tailieunhanh - Investor Bulletin: Social Media and Investing-Tips for Seniors

Until July 2007, the S&P Preferred Stock Index was characterized by relative stability. Firm values of financial institutions were high and preferred stocks had returns which were similar to bonds. Beginning in the summer of 2007, the volatility of returns in the common stocks of financial firms increased significantly. The S&P Financial Sector Index approximately doubled in volatility in August 2007. After August 2007, the Preferred Stock Index became more correlated with the S&P 500 and the S&P Financial Index and less correlated with. | Investor Bulletin Social Media and Investing-Tips for Seniors The SEC s Office of Investor Education and Advocacy is issuing this Investor Bulletin to provide seniors who use social media with a few tips to help them do so more safely and to help them avoid investment fraud. More and more older Americans are using social media every day including to help guide investment decisions. Whether it is to research particular stocks to find background information on financial professionals to gather up-to-date news or to discuss the markets with others social media - web-based platforms that allow interactive communication such as Facebook YouTube Twitter LinkedIn bulletin boards and chat rooms - has become an important investing tool. While social media can provide many benefits it also presents opportunities for fraudsters targeting older Americans. As a result seniors need to proceed with caution when using social media as part of their investment process. The following tips can help. Tips to Help Avoid Investment Fraud Online The key to avoiding investment scams on the Internet is to be an educated investor. Below are five tips to help seniors avoid securities fraud 1. Look out for Red Flags Wherever you come across a recommendation for an investment on the Internet the following red flags should cause you to use caution in making an investment decision Investor Assistance 800 732-0330 1 It sounds too good to be true. Any investment that sounds too good to be true probably is. Be extremely wary of claims on the Internet that an investment will make INCREDIBLE GAINS or is a BREAKOUT STOCK PICK. Claims like these are hallmarks of extreme risk or outright fraud. The promise of guaranteed returns with little or no risk. Every investment entails some level of risk which is reflected in the rate of return you can expect to receive. Most fraudsters spend a lot of time trying to convince investors that extremely high returns are guaranteed or that the .