Entertainment and Expense Accounts
- Thread starter trader1
- Start date
This is true..
Guy I knew was censured by his well known firm for trading outside the lines despite an excellent track record..
He disappeared for a while only to surface at a back room/ boilermaker type of shop whose website appeared to be designed by 10 year olds..
Too sine of these individuals the loss of prestige is just as detrimental
Guy I knew was censured by his well known firm for trading outside the lines despite an excellent track record..
He disappeared for a while only to surface at a back room/ boilermaker type of shop whose website appeared to be designed by 10 year olds..
Too sine of these individuals the loss of prestige is just as detrimental
If they fired everyone who went to a strip club with a client or coworker, there would be no one left on the street.
I can think of plenty of firing offenses where guys will get blacklisted. This isn’t one of them, especially for the private firms like PE or HF shops where there’s a lot less disclosure
I can think of plenty of firing offenses where guys will get blacklisted. This isn’t one of them, especially for the private firms like PE or HF shops where there’s a lot less disclosure
these guys submitted an expense for a strip club. Others were lumped in for covering it up. That’s actually the larger concern. These guys did not do something as concerning as trading outside of the lines though.
I know several people that have had to leave firms for their expenses in recent years. Especially as COVID dried up all the travel and entertainment items that might crowd out a few eyebrow raising items. Lol one ended up at a better fund too.
Considering the revolving door of Wells notices served at top funds, I think described “rainmakers” for performance will be ok with a strip club expense.
I know several people that have had to leave firms for their expenses in recent years. Especially as COVID dried up all the travel and entertainment items that might crowd out a few eyebrow raising items. Lol one ended up at a better fund too.
Considering the revolving door of Wells notices served at top funds, I think described “rainmakers” for performance will be ok with a strip club expense.
Agree tax thing is a joke. Like the real rich owns anything in their own name!
Annoying thing about the broker freebies still left is they have to put a sales person there with you even if it’s for game in the corp box at MSG or Yankee Stadium. I like my sales guys but don’t wanna hang with them for 3-4 hours u know?!? Between that and dealing with my own compliance, just easier to pay out of my own pocket
Annoying thing about the broker freebies still left is they have to put a sales person there with you even if it’s for game in the corp box at MSG or Yankee Stadium. I like my sales guys but don’t wanna hang with them for 3-4 hours u know?!? Between that and dealing with my own compliance, just easier to pay out of my own pocket
I think ypu are right. The problem isn't submitting an expense that is against company rules. for example if the expense was for (and written as) entertainment and food in the course of entertaining business clients, the comp[any could either deny, accept or require more info. No problem. The problem is creating a false business instrument which is a crime (in NY anyway.
My 2 cents is that this would be considered a infraction which gave cause for letting them go ad well as to save $$.
Now as far as a U5 being unacceptable for
A major bank or Asset management firm, I highly doubt that. It’s about the book of biz they can bring. My guess these guys pop up somewhere, timeframe,figurative,
But not never. Yes maybe unfair but that’s how it is, Brian Hunter ( advises), Mike Milken ( went to jail worth maybe 300-500mm now he’s worth 3.8billion. And the list goes on and on. Have sympathy for the regular guys who have to save face that are still at the firm.
Now as far as a U5 being unacceptable for
A major bank or Asset management firm, I highly doubt that. It’s about the book of biz they can bring. My guess these guys pop up somewhere, timeframe,figurative,
But not never. Yes maybe unfair but that’s how it is, Brian Hunter ( advises), Mike Milken ( went to jail worth maybe 300-500mm now he’s worth 3.8billion. And the list goes on and on. Have sympathy for the regular guys who have to save face that are still at the firm.
I don’t think anything derogatory would appear on a U5. One has nothing to do with the other. No negligence pertaining to client (s). Finra is concerned with violations that woul affect client or malfeasance. I only see poor judgment and no intention to commit fraud.
im sure we could go back and forth all day, but let’s see, maybe your correct or we’re both a little right.
im sure we could go back and forth all day, but let’s see, maybe your correct or we’re both a little right.
It depends on the arbitrage assessment. It's the bean counting in the end. IF they were earners, they'll do time in corporate hell and comeback to produce anew. If they were not, they will be used to show "corporations care" and commoditized in that way.
It was back then, and still is today, all about the bottom line.
It was back then, and still is today, all about the bottom line.
Yes it's about the bottom line but in the past few years firms have been much more focused on what they are calling " reputational risk "
And putting monetary value on that risk.
The reputational risk and the resulting money hit of keeping those strip club clowns will keep them unemployed in this biz a long time .
And putting monetary value on that risk.
The reputational risk and the resulting money hit of keeping those strip club clowns will keep them unemployed in this biz a long time .
On the first, we are now totally on the same page.
As to the second, we agree it will cost them. We just seem to differ on how much.
You make a valid point that the cost to reputation is real, and will be assessed. I concur. I simply contend the bean counters will do their fiduciary algebra and determine if there is still any worth in them. If a smaller outfit with marginal earnings thinks they can make bank at a greater net gain than cost they'll bring 'em onboard. Not unlike a sports franchise taking on a player with past problems who is still perceived as a net plus as an on field performer.
They get a shot, out of the limelight, at lesser bucks. If they show they still can perform they'll work their way back.
It is the way of such things.
As to the second, we agree it will cost them. We just seem to differ on how much.
You make a valid point that the cost to reputation is real, and will be assessed. I concur. I simply contend the bean counters will do their fiduciary algebra and determine if there is still any worth in them. If a smaller outfit with marginal earnings thinks they can make bank at a greater net gain than cost they'll bring 'em onboard. Not unlike a sports franchise taking on a player with past problems who is still perceived as a net plus as an on field performer.
They get a shot, out of the limelight, at lesser bucks. If they show they still can perform they'll work their way back.
It is the way of such things.
The reputation thing is real for sure but like firing guys for charging strip clubs, if I stopped doing business as a buy-side PM with every bank/broker that had a scandal I would literally be doing business with nobody. tbh, I can name a "scandal" that took place in the last 10 yrs at every one of my top 10 brokers.....I do business with the devil not because I want to but because I have to 
The reputation thing is real for sure but like firing guys for charging strip clubs, if I stopped doing business as a buy-side PM with every bank/broker that had a scandal I would literally be doing business with nobody. tbh, I can name a "scandal" that took place in the last 10 yrs at every one of my top 10 brokers.....I do business with the devil not because I want to but because I have to
About the only thing the banks can charge under T&E normally these days are meals, tickets, and booze.... but even then some firms have a a per person cap on those. No more fudging with the T&E reimbursements like the old days. Software tracks literally everything. Fuckers tried to force me to carry an in-office bluetooth tracker when I went back to the office after 2 yrs of Covid..... went straight into the desk drawer wrapped in aluminum foil... lmao... got that advice from my own IT guy.