Recognize the Characteristics of Fake Investments – Currently, there are many people who want to get an advantage in the future. What they do is invest. But in choosing the investment that you will run should not be arbitrary. So, so you don’t become a victim of fraudulent investments, it’s a good idea to first read the discussion about its characteristics below. See also prevention tips to avoid these investments.

1. High Return with Small Risk

Every investment has its own risks. The higher the amount invested, the higher the risk that must be accepted. You have to be careful if someone offers investments that promise high returns, but with little risk or no risk at all.

If this is the case, you should be suspicious. Why? Because when compared to legal investments, you will definitely be given an explanation of the risks that you will face later.

2. Always Urged to Join the Investment

When promoting their products, fraudulent investors usually insist and force their potential victims to immediately join their investments. Some of the invitations are limited time, limited space, exclusive, and other invitations that urge you to immediately invest your assets in their place. Well, if you are pressed like this, it means you should suspect it as a fraudulent investment.

3. Restricted Information

Generally, a legal investment will explain in detail to potential investors about the investment model and the management of the funds. However, this is different from a fraudulent investment. When you ask for an explanation of the fund management model and where your assets are allocated, they usually give answers that go round and round or even avoid these kinds of questions.

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4. Record His Fictional Tracks

The next characteristic of fraudulent investments is their company track record that cannot be accounted for. Usually, these investors will claim many things, ranging from claiming to have years of experience in the investment world, to someone who dares to say their investment company received awards and made extraordinary amounts of money. However, when they checked the truth on the internet, there was no evidence of the data they mentioned earlier.

5. Unclear legality

Before running its business, an investment company must register and wait for the results of operating permits from various parties, one of which is from the Financial Services Authority (OJK). If an investment company cannot show its company operating license, you should suspect the investment company as a fraudulent company.

6. Dare to use the names of famous figures

To make a business successful and convince potential victims, it is not uncommon for a bogus investment company to dare to take the names of famous people, from artists to important figures. In fact, the people whose names are listed have never invested or even know nothing about the investment company.