The Great 401K Stock Loan Scandal – How Wall Street Minted Money While Retirees Picked Up the Losses
November 6, 2009 6 comments
During the “Go-Go” Wall Street days of a few years ago, some companies got rich by being middle-men between 401k mutual funds and short sellers who wanted to borrow their stock.
The short sellers put up collateral, agreed to pay dividends, and paid a small amount of interest. These middle-men companies took a big slice of [...]
