Wednesday 17 September 2014

How To Avoid Tricky Oil And Gas Investments Pitfalls

By Kerri Stout


It is really tough to handle money, especially when you are investing. Things will get complicated whenever you get tricked into a fraud pitfall. It will put your investment and money into waste. If you do not want to complicate things when you are investing, then you better take advantage of the following tips for quality oil and gas investments.

First, ask as much questions as you can. This allows you to clarify all the information you have. You also can take this as a measure of how knowledgeable the fraudster is in his or her work. Do not simply rely on the additional information and references that the other party can provide you with. Ask.

Do your own research. It is a given for those who want to invest in something to do their own research, regardless of the type of product that they have plans to invest in. Do not simply rely on the company news releases, message board postings, and unsolicited emails you get. You need to get the information from proper authorities as well.

It is also a given for you to know who your salesperson is. This means that you have to spend a bit of time checking out who you are dealing with when it comes to your investment before you actually let go of your money. Even if that person is someone you know socially, you have to figure out whether this salesperson is someone you really want to deal with.

When it comes to knowing the salesperson, you have to figure out whether this one is licensed to sell securities within your state. You also have to know whether the firms they represent have run-ins with other investors or with regulators. Their disciplinary history should be checked via SEC and FINRA too.

Offers are normal for this work. However, it is a must for you to be extremely meticulous when dealing with unsolicited offers and pitches. This is particularly true when you are dealing with companies praised online but does not have current financial info from independent sources.

You have to protect yourself online. Remember that the Internet offers plenty of opportunities for the fraudsters. Thus, you have to be extremely wary when you are going online for your investment. You should learn of the right tips you can carry out to be able to protect yourself against online fraudsters.

Since you are investing, you have to have a set of things you are looking for in your investment. Basically, you have to know what it is exactly that you are looking for. This is especially applicable for your investment and fraud red flags. You have to be aware of what red flags to look into before you invest your money.

There are certainly a number of red flags that you need to pay close attention to. If you know of these red flags, then the chances of avoiding fraud becomes higher. If you do not want your investment to become problematic, then you have to know what these red flags are. Do your research to do a good job at this.




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