Ten Questions To Ask About
Any Investment Opportunity
With any investment, whether promoted in person, by mail, telephone, or on
the Internet, a wise investor should always slow down, ask questions, and
get written information. Take notes so you have a record of what you were
told, in case you have a dispute later.
1.Is the investment registered with the SEC and the state securities
agency in the state where I live or is it subject to an exemption?
2.Is the person recommending this investment registered with my state
securities agency? Is there a record of any complaints about this
person?
3.How does this investment match my investment objectives?
4.Where is the company incorporated? Will you send me the latest
reports that have been filed on this company?
5.What are the costs to buy, hold, and sell this investment? How easily
can I sell?
6.Who is managing the investment? What experience do they have?
7.What is the risk that I could lose the money I invest?
8.What return can I expect on my money? When?
9.How long has the company been in business? Are they making
money, and if so, how? What is their product or service? What other
companies are in this business?
10.How can I get more information about this investment, such as
audited financial statements?
sec.gov
Last update: 02/25/1999 |
