More on Marketing

Mark Shpuntov
3 years ago
How to Produce a Month's Worth of Content for Social Media in a Day
New social media producers' biggest error
The Treadmill of Social Media Content
New creators focus on the wrong platforms.
They post to Instagram, Twitter, TikTok, etc.
They create daily material, but it's never enough for social media algorithms.
Creators recognize they're on a content creation treadmill.
They have to keep publishing content daily just to stay on the algorithm’s good side and avoid losing the audience they’ve built on the platform.
This is exhausting and unsustainable, causing creator burnout.
They focus on short-lived platforms, which is an issue.
Comparing low- and high-return social media platforms
Social media networks are great for reaching new audiences.
Their algorithm is meant to viralize material.
Social media can use you for their aims if you're not careful.
To master social media, focus on the right platforms.
To do this, we must differentiate low-ROI and high-ROI platforms:
Low ROI platforms are ones where content has a short lifespan. High ROI platforms are ones where content has a longer lifespan.
A tweet may be shown for 12 days. If you write an article or blog post, it could get visitors for 23 years.
ROI is drastically different.
New creators have limited time and high learning curves.
Nothing is possible.
First create content for high-return platforms.
ROI for social media platforms
Here are high-return platforms:
Your Blog - A single blog article can rank and attract a ton of targeted traffic for a very long time thanks to the power of SEO.
YouTube - YouTube has a reputation for showing search results or sidebar recommendations for videos uploaded 23 years ago. A superb video you make may receive views for a number of years.
Medium - A platform dedicated to excellent writing is called Medium. When you write an article about a subject that never goes out of style, you're building a digital asset that can drive visitors indefinitely.
These high ROI platforms let you generate content once and get visitors for years.
This contrasts with low ROI platforms:
Twitter
Instagram
TikTok
LinkedIn
Facebook
The posts you publish on these networks have a 23-day lifetime. Instagram Reels and TikToks are exceptions since viral content can last months.
If you want to make content creation sustainable and enjoyable, you must focus the majority of your efforts on creating high ROI content first. You can then use the magic of repurposing content to publish content to the lower ROI platforms to increase your reach and exposure.
How To Use Your Content Again
So, you’ve decided to focus on the high ROI platforms.
Great!
You've published an article or a YouTube video.
You worked hard on it.
Now you have fresh stuff.
What now?
If you are not repurposing each piece of content for multiple platforms, you are throwing away your time and efforts.
You've created fantastic material, so why not distribute it across platforms?
Repurposing Content Step-by-Step
For me, it's writing a blog article, but you might start with a video or podcast.
The premise is the same regardless of the medium.
Start by creating content for a high ROI platform (YouTube, Blog Post, Medium). Then, repurpose, edit, and repost it to the lower ROI platforms.
Here's how to repurpose pillar material for other platforms:
Post the article on your blog.
Put your piece on Medium (use the canonical link to point to your blog as the source for SEO)
Create a video and upload it to YouTube using the talking points from the article.
Rewrite the piece a little, then post it to LinkedIn.
Change the article's format to a Thread and share it on Twitter.
Find a few quick quotes throughout the article, then use them in tweets or Instagram quote posts.
Create a carousel for Instagram and LinkedIn using screenshots from the Twitter Thread.
Go through your film and select a few valuable 30-second segments. Share them on LinkedIn, Facebook, Twitter, TikTok, YouTube Shorts, and Instagram Reels.
Your video's audio can be taken out and uploaded as a podcast episode.
If you (or your team) achieve all this, you'll have 20-30 pieces of social media content.
If you're just starting, I wouldn't advocate doing all of this at once.
Instead, focus on a few platforms with this method.
You can outsource this as your company expands. (If you'd want to learn more about content repurposing, contact me.)
You may focus on relevant work while someone else grows your social media on autopilot.
You develop high-ROI pillar content, and it's automatically chopped up and posted on social media.
This lets you use social media algorithms without getting sucked in.
Thanks for reading!

Karo Wanner
3 years ago
This is how I started my Twitter account.
My 12-day results look good.
Twitter seemed for old people and politicians.
I thought the platform would die soon like Facebook.
The platform's growth stalled around 300m users between 2015 and 2019.
In 2020, Twitter grew and now has almost 400m users.
Niharikaa Kaur Sodhi built a business on Twitter while I was away, despite its low popularity.
When I read about the success of Twitter users in the past 2 years, I created an account and a 3-month strategy.
I'll see if it's worth starting Twitter in 2022.
Late or perfect? I'll update you. Track my Twitter growth. You can find me here.
My Twitter Strategy
My Twitter goal is to build a community and recruit members for Mindful Monday.
I believe mindfulness is the only way to solve problems like poverty, inequality, and the climate crisis.
The power of mindfulness is my mission.
Mindful Monday is your weekly reminder to live in the present moment. I send mindfulness tips every Monday.
My Twitter profile promotes Mindful Monday and encourages people to join.
What I paid attention to:
I designed a brand-appropriate header to promote Mindful Monday.
Choose a profile picture. People want to know who you are.
I added my name as I do on Medium, Instagram, and emails. To stand out and be easily recognized, add an emoji if appropriate. Add what you want to be known for, such as Health Coach, Writer, or Newsletter.
People follow successful, trustworthy people. Describe any results you have. This could be views, followers, subscribers, or major news outlets. Create!
Tell readers what they'll get by following you. Can you help?
Add CTA to your profile. Your Twitter account's purpose. Give instructions. I placed my sign-up link next to the CTA to promote Mindful Monday. Josh Spector recommended this. (Thanks! Bonus tip: If you don't want the category to show in your profile, e.g. Entrepreneur, go to edit profile, edit professional profile, and choose 'Other'
Here's my Twitter:
I'm no expert, but I tried. Please share any additional Twitter tips and suggestions in the comments.
To hide your Revue newsletter subscriber count:
Join Revue. Select 'Hide Subscriber Count' in Account settings > Settings > Subscriber Count. Voila!
How frequently should you tweet?
1 to 20 Tweets per day, but consistency is key.
Stick to a daily tweet limit. Start with less and be consistent than the opposite.
I tweet 3 times per day. That's my comfort zone. Larger accounts tweet 5–7 times daily.
Do what works for you and that is the right amount.
Twitter is a long-term game, so plan your tweets for a year.
How to Batch Your Tweets?
Sunday batchs.
Sunday evenings take me 1.5 hours to create all my tweets for the week.
Use a word document and write down your posts. Podcasts, books, my own articles inspire me.
When I have a good idea or see a catchy Tweet, I take a screenshot.
To not copy but adapt.
Two pillars support my content:
(90% ~ 29 tweets per week) Inspirational quotes, mindfulness tips, zen stories, mistakes, myths, book recommendations, etc.
(10% 2 tweets per week) I share how I grow Mindful Monday with readers. This pillar promotes MM and behind-the-scenes content.
Second, I schedule all my Tweets using TweetDeck. I tweet at 7 a.m., 5 p.m., and 6 p.m.
Include Twitter Threads in your content strategy
Tweets are blog posts. In your first tweet, you include a headline, then tweet your content.
That’s how you create a series of connected Tweets.
What’s the point? You have more room to convince your reader you're an expert.
Add a call-to-action to your thread.
Follow for more like this
Newsletter signup (share your link)
Ask for retweet
One thread per week is my goal.
I'll schedule threads with Typefully. In the free version, you can schedule one Tweet, but that's fine.
Pin a thread to the top of your profile if it leads to your newsletter. So new readers see your highest-converting content first.
Tweet Medium posts
I also tweet Medium articles.
I schedule 1 weekly repost for 5 weeks after each publication. I share the same article daily for 5 weeks.
Every time I tweet, I include a different article quote, so even if the link is the same, the quote adds value.
Engage Other Experts
When you first create your account, few people will see it. Normal.
If you comment on other industry accounts, you can reach their large audience.
First, you need 50 to 100 followers. Here's my beginner tip.
15 minutes a day or when I have downtime, I comment on bigger accounts in my niche.
My 12-Day Results
Now let's look at the first data.
I had 32 followers on March 29. 12 followers in 11 days. I have 52 now.
Not huge, but growing rapidly.
Let's examine impressions/views.
As a newbie, I gained 4,300 impressions/views in 12 days. On Medium, I got fewer views.
The 1,6k impressions per day spike comes from a larger account I mentioned the day before. First, I was shocked to see the spike and unsure of its origin.
These results are promising given the effort required to be consistent on Twitter.
Let's see how my journey progresses. I'll keep you posted.
Tweeters, Does this content strategy make sense? What's wrong? Comment below.
Let's support each other on Twitter. Here's me.
Which Twitter strategy works for you in 2022?
This post is a summary. Read the full article here

Victoria Kurichenko
3 years ago
My Blog Is in Google's Top 10—Here's How to Compete
"Competition" is beautiful and hateful.
Some people bury their dreams because they are afraid of competition. Others challenge themselves, shaping our world.
Competition is normal.
It spurs innovation and progress.
I wish more people agreed.
As a marketer, content writer, and solopreneur, my readers often ask:
"I want to create a niche website, but I have no ideas. Everything's done"
"Is a website worthwhile?"
I can't count how many times I said, "Yes, it makes sense, and you can succeed in a competitive market."
I encourage and share examples, but it's not enough to overcome competition anxiety.
I launched an SEO writing website for content creators a year ago, knowing it wouldn't beat Ahrefs, Semrush, Backlinko, etc.
Not needed.
Many of my website's pages rank highly on Google.
Everyone can eat the pie.
In a competitive niche, I took a different approach.
Look farther
When chatting with bloggers that want a website, I discovered something fascinating.
They want to launch a website but have no ideas. As a next step, they start listing the interests they believe they should work on, like wellness, lifestyle, investments, etc. I could keep going.
Too many generalists who claim to know everything confuse many.
Generalists aren't trusted.
We want someone to fix our problems immediately.
I don't think broad-spectrum experts are undervalued. People have many demands that go beyond generalists' work. Narrow-niche experts can help.
I've done SEO for three years. I learned from experts and courses. I couldn't find a comprehensive SEO writing resource.
I read tons of articles before realizing that wasn't it. I took courses that covered SEO basics eventually.
I had a demand for learning SEO writing, but there was no solution on the market. My website fills this micro-niche.
Have you ever had trouble online?
Professional courses too general, boring, etc.?
You've bought off-topic books, right?
You're not alone.
Niche ideas!
Big players often disregard new opportunities. Too small. Individual content creators can succeed here.
In a competitive market:
Never choose wide subjects
Think about issues you can relate to and have direct experience with.
Be a consumer to discover both the positive and negative aspects of a good or service.
Merchandise your annoyances.
Consider ways to transform your frustrations into opportunities.
The right niche is half-success. Here is what else I did to hit the Google front page with my website.
An innovative method for choosing subjects
Why publish on social media and websites?
Want likes, shares, followers, or fame?
Some people do it for fun. No judgment.
I bet you want more.
You want to make decent money from blogging.
Writing about random topics, even if they are related to your niche, won’t help you attract an audience from organic search. I'm a marketer and writer.
I worked at companies with dead blogs because they posted for themselves, not readers. They did not follow SEO writing rules; that’s why most of their content flopped.
I learned these hard lessons and grew my website from 0 to 3,000+ visitors per month while working on it a few hours a week only. Evidence:
I choose website topics using these criteria:
- Business potential. The information should benefit my audience and generate revenue. There would be no use in having it otherwise.
My topics should help me:
Attract organic search traffic with my "fluff-free" content -> Subscribers > SEO ebook sales.
Simple and effective.
- traffic on search engines. The number of monthly searches reveals how popular my topic is all across the world. If I find that no one is interested in my suggested topic, I don't write a blog article.
- Competition. Every search term is up against rivals. Some are more popular (thus competitive) since more websites target them in organic search. A new website won't score highly for keywords that are too competitive. On the other side, keywords with moderate to light competition can help you rank higher on Google more quickly.
- Search purpose. The "why" underlying users' search requests is revealed. I analyze search intent to understand what users need when they plug various queries in the search bar and what content can perfectly meet their needs.
My specialty website produces money, ranks well, and attracts the target audience because I handpick high-traffic themes.
Following these guidelines, even a new website can stand out.
I wrote a 50-page SEO writing guide where I detailed topic selection and share my front-page Google strategy.
My guide can help you run a successful niche website.
In summary
You're not late to the niche-website party.
The Internet offers many untapped opportunities.
We need new solutions and are willing to listen.
There are unexplored niches in any topic.
Don't fight giants. They have their piece of the pie. They might overlook new opportunities while trying to keep that piece of the pie. You should act now.
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MartinEdic
3 years ago
Russia Through the Windows: It's Very Bad
And why we must keep arming Ukraine
Russian expatriates write about horrific news from home.
Read this from Nadin Brzezinski. She's not a native English speaker, so there are grammar errors, but her tale smells true.
Terrible truth.
There's much more that reveals Russia's grim reality.
Non-leadership. Millions of missing supplies are presumably sold for profit, leaving untrained troops without food or gear. Missile attacks pause because they run out. Fake schemes to hold talks as a way of stalling while they scramble for solutions.
Street men were mobilized. Millions will be ground up to please a crazed despot. Fear, wrath, and hunger pull apart civilization.
It's the most dystopian story, but Ukraine is worse. Destruction of a society, country, and civilization. Only the invaders' corruption and incompetence save the Ukrainians.
Rochester, NY. My suburb had many Soviet-era Ukrainian refugees. Their kids were my classmates. Fifty years later, many are still my friends. I loved their food and culture. My town has 20,000 Ukrainians.
Grieving but determined. They don't quit. They won't quit. Russians are eternal enemies.
It's the Russian people's willingness to tolerate corruption, abuse, and stupidity by their leaders. They are paying. 65000 dead. Ruined economy. No freedom to speak. Americans do not appreciate that freedom as we should.
It lets me write/publish.
Russian friends are shocked. Many are here because their parents escaped Russian anti-semitism and authoritarian oppression. A Russian cultural legacy says a strongman's methods are admirable.
A legacy of a slavery history disguised as serfdom. Peasants and Princes.
Read Tolstoy. Then Anna Karenina. The main characters are princes and counts, whose leaders are incompetent idiots with wealth and power.
Peasants who die in their wars due to incompetence are nameless ciphers.
Sound familiar?

Caspar Mahoney
2 years ago
Changing Your Mindset From a Project to a Product
Product game mindsets? How do these vary from Project mindset?
1950s spawned the Iron Triangle. Project people everywhere know and live by it. In stakeholder meetings, it is used to stretch the timeframe, request additional money, or reduce scope.
Quality was added to this triangle as things matured.
Quality was intended to be transformative, but none of these principles addressed why we conduct projects.
Value and benefits are key.
Product value is quantified by ROI, revenue, profit, savings, or other metrics. For me, every project or product delivery is about value.
Most project managers, especially those schooled 5-10 years or more ago (thousands working in huge corporations worldwide), understand the world in terms of the iron triangle. What does that imply? They worry about:
a) enough time to get the thing done.
b) have enough resources (budget) to get the thing done.
c) have enough scope to fit within (a) and (b) >> note, they never have too little scope, not that I have ever seen! although, theoretically, this could happen.
Boom—iron triangle.
To make the triangle function, project managers will utilize formal governance (Steering) to move those things. Increase money, scope, or both if time is short. Lacking funds? Increase time, scope, or both.
In current product development, shifting each item considerably may not yield value/benefit.
Even terrible. This approach will fail because it deprioritizes Value/Benefit by focusing the major stakeholders (Steering participants) and delivery team(s) on Time, Scope, and Budget restrictions.
Pre-agile, this problem was terrible. IT projects failed wildly. History is here.
Value, or benefit, is central to the product method. Product managers spend most of their time planning value-delivery paths.
Product people consider risk, schedules, scope, and budget, but value comes first. Let me illustrate.
Imagine managing internal products in an enterprise. Your core customer team needs a rapid text record of a chat to fix a problem. The consumer wants a feature/features added to a product you're producing because they think it's the greatest spot.
Project-minded, I may say;
Ok, I have budget as this is an existing project, due to run for a year. This is a new requirement to add to the features we’re already building. I think I can keep the deadline, and include this scope, as it sounds related to the feature set we’re building to give the desired result”.
This attitude repeats Scope, Time, and Budget.
Since it meets those standards, a project manager will likely approve it. If they have a backlog, they may add it and start specking it out assuming it will be built.
Instead, think like a product;
What problem does this feature idea solve? Is that problem relevant to the product I am building? Can that problem be solved quicker/better via another route ? Is it the most valuable problem to solve now? Is the problem space aligned to our current or future strategy? or do I need to alter/update the strategy?
A product mindset allows you to focus on timing, resource/cost, feasibility, feature detail, and so on after answering the aforementioned questions.
The above oversimplifies because
Leadership in discovery
Project managers are facilitators of ideas. This is as far as they normally go in the ‘idea’ space.
Business Requirements collection in classic project delivery requires extensive upfront documentation.
Agile project delivery analyzes requirements iteratively.
However, the project manager is a facilitator/planner first and foremost, therefore topic knowledge is not expected.
I mean business domain, not technical domain (to confuse matters, it is true that in some instances, it can be both technical and business domains that are important for a single individual to master).
Product managers are domain experts. They will become one if they are training/new.
They lead discovery.
Product Manager-led discovery is much more than requirements gathering.
Requirements gathering involves a Business Analyst interviewing people and documenting their requests.
The project manager calculates what fits and what doesn't using their Iron Triangle (presumably in their head) and reports back to Steering.
If this requirements-gathering exercise failed to identify requirements, what would a project manager do? or bewildered by project requirements and scope?
They would tell Steering they need a Business SME or Business Lead assigning or more of their time.
Product discovery requires the Product Manager's subject knowledge and a new mindset.
How should a Product Manager handle confusing requirements?
Product Managers handle these challenges with their talents and tools. They use their own knowledge to fill in ambiguity, but they have the discipline to validate those assumptions.
To define the problem, they may perform qualitative or quantitative primary research.
They might discuss with UX and Engineering on a whiteboard and test assumptions or hypotheses.
Do Product Managers escalate confusing requirements to Steering/Senior leaders? They would fix that themselves.
Product managers raise unclear strategy and outcomes to senior stakeholders. Open talks, soft skills, and data help them do this. They rarely raise requirements since they have their own means of handling them without top stakeholder participation.
Discovery is greenfield, exploratory, research-based, and needs higher-order stakeholder management, user research, and UX expertise.
Product Managers also aid discovery. They lead discovery. They will not leave customer/user engagement to a Business Analyst. Administratively, a business analyst could aid. In fact, many product organizations discourage business analysts (rely on PM, UX, and engineer involvement with end-users instead).
The Product Manager must drive user interaction, research, ideation, and problem analysis, therefore a Product professional must be skilled and confident.
Creating vs. receiving and having an entrepreneurial attitude
Product novices and project managers focus on details rather than the big picture. Project managers prefer spreadsheets to strategy whiteboards and vision statements.
These folks ask their manager or senior stakeholders, "What should we do?"
They then elaborate (in Jira, in XLS, in Confluence or whatever).
They want that plan populated fast because it reduces uncertainty about what's going on and who's supposed to do what.
Skilled Product Managers don't only ask folks Should we?
They're suggesting this, or worse, Senior stakeholders, here are some options. After asking and researching, they determine what value this product adds, what problems it solves, and what behavior it changes.
Therefore, to move into Product, you need to broaden your view and have courage in your ability to discover ideas, find insightful pieces of information, and collate them to form a valuable plan of action. You are constantly defining RoI and building Business Cases, so much so that you no longer create documents called Business Cases, it is simply ingrained in your work through metrics, intelligence, and insights.
Product Management is not a free lunch.
Plateless.
Plates and food must be prepared.
In conclusion, Product Managers must make at least three mentality shifts:
You put value first in all things. Time, money, and scope are not as important as knowing what is valuable.
You have faith in the field and have the ability to direct the search. YYou facilitate, but you don’t just facilitate. You wouldn't want to limit your domain expertise in that manner.
You develop concepts, strategies, and vision. You are not a waiter or an inbox where other people can post suggestions; you don't merely ask folks for opinion and record it. However, you excel at giving things that aren't clearly spoken or written down physical form.
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Adam Hayes
3 years ago
Bernard Lawrence "Bernie" Madoff, the largest Ponzi scheme in history
Madoff who?
Bernie Madoff ran the largest Ponzi scheme in history, defrauding thousands of investors over at least 17 years, and possibly longer. He pioneered electronic trading and chaired Nasdaq in the 1990s. On April 14, 2021, he died while serving a 150-year sentence for money laundering, securities fraud, and other crimes.
Understanding Madoff
Madoff claimed to generate large, steady returns through a trading strategy called split-strike conversion, but he simply deposited client funds into a single bank account and paid out existing clients. He funded redemptions by attracting new investors and their capital, but the market crashed in late 2008. He confessed to his sons, who worked at his firm, on Dec. 10, 2008. Next day, they turned him in. The fund reported $64.8 billion in client assets.
Madoff pleaded guilty to 11 federal felony counts, including securities fraud, wire fraud, mail fraud, perjury, and money laundering. Ponzi scheme became a symbol of Wall Street's greed and dishonesty before the financial crisis. Madoff was sentenced to 150 years in prison and ordered to forfeit $170 billion, but no other Wall Street figures faced legal ramifications.
Bernie Madoff's Brief Biography
Bernie Madoff was born in Queens, New York, on April 29, 1938. He began dating Ruth (née Alpern) when they were teenagers. Madoff told a journalist by phone from prison that his father's sporting goods store went bankrupt during the Korean War: "You watch your father, who you idolize, build a big business and then lose everything." Madoff was determined to achieve "lasting success" like his father "whatever it took," but his career had ups and downs.
Early Madoff investments
At 22, he started Bernard L. Madoff Investment Securities LLC. First, he traded penny stocks with $5,000 he earned installing sprinklers and as a lifeguard. Family and friends soon invested with him. Madoff's bets soured after the "Kennedy Slide" in 1962, and his father-in-law had to bail him out.
Madoff felt he wasn't part of the Wall Street in-crowd. "We weren't NYSE members," he told Fishman. "It's obvious." According to Madoff, he was a scrappy market maker. "I was happy to take the crumbs," he told Fishman, citing a client who wanted to sell eight bonds; a bigger firm would turn it down.
Recognition
Success came when he and his brother Peter built electronic trading capabilities, or "artificial intelligence," that attracted massive order flow and provided market insights. "I had all these major banks coming down, entertaining me," Madoff told Fishman. "It was mind-bending."
By the late 1980s, he and four other Wall Street mainstays processed half of the NYSE's order flow. Controversially, he paid for much of it, and by the late 1980s, Madoff was making in the vicinity of $100 million a year. He was Nasdaq chairman from 1990 to 1993.
Madoff's Ponzi scheme
It is not certain exactly when Madoff's Ponzi scheme began. He testified in court that it began in 1991, but his account manager, Frank DiPascali, had been at the firm since 1975.
Why Madoff did the scheme is unclear. "I had enough money to support my family's lifestyle. "I don't know why," he told Fishman." Madoff could have won Wall Street's respect as a market maker and electronic trading pioneer.
Madoff told Fishman he wasn't solely responsible for the fraud. "I let myself be talked into something, and that's my fault," he said, without saying who convinced him. "I thought I could escape eventually. I thought it'd be quick, but I couldn't."
Carl Shapiro, Jeffry Picower, Stanley Chais, and Norm Levy have been linked to Bernard L. Madoff Investment Securities LLC for years. Madoff's scheme made these men hundreds of millions of dollars in the 1960s and 1970s.
Madoff told Fishman, "Everyone was greedy, everyone wanted to go on." He says the Big Four and others who pumped client funds to him, outsourcing their asset management, must have suspected his returns or should have. "How can you make 15%-18% when everyone else is making less?" said Madoff.
How Madoff Got Away with It for So Long
Madoff's high returns made clients look the other way. He deposited their money in a Chase Manhattan Bank account, which merged to become JPMorgan Chase & Co. in 2000. The bank may have made $483 million from those deposits, so it didn't investigate.
When clients redeemed their investments, Madoff funded the payouts with new capital he attracted by promising unbelievable returns and earning his victims' trust. Madoff created an image of exclusivity by turning away clients. This model let half of Madoff's investors profit. These investors must pay into a victims' fund for defrauded investors.
Madoff wooed investors with his philanthropy. He defrauded nonprofits, including the Elie Wiesel Foundation for Peace and Hadassah. He approached congregants through his friendship with J. Ezra Merkin, a synagogue officer. Madoff allegedly stole $1 billion to $2 billion from his investors.
Investors believed Madoff for several reasons:
- His public portfolio seemed to be blue-chip stocks.
- His returns were high (10-20%) but consistent and not outlandish. In a 1992 interview with Madoff, the Wall Street Journal reported: "[Madoff] insists the returns were nothing special, given that the S&P 500-stock index returned 16.3% annually from 1982 to 1992. 'I'd be surprised if anyone thought matching the S&P over 10 years was remarkable,' he says.
- "He said he was using a split-strike collar strategy. A collar protects underlying shares by purchasing an out-of-the-money put option.
SEC inquiry
The Securities and Exchange Commission had been investigating Madoff and his securities firm since 1999, which frustrated many after he was prosecuted because they felt the biggest damage could have been prevented if the initial investigations had been rigorous enough.
Harry Markopolos was a whistleblower. In 1999, he figured Madoff must be lying in an afternoon. The SEC ignored his first Madoff complaint in 2000.
Markopolos wrote to the SEC in 2005: "The largest Ponzi scheme is Madoff Securities. This case has no SEC reward, so I'm turning it in because it's the right thing to do."
Many believed the SEC's initial investigations could have prevented Madoff's worst damage.
Markopolos found irregularities using a "Mosaic Method." Madoff's firm claimed to be profitable even when the S&P fell, which made no mathematical sense given what he was investing in. Markopolos said Madoff Securities' "undisclosed commissions" were the biggest red flag (1 percent of the total plus 20 percent of the profits).
Markopolos concluded that "investors don't know Bernie Madoff manages their money." Markopolos learned Madoff was applying for large loans from European banks (seemingly unnecessary if Madoff's returns were high).
The regulator asked Madoff for trading account documentation in 2005, after he nearly went bankrupt due to redemptions. The SEC drafted letters to two of the firms on his six-page list but didn't send them. Diana Henriques, author of "The Wizard of Lies: Bernie Madoff and the Death of Trust," documents the episode.
In 2008, the SEC was criticized for its slow response to Madoff's fraud.
Confession, sentencing of Bernie Madoff
Bernard L. Madoff Investment Securities LLC reported 5.6% year-to-date returns in November 2008; the S&P 500 fell 39%. As the selling continued, Madoff couldn't keep up with redemption requests, and on Dec. 10, he confessed to his sons Mark and Andy, who worked at his firm. "After I told them, they left, went to a lawyer, who told them to turn in their father, and I never saw them again. 2008-12-11: Bernie Madoff arrested.
Madoff insists he acted alone, but several of his colleagues were jailed. Mark Madoff died two years after his father's fraud was exposed. Madoff's investors committed suicide. Andy Madoff died of cancer in 2014.
2009 saw Madoff's 150-year prison sentence and $170 billion forfeiture. Marshals sold his three homes and yacht. Prisoner 61727-054 at Butner Federal Correctional Institution in North Carolina.
Madoff's lawyers requested early release on February 5, 2020, claiming he has a terminal kidney disease that may kill him in 18 months. Ten years have passed since Madoff's sentencing.
Bernie Madoff's Ponzi scheme aftermath
The paper trail of victims' claims shows Madoff's complexity and size. Documents show Madoff's scam began in the 1960s. His final account statements show $47 billion in "profit" from fake trades and shady accounting.
Thousands of investors lost their life savings, and multiple stories detail their harrowing loss.
Irving Picard, a New York lawyer overseeing Madoff's bankruptcy, has helped investors. By December 2018, Picard had recovered $13.3 billion from Ponzi scheme profiteers.
A Madoff Victim Fund (MVF) was created in 2013 to help compensate Madoff's victims, but the DOJ didn't start paying out the $4 billion until late 2017. Richard Breeden, a former SEC chair who oversees the fund, said thousands of claims were from "indirect investors"
Breeden and his team had to reject many claims because they weren't direct victims. Breeden said he based most of his decisions on one simple rule: Did the person invest more than they withdrew? Breeden estimated 11,000 "feeder" investors.
Breeden wrote in a November 2018 update for the Madoff Victim Fund, "We've paid over 27,300 victims 56.65% of their losses, with thousands more to come." In December 2018, 37,011 Madoff victims in the U.S. and around the world received over $2.7 billion. Breeden said the fund expected to make "at least one more significant distribution in 2019"
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