Saturday, April 22, 2017 8:05:24 PM
http://www.finra.org/investors/highlights/wake-and-smell-pump-and-dump
https://www.sec.gov/reportspubs/investor-publications/investorpubspumphtm.html
http://www.extraordinaryinvestor.com/penny-stock-scam.html
Consider the source. Be skeptical of press releases, spam emails and promotional materials such as newsletters and blogs from unknown senders. They often come from paid company insiders or promoters, to hype a company and its products. Be wary if you are flooded with information over a short period of time, especially if the communications only focus on a stock's upside with no mention of risk.
Do some sleuthing. Find out who is at the controls of a company before you invest. A basic Internet search is a good place to start. Proceed with caution if you turn up indictments or convictions of company officials, or news reports that raise red flags.
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