Your 401K money might not be as safe as you think, according to an investigative story on mutual fund customer security written by Susan Antilla, Founding Fellow at TheStreet Foundation. A whistleblower contacted Antilla about security concerns at Vanguard, the largest mutual fund, after discovering that access can be gained to online accounts even with typographical errors made on online prompts such as the ‘secret question.’ When brought to Vanguard’s attention, the firm told Antilla that it has recently put in additional security measures. Antilla also found a similar problem at Charles Schwab (SCHW), and was told by Schwab that the problem will be fixed by the end of the year. Antilla said mutual fund companies are constantly balancing security against customer convenience, and securities experts told her companies don't want to make access to customer accounts so difficult that they lose customers to a competitor. Antilla said most of the firms give some guarantee that they will pay you back if there is unauthorized access to your account, but only if the customer takes some responsibility. Customers are required to have an online password unique to their account, firewall and anti-spyware protection on their computer, and they also must regularly check their accounts.
TheStreet’s Fundamentals of Investing Course will teach you the keys to making the right decisions in any market.
TheStreet’s Personal Finance Essentials Course will teach you money management basics and investing strategies to help you avoid major financial pitfalls.
TheStreet Courses offers dedicated classes designed to improve your investing skills, stock market knowledge and money management capabilities.
More from Video
Jim Cramer Talks Twitter, Coca-Cola and How to Navigate Earnings Extravaganza
Tuesday morning, investors were met with an avalanche of earnings reports from Twitter to Coca-Cola that sent indices moving higher. Fortunately for you, Jim Cramer breaks down the priorities you need on your radar in our live video.
Amazon, Boeing, Lam Research: Three Earnings Reports to Watch This Week
Feeling overwhelmed by the earnings avalanche? Jeff Marks, Senior Analyst for Action Alerts Plus, zeros in on three earnings that Jim Cramer's members-only investing club is keeping its eye on this week.
3 SUVs That Could Revolutionize Your Carpool in 2020
Mercedes, Kia, and Subaru all showed off all-new SUVs at the 2019 New York Auto Show that could add comfort and style to your daily commute.
Why Crude Is on the Rise and What it Could Mean for the Oil Market
Crude oil prices jumped more than 2 percent to more than $65 per barrel for the first time since November 2018. Here's what investors need to keep in mind now.