US regulators charged a financial adviser with trying to sell $500bn-worth of fraudulent securities on LinkedIn, and issued an alert warning investors of a growing number of social media schemes.
The Securities and Exchange Commission also called on investment advisory firms to bring their anti-fraud monitoring systems up to date with the evolutions in online communication.
The actions signal a determination of the SEC to pursue fraud on social media sites, and raise the stakes among the many investment firms who have been struggling to find the right technology to track their staff’s social network activity and comply with federal laws. Read more
There has been no shortage of players from the private secondary markets basking in the reflected glory from the LinkedIn IPO. But by itself, one successful deal does not prove the markets are working effectively, and there are still plenty of reasons to be cautious. Read more
There’s no doubt about it: Wall Street is ready to pay up for growth. Even when compared to the heady price Microsoft has just agreed to pay for Skype, the LinkedIn deal looks rich. But this kind of growth is a rare commodity in the public market these days. Read more
Is the secondary market for private company stock – one of the main financial innovations of the last couple of years – just a flash in the pan? Two of the most watched companies, Skype and LinkedIn, are about to be lost in little more than a week. How many others among the top ten will still be around a year from now? See the full list after the break. Read more