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Week 4 discussion 1
Drawing on what you
discovered in the e-Activity, discuss how instances of corporate mismanagement
or fraud should be taken into account when assessing the risks associated with
certain types of investments.
Information is
the investor's best tool when it comes to investing wisely. Often, the lack of
reliable, readily available, current information also opens the door to fraud.
It is easier for the unscrupulous to spread false information and to manipulate
a stock's price when accurate information about the company is scarce.
Source:
http://www.sec.gov/answers/infomatters.htm
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