SHOW ME THE MONEY

September 16, 2008
Michael Sheehan

Physician's Money Digest, June15 2003, Volume 10, Issue 11

The recent $1.4-billion settlementby several Wall Street firms to settlegovernment charges involving stockanalysis and research shenanigansincludes a $387-million pot to payback investors who suffered stocklosses because of the rose-coloredresearch. Not only is that amount amere fraction of what investors lostwhen the market bubble burst, WallStreet observers say, but the easier itis to qualify for a piece of the pie, thesmaller those pieces will be. Legaland administrative costs will alsoleave less money in the fund forinvestors. With the prospect of a long,drawn-out process leading to aminuscule reward, many investors arefiling private arbitration claims withthe National Association of SecuritiesDealers to try to recoup their losses.