How do I know if I am at risk of being a victim of securities fraud?

Securities fraud is a serious crime that can have far-reaching consequences for victims, so it is important to be aware of the risks. Generally speaking, any individual or business who buys or sells stocks, bonds, mutual funds, commodities, or other investments is potentially at risk of being a victim of securities fraud. One of the primary red flags for potential victims of securities fraud is when someone is guaranteed to make a large profit without any risk. Legitimate investments often involve taking some degree of calculated risks, so be wary if someone promises huge returns without the chance of any losses. Another sign of potential securities fraud is if an individual or business is pressured to make an investment decision quickly. It is important to thoroughly investigate an opportunity before you move forward with an investment, and legitimate investments do not require you to rush into a decision. Finally, you should also be aware of any potential conflicts of interest. If someone stands to gain more by recommending a certain investment, it could be a sign that they are not acting in your best interest. If you are unsure, it is always to your advantage to investigate further and consult with a qualified financial advisor. In Washington, the securities regulator, the Washington State Department of Financial Institutions, monitors potential fraudsters and can help protect investors. If you believe you have been a victim of securities fraud, contact the Washington Department of Financial Institutions for assistance and to report the crime.

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How do I know if I am at risk of being a victim of securities fraud?

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