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Investor Newsletter

August 14, 2025

Investor Education

Futures Fundamentals

Want to expand your knowledge of the derivatives markets? Futures Fundamentals is a one-stop educational resource designed to simplify and explain complex market topics. Through interactive features and rich content, the website explains the role of futures markets in everyday life and provides information on the derivatives industry as a whole. Futures Fundamentals is a collective effort that is made possible by a number of contributing organizations across the futures industry and can be accessed through NFA’s website.

NFA’s BASIC

BASIC is a free search tool that investors can use to research the background of derivatives industry professionals and firms. By conducting due diligence in advance of making investment decisions, investors can avoid dealings with unregistered entities and potential bad actors. If you’re an investor thinking about opening a futures account, BASIC can be a valuable resource. NFA encourages investors to work with regulated entities because they are subject to NFA’s rules, oversight and disciplinary actions. In cases of suspected fraud, NFA also encourages investors to file complaints directly with the applicable agency. Visit NFA’s File a Complaint page to learn more.

Investor Bulletin: Making Sense of Financial Professional Designations

Confirming whether a designation used by a financial professional is real or meaningful may be difficult. The Securities and Exchange Commission (SEC), the North American Securities Administrators Association (NASAA) and the Financial Industry Regulatory Authority (FINRA) issued an Investor Bulletin to help investors understand the designations financial professionals use and conduct due diligence to confirm whether an individual is registered by a financial regulator. Investors can also use NFA’s BASIC tool to research derivatives industry firms and individuals in advance of making investment decisions.

Information courtesy of the SEC

Informed Investor Advisory: Elaborate Cryptocurrency Scams Involving Self-Proclaimed “Investment Education Foundations” and “Proprietary” AI Bots

Scammers are attempting to lure investors into fraud by offering education on stocks and cryptocurrency, “risk-free” trials and loans. NASAA's recent Informed Investor Advisory details how the scheme works, how scammers attempt to falsely legitimize their credibility and how the public can avoid being defrauded.

Information courtesy of NASAA

Relationship Investment Scams: What They Are and Tips to Avoid Them (FINRA Investor Insights)

Relationship investment scams often involve bad actors contacting targets seemingly at random, then gaining trust before ultimately convincing them to take advantage of investment “opportunities,” many of which turn out to be fake. In a recent Investor Insights post, FINRA explains how the scams work and red flags to watch out for. The CFTC's Romance Frauds Resource Center contains more information about the common tactics bad actors utilize.