Did The AP Twitter Account Hack Prove Algorithmic Trading Is Vulnerable To Attack?

How can we day-trade if our algorithms don't work?!

Algorithmic trading - Wiki Article
Algorithmic trading, also called automated trading, black-box trading, or algo trading, is the use of electronic platforms for entering trading orders with a...

Is Systemic Financial Failure A Real Possibility?

Trilateral Perspective:  Though these opinions may seem extreme, there is a large part of the US population that actually believes the US banking system is in threat of a systemic failure.  We believe the US banking system to be the strongest on the planet.

Dr. William Black, The US Banking System is Absolutely Primed for the Next Meltdown
http://usawatchdog.com/felons-in-charge-of-our-largest-financial-institutions-professor-william-black/ - Dr. William Black predicts, "The U.S. banking system...

Private Equity - Huh?

Who's Afraid of Private Equity? - Forbes
http://news.google.com
Business Insider - Who's Afraid of Private Equity? ForbesPrivate equity funds are unregulated investment vehicles formed to facilitate investments in listed and unlisted shares and other securities. Such investments may also include listed companies that ...

Losing Money On Binary Options - Be Careful!

Binary Options are the newest form of trading style available to US investors. Binaries are similar to basic options where Calls and Puts are purchased, but the risk is potentially higher because the rules are "All or None". If a binary option is not "in the money" when the binary option expires (sometimes hourly), then the investor loses 90% of their investment. If it is in the money, the profits are 70% and higher. High risk, high return. A perfect investor that can predict the future hourly can profit 70% hourly, but no one can predict the future. A risk of 90% for the possibility of making 70% is not statistically sustainable, but the no-brainer picks can make more with binaries than the underlying stock or option.  www.trilateralcapital.com/binary.html

Trilateral recently completed a binary option test drive with EZtrader where no more than $200 was risked at any given time. Less than 100 trades were made, but the technical analysis model had an eighty five percent accuracy. Binary options require a ninety three percent accuracy to accomplish excellent results, but the $200 made a small profit at eighty five percent accuracy. EZtrader offers a bonus to open new accounts and to increase the deposit balance of existing accounts. It is safe to risk the bonus amount while testing the system, but don't risk more than you are willing and able to lose.

Though some days during the test-trading Trilateral profited as much as 105%, other days evened the playing field with losses of 90%.  Binary options are not for inexperienced investors, but are an excellent option for high-risk investors that can afford to risk loss of 90% of their investment.

Other Trilateral partners offer automatic trading capabilities. AvaFX for international investors outside the US and Options House in the US both offer extensive trading tools through the Trilateral web portal. Trilateral does not invest funds on behalf of others and does not advise on publicly traded securities, but it is willing to sometimes share its experiences with others who have interest in Trilateral's partner resources.  www.trilateralcapital.com/trader.html

Who says there is no capital available?

We've been hearing for years that businesses cannot find capital. The apparent lack of capital is continually being blamed on a group of Wall Street loan originators that were supposedly selling bad portfolios to CMBS investors. The story has been that the investors were unaware of the actual value of the portfolios. This lack of awareness somehow led to Trillions in global value being lost.

Is that the full story? If so, aren't you wondering who this villainous group of Wall Streeters are?

Some have blamed the government for the current economic woes. They say more could have been done sooner. Or they say government spending has been completely out of control and if less had been spent, then this macro-economic fiasco would not exist. Maybe laws could have been passed to keep these sinister Wall Street barons from stealing money from the People.  Is this the correct perception?

If you are saying, "that's right!", then you're probably watching too much news and listening to the wrong advisors.   All of the above has some truth to it, but no one group is to blame for your current monetary discomfort.   No one went into your bank account and stole your money.

So who do we blame for loss of jobs and loss of our country's wealth?   Some want to blame a foreign country for economically attacking us. They use 9/11/01 as the beginning of the war where the US was attacked physically, followed by the subsequent attack on the financial sector. There's a lot of truth to this side that doesn't get mentioned. We remember the World Trade Center falling, some of us lost loved ones, but were we attacked in any other ways?

Does the answer to that question really impact your daily life or are you seeking someone to blame for your current place in life? Is there anything you can do if these things were true?

Yes, you can make a difference today by making a simple choice to do "more". You can wake up tomorrow and impact your local community. Unless you are in an international position, what happens on the international platform will probably never effect you and you'll probably never impact it. So why do you watch the news that talks about things that won't effect you and you can't change?   Drama, that can be the only reason.   Chosen drama.

You can make a difference in your neighbor's life, your family's life, your co-workers' lives.   Start there.   Don't get trapped in front of a TV or computer that causes you to worry about things that will never make a difference for you and start concentrating on what you CAN impact.   Go out and live your life, don't let the media live it for you.   Don't let advertisers decide the content of your brain.   Take control and evolve yourself.

The complaints from businesses about there being no available capital are only coming from businesses that should most likely not be loaned funds or receive investments.  Unsafe business managers and failing businesses cannot find capital and that is a good thing.  Obsolete business practices are not of interest to investors and banks.  Business owners with bad credit and no assets are too risky for investors and banks to consider.  A more strict global banking and investing compliance process has left bankers and investors with less prospects for consideration. 

There is more cash on this planet than there was 5 years ago, but to unworthy (or unconnected) business owners it seems like there is no cash available because the financial sector has cut them out.  If you can't show a solid path to a reasonable exit strategy for an investor or bank, then you will never receive funds from anyone in the financial sector.  If you don't have an exit strategy that is supported by the financial sector, then you should probably avoid asking friends and family to invest in your business because it may lead to an accusation of securities fraud.  If no one will invest in your business, maybe you need help raising capital or maybe your business should be put to rest.  It sometimes takes an expert to determine the answer for you.

Detecting Fraud In Business

Fraud is defined at dictionary.com as: "deceit, trickery, sharp practice, or breach of confidence, perpetrated for profit or to gain some unfair or dishonest advantage."  Many business owners and entrepreneurs have experienced fraudulent behavior from others, especially in the real estate industry over the past 5 years.  Who are the usual suspects?

Corelogic reported that in the US there was an estimated $10billion in mortgage fraud losses in 2011.  According to the FBI, there were 1,089 mortgage fraud convictions in 2011.


Securities Fraud is not the same as mortgage fraud, but the same culprits are often committing both crimes if investors are involved in real estate mortgage investments.  Investopedia.com defines securities fraud as: "A type of serious white-collar crime in which a person or company, such as a stockbroker, brokerage firm, corporation or investment bank, misrepresents information that investors use to make decisions.  The types of misrepresentation involved in this crime include providing false information, withholding key information, offering bad advice, and offering or acting on inside information."


Greed often causes real estate and financial sector managers to forget about fraud accusations.  False information, withheld information, and acting on inside information is sometimes quite prevalent in certain geographical areas.  Not acting on inside information may seem irresponsible to some financial managers who are responsible for accomplishing investor returns, but ethics is supposed to trump such decisions.


There are 3 typical fraudulent moves made by mortgage and securities fraud criminals:


1. Submission of False Information
2. Non-Disclosure of Material Information
3. Breach of Confidence


The Trilateral Capital managers have been involved in the due diligence and underwriting process of many real estate ventures over the past 20 years.  A lot of the projects in the real estate sector that do not get off the ground are managed by fraudulent individuals.  Real estate managers got used to bank relationships in the 90's where signature loans could be accomplished with a hand shake, but such funding options no longer exist.  Frustrated real estate managers and investors have either adapted or have continued a frustrating search for new sources of easy cash.  This group of potential client is no longer sought by Trilateral due to the high frequency of fraudulent behavior. 


MORTGAGE FRAUD


Most mortgage fraud is committed when an individual lies on an application or does not disclose material information.  "Material Information" is a somewhat nebulous term, but is ultimately determined by the lender or investor.  If a lender later finds out they should not have loaned funds due to information that was not disclosed during the application process, they consider the applicant guilty of withholding material information, thus having committed mortgage fraud.


SECURITIES FRAUD


Securities fraud is typically committed when someone convinces an investor to invest through false information or without disclosing important information.  SEC regulations continue to strengthen as a move toward higher government protection of investors.  After massive losses in 2006-2008, investors have put pressure on the government to increase their regulation of securities and protection of investors.  The most used fraud tactic used on unknowing investors is the projection of unreasonable returns. 


There are many online scams offering a 100% return in one week.  Sometimes they are legitimate advertisements for a binary option trading platform, while others are a complete scam.  The only way to know for sure is based on their disclosures.  As long as the advertiser is conducting themselves in a compliant fashion, then they may be a legitimate company using creative advertising.  If the advertiser is not making statements such as the degree of risk involved with their venture or investment, then they are not compliant.  If the advertiser makes a statement that the risk is high and that the investor will probably lose all of their cash, then they are most likely compliant.


If anyone says they can accomplish returns for an investor that is outside of market averages, then they should be able to provide information that will support that statement.  If it is a private venture, then historical performance is the key proof.  If a business has been losing money historically, but the business owner is projecting to investors that it will profit after their investment then an investor should typically catch that through their due diligence process.  Unfortunately, many investors do not catch such misrepresentations and inflation of projections.  Greed often causes an investor to believe the scam instead of having skepticism.  The laws continue to evolve with a focus on protecting the investor and banks from fraudulent individuals.


Trilateral managers continue to have a focus on protecting investors even before they are involved.  Any potential investment that involves the reporting or management of Trilateral is required to complete a due diligence and underwriting process that is quire extensive.  If fraud is involved or intended, Trilateral will catch it before an investor gets involved.  Some investors require the involvement of a broker/dealer as a form of protection and efficient management of funds.  A broker/dealer expects a group like Trilateral to prepare ventures before the involvement of their investors.  Preparation is often expensive and timely, but required to protect the potential investor's funds.

Will Greece Hurt Private Investors?

Private Investing can be accomplished independently or with the help of advisors and traders. If an investor has a high level of sophistication, independent investing is an excellent consideration where costs are minimized and competition is very limited. Risk is sometimes reduced due to cost reductions compared to publicly traded investments. Conversely, the lack of regulation of private ventures is sometimes considered to cause a higher level of risk for institutional investment funds.

Private investing is a term used by individuals, businesses or major corporations who invest financially in a venture or company that is not publicly traded. Proving a private business will produce a dramatic increase in revenue over an extended period of time is the key to enticing a large number of financially secure investors. There are many variables to be considered in any investment, be it private or other, and by minimizing the variables, risk can be minimized.

A private placement memorandum (PPM) is an extremely in-depth document that details and explains complexities and potential risks an investor could face. The PPM protects the person, business or organization from future legal repercussions if investors are not satisfied or potentially receive nothing in return from their investment. Atlanta PPMs have the relevance of US regulations as well as the State of Georgia regulations, whereas Greece private investments are relevant to EU regulation and the UK Parliament as of today.   A private placement memorandum can be created from scratch, but strict regulations and procedures should be followed in detail. Proofing and reviewing your PPM by an attorney or solicitor is highly recommended as you will have peace of mind that your PPM complies with all national and state regulations and will contain no legal flaws.

There are many regulations and exemptions that are required to be followed in the US when selling any form of securities. These regulations and exemptions are regulated in the United States by the Securities and Exchange Commission (SEC). Regulation D Exemptions in the US have established parameters for accredited investors to enter private ventures without extensive SEC regulation. All forms of information and disclosures must be provided to prospective investors before the investment cash can be used in a venture. There must be no general solicitation at any point, otherwise specific regulations become relevant. The company requesting an investor's investment must provide clear and detailed information regarding restrictions on the resale of investor shares.

EU regulations are causing increasingly diverse and equally challenging regulatory variables for international investors. Atlanta investors have little concern for EU issues, unless they choose to invest in the EU. Bonds issued by the Country of Greece may have been bought by Atlanta investors who are now wondering how a country (state) in the EU can default. Greek bonds are now being regulated by the United Kingdom, creating safety for international investors. As has been seen in Greece today, new EU regulations can change and re-establish frequently and can have a diverse effect on the economy and multinational organizations. Maintaining discipline in knowledge of these regulations can be extremely complex and challenging. EU regulations can have a significant impact on businesses, organizations, and investments, negatively or positively.

Investment in private real estate can perhaps be an enticing and profitable investment to undertake. Like all investments, private real estate comes with its own risk factors. Predominately investment in private real estate is considered a long term financial move, but there are many short term opportunities available with the correct associated contacts. With the ever increasing and decreasing housing market, establishing a profitable investment will require a lot of research and evidence to substantiate adequate investment interest. In the last 10 years there has been an increased amount of public private real estate investments, sourcing old derelict property and re-introducing into the housing market at a profit either by investment to rent, or by investment to sell.
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