It is a sad fact of life that every investment market is infested with criminals eager to separate the potential investor from his or her money. The derivatives market is not an exception. Cold calls from glib, high-pressured, fraudsters too often dupe victims who can ill afford even small losses -- retirees living on fixed incomes, for example. Hallmarks of these scams are offers of extremely high, guaranteed returns in investments that must be funded immediately to capitalize on favorable market conditions. These scams often purport to take advantage of anticipated changes in market conditions that are widely known and commonly discounted by the markets, such as high gasoline prices during summer holidays or higher heating oil prices during the winter.
The CFTC has a useful web-page under the "Consumer Protection" tab on its home page. The link is http://www.cftc.gov/ConsumerProtection/FraudAwarenessPrevention/index.htm#warnings
I strongly recommend that anyone who has been solicited to participate in a derivatives investment vehicle read and understand this information first.
The CFTC consumer protection tab also contains useful information about companies and individuals who have been sanctioned by the Commission and other resources that can be used to help verify the bona fides of someone soliciting your investment.
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