FINRA Investor Alerts Archive
"I hope this is your email" Scam Offers No Hope of Profits
You get an email at home or work from Tanya, or Weldon, or maybe Kristy. You open it and read some poorly-worded prose like the following (from a spam email received by FINRA):
"Hi I hope this is your email. I was pleased to meet you the other day. I expect you was excited about New York. So much so much happening all the time, lot of great opportunities. And speaking of opportunities, the deal I was speaking about yesterday involves a company known as."You're encouraged to get in early and buy the stock.
"It's already heading up, but the big news isn't even out yet, so there's still time. I have got this shares already and made 2000. I propose you do the same. Hope this helps you out. I'll see you this weekend."No, you don't have amnesia. You've never met the person who sent you the email. It's from somebody who in all likelihood is being paid to send this message to thousands of email addresses. The hope is that you and others will fall for the scam and buy shares of the recommended stock.
Look Before You Leave: Don't Be Misled By Early Retirement Investment Pitches That Promise Too Much
Early retirement is an alluring prospect. When faced with a pitch that promises that you can cash in your company retirement savings in your 50s, reinvest the money, and live comfortably off the proceeds for the rest of your life, many simply can't say no. But usually they should. FINRA is issuing this Investor Alert because we are aware of instances in which employees who had built up sizeable retirement savings have been misled, and financially harmed, by flawed, even fraudulent, early-retirement investment schemes.
"Dash" Gov Sites Part of Ploy to Dash Off With Your Money
Be wary of any stock pitch that ends with the salesperson sending you to a "government" regulator's Web site. There's a good chance it's a scam.
FINRA has received calls and investor complaints from international investors who have been sent to an "official" site that turns out to be phony. The latest twist involves sites that use "-gov.us" in the Web address to resemble the ".gov.xx" designation ù where "xx" is a 2-letter country code ù that official government Web sites outside the U.S. typically use. For example, the Australian Securities & Investments Commission's Web site is www.asic.gov.au. In the U.S., the Web sites of federal agencies all end with ".gov" ù not "-gov" or "-gov.us." The official U.S. government regulator of securities is the Securities and Exchange Commission, whose Web site is www.sec.gov.
Think Twice Before Cashing Out Your 401(k)
If you are thinking about cashing out your 401(k) when you change jobs, think twice. Or maybe three times. You might be about to forsake a financially secure retirement. FINRA is using this Alert to educate investors to the potentially devastating impact cashing even a modest amount of 401(k) assets can have on retirement savings.
Customer Advisory Centers: Not Your Typical Securities Firm Call Center
Some securities firms use call centers to provide support for a variety of administrative and customer service issues. Some firms, especially discount brokers, utilize call centers to accommodate self-directed investors. Generally, such call centers respond to incoming calls initiated by the investor. In most cases, the individuals who staff these call centers don't call you, don't recommend specific investments, and in many cases don't receive commissions or other transaction-based compensation for selling investment products.
Should You Exchange Your Variable Annuity?
If you have a life insurance or annuity contract, you may have been approached to exchange it for a new model, one with better or the latest features. You need to know that even though tax law makes the exchange income tax free and the new contract may sound better for you, you may be losing — not gaining — if you make the exchange.
