When an Investment Seems to Complicated or Promises Too Much, Step Back
You’ve been pitched a complicated, new investment product, or you’ve
met a financial advisor or broker who claims to have an innovative new
investment strategy that will make you rich.
However, what you may not realize is that some
investment con artists rely on convoluted pitches, vague promises, and “fine print”
to drag you into a scam—and some of the newer investment products
are so complicated that many brokers or advisors may not understand how
Making Sense of a Complicated Pitch
If there are so many complicated pitches out there, how can the average
investor make sense of these complicated investment pitches and avoid
investment fraud? Here are a few tips for dealing wisely with complicated
investment products or strategies:
- Ask questions until you understand how the investment or investment strategy
works. If you just can’t make heads or tails of it, you might want
to skip it.
Check out the investment and the promoter through Google,
FINRA's BrokerCheck, the BBB website, and the SEC’s EDGAR database.
- Review the investment offer with a third-party financial professional of
your own choosing.
- Find out how your broker or advisor will be getting paid, and look for
any unusual commissions or fees.
If you have lost money on an investment and suspect you’ve become
the victim of investment fraud, please reach out to an experienced
investment fraud lawyer for guidance today. You can reach Meyer Wilson today by phone, or by filling
out the confidential online contact form on this page.