Sunday, August 22, 2021

And now that great investment that Primo's brother asked him to make? It's being investigated

Of course we are not surprised.

I am not surprised.

This seemed shady to me from the beginning.

Primo got a weird email from someone he didn't recognize. Turns out that there is a compliance audit.

(Which is what all financial investment firms know about and should expect. I have some work experience in this area and in the company where I worked, they went overboard to dot the Is and cross the Ts and make sure everything was legally correct because the company's reputation depended on being trustworthy.)

Turns out YOU ARE NOT ALLOWED TO WAIVE THE RULES.

Who knew?

Only everybody.

For this investment, the investor - that is, the trust, has to have assets of two million dollars.

No, I don't know why this is the rule. But it is.

And nobody asked Primo if the trust has two million dollars.

(It does not.)(It has enough to pay the kids' student loans and help them make a down payment on a house.)

Primo's brother's friend lied to him about being able to waive the rules.

I hope he gets fired and gets his license yanked.

But wait! Primo's brother, whom he had to talk to yesterday, which made Primo cranky, has an idea!

"Do you and Goldie have two million dollars?" he asked. "You could be the qualified investor!"

Um. No.

Even if we did have that kind of money, we would not use it for the benefit of Primo's brother and his lying friend. We would not put our names on this crap.

10 comments:

  1. I have a relative trying to peddle investments in a banana plantation in Belize. Do you want me to pass on the information to your relative? They seem like they're close to the same people.

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    1. Hahaha! Yes! And then the bridge and the oceanfront property!

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  2. Surprise! surprise! well, maybe not. Am sorry for BIL's children, but glad Primo washed his hands of it.

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  4. The trust fund needs to be an “accredited investor” in order to trade securities that are not be registered with financial authorities. Normally, that means individual assets (not including your primary residence) of $1M or income of more than $200K. Trusts have to have $5M. The purpose is purportedly to protect “unsophisticated” investors. Dude fucked up and Primo should never have been allowed to invest any of the Trust’s funds in this “investment.”

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    1. YES! But OB thinks the rules don't apply to him? I don't even get how this could happen - doesn't that investment company have processes?

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  5. This is why Sly set the will up the way he did. He trusted Primo to do the right thing and did not want Ted/OB (I remember what you called him) to have access to the money. And in fairness that means trusts for all the grandchildren.

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    1. Yeah, but Sly could have made a lawyer the trustee. :(

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  6. Lawyers (and I prefer CPAs) charge more money- I have my brother as the financial trustee on our trust if spouse and I die. The kids have a real guardian who would be warm and lovely but is not financially sophisticated.

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    1. They charge money because it's work to be a trustee! It's a lot to expect someone to do all this for free.

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