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Mitigating Exchange Rate Risk

In: Business and Management

Submitted By cynthknx
Words 540
Pages 3
Cynthia Knox

RES/351

July 29, 2013
Ross Jackson

Bernard Madoff’s ponzi scheme

In this paper I am going to show hoe Bernie Madoff’s scheme people out of thousand and even million’s dollars of money. I will address the unethical behavior the injury that her people by taking their money and trust from them. What Bernie did hurt people not a company by making up fake investment company? How this could have been avoided is that people do research on the companies over even the person that is asking for large sums of money. These are the things that I will be addressing in this paper.
Who is Bernie Madoff Bernie Madoff was born on April 29, 1938, in Queens, New York, Bernard was born to polish immigrants, work for many years as a plumber. Bernie married Sylvia his wife they had one daughter, son. Bernie had hard times during the Great depression so in 1950 he got involved in finance.
Ponzi scheme The unethical research behavior was involved was the hedge funds scheme were he would have to sell or liquidate holding from one hedge funds to keep down pressure on the stock prices. When doing this it will keep the negative pressure off the stock exchange. Berine had celebrity connections from Kyra Sedwick, Kevin Bacon, Tom hanks, and many more people that invested in the hedge funds at first they were getting returns back at 10% return. The company was growing and he was hiring more family members. The person that was hurt by this scheme was his family, friend, and the people that he told he lost 50 million dollars in the stock exchange. His own son turner he in after his father was giving out 12 million bonuses. When asked where the money did come from “Madoff then admitted that a branch of his firm was actually an elaborate Ponzi scheme”. His son turned him in the next day to the federal authorizes. People have the loss of

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