I imagine it's easier to engage in illegal conduct when you don't know the victim. When hedge fund managers engage in insider trading, they don't know who is on the other side of the trade. I assume they believe it's a victimless crime. They are mistaken.
Imagine trusting your life savings to an investment professional who can't articulate a scientific basis for her recommendations. Are you really supposed to rely on some ill-defined "art" and hope for the best?
We have all known people who lived a life they cannot afford, on credit they can not repay and then end up in financial ruin and embarrassment. Here are some easy ways to identify if someone is living beyond their means.