Derivatives from "company-that-must-not-be-named"

118 posts in this topic

Posted

Is there anyone who was advised since 2009 until now to invest in "Autocallable notes" by some financial adivsors catering to Expats who work here in Germany? I would really appreciate if you'd step forward and let me know as I am preparing action against these illegal activities (which also are quite risky for the investor, at least much more so than the average investor usually knows)....

Cheerio

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Posted

Why must the company not be named? I think I know who the company is and people need to be aware of their very murky practices.

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Posted

The problem is that this particular company has used and is still using their lawyers to put pressure on website to remove the information... even if the information is true, the owners of these websites neither want nor have the funds/money to fight such an uphill battle and this is why the company you do indeed know well enough (and I am getting back to you soon with regards to planned our meeting at the consumer protection agency in Frankfurt ) has so little "bad press" on the internet and thus continuous to do the same mosty illegal shit.

Only one they could not shut down sofar is the US website "Pissed Consumer", they even lost a law suit against them - so everyone here who has had bad experience should use this plattform to report about it in order to add to the one source that is still open for others to find out about the malpractice and illegal activities of this company. Just google the company name and "pissed consumers" and you'll get there...

Cheerio

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Posted

http://www.pissedconsumer.com/

wow, I thought they were bad but after yet another call yesterday followed up with Linkedin contact http://de.linkedin.com/pub/dale-vine-acsi-cii/21/5b1/93a, they have been especially active recently. The person who called me yesterday said he was based in the UK and after being asked about his awareness of the German cold calling laws, the line went dead before he gave me his name.

Lesson learned, by me was to get the details first, Duh!

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Posted

Yes, it is interesting to note that Pissed Consumer seems to be getting right up their nose. Additionally interesting that any google search with their company name brings up so many pissed consumer hits - which must be hurting them a bit in this market.

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Posted

Had a call from one last week - different company name but the exact same line i.e. "We are already talking to some people at your company" this is BS, of course, as I'm the only expat here.

The second time I told him cold calling is illegal he hung up. I probably should have taken a note of the company name but I get one of these calls about once a month and I thought no more of it.

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Posted

Only one they could not shut down sofar is the US website "Pissed Consumer", they even lost a law suit against them...

A CEO's response:

'Gripe site' phenomenon

...has vowed to continue to fight back against what it calls “the misinformation contained on such sites”. ...

...the case against Opinion Corp was “the first court case of many that we intend to pursue as we seek to fight back, on behalf of major corporations and ‘real’ consumers around the world, against the misinformation that is contained on such sites”.

“If believed, the ‘content’ on such ‘gripe sites’, which is generally just totally unfounded allegations, could potentially damage the good will and reputation of firms that go out of their way to provide a good service to their clients,”...

Like others whose companies have been targeted by the gripe sites, this executive noted that his and other financial advisory companies are in good company when they appear on gripe sites, as they sit alongside “most of the FTSE 100 and Fortune 500 companies”.

[Except that if you take random names from the FTSE 100 list and search for the name + site:pissedconsumer.com, you find zero results. Needs to get his facts straight...]

Another option for clients in the US:

As reported here last month, an Atlanta-based lawyer who specialises in helping investors take legal action against negligent stockbrokers and financial advisers has just launched a “gripe site” for disgruntled brokerage clients in the US called BrokerCop.com.

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Posted

The cased made by Voldemort (aka in Harry Potter, he who must not be named) seemed very lame. Expect legal team have been fired.

http://digitalcommons.law.scu.edu/cgi/viewcontent.cgi?article=1100&context=historical&sei-redir=1&referer=http%3A%2F%2Fwww.google.co. uk%2Furl%3Fsa%3Dt%26rct%3Dj%26q%3Ddevere%2520group%2520gmbh% 2520plaintiff%2520against%2520opinion%2520corp%2520pissedconsumer. com%26source%3Dweb%26cd%3D1%26sqi%3D2%26ved%3D0CCAQFjAA%26url%3Dhttp%253A%252F%252Fdigitalcommons.law.scu.edu%252Fcgi%252Fviewcontent. cgi%253Farticle%253D1100%2526context%253Dhistorical%26ei%3D6 S1PUJDHLeb80QXIx4HIAw%26usg%3DAFQjCNG849oxsQ7ZMACORyOa3cNHqy 6cEg

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Posted

Nobody should buy a financial derivative they don't understand. In fact, I would go so far as to say that if you aren't a professional market watcher, you shouldn't buy any derivatives ever.

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Posted

Here's our short overview of the different markets offered by D... G... Online Trading:

...

Trading Derivatives [link includes video tutorials on the trading platform and spread betting, with the warning "spread betting carries a high degree of risk to your capital and it is possible to lose your original investment"]

Derivatives are a form of financial contract which are based on the price movements of an underlying instrument, such as an equity, index or currency, but which do not actually involve buying or selling the instrument itself. Premium Securities are an example of a derivative contract.

Source

It is possible to open a demo account. But perhaps a real account would give a more accurate picture of the client experience.

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Posted

Lensman, good comment, particularly relevant to people selling such complex products.

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Posted

well, I have voice-recordings of them "selling" these products as "no-risk", "entirely backed up by guarantees" and more... as in all other cases they are simply selling stuff for very high commissions and don't care how the client does. They were lucky with on these products, an autocallable note on emerging market stocks/indexes, that brough 14% yield after 6 months - but exactly this should scare off everyone as this must be clearly a high-risk-product if you can generate such yield in such a short term - and it also means you can lose a lot of money, too.

Cheerio

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Posted

Starhollow - so how is the case your are planning to bring against D.v..r Group progressing?

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Posted

Nobody should buy a financial derivative they don't understand. In fact, I would go so far as to say that if you aren't a professional market watcher, you shouldn't buy any derivatives ever.

Also relevant to salesmen who like complex products because the clients don't understand them.

Starhollow - so how is the case your are planning to bring against D.v..r Group progressing?

He probably won't tell you that.

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Posted

it is ongoing and certainly leading to some results this year - my problem is that I can only put so much time in this pro-bono work. basically I am blocked now til end of September because of the usual health insurance cancellation rush before Sep. 30th and then I can award serious time again to this.

the BaFin is also taking their time to respond...well, that is just the difference in Germany as compared to the British FSA, for instance.

Will keep you guys posted

Cheerio

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Posted

Should I be offended that they haven't yet tried to scam me? :D

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Posted

Alex--I am not good at these things but I am willing to try to scam you!

(All for the sake of your morale, of course...)

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Posted

Starshollow, thanks for the update. Hard to imagine that D V G are shaking in their boots as they continue to cold call and aggressively push their dodgey wares. Best of luck, I for one hope that they get booted out of Germany.

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Posted

Aww, cheers, shutdoor!

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Posted

These seem to be current offers:

23% Per Annum Autocallable Note

9.75% pa GUARANTEED for 5 Years!!!

According to the footnote/disclaimer, this company "provides advisory services in the areas of ...alternative investments". Meanwhile, the CEO has been warning about a certain type of alternative investments, carbon credits, which they also offer:

What con artists are doing, however, is fabricating these authentic certificates and using 'high-pressure tactics' to convince investors to buy by meeting the latter in seminars or contacting them via email, phone or fax. ...

if you are interested in investing in carbon credits safely, please speak to a ****** Financial Adviser today.

source

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Posted

caveat emptor is not a principle recognized under German laws.

the company-that-must-not-be-named does not have the necessarry licenses to sell derivatives in Germany, from this side already each sales is null and void under German law and the CTMNBN is fully liable - plus each and every salesmen active for them in Germany, as they are also acting without proper licenses. On top of that the CTMNBN is violating all kind of consumer protection laws in the process of selling these products, among them failure to disclose the full risks, costs and to make an adequate test of the investor affinity or aversity to risks.

Cheerio

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Posted

Lensman, good comment, particularly relevant to people selling such complex products.

Starhollow - so how is the case your are planning to bring against D.v..r Group progressing?

Starshollow, thanks for the update. Hard to imagine that D V G are shaking in their boots as they continue to cold call and aggressively push their dodgey wares. Best of luck, I for one hope that they get booted out of Germany.

caveat emptor is a principle they totally ignore.

Seemingly with impunity - oder?

You have excellent English for a German. It's interesting that you should have joined this board just to contribute to this thread. You appear to be posting from the perspective of a seller, and these posts convey a distinct feeling of "it's the buyer's fault" (caveat emptor) and "we haven't been caught yet" (how's the case progressing, seemingly with impunity). It's as if you're trying to winkle out information on what kind of legal proceedings might be afoot.

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