cartoon by xkcd

• Stanford Group is shut down by regulators and the status of 8 billion dollars of investors money is unknown.
• Large Investors are able to sell and buy stock without being registered on the exchange.
• Madoff stole billions.
• The list goes on…..

What is the common denominator?  No transparency of the transactions.  Public companies should not be allowed to have any entity or individual buy or sell any investment instrument with it, unless it is registered within 24 hours of its signature.   Today the electronic filings with the SEC and electronic signatures, a filing is required.

Each entity and individual has the right to the knowledge of any transaction that has be taken against any company since the with holding of said information should be interpreted as providing a class of investors preferential treatment.

Congresses lack of action for making all financial transactions transparent provides an inference that said actions may continue.  It should be Congresses first and foremost action to set forth a resolution of bringing trust to the market.  Trying to resolve all aspects of the financial crisis when there are so many ideas and not any one assurance is not a “wait and see” option.

Pass regulations mandating transparency period and oversight authority to one government entity.  There is no reason for further debate.

Nonprofits are suppose to be conservative in their approach to investing and government let thousands of them down with the lack of enforcement.

Thousands of individuals who give millions to government in taxes and to charitable groups have conservative approaches to investing and lost billions because of a lack of enforcement.

Enforcement of the laws on the books today and requiring all financial transactions to follow the same rules is a great start.  Why does it have to be so hard to make everyone invest by the same reporting rules.

Whether you’re a nonprofit or individual it is important you convey how the current rules place you and your organization at risk and a disadvantage.

This entry was posted on Tuesday, March 3rd, 2009 at 12:01 am and is filed under Investing, Strategic Planning. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.