Jeffrey Schneider on Ponzi Schemes

“Jeffrey Schneider is featured in Accounting Today where he discusses how Ponzi schemes often collapse during economic downturns. He highlights key red flags and urges investors to stay vigilant as market pressure builds. “”When the economy is strong and investor optimism is high, Ponzi schemes can run for years undetected,”” Jeff said. “”But when markets turn and recession fears grow, that’s when the house of cards begins to crumble. The influx of new investors dries up, and pressure mounts from existing investors trying to withdraw their money. That combination is deadly for fraudsters, and it’s often how their schemes are finally exposed.”” Read more.