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They lie about any aspect of business: claim past or future profits that do not exist, claim it has contracts to sell its products when it doesn't, or make up fake numbers on their finances to fool investors.
The brokers who sell company's stock manipulate price so that it doesn't reflect true value of company. After they pump up price, these brokers dump stock, price falls, and investors lose their money.
For whatever reason, you have to sell your investment when market is down.
Making any sort of investment involved a certain amount of risk so it is always wise to seek advice of a professional before making any decisions.
You may freely reprint this article provided author's biography remains intact:
John Mussi is the founder of Direct Online Loans who help UK homeowners find the best available loans via the www.directonlineloans.co.uk website.