Posts Tagged ‘Investments’
Investment Fraud
Investment fraud is unfortunately one of the most challenging concerns of today’s investors. This category of fraud also known as securities fraud or stock fraud influences investor’s (individual as well as institutions) trading decisions by creating an illusion for the people who are willing to acquire or sell certain securities. This illusion results from presenting deceptive and misleading information in financial statements of various companies and on Securities and Exchange Commission (SEC) filings. Information being scanned by investors for investment related decisions might be falsified by investment banks, brokerage companies, stockbrokers or dealers etc.
Investment fraud dates back to the origin of direct door to door selling campaigns and telemarketing. However these days internet has become another tool for portraying stunning pictures of ugly investments and provides a room for the investment fraud to blossom. Chat rooms, forums, internet boards and email (spamming) provide perfect place for broadcasting falsified good or bad news against certain investments.
