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Scottie Pippen's ex-financial advisor got 3 years in jail

Mar 25, 2016, 00:17 IST

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FA Insights is a daily newsletter from Business Insider that delivers the top news and commentary for financial advisors.

Scottie Pippen's ex-financial advisor got sentenced to three years in jail (FA Magazine)

Robert J. Lunn, a Chicago investment advisor, was sentenced to three years in federal prison for defrauding a bank, former Chicago Bulls basketball star Scottie Pippen, and venture capitalist Robert Geras, reports Karen Demasters.

"It is clear from the evidence that Lunn's avarice knows no bounds," Assistant U.S. Attorney Kenneth E. Yeadon and Special Assistant U.S. Attorney Richard G. Stoltz said in the government's sentencing memorandum. "He enriched himself by taking out the fraudulent loans and went to great lengths to conceal his crime from Leaders Bank, Mr. Pippen and Mr. Geras."

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Ted Cruz looks like he could be an ally to the financial industry (InvestmentNews)

Ted Cruz "would likely be an anti-regulation ally to the financial industry and has offered a tax plan that could appeal to advisers," writes Mark Schoeff, Jr.

"There is little doubt in my mind that the leading players in the financial services industry would prefer Cruz over Trump," Greg Valliere, chief global strategist for Horizon Investments, told InvsetmentNews. "Philosophically, Cruz is opposed to government regulation of the industry, and Trump is a vocal critic of the industry."

"I think it's a pretty safe assumption that Cruz opposes the fiduciary rule and that Trump has never heard of it," Valliere added.

Warren Buffett brilliantly explains how bubbles are formed (Business Insider)

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In an interview with the Financial Crisis Inquiry Commission (FCIC) back in 2010, Warren Buffett gave a crystal clear explanation of how bubbles are formed.

He focused on the psychology behind bubbles, and pointed to a key observation Ben Graham made fifty years ago: "You can get in a whole lot more trouble in investing with a sound premise than with a false premise," when that sound premise becomes overwhelmed by bubble-mania.

Brazil has a lot of potential, but it needs to get its 'house in order' (Advisor Perspectives)

"The debate about whether President Dilma Rousseff should stay in office or leave continues, and there is no clear consensus on the best way forward for the country. As we've said before, Brazil has great potential to improve its economic standing, but we aren't alone in stating that many policies need to change," argued Mark Mobius of Franklin Templeton Investments.

"We continue to look for investment opportunities in Brazil, and we do see many companies with the potential to navigate the current challenges. There's no question to us that once the Brazilians begin to get their house in order, investors who have lost confidence will return," he added.

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Raymond James will retain over 90% of Deutsche Bank advisors moving to their firm (ThinkAdvisor)

Raymond James' CEO Paul Reilly announced the firm will retain over 90% of Deutsche Bank advisors moving to the firm due to the purchase of the Alex. Brown wealth management group, reports Janet Levaux.

The Alex. Brown group reportedly has around 200 advisors and about $50 billion in client assets.

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