What other investment products or scams do investors need to be wary of?
The North American Securities Administrators Association annually releases their Top 10 Investment Scams. For 2001, they listed the following scams: 1. Unlicensed individuals, such as life insurance agents, selling securities. To verify that a person is licensed or registered to sell securities, call your state securities regulator. If the person is not registered, dont invest. In Indiana, 11 of the 16 cease and desist orders issued by the Securities Division in the first quarter of this year have targeted insurance agents who were selling securities without the proper license. Most were independent life insurance agents. 2. Affinity group fraud. Many scammers use their victims religious or ethnic identity to gain their trust knowing that its human nature to trust people who are like you and then steal their life savings. From gifting programs at some churches to foreign exchange scams targeted at Asian Americans, no group seems to be without con artists who seek to exploit others for
