Colling, Gilbert, Wright & Carter Securites Fraud

A recent article indicates even those folks sitting in the Wall Street's ivory towers are feeling the pain of the credit crisis and a down market. The executives of some of the largest brokerage and banks are used to losing money, just not their own. However, as shares of these companies fall, so does the wealth of their leaders.

While small investors are unlikely to feel sympathy for the same people that have ravaged their retirement nest eggs, is still note worhty that Wall Street executives are finally reaping some of what they have sewn. The shares of Lehman Brothers, CitiGroup and UBS are off about 70% from their peak prices. Merrill Lynch, 60%. Morgan Stanley, 50%. For years, the rich pay of Wall Street professionals has been anchored in these firms’ shares. That is why the recent free fall in share prices has decimated Wall Street’s personal wealth.

Measured from peak prices, Jimmy Cayne lost almost a billion dollars in the collapse of Bear Stearns. Bear’s other employees lost more than $5 billion. At Lehman Brothers, employee paper losses are probably upward of $8 billion. The total personal losses of Wall Street run well into the tens of billions of dollars.

That is mild compared with the Bear Stearns bloodbath. It all happened so suddenly. It probably never even occurred to Bear’s “smart money” traders and bankers that they would nearly lose it all.

Maybe now these folks can relate to how the average investor feels when they are sold a bond or income fund as a safe place to store their retirement money, only to find their are the victims of one of Wall Street's worst bets (and perhaps frauds)ever. Perhaps these execs know how the investors in the Schwab YieldPlus Fund or a Morgan Keegan Fund or the Evergreen Ultra Short Opportunities Fund feel.

If you have lost money in a bond or income fund, contact one of our stock market and mutual fund fraud attorneys for a free case evaluation.