check cash allen tx
9 Tips for avoiding financial fraud
investment fraud is as old as the world itself. From the day I stopped the cattle trade and producing and started using the money as a medium of exchange, dishonest people have been trying to deceive and defraud the trash. Although it is an old problem newly Bernie Madoff and now (supposedly) Allen Stanford have brought to our attention in a big way.
As an investment professional and a consumer, is an outrage both inexperienced and informed investors alike get exploited by swindlers and charlatans. So in an effort to combat these evils and protect you from being a victim of himself, I offer these guidelines to reduce the risk of unwise investments and fraud.
1. Educate yourself.
Buy a basic investment primer if you do not know the basic nature and the risk versus return characteristics of traditional values, fixed income, money market CD and mutual fund investments. Double-digit returns always mean more volatility. Annuities and pension plans are long-term investments. If an investment sounds "too good to be true, it probably is! Avoid the seduction of "alternative investments" except as a minor piece of a portfolio diversified.
2. Plan your goals before you buy or invest.
What is the purpose and the time frame envisaged for investment and the need liquidity?
3. Who are you considering investing in?
Never do business with a stranger who has not been received by phone or internet. You have been the detection of evidence about all your life looking lying eyes and see their response to impromptu questions! Get your business card to be show evidence of regulatory oversight and ideal professional designations (for example, CFP ®, CHFC or CPA PFS), which show evidence of continuing education and ethics examinations. Almost all investments are regulated as securities or insurance, and you can check out the investment advisor http://www.finra.org/brokercheck or verifying insurance licenses with the state. To go to Texas http://www.tdi.state.tx.us.
4. Be careful mixing business with pleasure.
the Affinity fraud occurs when investors relax its control of investments because they know or know of the seller of the church, civic or social organizations. With men often depend on this approach!
5. Beware of "edutainment."
Radio, television and newspaper commentators are not legally responsible their views expressed and some program formats to promote the public interest with two radically different views. Just write a popular book or appear on Oprah does not make someone an expert investment or investment adviser right!
6. Ask hard questions.
How compensates the seller? Does he or she have an incentive to promote "new issues" or products of this nature? Will there be regular reports in writing and performance is to look up online available?
7. Do not rush – check it out.
Say no to any seller who pressures you to make an immediate decision. Get a report from independent research on stocks and bonds and a brochure on mutual funds or variable annuities. Beware of "hot tips" or "one offer while."
8. Enjoy internal controls.
Never make investments in cash or payable to the seller. Most investments would be implemented in an SIPC insured brokerage account the initial investment and be paid by check to the brokerage firm (or insurance).
9. Limit your exposure.
Limit the amount of investing in any security for 5-10% of their investment capital. Diversification is your friend!
About the Author
Allen is principal of Houston-based Outlook Financial Group, LLC. He has been helping individuals invest and retire intelligently for over 23 years. Visit him online at
http://www.outlookfg.com
. He is a registered representative and securities are offered through SMH Capital, Inc. Member FINRA/SIPC.
WC Edgar sings Take This Job & Shove It “Live” July 17th 2009 Outside somewhere