Senior Investors Warned – Don’t Let a Fancy Title Mislead You

The North American Securities Administrators Association (NASAA) issued a warning to senior investors about free lunch seminars and “senior specialist” designations.

There has been a recent trend of investment fraud that targets older investors. Investment scam artists will advertise free meals to entice seniors to listen to their sales pitches and will use designations that imply that they specialize in helping older investors.

According to NASAA, more and more investment professionals, insurance agents and other individuals are using titles that are misleading. These designations may sound impressive, but they are nothing more than a marketing device and way to build trust with seniors. Once trust is built, it is easier for fraudsters to take advantage of older investors.

Here are some things you need to be aware of regarding “senior specialist” designations:

• Using such a designation might create a false sense of security. Don’t trust a financial professional solely on his or her title.
• There are some organizations that have strict requirements for obtaining a “senior specialist” designation, but there are also organizations that freely give this title. It is best to check out an investment professional by calling a state securities regulator or viewing the Financial Industry Regulatory Authority’s BrokerCheck.
• Someone who uses a title that implies specialized expertise in working with seniors and aggressively markets might not be looking out for your best interests. These tactics often lead to unsuitable investments, causing investors to lose money.

You can learn more about the risks of free lunch seminars by reading our article, Is There Ever Really Such a Thing As a "Free Lunch?"

About the Law Firm of Meyer Wilson
If you have lost money in an investment scam, you may be able to recover your losses. For a free case evaluation, contact our office by calling 866-827-6537 or filling out our online form. Our investment fraud attorneys are licensed in Ohio and California and represent investors nationwide in securities arbitration and litigation claims. We have successfully recovered millions of dollars for our clients.

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