Front Running, Press Release discussed on The Kristen Hagopian Show

Automatic TRANSCRIPT

Thousand names and then rights choose separate news ladders about the same what we would call on the business a high beta stock one that's gonna move all over the place up and down on one of the newsletter's you take a lead average short position leverage meaning you're really accelerating the return if you're right if you're wrong you lose your shorts i met sent to happen the people so five thousand people get the leverage short ladder and the other five thousand yet the leverage long letter and on a month later of course you take a look at what happened and since is the volatile stock either went up ruined down and you just discard the names of the people that lost so you don't send them the next letter and you do it again and you do it again and you do it again so eventually you start with a group of ten thousand knocked down the like a thousand people and then used sooner or later called him on the phone the broker calls him on the phone and says you know what if you'd have been following my advice you're would have made this this that that and that how 'bout give me some of your money and there's the people used to do this they still may do it so you've got to be very very careful with these investment news letters because they may sound like they're geniuses but they may be breaking the law you can't do this that is an illegal transaction you're not allowed to do that is very similar to on penny stocks will call front running where a group of people will go and buy the stock ahead of sending out a big press release the stock jumps on the news everybody jumps in the bandwagon they sell in the stock plummets yeah embed the before the spam rules and all that stuff people were using the internet to do the save the mailing costs right so if he had a bunch a email addresses use spam knows people touting.

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