Investors Beware: 3 Red Flags an Investment Is Too Good to Be True

Investing in the stock market can be a great way to make money over the long term, but it can also be risky. Not all investments are created equal, and if you put your savings behind the wrong stocks, you could potentially lose everything.

It can be tough to tell, though, whether an investment is solid or a financial disaster waiting to happen. Some of the most dangerous investments are the ones that appear promising on the surface but are riskier than you think.

While nobody can predict with certainty how any investment will perform in the future, there are a few red flags to watch out for. If your investments fall into any of these categories, they might be too good to be true.

Source Fool.com