First impressions are powerful, and scam artists try to use this to their advantage. It’s important to remember that regardless of how impressive a website looks or what celebrities appear to endorse an investment, the opportunity may well be a fraudulent one. No matter how good an opportunity looks or sounds, it’s important to do your own research.

Investing and quick decisions don’t mix. Scam artists will often pressure people into making a quick decision to exploit their fear of missing out. Investment decisions should be informed decisions – don’t let anyone pressure you into handing over your money.

Scams are often marketed as opportunities to a select few who are promised they’ll make a lot of money – as long as they keep the expert, special tip to themselves. Instead of being an insider, the victim becomes isolated, unprotected, and defrauded.

Guaranteed high returns with no risk sounds too good to be true because it is. All investing involves some level of risk and, generally, the more risk, the higher the potential for returns. Accepting more risk isn’t a guarantee for more rewards – nobody can guarantee that and someone should not be trusted if they say they can.

Everyone loves their friends and family, but the truth is, when it comes to investments, they might be very, very wrong. Many investment fraud victims are introduced to the scam by friends, family, or co-workers in an approach called affinity fraud. Fraudsters will take advantage of the trust that exists within close-knit groups and use the community to lure more people in.

Paying taxes is part of life (with limited exceptions), so be very careful if you are considering a “tax-free” investment. If an investment requires you to send money overseas, it may be difficult or impossible to get it back. Individuals and companies registered under Alberta securities laws are subject to the ASC’s regulation. Offshore companies not registered under Alberta securities laws are not subject to ASC regulation.