How can I choose reliable alternative investments?

  • How can I recognise false investment offers?
  • How can I make sure to avoid investment scammers?
  • What should I do when I identify a scammer?

When searching for a smart alternative investment, it is not always easy identifying which ones are legitimate and which ones you had best avoid. Does your investment opportunity sound too good to be true? Is someone trying to pressure you into making quick decisions? Then find out how you can recognise investment scammers and what you can do about them.

How can I recognise false investment offers?

Recognising scammers starts by knowing the warning signs. Firstly, these types of investments will often reach you unsolicited. You will receive phone calls, folders, letters or emails you never signed up for with offers sounding too good to be true. That offer is your second sign. No investment is ever guaranteed, and neither is there such a thing as a risk-free high-returns investment. Often, they are accompanied by a sense of exclusivity, in that the offer is only valid for you, and time-sensitivity. Both unreliable factors when searching for an investment. Be wary of offers made through friends and family. Although you trust them, the people to whom they introduce you are not always as trustworthy as they seem.

Lastly, the word ‘offshore’ should always raise a red flag. Evading taxes is illegal in and of itself, although tax sheltering is not, and by going offshore you take your investment away from any national laws protecting you and your money.

How can I make sure to avoid investment scammers?

When you identify any of the warning signs mentioned, make sure to avoid interaction with the scammers as much as possible. Your alternative investments can wait a bit as long as you are unsure of the people making the offer. Cut off all ties and do not feel embarrassed or rude when turning them down. Make sure you never sign up for anything which requires your bank records or credit card data. Never attend free investment seminars of companies with which you are not familiar and always seek advice from other investment firms in the same line of business. When researching alternative investments, seek as many expert opinions as you can and compare them to each other.

When facing investment scammers, never attempt to learn more by opting for a small investment. They often tend to generate high returns in order to convince you to invest more.

What should I do when I identify a scammer?

When you encounter a possible investment scammer or fear you have already fallen victim to one, never hesitate to contact authorities right away. Freeze the account of which you think the scammers have data and collect all information you have about the company. Never feel self-conscious about your understandable error: the longer you wait, the higher the chances your money will not be recuperated. Still on the look-out for alternative investments, but not sure which companies are legitimate or which investments are right for your portfolio? Then research social media, review sites and other peer-based review platforms for reliable opinions.

Where can I find reliable alternative investments? How can I make sure that the business I contacted is legitimate? Contact the diamond experts at BNT Diamonds for investment advice.

Author: Inge De Wee
Source: BAUNAT

With this article, BAUNAT strives to inform you thoroughly about investing in diamonds. No investment can be guaranteed to be without risk or fully according to your expectations. That is why we recommend to research the risks and aspects of investing in diamond properly to ensure that you make the right choice for your portfolio.


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