Pros and Cons of Online Investing

by Montana Securities Department
Consider the source of any information you obtain online. Some investors use the Internet to conduct relatively simple transactions such as buying and selling stocks, bonds and mutual funds. Others use the Internet to monitor the market, research companies, trade information with other investors and actively trade their portfolios. It can offer simple access to a wealth of reliable information including business and financial publications, annual reports, SEC filings and securities regulators.
However, not all online information is reliable. Online con artists make claims about visiting companies, inspecting mining operations and having personal
conversations with company officials. Keep in mind that you may not be able to verify who is making these claims, much less whether the information is true. Also, it is extremely unlikely that genuine