Even the most savvy investors can have the wool pulled over their eyes but a simple check on the Australian Securities and Investment Commission (ASIC) database may help sort the good investments from the bad.
Building up a nest egg is no mean feat so when some unscrupulous company offers you an investment option which is too good to be true, it’s worthwhile undertaking a few simple checks before handing over your cash.
ASIC have a list of overseas companies who have been offering investment schemes by cold calling Australians. Quite simply, this allows those companies with less than honourable intentions to avoid the jurisdiction of ASIC when things go wrong.
If you receive a call out of the blue offering you the investment opportunity of a lifetime, the natural instinct of most will be to put the phone down. However, a much more proactive approach is to get the details of the company and check them out with ASIC. Even if not on the ASIC list, it may be worthwhile reporting this company if you sense some wrongdoing. It may save someone else’s fortune in the future.
Visit www.moneysmart.gov.au to find out more.