What are the risks of Investing in OTC Securities?

otc securities

Investor Alert: Dangers of Microcap Stocks It can be tempting to invest in micro-cap stocks that trade on the over-the-counter (OTC) markets due to the potential for a large return on your investment. If you can find that gem of a company that’s undervalued and ahead of the pack for developing something novel, you can […]

Lawsuits Against Munibond Underwriters

underwriter liability

Overview of Municipal Bond Underwriter Liability The Security and Exchange Act of 1934, Section 10(b) and other relevant laws, contain anti-fraud provisions that obligate any persons and/or entities that engage in the sale of municipal bonds to meet strict disclosure requirements. When the sale of low quality bonds contributed to a financial crisis in 2008, […]

Warning Signs of Securities Fraud

securities fraud warning signs

As an investor, securities fraud is a risk that’s important to be aware of. Also referred to as stock fraud or investment fraud, securities fraud is a well-known white-collar crime that takes a variety of forms. In general, the FBI defines securities fraud as any tactic used to deceive investors or manipulate financial markets. Here […]

Does SIPC Insurance Cover Securities Fraud?

SIPC Insurance

Securities fraud is an issue that, unfortunately, affects more and more people every year. Understandably, investors are constantly seeking ways to protect their investments and ensure that they’re covered in the event that they fall victim to securities fraud. One common question from investors is whether SIPC (Securities Investor Protection Corporation) insurance covers securities fraud. […]