling a complete transmission overhaul in six months because I know it is going to fail.
Rob, you just need to get involved with Wall Street to understand the mentality. You make money because that is what you do. I don’t know if it’s true anymore, but we called it euphemistically “fuck your buddy.” It doesn’t matter how you make money just so it can get by the shade of the law and your bonus will skyrocket. It doesn’t matter who is hurt, it does matter who is helped. It pure capitalism.
What another shocker? Credit default swaps are being written at a higher rate than pre-2008 levels. Of course, you say, they now understand to set back sufficient reserves. Not a chance. Same ball game, new inning and we will have the same result.
I still work as an independent contractor with a major investment bank on the delinquent/defaulted/the dreaded “who in the hell knows what’s going on” credit default swaps. I often use google maps just to eyeball what sort of house has a $700,000 second mortgage and find something bearing a distinct similarity to an outhouse or just an empty lot. There is good news for me though, the investment houses were required, by Dodds-Frank, to estimate when the CDF’s would be cleared and at the present rate we should have it all wrapped up in 64 years. The problem is measured, by the way, in billions of dollars, but trillions of dollars. That is the extent of the problem. I am not too worried about employment for a while.
Did I mention that 64 years does not include the bloated number of CDFs since 2009? You know why they call them credit default swaps? Because if they used the word “insurance” (which is the function of a CDF) they would have to set aside a percentage of profits to cover losses. Since they never intended to need to pay out on CDFs, they elected to not use the word insurance and skirt regulations that they should have been held to uphold. AND THEY ARE STILL DOING IT BECAUSE THEY ARE TOO BIG TO FAIL AND KNOW IT.
Sometimes I get a kick out hearing people getting scammed out of a couple of hundred bucks by some counterfeit trading educator because I know the massive fraud, the “make money or be fired,” the unrelenting greed that is Wall St. During my days in the business there was no reference to the net effect to individuals living on a fixed income, retired people, or anyone else, for that matter. What mattered was us and our bonuses.
Worse yet, I can tell you similar stories about other deregulation bills and the planning, even before the bills were passed, how the investment banks were going to game the system. I was in the damn meetings. And they did, and you were the net loser. You get mad at these little vendors while the big vendors pick your pocket clean through terrible interest rates, lack of access to credit, massive devaluation of homes and property…the list is long.
Did I mention that we are back, in some investment houses, to “no money down home loans?” Yea, they started last month.
Finally, are you completely sure it was a big accident? The net result of the whole fiasco was 0% fed funds rates. During times of zero interest rate you know who makes out like a bandit? The “1%” who can borrow that money at 100 basis points over cost. And that is what happened, the top 100 richest in the US now own 40% of the whole shabang. I am not a conspiracy theory kind of guy, but was it just a coincidence? Hmmm…..
I am familiar with the Glass-Steagall Act and all the other issues you brought up and I agree and disagree. I am going to have to defend Wall Street, the most hated industry on the planet. I can imagine the hate mail I will get from the Bernie lovers.
No I was not working in Wall Street, but I was a Real Estate Broker and experience the insanity first hand.
First the idea that this incompetent Government can regulate out a bubble is non sense. How well did they regulate out the Tech Bubble and all the billions lost? And I guaranty they will not regulate out the next bubble; whatever it be.
Everyone wants a scape goat and Wall Street is such an easy scape goat. The evil 1%. Down with Wall Street. Politians are not going to blame themselves or their constitutes now are they?
There are a number of reasons for the housing bubble including bad mortgage underwriting, poor work by the ratings agencies and a securitization market gone crazy. But in my opinion the bubble would have happened no matter what size the banks where because the real culprits was not wall street it was our incompetent Gov’t and the individual. I know as I was there showing those people homes and sanity went out the window. The Government told everyone they should be home buyers with things such as the Community Reinvestment act and then lent out money with little to no skin in the game. And for the individual they wanted on the bandwagon so bad nothing matter. If a bank appraisal came in low they yelled at the bank or went elsewhere until they got want they wanted. I had kids straight out of college telling me they were only going to live here for 6 months and they would buy and just flip. That was the crazy mindset. And what did evil Wall Street do, they gave the people the loans they wanted. Yes there was corruption and improper underwriting, but there is enough blame to go around as more than just Wall Street was at fault.
I think you can trace the whole mess back to a specific event. Had Glass-Steagall not been repealed in 1999 the Investment Banks would not have even been in the game and they should be out of it now, yet the reenact of Glass-Steagall has been voted down 8 times, to the best of my knowledge. Even with the meltdown of our financial system immediately attributed to the repeal, Congress still refuses to re-enact. The truth is they are all bought and paid for or else them could never raise the funds to run in the first place.
The rest of the cards in the deck would never have been played because demand for loans, insane or not, would have run it’s normal course. But the Street needed the inventory, I was there at the beginning of the debacle, not the end. That repeal, which millions of dollars over a seven year period on buying congressman were spent, finally came to fruition through a GOP congress and was signed into law by a DEM president.
And the rest is history…
You remind of the late Wayne Rogers, he also blamed Glass-Steagall for everything. No way to know 100%, without going back in time and redoing, but there were plenty of lenders including Fannie Mae and Heavily Regulated banks. When there is a bubble mentality and people demand money, money finds a path.
The funny part is the brilliant Gov’t solution is after the fact to pass more heavy regulations that are killing the small banks and making the larger banks even bigger so the Too Large to Fail just got worst.
Life if not perfect. There are going to be bubbles and all kinds of bad things and many of these things will occur due to the unforeseen consequences of Gov’t runaway regulations.
I should add another HUGH lender the shadow banks such as Bear Sterns and Lehman Brothers were not even covered by Glass Steagall.
The Glass-Steagall Act was in response to the bank failures of the Great Depression. Glass-Steagall made it illegal for a bank that held FDIC-insured deposits to invest in anything other than government bonds and similarly low-risk vehicles.
libertarian is the way to go bro. I myself am a more conservative one. “Religious right, progressive left.” and all that, but I know several left leaning libs. Point being capitalism with low government intervention is the way to go. Thank you for all your hard work btw and have a blessed day!:)
How isn’t this guy under arrest for his shenanigans with Capital Trust Markets brokerage ?
A white label FX broker located in Cyprus. Incorporated in New Zealand. Owner in Canada. The software the runs the white label Forex broker software housed on a cloud server located in, well in The Cloud! The internet has decentralized everything. The victims of this guy are located all over the planet. Whom is in charge of helping a victim from Brazil, and another in Australia, and another in Vermont, yet another in Italy. The global financial system is a mess.
At least he didn’t claim to be “God’s gift to women”
I was going to claim that title but I have to help my wife get off the floor and stop laughing.
He does, in several videos. He also claims to have an army-poor Emmett may already have been warned about them. Apparently, Canadian authorities have FINALLY got enough on him to, hopefully, get him out of desperate people’s reach for a very long time.
Also, many of his former “associates” have said his “kidnapping and attack” was long and carefully planned-BY HIM!!
Read his threads at FPA, especially the earlier ones he responded to. You have to see it to believe it.
Good points about the sad state of the financial world to the younger generation as commentary in this review. This guy looks like he’d already been exposed, but good job warning others away from his new 2015 site. Nowadays these scammers make up a faux professional good looking website. I don’t know how the Canadian government oversees this, but it’s certainly a worse criminal case than the typical sim trading room scam. It was depressing reading this review, but ts.org readers would rather hear the scammy truth as always, thanks.