Online Investment Advice

Finding a credible and reliable online investment advice means sorting out through 5 million sites. That many internet investment advices on stock trade options are either too short to supply sufficient information or too elaborate is a problem in itself. However, the more pressing problem is the number of investment scams on the internet, offering both software packages and aggressive financial advice with the least intention of providing real help to investors. The question is, how do you sort out the needle from the haystack, the good apple from the rotten ones?

First, you need to know what online channels are typically used by fraudsters to provide online investment advice with the aim of encouraging investors to buy or sell certain stocks. Online newsletters are one. Online bulletin boards, forums, newsgroups, and e-mail spams are other popular media of fraudsters in spreading false investment information, biased online investment advice, or worthless stocks.

Be wary also of sites that promote software packages boasting of a capacity to amp your stock account.  You should also be skeptical of sites with hundreds of portfolio suggestions and also those with little portfolio history. As a rule of thumb, investigate before you invest or grab any online investment advice by calling SEC, your state securities regulators, and the financial regulatory authorities. Better yet, do a paper trade of sites that interests you and see how they are doing relative to what’s happening in the real investment world.