In today’s rapidly evolving financial landscape, Exchange-Traded Funds (ETFs) have become a favorite investment vehicle for both novice and seasoned investors. Their appeal lies in the combination of diversification, lower fees, and ease of trading. However, with increasing popularity comes a darker side—fraudsters and scammers are taking advantage of investor trust by launching fake ETFs. This comprehensive article delves into how these scams operate, the tactics employed by criminals, and what investors can do to protect themselves from these fraudulent schemes. 1. Introduction ETFs have revolutionized the investment world by offering a cost-effective and diversified way to invest in a basket of securities. As the ETF market grows, so does the opportunity for malicious actors to exploit the inherent trust investors place in these instruments. Fake ETFs are fraudulent investment products that mimic legitimate ETFs, enticing investors with promises of high returns and low risk while co...
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