Talk About a Wrong Number…
One of the tools of the trade for brokers is the cold call, pitching investments to anyone who will pick up the phone, often using high-pressure sales techniques and promising unrealistic returns.
But cold-calling brokers from Financial Network Investment Corp., and Meyers Associates LP, recently got into hot water when they unknowingly dialed regulators of the Missouri Securities Division. According to a cease-and-desist order filed by the state, one broker pitched a mutual fund to an investigator, telling him he could expect a 20% to 25% return within six to eight months, which he characterized as a “realistic” and “very conservative” estimate.
Another, calling the same office, pitched shares of a communications company, suggesting it would soon rise over 60% in price because it was about to be acquired by Apple, Inc. According to the Missouri action, the broker called the deal “money in the bank” and “safe money.” You can check out the details at:
http://www.investmentnews.com/article/20110102/REG/301029980
Of course, as a member of Team Sigma, you know what to do when you get a cold call; HANG UP!
But what about your friends and family? If they haven’t been to our Investor Education Series, they’re probably unaware of the “Money Demons” that lurk inside all of us, and can be used by unscrupulous salespeople to lead us into making terrible decisions. In fact, most of your family and friends probably still believe that stock-picking somehow makes sense.
So help them help themselves. Invite them to our next session of “Separating Myths from Truth; The Story of Investing,” January 25th at 6:30 PM. As always, as your guest, it’s Free. Just go to our website and register. There’s no reason for anyone you know to get stung. Helping them learn about money and investing in one of our fascinating, friendly, and fun coaching sessions is always the right call.
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