Investor Newsletter

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September 22, 2020


Investor Education

World Investor Week 2020

World Investor Week (WIW) is a week-long, global campaign promoted by the International Organization of Securities Commissions (IOSCO) aimed at raising awareness about the importance of investor education and protection. From October 5 through October 11, investors can participate in a range of activities, such as launching investor-focused communications and services, promoting contests to increase awareness of investor education initiatives, organizing workshops and conferences, and conducting local/national campaigns in their own jurisdictions. Investors can expect more information on WIW, including NFA's upcoming investor education webinar, in the coming weeks.


Understanding Broadly Advertised Investments

Investment opportunities advertised via social media, TV, radio or print invitations to seminars and other similar events are considered "broadly advertised" or "generally solicited" investments. Investors should remain especially vigilant when an investment opportunity is broadly advertised. To better understand these types of advertisements and what investors can do to stay protected, read the SEC's Investor Alert.

Information courtesy of the SEC


Fraud Red Flags

Safety should be top of mind for all investors. When an investor is looking to engage in business with a firm, it is important to be on the lookout for common red flags of fraud, including

  • Claims of high returns with little or no risk;
  • Unregistered investment professionals;
  • Aggressive sales tactics;
  • Problems with documents; and
  • No net worth or income requirements.

To learn more about red flags, visit the SEC's website. Investors are also encouraged to conduct due diligence via BASIC before engaging with a firm or individual in the derivatives industry.

Information courtesy of the SEC

FINRA's Risk Meter

Are you about to make an investment with a new firm or fund? Investors can utilize FINRA's Risk Meter to see whether they exhibit characteristics and behavior traits that have been shown to make some investors vulnerable to investment fraud.

Information courtesy of FINRA


NFA's Ongoing COVID-19 Response

NFA is committed to providing the investing public with resources related to the evolving COVID-19 pandemic. These resources, among others, include how to file a complaint, how to make an arbitration claim and other important updates aimed at keeping investors informed. To stay up-to-date with NFA's ongoing response to the COVID-19 pandemic, please visit our Coronavirus Updates and Guidance page.