LOS ANGELES, CA – MARCH 04: Jordan Belfort is seen on March 04, 2024 in Los Angeles, California. (Photo by jfizzy/Star Max/GC Images)
In the early 1990s, Jordan Belfort built a brokerage firm called Stratton Oakmont that became known for aggressive stock sales and large investor losses. Brokers made repeated cold calls to strangers, using scripted pitches to sell shares in small companies with little track record.
Many buyers later found that heir investments had lost most or all of their value. Belfort’s biggest scams centered on pump-and-dump schemes run through Stratton Oakmont. The firm promoted certain stocks heavily to drive prices higher, then sold shares held by insiders at the peak prices…