The term "phishing" refers to fraudulent methods of obtaining personal information. There are a number of phishing methods that fraudsters employ, the most common being by email. Phishing emails are designed to look as though they come from legitimate companies (often banks and credit card companies) with the aim of tricking you into entering personal information such as: Online bank log-in usernames and passwordsPersonal Identification NumbersSocial Security Numbers Phishing emails often look very realistic at...
When it comes to investing, you must find a financial advisor who is honest and has your best interests at heart. Unfortunately, while the vast majority of brokers and financial advisors work hard for their clients, that is not always the case. Investment fraud is a real problem, and you could suffer a devastating financial loss if you fail to recognize the warning signs. Whether you are already working with an advisor or still looking...
The Securities and Exchange Commission ("SEC") recently announced it had imposed monetary penalties on thirteen investment advisory firms. The SEC concluded the thirteen firms failed to conduct due diligence to determine the veracity of false claims made by an investment management firm before the firms began recommending the investment to their own clients. The enforcement action concerned claims made by F-Squared Investments ("F-Squared"). F-Squared claimed its "AlphaSector" strategy for investing in exchange-traded funds ("ETF") had outperformed...
The Financial Industry Regulatory Authority (“FINRA”) has received a number of complaints from individuals – particularly seniors – defrauded through “boiler room” style cold calls. According to FINRA, consumers receive unsolicited cold calls from individuals who claim to work for legitimate organizations that offer stock recommendations. The callers use high-pressure tactics to urge consumers to buy penny stocks or other speculative investments. But the calls are scams. The purported organizations often are not registered with...