Let’s face it. A lot of people are unhappy about their investment losses over the past year or two and would like to blame someone besides themselves. The obvious target for this anger is your stock broker or investment advisor.
But how do you separate bad investment advice and difficult market conditions from actual stock broker fraud? Where is the line in the sand drawn between an advisory relationship that didn’t work out versus investment fraud?
In a new article added to the investment fraud prevention section of the this web site I discuss the many facets of stock broker fraud. It provides you with clear distinctions so that you don’t confuse normal investment losses with fraudulent activity by your stock broker. You will learn how to recognize the 11 most common types of stock broker fraud so that you don’t become the next victim.
While this isn’t a fun subject, it is essential learning. If you invest long enough you will encounter both investment fraud and dishonest stock brokers. I have already run into more of both than I would like, and I expect much more of the same in the future. Forewarned is forearmed.
For that reason, another post later this month will continue educating you on investment fraud issues by providing a due diligence checklist to prevent investment fraud. You can expect it in two weeks so watch your email. This is important investment education.
In the meantime, I hope this new article provides another step in your journey to raising your financial intelligence to the next level so that you can invest with more consistent profitability. And as always, I welcome you comments below…