As an investor, risks are things you have to take into account. Before every investment decision, you need to assess potential risks and recognize ways to mitigate them. While its true that some securities and assets may have more associated risks than others, there is one they all share: the risk of fraud.
However, while you may be able to account for fraud risks, sometimes they can prove tough to disarm and avoid. Even the shrewdest of investors have been victimized by investment scams. The fact is, fraud can be tricky. Scammers have a lot of tools in their arsenal to dupe investors and, unfortunately, they can be quite cunning.