Off-Shore Investment Scams Pose Risk to Investors
The rise of the Internet has seen a proliferation of offshore investment scams that target inexperienced and experienced investors alike. While many of these investments offer flashy, impressive returns and sometimes promise tax immunity, even legitimate offshore investments can come with serious risks for investors who don’t take the time to understand the real details of the investment.
If you’re considering an offshore investment that sounds “too good to be true,” keep in mind the real risks of these types of investments:
- The high returns come with high risks of loss.High-yield investments should come with higher risks. If it’s touted as “risk free” or “completely safe,” it’s a red flag.
- You may be doing business in a country that has little or no protection for investors. If you invest outside of the US, then US laws probably won’t protect you or your cash.
- You may be facing complicated tax issues.Although some offshore investments or charitable investments may promise to be “tax free,” the reality is that it can turn into an expensive international tax headache.
To learn more about how to research an investment, get started with our helpful article, “Basic Steps for Reviewing an Investment and Avoiding Investment Fraud.” And, for more detailed information, please also see our FREE book, Five Signs of Investment Fraud …And What to Do if it’s Happened to You.
The investment fraud lawyers with Meyer Wilson represent investors across the country in securities mediation, arbitration, and litigation claims. If you believe you have lost money to an investment scam, please reach out to us today for a free case review.