The Basic Facts of Intelligent Investing
At the most basic level of due diligence there should be some things you always check out.
1. Status - Regulated or unregulated
Regulated investments do not require the same degree of due diligence as the unregulated ones.
2. Fund manager
Are they large and well known?
3. Information available
Check carefully whatever is available. Review the web page on scam businesses. Glossy brochures don't necessarily mean safety. Neither does a website.
Basic warning signs of dubious websites.
- no contact avenues
- - no phone numbers
- - no physical address listed
- - no email address
- phone numbers that do not connect
- phone numbers that are answered only by machines
- emails not replied to
- physical mail returned to sender
- website is purely a sales page
- no incoming or outgoing links to other sites
- outdated or old information or non-specific information
- adverse reports about the site
- cross-check the information provided with other sources eg other websites, books, FAQs, forms
4. Fees and Costs
Comprehensive due diligence can comprise up to 50 or more pieces of information.
For speedy access to any of the due diligence information simply click on one of these links:
You are here:
Due Diligence Basics - The most basic minimum due diligence to carry out on any investment.
Due Diligence - What is due diligence.
Due Diligence on Offshore Funds - What sort of due diligence is required before investing in offshore mutual funds.
Due Diligence on Managers - What sort of due diligence is required on the manager of a fund.
Due Diligence Mistakes - The four most common mistakes people make in investing offshore.
