You might have just gotten into the world of stock buying and selling. Congratulations!

This will be an exciting opportunity to see if you are cut out to be a “bull” in the financial world. There is much success to be had once you get started.

There are many different ways to start trading stocks and acquiring investments. One way many pick is to hire a stock broker to help them with their portfolios and give them lucrative financial pointers.

Most brokers are there to help the client and do anything they can to make their client a profit, but unfortunately there is still a different breed of brokers.

This is the breed that puts their wants and need ahead of the clients. They will take advantage of you and your money so that they can climb up the financial ladder and give themselves a chance at success.

When a certified professional does this, they are committing stock broker fraud, or securities fraud as it is sometimes known. This is a messy crime that can entangle both the professional and the client into a sticky situation that will be hard to get out of.

So how can you know if your broker is taking some dishonest actions with your money? Here are some telltale signs that your representative is a phony:

Incorrect account information: When you start a new account with a brokerage, all your personal and financial information will be given to your broker so that they can show to that to their superiors and others.

A seedy broker can inflate your financial information so that it seems that you can handle bigger and more volatile investments. This could give the chance of a bigger payout for them, but it puts your investments at a terrible risk.

Most people don’t even know when their representatives tamper with their account information, which makes it so dangerous. If you want to prevent this from happening, ask your brokerage to send you a copy of your account information so you can look at it with your own eyes.

Excessive trading in the account: Some people will give total rein of their portfolio to their advisor. If you are in this category, and you Kamagra Soft are getting printed statements of buys and sells up the wazoo, then this is a good indicator that they are committing fraud.

This is commonly called “churning” your account. It means that the professional is doing more with your account then it really should be able to handle.

Negligence: It is your advisor’s job to be fully honest and show you all the risks and opportunity that each trade entails. They are always supposed to do what’s in your best interest.

If your lose money on a bad investment, and the representative failed to remind you of the risks of that investment, they are not doing their job and are committing fraud. You can also simply look to see if your advisor is behaving in a shady way or trying to manage your account behind closed doors.

Suitable investments: There is a rule in the financial world called the “suitability rule”. It starts with you coming to your professional.

You explain to them that you don’t want to risk losing your money, so you only want it to be placed in “suitable” investments, or those that will have the lowest risk.

It is their job to follow their end of the rule. If they go behind your back and sign you up for risk-ridden stocks, you could lose all that money that you wanted to keep safe.

This is also securities fraud. It is their duty to make sure that they follow your requests and don’t sign you up for any potentially hazardous deals.

No trade Levitra authorization: Before each and every trade that is made, a representative must have it approved by you. Many times this is in the form of a written consent or authorization form.

If you don’t receive any such form and you are informed of trades generic propecia 5mg that are being made, you have the right to call them out on it. You must do it quickly, though, because if you wait too long the trades are “ratified” and nothing has been done wrong.

Author Bio: Jack R. Landry has worked in financial services for the last 12 years and written hundreds of articles about investing and Optioneer Trading.

Contact Info:
Jack R. Landry
JackRLandry@gmail.com
http://www.OptioneerTrading.com

Category: Finance/Investing
Keywords: Optioneer Trading