Some of the biggest issues with Wall St. stems from the fact that the system inadvertently is skewed towards protecting the wealthy and damaging the middle class Americans.
Issues tend to stem from the fact that accreditation, over the years, has been turned from a seal of approval that shows an individual is a safe and cautious investor to a sign of immense wealth and power. The process of accreditation involves large amounts of money and time to be dedicated to it, leaving it an impossible dream for many middle class investors. This means that from the very start, middle class Americans are put to a disadvantaged when compared to their more wealthy counterparts.
The lack of accreditation leads to one very significant problem in the availability of investment options. While accredited individuals get the benefit of utilizing private equity firms and hedge funds, middle class Americans are stuck with less profitable alternatives. In general, these alternatives are very volatile, as they are strongly correlated with the risk and fluctuations of the stock market.
Another major issue Brad Reifler touched on, currently in the world of trading is the influence and pervasiveness of fees that are associated with portfolios. Management fees have reached an all time high which strongly deducts from any profits that could possibly be made. These fees are charged at a flat rate regardless of how much money a portfolio makes, meaning brokers get rich while middle Americans suffer. In addition, high percentage fees are charged on any profits made on top of management fees. This leads to middle class Americans having much more to lose by investing than the wealthy.
Brad Reifler aims to right these wrongs through his new financial service firm called Forefront Capital. The success of this firm comes from its ability to attract high profile individuals while still specifically catering to the 99%. The significant problems in Wall St. are going to be solved through this firm by little to no management fees and quality investment options being open to everyone. As a result, middle class Americans will be put on the same footing as wealthy. Make sure to follow this journey on Brad’s official website.