Deceptive pitches for investments often misrepresent or leave out facts in order to promote fantastic profits with little risk. No investment is risk-free and a high rate of return means greater risk. Before investing, get written information such as a prospectus or annual report. Beware if a salesperson:

• Encourages you to borrow money or cash in retirement funds to invest


• Pressures you to invest immediately


• Promises quick profits


• Says that the disclosure documents required by federal law are just a formality


• Tells you to write false information on your account form


• Sends material with typos or misspellings or not printed on letterhead


• Does not send your money promptly


• Offers to share inside information


• Uses words like "guarantee," "high return," "limited offer," or "as safe as a CD"


• Uses the phrase "this investment is IRA approved"


• Claims "off-shore investments are tax-free and confidential"