Author Topic: All your money with one company?  (Read 1108 times)

BTDretire

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All your money with one company?
« on: February 18, 2017, 06:40:42 PM »
Hi all,
 Anyone have concerns about having most of their NW invest in Vanguard.
Could anything go wrong within Vanguard that could cause investors
to lose money?

Nothlit

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bacchi

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Re: All your money with one company?
« Reply #2 on: February 18, 2017, 09:21:31 PM »
https://en.wikipedia.org/wiki/MF_Global

tl; dr: Man Financial was a solid, well respected, broker and primary dealer to the federal reserve (one of about 20 at the time). Through some bad trades, they went bankrupt and it was discovered that segregated customer money was misused.

https://dealbook.nytimes.com/2014/04/03/mf-global-customers-to-be-paid-back-in-full/?_r=0

Quote from: nyt
The breach upended the lives and fortunes of MF Globalís 30,000 plus customers, a collection of farmers, small investors and hedge funds.

Everyone was made whole but it took over 2 years.