Many investors wonder how much fraud is in the securities market before they decide to invest. Unfortunately, the answer is...
Securities fraud has become increasingly difficult for even sophisticated investors to detect due to the exploitation of complex investment strategies and the rise of advanced technological schemes. Fraudsters often use intricate financial products and investment strategies that are challenging to scrutinize, and this complexity can conceal illicit activities within legitimate-looking business practices.
The emergence of artificial intelligence has also introduced new threats, such as AI-generated videos, voice impersonations, and documents that makes verification of identities and transactions more challenging. Knowing how to protect yourself from securities fraud can help you preserve your hard-earned money and the value of your investments.
The securities fraud attorneys at Silver Law Group help investors recover losses by pursuing litigation in state and federal courts, or by helping victims join or initiate class action lawsuits.
Securities fraud encompasses a wide range of deceptive methods designed to manipulate financial markets or mislead investors. Common examples of securities fraud include Ponzi schemes, pump-and-dump schemes, misrepresentations and omissions, market manipulation, broker misconduct, cryptocurrency fraud, and many others.
These deceptive practices can result in significant financial losses for investors. The attorneys at Silver Law Group represent a wide range of clients, from individual retail investors to large institutional investors, investigating securities fraud and building a comprehensive strategy to recover losses.
We can evaluate your case to see if you are eligible to join an existing class action lawsuit or if you have grounds to start a new one. We work on a contingency fee basis.
There are numerous ways to protect yourself from securities fraud from the outset and potentially avoid a loss incident. Be suspicious of any investment opportunity promising guaranteed returns or unusually high profits. Legitimate professionals provide time for consideration. Fraudsters in Ponzi schemes often pressure you to act immediately, claiming it’s a once-in-a-lifetime opportunity that will soon be gone. Be wary of claims of access to non-public information or complicated strategies that the average person cannot understand.
Verify that the person selling the investment is licensed to sell securities in your state and that their firm is properly registered. Be especially careful of unsolicited pitches via phone calls, emails, or social media. If you’re told to keep the investment a secret, it is most likely a scam. Never pay for an investment by wiring money abroad or to a personal account, or using gift cards.
Take time to do your research before investing. Understand the company’s business, its products, and look for financial statements on the SEC’s EDGAR filing system. You can also use the free online databases provided by the SEC and FINRA to check the background and disciplinary history of brokers and investment advisors. Your state’s securities regulator may also have additional information.
Implementing robust protective measures can significantly reduce your vulnerability to securities fraud. But we know it still happens, despite your best efforts. If you or someone you know has lost money to securities fraud, the legal team at Silver Law Group can help.
