Research your broker and brokerage firm. While you are responsible for making and approving decisions related to your investments, it's important to know your broker's, and his or her firm's, record to avoid becoming a potential victim of fraud. You should check into whether your broker is properly licensed and registered and that he or she has not been the subject of investor complaints or investigation.
Source: http://www.investopedia.com/articles/pf/08/account-protection.asp, http://tomorrowsmoney.org, http://www.katieadams.homestead.com
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