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Investor Newsletter

February 15, 2024

Investor Education

National Consumer Protection Week

The Federal Trade Commission's (FTC) National Consumer Protection Week will take place from March 3 to March 9, 2024, with the goal of helping people understand their consumer rights and avoid frauds and scams. To support this initiative, the FTC has free resources available for order and encourages the investing public to subscribe to its consumer alerts.

Investor Protection

Joint Investor Alert: Artificial Intelligence (AI) and Investment Fraud

Fraudsters are using the growing popularity and complexity of artificial intelligence (AI) to lure victims into scams. Last month, the SEC, NASAA and FINRA jointly issued an Investor Alert to make investors aware of the increase of investment frauds involving the purported use of AI and other emerging technologies.

Information courtesy of SEC

FINRA Investor Alert: Social Media ‘Investment Group’ Imposter Scams on the Rise

Bad actors, posing as registered investment advisers, are advertising “stock investment groups” on Instagram and other social media channels. In a recent Investor Alert, FINRA describes the warning signs of these scams and tips for staying protected.

Information courtesy of FINRA

CFTC Customer Advisory: AI Won’t Turn Trading Bots into Money Machines

Fraudsters are exploiting public interest in artificial intelligence (AI) to tout automated trading algorithms, trade signal strategies and crypto-asset trading schemes that promise unreasonably high or guaranteed returns. The CFTC's recent Customer Advisory describes characteristics of the AI-created algorithm scams and offers guidance on how investors can protect themselves.