Make Sure You Meet Your Broker's Minimum Selecting Mutual Fund Managers

Selecting Brokers: Sniping and Hunting

Avoid brokers that practice sniping and hunting - or prematurely buying or selling near preset points - are shady acts committed by brokers to increase profits. Obviously, no broker admits to committing these acts, but a notion that a broker has practiced sniping or hunting is commonly believed to be true. Unfortunately, the only way to determine which brokers do this and which brokers don't is to talk to fellow traders. There is no blacklist or organization that reports such activity. Bottom line: Talk to others in person or visit online discussion forums to find out who is an honest broker.