Zack Miller is the Managing Editor of IsraelNewsletter.com and a former equity analyst for a leading multinational hedge fund.

Okay, and then, just finally, so far in January, the asset intake from E*Trade, is that still running at elevated levels versus historical trends and can you share any TFA data there versus history?

Joe Moglia, CEO, Ameritrade

I think again, for you to have clarity, I think it is appropriate for me to share that, we are not going to give specific numbers, but the numbers that we continue to see with regards to the inflow from them is significantly higher than anything we have ever seen historically.

I am not a big believer in stockbrokers since their financial interests are not aligned with mine. They get paid a percentage of every trade they make. But as an investor, I am interested in maximizing my long-term returns with the lowest possible expenses. Stockbrokers get paid for churn, not return.

To be fair, if stockbrokers gave me advice that led to higher returns after expenses, I might be more inclined towards using them, but nobody knows the future. Nevertheless, if I felt the need for advice, I'd rather pay an hourly fee to a financial planner and execute the trades they advised electronically at the lowest possible cost.

Frank Russo, however, went beyond the normal churning of clients' accounts. He secured the trust of his clients and used a combination of a pyramid scheme and fraudulent financial statements to keep stealing from them. Here are some of the quotes from those brave enough to have their names mentioned in the article:

What strikes me as being very different about Mig33 is the ability it gives to its subscribers for earning discounts, and even generating profit, by acting as brokers for Mig33 calling services. Mig33 refers to its customers as "affiliates" and will allow these customers to act as secondary marketers of prepaid calling credits. Affiliates are even allowed to buy calling credits in bulk and then may create and market their own prepaid mig33 calling cards. To some people this may look like a pyramid type arrangement on its face, but it's nothing like that. The reality is that no one is required to act as a sales agent simply by virtue of being a subscriber. Secondary sales are completely voluntary and are a benefit of Mig33 services provided as an adjunct to its standard services.

More and more we shall see the "give something back" proposition becoming a facet of successful business models. As companies such as Mig33 offer revenue-generating options to its customers, we shall see those companies reap the rewards. It is this type of revenue-enhanced customer service, similar to Google Adwords and MetaCafe, which are now setting the new trends. Now, is it possible that Google (NASDAQ: GOOG) is considering a working agreement with Mig33 as the next phase of its own VoIP program?

Ummm ... could be!

It reminded me of when I first started on Wall Street. I worked at an investment banking firm that was considered to be in the "Bulge Bracket" category, reserved for only an elite few and not known for discounting its fees. A mentor of mine let me know that the firm's policy on fees and expenses was simply, "First class business done in a first class manner for a first class price."

However, this gentleman also taught me to remember that we were working for the client, not the other way around. He said that in fee negotiations, "What is mine is mine, and what is yours is yours." It is not "What is mine is mine, and what is yours is half mine with the other half up for negotiation."

While it's easy to be a dumb investor, it's not that hard to be a smart investor. All (well, nearly all), you have to do is follow my five simple steps to getting started. Here they are:

1) Pay off all your credit cards. The math is simple. Credit cards charge at least 18%. Some go much higher, into the high 20% levels. Stocks return about 10%, on average, for large cap stocks ("cap" is short for capitalization, which is computed by multiplying the number of shares times the price of the stock); 12% returns, on average, for small cap stocks. Your money can't earn enough to beat the credit card interest rates. Pay them off before you invest.

2) Save enough to live on for at least six months. Once you put your money into stocks, you shouldn't touch those funds for at least three years, some would argue 10. That's because companies need time to grow to make a return on your investment. It doesn't mean you don't change your investments over that time period, but it does mean you don't try to make your money do two things at once: be available and grow. The problem is that sometimes a stock will go down first (for whatever reason), then do much better. You don't want to have to sell your stock when it's down if you need money. So don't think about investment money as "touchable." Make it untouchable by having a separate, liquid stash you can tap in case of emergencies. And let your investment funds stay at work for at least three years.

These first two steps are hard since most people want to start investing right away. Not only does it take sacrifice to save for later, it also takes discipline to wait until your finances are on solid enough footing that it makes sense to start investing.

3) Open a brokerage account. Put some money in it, let it earn interest, but DON"T BUY ANYTHING. That's right, just open the thing so you've got one and can start getting monthly statements, to get familiar with having a brokerage account. It sounds very simple to do because it is. Just go down to the broker of your choice (or mail in the money) and open an account. You'll get an account number. Your money will earn interest while you wait to make your first investment. It's just like going to a bank and depositing money.

4) Do your homework. Never buy anything until you thoroughly understand it. If it's a mutual fund, make sure you know what parts of the market the fund buys. It's all spelled out carefully in the prospectus, most of which is usually online, or you can receive one in the mail by calling the fund and asking for one. If you're looking to buy a stock, you don't need to know how to make a semiconductor to invest in Intel, but you do have to know who the competition is, what the market is like and what Intel's profits and balance sheet look like. Then you have to understand what its strengths and weaknesses are. You'll need to learn how to analyze stocks and read books such as those by Benjamin Graham and Peter Lynch. There are many, many good authors.

5) Be patient when you buy and when you sell. Don't chase after a stock. Buy it at your price. Determine what price you're willing to pay and stick with it. Make a list of 20 or more stocks you'd love to own. Then write down the price you'd pay for them. Watch them. Some will come to your price, others won't. By waiting for your price, you'll know you bought the stock at your comfort level. If you don't buy any stocks, maybe you're trying to steal them rather than buy them. You may get lucky, but most of the time really good stocks don't go for bargain prices. Once you've bought a stock or mutual fund, give it time to perform. Nothing good happens fast, and fast stocks move quickly in both directions -- up and down.

Investment clubs are kind of like mini mutual funds. They can be a very small coalition of amateur investors who have pooled resources to buy stocks and create a portfolio, or they can actually be groups that become large enough to form their own limited liability corporations. The magic lies in the fact that they don't have to bear the management fees associated with true mutual funds and the members most often vote on the choices of stocks their money will be invested in. This significantly reduces operating costs and helps small investors realize better returns from their invested funds.

Members of investment clubs have some serious advantages over the small investors who try to do it alone. They get input and support from the other club members. They get the benefit of a wide range of investment viewpoints. They get purchasing discounts through the increased volume of each stock purchase they're involved in and they get the comfort of knowing that there are other investors who are willing to take the same risks they are. It's a team concept and some people have gotten very wealthy utilizing it.